1.275bn/- dividend for govt from TIPER

The government has received 1, 275,000,000/- as dividend from The Tanzania Petroleum Reserves Limited (TIPER), following a profit after tax of 6.06bn/- in for the 2013 financial year.

Speaking shortly after receiving the cheque on behalf of the government at Treasury office in Dodoma over the weekend, Permanent Secretary to the Ministry of Finance Dr Servarcius Likwelile said the money will help to cover the 2013/2014 budget deficit.

“This dividend from TIPER will help the government to fill in gaps in the budget because we did not reach our targeted revenue collection… we will channel this money to sectors which need it most and the distribution will be according to 2013/2014 budget allocations,” the Ps said.

He applauded TIPER’s management for the performance noting that they have consistently realized good profits, created jobs and ensured that the country has enough petroleum reserves and that the two, shareholders, government of Tanzania and Oryx Oil and Gas (OOG) get their due dividends.

TIPER Managing Director Daniel Belair emphasized that the firm’s contribution will go a long way in stimulating the country’s socio-economic development.
“The year 2013 was the best experienced by TIPER in terms of financial performances with 8.8bn/- profit after tax realised and we paid 2.74bn/- income tax to government,” he explained.

“TIPER is committed to investing in ultra-modern storage facilities that will ensure our petroleum products are readily available for both small scale and big users,” Beilar went on to say.

He mentioned that TIPER has invested USD10 million to increase its capacity which now stands at 141,000 cubic meters of fuel storage.

TIPER Board of Directors Chairman Prof Abdulkarim Mruma said the firm is jointly owned in equal shares by the said two shareholders.

He said they have been paying dividend to the government since 2009 following a massive investment of 8.3bn/- (USD 5.2 million) to enable the company operate profitably.

“TIPER paid 1.3bn/- in 2009, 1bn/- in 2010, 2bn/- in 2011 and 2bn/- in 2012 respectively. Today, the company has paid 1.275bn/- to each of its shareholders,” he said.

He added that presently TIPER has got the largest fuel Terminal in Tanzania and that it will continue to expand its capacity to ensure that it continues to provide its customers with quality, reliable services. 

SOURCE: THE GUARDIAN