Despite going a step further to launch an electric Standard Gauge Railway (SGR) compared to neighbouring Kenya that runs on diesel, the Tanzanian government is seeking outside help for the train to run smoothly.
Launched a few weeks ago, the projects started with the first phase of passengers only between Dar es Salaam Commercial City and Dodoma capital city covering 742 Kilometers away.
Yet, transport stakeholders have noticed that the entire railway operation which is installed with State-of-the-art facilities is facing challenges which in the long run is likely to paralyse its entire operation.
Experts noticed that there is a great likelihood for an electric train to stall or fail to run a smooth operation as per required worldwide standards owing to local of local expertise.
As a result, the Ministry of Transport has called on private investors to help streamline the operations. The Tanzania Railways Corporation’s (TRC) Director General Massanja Kadogosa said the sustainability of the SGR in Tanzania depends on regular maintenance.
That is why Tanzanians and investors are required to collaborate in line with Open Access Regulations Act 2024 which allows for public-private partnerships in all services.
TRC is currently working to ensure the construction of all SGR sections is finalised by 2028 so that investors can invest in the transportation of cargo which is yet to be launched.
Mr Kadogosa affirmed that, if the laid down procedures were not followed as proposed, Tanzania would not have the modern SGR line after some years even though, the SGR has been constructed with a lifespan of 100 years
Six Tanzanian companies are among several firms that have shown interest in partnering with the government in operating its SGR electric train the most of its kind within the East African Community (EAC) and Africa region in general.
The companies are; GSM Group an innovation-driven conglomerate that offers a wide range of services across the African continent, Bakhressa Group, Mohammed Enterprises Company Ltd, Lake Oil, Azam and Jambo.
Also on the list are several companies from China and Europe, Jambo is the only Tanzanian company that has shown interest in investing in luxury services for tourists.
Under the Railways Open Access Regulations 2024, those interested in becoming independent railway operators will have to fulfil several requirements, including submitting an official application and effecting the charges accordingly.
Upon submitting an application and being granted a license by a government to offer the intended services, officials to be known in the regulations such as infrastructure managers and operators will be given access and transit rights to operate in any type of railway.
The railway open access regulations 2024 indicate that applicants will pay license and application fees which is determinable and the amount that does not exceed $ 2,000 and $ 100 on passenger services.
Operators will have to pay application fees and license fees as well. Freight cargo applicants will pay license and application fees of $ 100 and $ 4,000 as application fees respectively.
Speaking in October last year during a meeting to discuss the Railways open access regulations 2024, the deputy Permanent Secretary in the Ministry of Transport Dr Ally Posi said that the money to be paid by the private operators will be primarily used for railway maintenance.
The SGR project in Tanzania consists of 5 lots a long multi-billion stretch of 1,457 Km project which is being constructed from Dar es Salaam to the shores of Lake Victoria ending in Mwanza City. It is amongst the mega projects in the country which is estimated to spend US$ 6.5 billion upon its completion.
Other lots are designed between Tabora and Uvinza to Kitega in neighbouring Burundi, while another one is designed between Isaka town and the neighbouring Kigali city in Rwanda. The southern line will link the Tanzanian port of Mtwara to huge coal, graphite and iron ore deposits as well as neighbouring countries of Mozambique, Zambia and Malawi.
The first three lots from Dar es Salaam to Tabora covering a total of 875 kilometers are being constructed by Turkish firm Yapi Merkezi the main contractor who works in partnership with Portuguese firm Mota-Engil Africa.
In April 2023, the government awarded the contract for the construction of the 341 km Mwanza to Isaka to a partnership of China Civil Engineering Construction (CCEC) and China Railway Construction Corporation (CRCC). Other tenders for the remaining phase from Tabora-Isaka (133 km) would be slated during the coming financial years.
Tanzania’s SGR project was initiated in 2017 a year when Kenya among the EAC member states had inaugurated its long-stretch SGR train from Mombasa in the Coast region up to Nairobi city.
Plans by Tanzania’s government were to join other East African states such as Uganda, Rwanda, Burundi, South Sudan, Ethiopia and DRC. But experts say that this might take a long time to accomplish.
