The Role of NEEC in Local Content Implementation Presentation by NEEC made in the CEO Roundtable of Tanzania held at Serena Hotel 14th August, 2018

CONTENTS INTRODUCTION THE ROLE OF NEEC LOCAL CONTENT POLICIES DEVELOPMENT PROJECTS WAY FORWARD AND RECOMMENDATIONS

1. INTRODUCTION NEEC is a Government Institution established by the National Economic Empowerment Act, of 2004. It is constituted under the Prime Minister’s Office Governed by a Council with 9 members (Public and Private Sector) Secretariat headed by the Executive Secretary and has 30 employees Currently has 5 Departments and 5 Units

2.The Role of NEEC Main Role is to implement the National Economic Empowerment Policy (S. 5 NEE Act) Promote and support business ventures pioneered and run by Tanzanians; To manage, administer, and identify sources of grants and donations for the Fund; Develop and supervise effective monitoring trends of economic empowerment for evaluating impacts; Make recommendations for review of laws Generally NEEC has the role of coordinating, facilitating and monitoring economic empowerment activities. Develop Strategic Institutional frameworks and national Guidelines; Coordinate training on entrepreneurship and research geared towards facilitation of economic empowerment; Provide Tanzanians with an opportunity to participate in economic activities; Encourage and promote savings , investment and meaningful economic participation by Tanzanians; Procurement

2.The Role of NEEC … Local Content Coordination Structure ANNUAL ECONOMIC EMPOWERMENT FORUM NATIONAL ADVISORY COMMITTEE FOR ECONOMIC EMPOWERMENT NATIONAL MULTISECTOR LOCAL CONTENT TECHNICAL COMMITTEE SECTOR COMMITTEES LOCAL CONTENT COORDINATORS

3. Local Content Policies National Energy Policy 2015, Petroleum Act, 2015 and Petroleum (Local Content Regulations) 2017 Local Content is def. as quantum of composite value added to the economy through deliberate utilisation of Tanzanian human and material resources and services Gives preference to Local Goods and services; Gives preference to employment of competent Tanzanians; Requires training ,technology transfer, research and development; Requires submission of Local Content Plan Challenges Baseline survey on the capacity of suppliers and workforce in Tanzania in the petroleum sector has not been conducted; The Guidelines for the Petroleum (Local Content) Regulations have not been issued yet; Lack of an effective monitoring tool; No workforce database in place; Few Local Companies have registered in the Suppliers Database established by EWURA

3. Local Content Policies… Mining Act 2010 (as amended in 2017), Mining (Local Content) Regulations, 2018 Local Content is def. as quantum of composite value added to the economy through deliberate utilisation of Tanzanian human and material resources and services; Gives preference to Local Goods and services; Gives preference to employment of competent Tanzanians; Requires capacity building and technology transfer; Requires submission of Local Content Plan Challenges No database of suppliers and human resource; Lack of awareness of the Laws, Regulations and Guidelines by various stakeholders; Lack of an effective monitoring tool; Participation of local companies in the large contracts in the mining sector are still limited

4.Development Projects Standard Gauge Railway Stieglers Gorge EACOP project Construction of Ubungo Flyover Ports Airports

4.Way Forward and Recommendations Capacity Building Programs; Development of a Suppliers Database Development of a Workforce Database Conducting Research Participating in the Coordination Meetings Development of a Website of Government Projects Submitting in writing complaints in respect to local content implementation in various projects Submitting proposals for review of laws relating to local content Establishing Enterprise Development Centers Development of National Multi Sector Local Content Strategy and Guidelines

Let us Collaborate to Empower Tanzanians Thank you for Listening