PPPC invites locals to invest in BRT

DAR ES SALAAM: THE Public Private Partnership Centre (PPPC) has invited members of the Tanzania Medium and Small Truck Owners Association (TAMSTOA) to invest in Bus Rapid Transit (BRT) systems, citing a supportive regulatory environment and a stable investment climate.

Speaking at a meeting with TAMSTOA members in Dar es Salaam, PPPC Executive Director David Kafulila said local stakeholders have the opportunity to participate in BRT Phases 3–6 under a Public-Private Partnership (PPP) arrangement by submitting a letter of intent to run the project.

Mr Kafulila highlighted that the revised Public-Private Partnership Act, enacted in 2010, allows the public sector to partner with private entities to implement various projects.

Explaining further, the PPPC executive director outlined that PPP projects can be implemented through solicited or unsolicited arrangements.

Under a solicited arrangement, the government formulates a project and publicly announces it for qualified bidders. In contrast, under an unsolicited arrangement, stakeholders propose a project after conducting their own feasibility study.

As the government continues with the construction of BRT infrastructure in Dar es Salaam, Mr Kafulila encouraged TAMSTOA members to explore the unsolicited arrangement by submitting letters of intent, assuring them of technical support. “You can join forces as transporters, an arrangement that will work to your advantage,” he said.

In addition to these two options, Mr Kafulila mentioned other methods such as direct negotiation (single source) and special arrangements.

He added that the government is in the final stages of discussions with investors for BRT Phases 1 and 2, leaving Phases 3–6 open for potential investment by TAMSTOA members.

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Mr Kafulila also revealed that over 80 strategic projects are in the pipeline, providing opportunities for local investors to collaborate with foreign partners under unsolicited arrangements or even propose projects outside the documented opportunities.

Earlier, TAMSTOA member Josephat Pallangyo asked if the government could prioritise local investors for BRT projects.

In response, Mr Kafulila emphasised that TAMSTOA members could seize the opportunity by organising themselves into a well-established company registered with the Dar es Salaam Stock Exchange (DSE). “

The experience you have is a valuable asset for investment in such projects. This country is yours. What matters is your readiness. The PPPC is here to assist you. Don’t hesitate to seek advice; it’s my job to support you,” he assured.

TAMSTOA Chairperson Chuki Shaban expressed gratitude to the PPPC director for his willingness to assist transport stakeholders in leveraging the available opportunities as Tanzania advances its mega transport infrastructure projects.

He urged TAMSTOA members to get prepared to invest in BRT projects, raising concerns on the bureaucratic hurdles.

He appealed to the PPPC for support in overcoming such challenges. Currently, TAMSTOA has over 1,200 members whose trucks operate within and beyond Tanzania’s borders.