Tanzania: Ports Efficiency Boosts Road Fund Revenue By 45pc

Dodoma — IMPROVED ports' efficiency and strengthened economic activities in the country have significantly boosted the Road Fund Board's (RFB) revenue from 841.5bn/- to 1.2tri/- in fiscal year 2024/25.

The figures were revealed in Dodoma recently by the Acting Chief Executive Officer (CEO) of the Board, Engineer Rashid Kalimbaga who said that between 2019/20 and 2024/25 financial years, the Board's revenue increased by 382bn/-, equivalent to 45 per cent.

He attributed the growth to several factors, including peace and stability in the country, improved efficiency at Tanzania ports, and continued trust by

neighbouring countries to use Tanzania's ports. Engineer Kalimbaga explained in the capital that the Road Fund's revenue sources include fuel levies, transit charges and overloading charges.

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According to the Acting CEO, fuel levies contribute more than 97 per cent of the Fund's income, with the RFB charging Sh263/- per litre of petrol and diesel.

He said transit charges are another source of revenue, whereby vehicles with up to three axles are charged 6 US dollars per 100 kilometres, while those with more than three axles are charged 10 US dollars per 100 kilometres.

"Road users contribute to road maintenance, thereby compensating for the wear and tear caused by their vehicles," the Acting CEO noted.

Despite the milestone, Engineer Kalimbaga said the Board is conducting various studies aimed at diversifying and increasing its revenue sources to enhance capacity, including strengthening the monitoring of collections from existing streams.

In another development, the RFB chief said the institution has so far allocated 983.9bn/- for the current financial year to finance road maintenance projects across various regions of the country.

Under the budget, roads currently in good condition have been prioritised, with 100 per cent of the required maintenance funds allocated to ensure they are preserved and do not deteriorate.

"The role of the Road Fund Board in road infrastructure maintenance is to monitor and ensure that maintenance works reflect value for money provided to road agencies," he explained.

Looking ahead, he outlined several goals the Board aims to achieve to improve performance, including enhancing the use of technology in daily operations and strengthening staff capacity through training programmes to increase efficiency.

The Board envisions excellence in road fund management for a well-maintained public road network, with a mission to provide sustainable funding for road maintenance to implementing agencies through effective collection, disbursement and monitoring of fund utilisation for socioeconomic wellbeing.

RFB's core values are integrity, transparency, teamwork, competence, innovation and professionalism.

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