By Carlos Claudio, Dodoma
The Petroleum Bulk Procurement Agency (PBPA) has highlighted the role of the Bulk Petroleum Procurement System in ensuring Tanzania maintains a reliable, timely and cost-effective supply of petroleum products.
The agency said the system has strengthened fuel availability in the country by allowing oil import requirements to be consolidated and supplied through a transparent and competitive procurement process.
PBPA Legal Officer, Khadija Zuberi, made the remarks during a public awareness session at the 32nd Nanenane Agricultural Exhibition held at the Dr John Samuel Malecela Grounds in Nzuguni, Dodoma.
She explained that the exhibition provided an opportunity for PBPA to educate citizens on its mandate, how the bulk procurement system operates, and investment opportunities available in Tanzania’s petroleum sector.
According to Ms Zuberi, the system brings together two main groups — Oil Marketing Companies (OMCs) registered in Tanzania and licensed by the Energy and Water Utilities Regulatory Authority (EWURA), as well as prequalified international suppliers approved to participate in petroleum import tenders.
“Our system comprises locally licensed oil marketing companies and prequalified international suppliers that are approved to compete in petroleum import tenders,” she said.
She explained that companies seeking to participate in petroleum business through PBPA must fulfil several requirements, including holding a valid EWURA licence, possessing business registration documents from the Business Registrations and Licensing Agency (BRELA), and complying with requirements set by the Tanzania Revenue Authority (TRA).
After registration, she said, oil marketing companies submit their monthly petroleum requirements to PBPA, which then combines the demand from all registered companies before conducting a competitive tender to select suppliers.
“After receiving the monthly demand from all oil marketing companies, we consolidate the volumes and conduct a transparent and competitive tender process. The supplier that meets all requirements and offers the most competitive price is selected to import petroleum into the country,” Ms Zuberi said.
She noted that consolidating fuel demand enables Tanzania to benefit from economies of scale, obtain competitive shipping costs and improve the stability of petroleum supply.
Ms Zuberi also encouraged Tanzanians to explore opportunities in the petroleum industry by investing in businesses linked to the sector while ensuring compliance with regulatory, technical and legal requirements.
She said PBPA’s participation at Nanenane was part of efforts to increase public understanding of the agency’s role in supporting energy security and promoting investment opportunities in the petroleum sector.
