Findings from a World Bank Transport Sector Mission to Tanzania, May 3 rd -14 th, 2004

Transcription

1 United Republic of Tanzania Transport Sector Snapshot (A Work in Progress, June 25 th, 2004) Findings from a World Bank Transport Sector Mission to Tanzania, May 3 rd -14 th, 2004 Cordula Thum The findings, interpretations, and conclusions expressed in this report are entirely those of the author and do not necessarily represent the views of the World Bank. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 1

2 TABLE OF CONTENTS AIM OF THIS REPORT...3 TABLES AND FIGURES...5 CONTEXT OF THE TRANSPORT SECTOR IN TANZANIA...6 Poverty Issues and the Economy...6 Tanzania s Poverty Reduction Strategy and Transport...6 The National Transport Policy and Main Sector Issues...7 THE ROAD SECTOR...9 Road Network...9 Management of the Road Sector and Financing...10 Motorization, vehicle fleet, and traffic flows...11 Rural Access, mobility and road safety...12 THE RAILWAY SYSTEM...13 Infrastructure and rolling stock...13 Traffic and operation...14 Management of infrastructure and operation...14 MARITIME TRANSPORT...15 Port Infrastructure and Management...15 Ports traffic...15 AIR TRANSPORT...16 REFERENCES...17 ANNEX...18 Additional Information...18 Performance and impact indicators for transport in Tanzania...19 Definitions for performance and impact indicators...21 Core transport measures...26 United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 2

3 AIM OF THIS REPORT The aim of this report is to briefly review the transport sector in Tanzania 1, using the most recent sector data available (the source data and definitions can be found in the Annex). The majority of the data presented in this report has been made available by relevant sector agencies and ministries during a World Bank transport sector mission to Tanzania from May 3 rd -14 th, Major publications drawn upon were: The statistical yearbooks of the Ministry of Communications and Transport (2002, 2003, draft version of 2004), the Household Budget Survey 2000/2001 from the National Bureau of Statistics, and various other publications from respective agencies and ministries. The World Bank transport mission to Tanzania had inter alia the objective to review the sector s monitoring framework in Tanzania and discuss steps for improvement with responsible staff at respective ministries and some of the agencies as well as the Vice President s Office (VPO) and the National Bureau of Statistics (NBS). Institutions producing and using transport sector data Major institutions in Tanzania producing and using transport sector data include: Level Sub-sector Institution at the ministerial level Roads Ministry of Works (MoW) at the agency and operational level Rural Roads PORALG (Prime Ministers Office for Regional Administration and Local Government) Transport Ministry of Communications and Transport (MCT) Trunk and regional roads TANROADS Rural Roads Local Government Authorities (LGA), which comprises 22 Urban Councils and 92 Rural District Councils Aviation Tanzania Civil Aviation Authority (TCAA) Airport Tanzania Airport Authority (TAA) Rail Tanzania Zambia Railway Authority (TAZARA) Rail Tanzania Railways Corporation (TRC) Ports Tanzania Harbor Authority (THA) In addition, the National Bureau of Statistics (NBS) is generally mandated with the responsibility for all official statistics, with particular focus on their dissemination. With respect to the poverty reduction strategy, the Vice President s Office has the overall responsibility for monitoring its implementation. Institutional set up and constraints Under the current structure, the responsibility for assembling and disseminating transport statistics lays within the Ministry of Communications and Transport (Department of Planning and Policy). In 2002, MCT started publishing an annual statistical report (Transport, Communications and Meteorology Sector Statistics Document) presenting an overview of the transport sector as a whole. To expand its role in the collection and dissemination of transport data, MCT is planning to formally set up a statistical office in July In order to improve the current statistical system and ultimately the production and use of relevant, up-to-date and reliable data of the transport sector, three categories of factors need to be taken into consideration: (1) Institutional environmental factors (2) Institutional factors within the sector (3) Resources 1 Emphasis was given to the road sub sector according to its importance for the country s development. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 3

4 (1) Institutional environmental factors Since 1999, Tanzania has been very active in establishing a comprehensive poverty monitoring system, which is documented in the Poverty Monitoring Plan. The aim of this poverty monitoring system is to ensure that timely and reliable evidence on changes in the level and nature of poverty is available to all stakeholders. Main outputs of this system are the establishment of (1) poverty and welfare monitoring indicators as well as the (2) Tanzania Socio-Economic Database (TSED), which is being managed by the NBS. Transport related indicators to be monitored are relatively few compared to social indicators but include the current PRS roads indicator ( kilometers of roads maintained and rehabilitated per year ) as well as others (such as average travel time to road, unpaved roads, new roads constructed per year ). The established PRS transport indicator has changed twice over the last years 2. The poor record of monitoring the PRS transport indicator is inter alia an indication for the lack of appropriate and functional institutional arrangements between the NBS, the VPO and the MCT as well as clear delineation of responsibilities. Well-defined linkages are considered key factors for the integration of the transport statistics system with the poverty monitoring system. (2) Insti tutional factors within the sector The national transport statistics system in Tanzania suffers from a lack of clear identity and ownership considering the complex environment and different institutions involved. The need for inter-ministerial and agency collaboration is high, but liaison mechanisms are often weak. Particularly in the roads sector where responsibility lies within different ministries and agencies, surveys, inventories and other statistical inquiries are frequently undertaken in isolation. In order to improve the national transport statistics system in Tanzania, the mandate of the MCT as institutional focal point in government for transport should be clearly defined and well established. Additionally, understanding and coordination between agencies producing the data (data producers) and offices undertaking economic analysis, planning and decision making (data users) seems to lack. It is suggested that a sample survey of the needs and preferences of all users would be carried out to identify their requests for various transport sector statistics and their favored mode of delivery for various datasets print or electronic, online or CD-ROM, tabular or graphic. On the basis of the survey results, a strategic and corporate plan to address the needs for transport statistics will be developed and implemented. (3) Resources The capacity of the transport statistical system in Tanzania is to a large extent determined by the level and stability of the resources at its disposal. While human resources constitute by far the most critical factor, information technology resources are crucial as well. The statistical expertise of staff could further be developed through a mixture of training in order to attain profound knowledge of the principles underlying internationally accepted standards. In order to develop a comprehensive statistical data collection, processing, storage and sharing, an adequate information technology infrastructure (such as computers, servers, communication network and personal computer and of existing databases) is needed at the ministerial as well as the agency-level. A harmonized system of reporting, data collection and dissemination can then be set up in collaboration with the NBS (and in synchronization with the TSED). Washington DC, June The previously established PRS roads indicator (% of rural communities with reliable access to the road network) was changed to kilometers of roads maintained and rehabilitated per year. This indicator is however currently under review and may be changed in the upcoming revised PRSP document. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 4

5 TABLES AND FIGURES Table 1: Poverty headcount ratios 1991/ Table 2: PRS targets for the roads sector (reduce income poverty)...7 Table 3: Summary of Medium and Long Term Goals of the NTP by transport sub-sector...8 Table 4: Road Network Length (km), Table 5: Roads in Good/Fair Condition (%), Table 6: Roads in Good/Fair Condition (%), and projected targets...9 Table 7: Roads Funds Collection and Allocation, Table 8: Motor vehicle ownership in urban and rural areas (% of households), 1991/ Table 9: Composition of car traffic on trunk roads, Table 10: Bicycle ownership and mean distance to public transport in urban and rural areas, 1991/ Table 11: Road Motor Vehicle Accidents (number), 1998/ Table 12: Railway Network (km) Table 13: Railways Rolling Stock, mainline (number) Table 14: Railways Passenger and Freight Traffic, Table 15: Capacity of Main Seaports (2002)...15 Table 16: Port traffic Cargo throughput (tons), United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 5

6 CONTEXT OF THE TRANSPORT SECTOR IN TANZANIA This chapter presents a summary of the general economic context and poverty profile in Tanzania, with a short description of National Transport Policy and review of main sector issues. Poverty Issues and the Economy Covering an area of 884,000 square kilometers (divided into 25 regions and 118 districts, including Zanzibar), Tanzania has a population of about 35.2 million (2002), of which close to 67 percent live in rural areas. Tanzania is one of the poorest countries of the world. GNI per capita income in 2003 was US$290 and is estimated to be around US$ 282 in The results of a household budget survey released in 2002 indicate that basic needs poverty has declined during the past decade from 39 percent to 36 percent (with significant differences, however, between urban and rural areas). According to the same survey, about 19 percent of the Tanzanian population lives below the food poverty line. Among the total population living below the poverty line, the proportion of the urban poor is 13% compared to 87% in rural areas (United Republic of Tanzania, PRSP Second Progress Report 2001/02, 2003, p.6). Table 1: Poverty headcount ratios 1991/2001 Food Basic Needs 1991/ / / /01 Dar es Salaam Other Urban Rural TOTAL Source: Household Budget Survey 1991/92 and 2000/01. The performance of Tanzania s economy at the macro level has been however impressive: Inflation decreased from over 30 percent in 1995 to 5 percent in Real GDP growth since 2000 averaged 6 percent and was 5.5 percent in 2003, with a projected increase to 6.3 percent in Sectors with the highest growth rate in 2002 include mining and quarrying (15.00%), construction (11.0%), manufacturing (8.0%), wholesale and retail trade (7.0%), and transport and communications (6.4%). Agriculture grew at 5% in 2002, a decline from the 5.5% growth recorded the previous year. Agriculture however, accounts for about 50 percent of GDP, provides 85 percent of exports, and is by far the largest employer, which makes the economy heavily dependent on this sector (primarily: coffee, cotton, tea, cashew nuts, sisal, maize, rice, wheat, cassava, and tobacco). Topography and climatic conditions limit cultivated crops to only a small fraction of the land area. Industry accounts for some 15 percent of GDP and is mainly limited to processing agricultural products and light consumer goods. Despite recent positive developments, agriculture s full potential has yet to be realized. Exports are still dominated by a narrow range of cash crops such as cotton, coffee, tea, tobacco, and cashew nuts, etc. To the constraints imposed by inefficient marketing organization and poor postharvest storage and handling must be added the bottlenecks of the transport sector. The fertile regions of the country in the north and south west have, up to now, been largely cut-off from export markets due to poor transport infrastructure. Tanzania s Poverty Reduction Strategy and Transport Since 1997, the Government of Tanzania made a special effort to formulate its policy objectives and strategies towards alleviation of poverty. Several major policy documents were published during 2000 including Vision 2025, the Tanzania Assistance Strategy, and the Poverty Reduction United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 6

7 Strategy Paper (hereafter PRS), which describe the Government medium term strategy for poverty reduction. Along with the above mentioned policy documents, Tanzania s PRS (completed in October 2001) rests on the assumption that the road network is one of the major obstacles to reducing income poverty. An all year round accessible road network is recognizes to ensure better and less costly access to markets and a range of social services. Road rehabilitation and spot improvements are therefore seen as an integral part of addressing income poverty 3. PRS targets for the roads sector are summarized as following: Table 2: PRS targets for the roads sector (reduce income poverty) Quantified targets Rehabilitate 4,500 km of feeder, district and regional roads in the 8 poorest regions 4 Upgrade from poor to fair quality 7,000 km of such roads in 12 poorest regions Spot and emergency repair over an estimated 50,000 km of roads in all districts Source: PRSP Assessment Most rural roads in poor condition In addition, the government has recently pronounced its plan to subsidize agriculture (peasant farming), initially by subsidizing transportation of agricultural inputs (especially fertilizers) to the biggest grain producing regions in the southern part of Tanzania. Since Tanzania exports mostly traditional agricultural products, the bad condition of the road network in particular in rural areas imposes high costs of freighting goods to the market center as well as to the port. The high transport costs will therefore reduce producer farm gate prices or increase the merchandise price of the goods born by buyers, hence impair trade competitiveness. Likewise, high transportation costs on imported goods widen the wedge between international and domestic prices of imports beyond the imposed import tariff. The National Transport Policy and Main Sector Issues In line with the Government s renewed focus on policy objectives and strategies, the Ministry of Communications and Transport initiated in 1998 the preparation of a National Transport Policy, hereafter NTP (United Republic of Tanzania, Ministry of Communications and Transport, 2003), which followed an earlier attempt in Numerous discussions with government and other stakeholders and review by the donors resulted in the drafting of a final version in September 2000 which was approved in The NTP aims to develop efficient and cost-effective domestic and international transport services to all segments of the population and sectors of the national economy with maximum safety and minimum environmental degradation (United Republic of Tanzania, Ministry of Communications and Transport, 2003, p.1). It soundly endorses the national goal of poverty reduction and strongly emphasizes the importance of investment in transport to achieve this. Medium and long term goals for specific transport sub sectors are spelled out by the National Transport Policy and summarized in the table below. 3 In 2000, the Government conducted comprehensive studies on the road network, which revealed that virtually all 27,550 km of feeder roads are earth tracks or gravel roads in poor condition, needing either rehabilitation or spot improvement to ensure access to markets. Only 8 percent of the district road network (20,000 km) is in good condition, with the remainder in fair or poor condition, requiring rehabilitation. Only 20 percent of the regional road network is in good condition, whereas 40 percent is in fair and 40 percent poor. Subsequent reports will endeavour to track progress against the PRS targets in the road sector. 4 The 10 poorest regions include: Kagera, Kigoma, Dodoma, Coast, Lindi, Morogoro, Mtwara, Rukwa, Tanga, Mara. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 7

8 Table 3: Summary of Medium and Long Term Goals of the NTP by transport sub-sector Road Infrastructure Railways Network Maritime and Water Transport Air Transport Facilitate development of nine transport corridors All trunk roads are all weather/ bitumized Further development of modal and inter-modal interface facilities and institutions Involvement of private sector in infrastructure development and operation of railways Further restructuring of ports for increased infrastructure, safety, security and operations efficiency Private sector involvement in the enhancement of infrastructure, services in port development, operations and in shipping services Integrate national airlines regionally in the provision of air services worldwide Implement Yamoussoukro Decision (YD) to attain sustainable regional integrated air transport services The strategy emphasizes the importance of the road sector which represents by far the dominant mode of transport in Tanzania with 70% of freight and 90% of passenger movement (United Republic of Tanzania, Ministry of Communications and Transport, 2004a). According to recent road condition surveys, an average of only 44% of the total network is in good condition. The situation is particularly serious in rural areas. For trunk and regional roads, around 72% are in good condition (next to 60% of paved trunk roads). Inadequate allocations of resources and weak legal and institutional structures have contributed to the deterioration of Tanzania s road network. The poor standard of the road network impedes mobility and access to markets and services in the country, in particular in rural settings. Rural roads and access are crucial for the supply of basic social services such as health care and education to the entire population. Tanzania s transport infrastructure and services is further an essential outlet for a number of nearby landlocked countries where Rwanda, Burundi, and to a lesser extent, Uganda and Zambia are critically dependent on Tanzania for providing stable sea access to international markets. Railway transport with two railway systems comprises about 4,800 km of track length. The provision of rail service faces many problems resulting in irregular services operating at low levels of safety and speed. Both railway providers operate at a loss, while private concessioning of the operators has been under discussion since A careful and balanced investment/ operation/ marketing strategy will be required from the future private operators in order to achieve an increase in domestic and international freight movement for the railways sector. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 8

9 THE ROAD SECTOR Road Network Tanzania s classified road network comprises about 80,000 kilometers, of which 44 percent are in good and fair condition. The road network coverage in Tanzania is low with 96.2 km of roads per 1,000km 2 (2002), along with a road density of 2.4 km of roads per 1,000 habitants (2002). The Highways Ordinance (initiated in 1997) classifies Tanzania s road network in five categories: trunk roads, regional roads, district roads, feeder roads, urban/town roads (see Annex 1). The distribution between the five classes is as follows: Table 4: Road Network Length (km), 2004 Trunk Roads km 9,934 Regional Roads km 18,999 Subtotal Managed by TANROADS km 28,933 District Roads km 20,000 Feeder Roads km 27,550 Urban/Town Roads km 2,450 Subtotal Managed by LGA km 50,000 TOTAL km 78,933 Source: Ministry of Communications and Transport, The latest road condition information available shows that only 44 percent of the network is in good and fair condition (as summarized in table 2). Table 5: Roads in Good/Fair Condition (%), 2004 Trunk Roads % 77 Regional Roads % 69 Subtotal Managed by TANROADS % 72 Subtotal Managed by LGA % 28 TOTAL % 44 Source: Ministry of Communications and Transport, The quality of the road network is further hindered by inadequate reliability, since many of the roads (an estimated 90% of district and feeder roads) are often cut and not accessible during the rainy season. It is also estimated that 60% of the district and feeder roads are impassable because of lack of bridges or culverts. Nevertheless, the condition of the primary road network (trunk and regional roads) has gradually improved over the last years. The proportion of roads in bad condition slightly decreased, while the proportion in good and fair condition rose. Table 6: Roads in Good/Fair Condition (%), and projected targets Targets set out by NTP Trunk Roads % % Regional Roads % % Subtotal Managed by TANROADS % % Subtotal Managed by LGA % TOTAL % Source: Ministry of Communications and Transport, United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 9

10 As far as the development of the road infrastructure is concerned, the NTP envisages facilitating road transport corridor development and ensuring that they are furnished with all weather/bitumen roads. This would ensure that main road corridors with their link sections are accessible and contribute to the growth of economic activities. Nine Road Transport Corridors have been identified (see Annex 1). The medium and long term objectives is to bitumize all trunk roads while at the same time ensuring that all regional as well as key district and urban roads are sufficiently rehabilitated and maintained to ensure smooth flow of traffic (United Republic of Tanzania, Ministry of Communications and Transport, 2003, p.4). Inadequate allocations of resources and weak legal and institutional structures have contributed to deteriorating Tanzania s roads. Traditionally, in Tanzania (as in most African countries) road building has been given a higher priority than road maintenance, with scant attention to the imperatives of recurrent costs of road management once the road has been constructed. Management of the Road Sector and Financing The government has focused on addressing weak management capacity and inadequate maintenance of the network through action on three related fronts 5 : (1) An executive agency under the MoW was created to manage the development, rehabilitation and maintenance of the trunk and regional roads, the Tanzania National Roads Agency (Tanroads). (2) The management, development and maintenance of the district, feeder and urban roads were assigned to the President s office for Regional administration and Local Government which has an oversight function while management of these roads is with the 113 LGA. (3) The Road Fund was inaugurated in August Furthermore, it was specified that the Road Fund was to be administered by a Board composed of a Chairman appointed by the President of the United Republic of Tanzania, and eight members, four of which representing the private sector. The main institutional challenge is that Tanroads semi-autonomy still makes it very dependent on the Ministry of Works for the management of road projects. According to the new institutional setup the ministry should now limit its role to policy and strategy formulation. Since these functions would be more efficiently implemented if they were coordinated with those of the other transport modes, a single ministry in charge of the whole transport sector may be recommendable. As early as , Tanzania introduced the widely implemented concept that the cost of road use shall be charged to the users. Today, road user charges, consisting of an access tariff (i.e. license fee) and a road use tariff (i.e. fuel levy) are being collected by various agencies and managed by the Road Fund for the financing of road maintenance. The following table summarizes collections and allocations: Table 7: Roads Funds Collection and Allocation, Road Funds Collection Million Tshs 38,015 47,252 52,881 59,390 64,510 65,386 Fuel levy % of total 96% 95% 95% 94% 96% 95% Transit charge % of total 2% 2% 3% 3% 2% - Overloading fee % of total 2% 3% 3% 3% 2% - Heavy vehicle license fee % of total * * * * * - 5 The current management structure and financing system of the road sector was agreed on in late 1998, when the required amendment to the legislation was approved by Parliament which voted the Amendment 2 to the 1985 Road Toll Act. 6 The Roads Toll Act approved on October 21, 1985 imposed a toll on the use of vehicles in public roads in Tanzania. This toll was payable either upon vehicles passing through a point along a public road or upon the purchase of fuel. The administration of the tolling system was placed under the responsibility of the Principal Secretary of Treasury. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 10

11 Allocation** Million Tshs 36,107 40,031 50,739 60,074 64,510 - Source: Ministry of Works, 2004a. * The heavy vehicle license fee is negligible. The Heavy vehicles license fees (defined by MoW as those weighing 3.5 tons and above) are collected by the Central Transport Licensing Authority (CTLA). Currently, CTLA is transferring 52% of collections to the RFB accounts. CTLA has defined heavy vehicles as those weighing 16 tones and above ** The difference between total collections and disbursements represents cash in transit as of June 30 th which is received and disbursed to implementing agencies in the following financial year. As illustrated, the Road Fund s allocation 7 towards routine and period maintenance (distributed on a 70/30% basis to the MoW and PoRALG) in 2002 was 50,739 million Tshs, which represents 40% of estimated maintenance requirements (the Road Fund estimates maintenance requirements at about 136 billion Tshs). The Roads Fund Board proposed a review of road user charges and rates (The Roads Fund Board, 2004) which would increase the total amount of revenue to 100 billion Tshs in 2004/05. Additional sources of funds to implement road works in Tanzania come from the government budget as well as various donors. Comprehensive data on total expenditure of the road sector in Tanzania is not available. Motorization, vehicle fleet, and traffic flows The collection of road user charges depends on motorization level as well as traffic flows. In general terms, vehicle ownership levels are closely correlated to national GNI/per capital levels. A closer look at Tanzania shows that the vehicle ownership level in 2002 is amongst the lowest in the world with 14 vehicles registered per 1,000 people. This data corresponds with findings from the latest household survey (Household Budget Survey 2000/01). Motor vehicle ownership at the household level is insignificant, taking affordability into consideration. 6% of Dar es Salaam s households and 2% of all other urban households own a motor vehicle. Nevertheless, motor vehicle ownership in Dar es Salaam increased from 2% to 6% per household between 1991 and Motor bicycle ownership in urban areas and the capital is low as well (1%). Rural motor vehicle and motor bicycle ownership is negligible (1%). Table 8: Motor vehicle ownership in urban and rural areas (% of households), 1991/2001 Urban Rural Dar es Salaam Other urban Motor vehicle ownership, 1991 % of households 3% 2% 1% Motor vehicle ownership, 2001 % of households 6% 2% 1% Motor bicycle ownership, 1991 % of households 0% 2% 1% Motor bicycle ownership, 2001 % of households 1% 2% 1% Source: HBS, Poverty Profile, 2003, p.21. The commercial vehicle fleet was estimated at 35,700 out of which freight vehicles were about 64% in Vehicles with less than 5 ton capacity dominate with 70% of total commercial vehicles. About 93% are one vehicle owner/operator. These small operators have low levels of technical and managerial expertise and a limited financial capacity to adapt to changes in market conditions, such as the recent sharp increase in the price of fuel. The small size of the vehicle fleet makes traffic on Tanzania s roads rarely exceed 1,000 vehicles per day. Average volume on paved trunk roads in 1999 were between vehicles per day, between on unpaved roads and less than 50 vehicles per day on other roads. However, 7 It can be seen that more than 90 percent of the income of the Roads Fund is generated from fuel levy. Any change to this revenue source would thus nearly have a corresponding effect on the total income to the Roads Fund. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 11

12 traffic has been growing fast during the last few years at a 6-7 percent annual rate, and even faster in Dar es Salaam. The composition of car traffic on trunk roads in 2002 is shown below. Table 9: Composition of car traffic on trunk roads, 2002 Type 2002 Cars % 4 Pickups (including 4x4 drive) % 36 Trucks (less than 5 tons) % 3 Trucks (more than 5 tons) % 33 Truck with full trailer % 4 Truck with semi-trailer % 2 Small buses (< 25 passengers) % 5 Large Buses % 13 TOTAL % 100 Source: Ministry of Communications and Transport, Due to the small size of traffic on the network, investing in infrastructure development will be for quite some time unattractive to the private sector. In view of this, the government and donors will have to continue to play the leading role in its development. Rural Access, mobility and road safety As previously discussed, motorized transport is relatively low in Tanzania. Motorization levels in urban centers are greater than in rural areas, mainly due to different income levels. Access to infrastructure poses a real problem for rural people where the nearest all weather road is often very far from the village center. According to the latest household survey, only 38 percent of the rural population has reliable access to transport (= living within two kilometers of an all-weather road). Additionally, access to transport services is limited, with a mean distance to public transport of 5.4 km in rural settings, compared with 0.5 km in Dar es Salaam and 0.8 km in other urban areas. Remoteness is one of the key factors in explaining concentration of poverty in Tanzania as it limits access to markets, increases the price of inputs and makes both economic and social services less accessible. One study in Tanzania has estimated that households within 100 meters of a gravel road, passable 12 months a year with a bus service, earn about one-third more per capita than the (rural) average (IFAD, 2001, p.164). Distances are strongly correlated with economic status; either because roads bring economic development, or because roads go to places where economic development has picked up, the poor live farther away from roads than the better-off. The ownership of non-motorized vehicles is highest in rural areas with 39% of households owning a bicycle. By ways of comparison, 34% of urban and 12% of Dar es Salaam s households own a bicycle. The high ownership of bicycles in particular in rural settings can be seen as a way to meet household needs at two different levels: personal transport requirements of household members as well as means of generating income. Many rural households use bicycles (or other non-motorized means of transport, such as animal drawn carts, wheelbarrow, etc.) to transport agricultural inputs and outputs from their fields. Table 10: Bicycle ownership and mean distance to public transport in urban and rural areas, 1991/2001 Urban Rural Dar es Salaam Other urban Bicycle ownership, 1991 % of households 10% 22% 25% Bicycle ownership, 2001 % of households 12% 34% 38% Mean distance to public transport, 1991 km 0.7 km 1.0 km 6.0 km United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 12

13 Mean distance to public transport, 2001 km 0.5 km 0.8 km 5.4 km Source: HBS, Poverty Profile, 2003, p.20. Availability, affordability and frequency of transport services profoundly affect daily lives of millions of residents of communities. In rural areas with thin demands for passenger services due to low population densities, and where road condition is generally poor, transport services are often limited to a basic, daily or less frequent bus services, or to irregular jeeps (all-wheel drive vehicles) on the poorer roads. Where the roads are better, individual operators provide higher quality and more frequent service with smaller vehicles, often share-ride taxis. In common with other developing countries, road safety is a serious problem in Tanzania. From 1998 to 2002, the number of road motor vehicle accidents reported in Tanzania grew by 52 percent, according to official statistics. Accidents per 10,000 vehicles registered increased from 342 to 368 over the period of 1998 to 2002 with a fatality rate increasing from 5 to 6 per 100,000 inhabitants. Table 11: Road Motor Vehicle Accidents (number), 1998/ Fatalities, total Number 1,583 2,050 Injuries Number 11,381 16,500 Accidents reported Number 12,234 18,550 Source: Ministry of Communications and Transport, 2004c. The results of a study conducted in 1998 show that most vulnerable road users such as pedestrians and non-motorized vehicle riders (bicyclists) are involved in over half of all road fatalities. In detail, pedestrians account for the largest fatality class (41 percent), follow by passengers (37 percent) and bicyclists (14 percent). A practical assumption in this context is that whilst not all pedestrians are poor, the poor will be pedestrians. THE RAILWAY SYSTEM Infrastructure and rolling stock The two railways, the Tanzania Railways Corporation (TRC) and the Tanzania-Zambia Railway Authority (TAZARA) form the major railway systems that run parallel to trunk road linking 14 of the 20 regions of the mainland. The systems differ in gauge (TRC s is 1 m and TAZARA s is m) making domestic and regional delivery of integrated services cumbersome. The track length of both railways comprises 4,582 km, of which 2,722 km are owned by TRC and 1,860 km by TAZARA (about half of which lies in Zambia). Essentially, the railway network has not changed after TAZARA was built. Table 12: Railway Network (km) TRC km 2,605 2,722 2,721 2,722 2,722 TAZARA km 1,860 1,860 1,860 1,860 1,860 TOTAL km 4,465 4,582 4,581 4,582 4,582 Source: Ministry of Communications and Transport, 2004a. Speed restrictions imposed by track condition cover less than 10% of TAZARA line and about 40% of the TRC line. Both TRC and TAZARA have axle load limits, of 14.2 tonnes and 20 tonnes respectively, governed by the design criteria and the condition of bridges. Both speed and axle United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 13

14 load restrictions have been gradually increasing because of lack of track and rolling stock maintenance. The composition of TRC s and TAZARA s fleet is shown in the table below. Table 13: Railways Rolling Stock, mainline (number) TRC number TAZARA number n/a 21 TOTAL km Source: Ministry of Communications and Transport, 2004a. Traffic and operation The TRC system which runs through the central line from Dar es Salaam to Kigoma/Mwanza is the most important international route servicing the neighboring countries of Burundi, Rwanda, Democratic Republic of Congo and Uganda. The TAZARA line provides an important component in the regional network linking the ports of Dar es Salaam with landlocked Zambia at New Kapiri Mposhi, Malawi and other East African states. TRC as well as TAZARA are more of freight railways whereas they also transport a significant number of passengers (see table below). Table 14: Railways Passenger and Freight Traffic, TRC Passenger Traffic TAZARA Passenger Traffic 000 1,535 1,422 1,543 1,541 1,069 Total Passenger Traffic 000 2,105 2,037 2,174 2,269 1,754 TRC Freight Traffic tons 664, , , , ,321 TAZARA Freight Traffic tons 273, , , , ,964 Total Freight Traffic tons 937, , ,488 1,083,487 1,152,285 Source: Ministry of Communications and Transport, Generally, it is estimated that about one third (1/3) of the goods handled in Tanzania is transit traffic, the bulk of it being handled by TAZARA and TRC as these two railways are important arteries connecting neighboring countries. However, the two railways have constraints in performance particularly those related to quality of service which does not meet customer satisfaction due to inadequate wagons and standards, long terminal detentions and wagon turn round, safety of goods on route, etc. Management of infrastructure and operation NTP underlines the need for further development of modal and inter-modal interface facilities and institutions. For this to happen, involvement of private sector in infrastructure development and operation of railways is considered necessary (United Republic of Tanzania, Ministry of Communications and Transport, 2003, p.5). TRC is fully owned by the Tanzania Government, but is in the process of being concessioned to a private operator 8. TAZARA is owned jointly by Tanzania and Zambia on a 50/50 basis. Options for its privatization are being investigated. 8 The Railway Act 2002 has been enacted as a process of restructuring TRC. The Act envisages separation of functions of running the railway business from ownership of the infrastructure assets and its regulations. Railway services will be concessioned to private sector. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 14

15 MARITIME TRANSPORT Port Infrastructure and Management There are three maritime ports in Tanzania : Dar es Salaam, Mtwara, and Tanga for deep-sea and coastal transport. Smaller seaport facilities exist in Kilwa, Lindi, Mafia, Pnagani, and Bagamoyo. The following table summarizes details on capacity of the seaports in Dar es Salaam, Mtwara, and Tanga: Table 15: Capacity of Main Seaports (2002) Dar es Salaam Tanga Mtwara Total Berths Number Container berths Number 3 Dry bulk berths Number 8 Liquid bulk berths Number Multipurpose berths Number Total Length Number 2, ,413 Port Handling capacity Tons/year Container Handling capacity TEU/year Source: Ministry of Communications and Transport, 2004a. All seaports are managed by a parastatal, the Tanzania Harbour Authority (THA). Its financial performance has been erratic during the past few years with a surplus/deficit varying significantly from one year to the next. Nevertheless, Dar es Salaam s port performance is improving. During the past years it was ranked the most efficient port on the East Africa coast by the shipping companies. Ports traffic Dar es Salaam port cargo throughput reached 4.9 million tons in 2003, but it showed numerous ups and downs in the 1990s. About 85 percent of total cargo traffic is imports. Tanga and Mtwara port cargo throughput steadily increased to almost 341,000 and 138,000 tons in Mtwara provides valuable access to the Southern region of the country which becomes critical when roads are closed during the rainy season. 63 percent of total cargo traffic in Tanga is exports, whereby Mtwara s cargo throughput is almost equally distributed between imports and exports traffic. Table 16: Port traffic Cargo throughput (tons), Dar es Salaam Tanga Mtwara Total tons 4,099,505 4,013,386 3,842,604 4,146,524 4,861,269 Imports tons 3,420,527 3,272,752 3,218,586 3,431,432 4,137,968 Exports tons 678, , , , ,301 Total tons 176, , , , ,827 Imports tons 94,362 82,158 82,158 97, ,680 Exports tons 81,903 92,192 92, , ,147 Total tons 185, , , , ,070 Imports tons 74,049 82,101 74,244 65,555 68,430 Exports tons 111, , ,694 72,264 69,640 Source: Ministry of Communications and Transport, 2004a. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 15

16 For imports as well as for exports, the largest port of entry and exit is Dar es Salaam with nearly 90% of the total volumes. International transit traffic between the port of Dar es Salaam and neighboring landlocked countries (Uganda, Burundi, Congo, Zambia, Malawi) has long been an important user of the transportation infrastructure of Tanzania 9. AIR TRANSPORT There are more than 200 airports in Tanzania including airstrips servicing domestic and international traffic. About 60 are managed by the Government. The international airports are Dar es Salaam (runway of 3,000x45 m), Kilimanjaro (runway of 3,600x45 m), and Zanzibar. Mwanza (runway of 3,300x45 m) is the largest domestic airport. Presently, the domestic airports and strips do not generate enough traffic to make them viable. During the year 2002, the total number of local and international passengers was 876,313 and grew to 920,531 in 2003, most of which goes through the airport at Dar es Salaam. Airfreight is low at most airports in Tanzania. However, the market has potential with a total of 73,229 aircraft movements recorded in Freight traffic is only significant in Dar es Salaam with 11,326 tons a year (2003). Total freight air traffic in Tanzania was almost 30,000 tons per year (2003). Domestic air travel is important for Tanzania because of the long distanc es between major regions and poor road condition. Air transport in Tanzania has been liberalized since 1992 as part of Tanzania s economic reforms. Tanzania has 29 licensed air carrier both scheduled and chartered services. The national airline ATC has been privatized with government retaining minority shares. 9 Data on international transit traffic in Tanzania is poor and conflicting. The TRA, which keeps detailed statistics on imports and exports, does not have data on transit volumes and products even though the goods pass through the customs. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 16

17 REFERENCES GTZ, 2003, pdf. IFAD, 2001, Rural Poverty Report 2001: The Challenge of Ending Rural Poverty. Oxford University Press, International Fund for Agricultural Development. The Roads Fund Board, 2004, Proposal to Review Road User Charges and Rates for Sustainable Road Financing, Dar es Salaam, April United Republic of Tanzania, Ministry of Communications and Transport, 2004a, Transport, Communications and Meteorology Sector Statistics, May United Republic of Tanzania, Ministry of Communications and Transport, 2004b, Socio-Economic Costs for Road Traffic Accidents in Tanzania, Dar es Salaam. United Republic of Tanzania, Ministry of Communications and Transport, 2003, National Transport Policy, Dar es Salaam, at United Republic of Tanzania, Ministry of Communications and Transport, 2004c, Socio-Economic Costs for Road Traffic Accidents in Tanzania, Dar es Salaam United Republic of Tanzania, Ministry of Works, 2004a, Road Sector Public Expenditure Review 2004, Final Report, February, Dar es Salaam. United Republic of Tanzania, Ministry of Works, 2004b, Socio-Economic Costs for Road Traffic Accidents in Tanzania, Dar es Salaam. United Republic of Tanzania, Tanzania Revenue Authorities, 2004, Motor vehicle registration statistics, given by MoCT. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 17

18 ANNEX Additional Information Annex 1: Tanzania s Road Classification Trunk roads National and international through roads which link several regions and provide access to important border posts Regional roads District roads Feeder roads Roads connection Regional and District Headquarters in a region, or connecting important centers to a trunk road Roads linking District Headquarters to higher class roads, or connecting divisional centers and important locations in the district to the District Headquarter Village access roads connecting village centers to district and regional roads Urban roads Roads within a city, a municipality or a township. They are further sub-divided into: arterial, collector, local collector and access roads. Most arterial roads, especially those corresponding to the urban sections of trunk or regional roads, are considered as part of these in order to maintain a single responsibility for them. In addition there are numerous unclassified roads which include paths and tracks, national park roads, estate roads, private roads. Annex 2: Major road transport corridors in Tanzania Corridor Connection between Length (km) Main purpose Tanzam corridor Dar es Salaam-Morogoro-Mikumi (link to Ifakara and Mahenge) Iringa-Mafinga (with link to Mgololo)- Makambako-Mbeya (with link to Itungi Port and Malawi)-Tunduma North East Corridor Southern Coastal Corridor Central Corridor Southern Corridor Great North Corridor Western Corridor Mid-West Corridor Dar es Salaam-Tanga-Arusha- Namanga 1,324 km Facilitate the existence and growth of economic activities in the urban and rural areas extending along it, including agriculture, tourism, mining and trade 950 km Provides people living in regions with an incentive to carry out economic activities, such as production of both subsistence and cash crops, promotion of tourism and mining Dar es Salaam Lini - Mtwara 508 km Intended to pave the way for easy communications between the regions and the rest of the country. It is expected to promote economic activities in the southern parts of the country, which are comparatively low. Morogoro-Tanyam-Dodoma-Mwanza (on Lake corridor) Rusumo (Rwanda border)-kobero (Burundi boarder) Lindi-Mtwara-Songea (linking to Makambako on the TANZAM and Mbamba Bay on lake Nyasa) Iringa (TANZAM corridor)-arusha- Namanga Tunduma (Tanzam corridor)- Sumbawanga-Mpanda-Uvinza- Kigoma-Nzakanazi-Nyakahura (Lake circuit corridor) Central corridor in the East to the Tanzam corridor in the South west 1,584 km Great potential for many economic activities, such as agriculture, mining, tourism, fishing and trade. 1,326 km Promotes agricultural production including livestock and fishing, mining, free trade, and urbanization 1,024 km Important role in increasing the country s productivity through expansion of economic activities such as agricultural schemes, mining, and tourism. 1,286 km Potential yet to be fully exploited. Economic activities along the corridor include agriculture, tourism, timberworks, fishing and gold smiting Potential yet to be fully exploited. Source: United Republic of Tanzania, Ministry of Communications and Transport, 2003, p United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 18

19 Performance and impact indicators for transport in Tanzania ACCESS Indicator Unit Year Data Source Rural accessibility % of total rural population % 7 Rural accessibility, number number of rural people ,775,838 7 Urban accessibility % of total urban population % 7 Urban accessibility, number number of urban people ,994,567 7 Urban mobility: Dar Es Salaam km Urban mobility: Other urban km Rural mobility km National mobility km Road density km/1,000 people calc. Road network coverage km/ 1,000 km calc. Railway density km/1,000 people calc. Railway coverage km/1,000 km calc. Rural motor vehicle ownership % of rural households % 20 Rural motorcycle ownership % of rural households % 20 Rural bicycle ownership % of rural households % 20 Urban motor vehicle ownership: Dar Es Salaam % of households in Dar es Salaam % 20 Urban motor vehicle ownership: Other urban % of other urban households % 20 Urban motorcycle ownership: Dar Es Salaam % of households in Dar es Salaam % 20 Urban motorcycle ownership: Other urban % of other urban households % 20 Urban bicycle ownership: Dar Es Salaam % of households in Dar es Salaam % 20 Urban bicycle ownership: Other urban % of other urban households % 20 National motor vehicle ownership: Mainland Tanzania % of all households % 20 National motorcycle ownership: Mainland Tanzania % of all households % 20 National bicycle ownership: Mainland Tanzania % of all households % 20 Aircraft Departures thousands AFFORDABILITY Indicator Unit Year Data Source Motor Vehicle Gasoline Prices (Super Gasoline) US$/liter Motor Vehicle Gas/Diesel Oil Prices US$/liter Urban Household Spending on transport % of household expenditure n/a Rural Household Spending on transport % of household expenditure n/a Rail Passenger Tariff US$/passenger-km n/a Rail Freight Tariff US$/tonne-km n/a Road User Charge % of total road expenditure n/a Port Handling Cost US$/TEU n/a Cargo Handling Cost US$/ton n/a QUALITY *Technical Dimension* Indicator Unit Year Data Source Paved Roads % of total road network % calc. Paved Roads: TANROADS network % of TANROADS network % calc. Paved Roads: LGA network % of LGA network % calc. Roads in fair/good condition % of total road network % calc. Roads in fair/good condition: trunk roads % of trunk roads % calc. Roads in fair/good condition: Regional Roads % of regional roads % calc. United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 19

20 Roads in fair/good condition: TANROADS network % of TANROADS network % calc. Roads in fair/good condition: LGA network % of LGA network % calc. Rail traffic density traffic units/km n/a Length of multi-tracked rail lines % of total route-km n/a Rail Service Frequency passenger train-km/route-km n/a Road motor vehicle fatalities per vehicles fatalities/10,000 vehicles Road motor vehicle fatalities per population fatalities/100,000 people Work trips in urban areas by mode % of work trips by transport mode n/a Seaport traffic: general cargo and bulk cargo tons n/a Railway passenger share % of domestic passenger travel n/a Road Passenger share % of domestic passenger travel 2002 ~ 90% 21 Waterway Passenger share % of domestic passenger travel n/a Airways passenger share % of domestic passenger travel n/a Railway freight haulage share % of domestic freight carriage n/a Road freight haulage share % of domestic freight carriage 2002 ~ 70% 21 Waterway freight haulage share % of domestic freight carriage n/a Airways freight haulage share % of domestic freight carriage n/a QUALITY *Perception* Indicator Unit Year Data Source Travel time by rural households hours/day by rural household n/a Travel time by urban households hours/day by rural household n/a Travel time to work in main cities minutes/one-way trip in main cities n/a Commercial perception of road department/public works s Index, rated on a scale of 1 to 6 n/a Commercial perception of railway services Index, rated on a scale of 1 to 6 n/a Commercial perception of air transport services Index, rated on a scale of 1 to 6 n/a Commercial perception of port facilities and inland waterways Index, rated on a scale of 1 to 6 n/a EFFICIENCY *Cost* Indicator Unit Year Data Source Shipping Costs ratio n/a Railway Employee Productivity Annual output/employee EFFICIENCY *Economic* Indicator Unit Year Data Source Road Transport System Technical Efficiency US$/km n/a FISCAL COST Indicator Unit Year Data Source Road Expenditure as share of GDP % n/a External Funds as Share of Road Expenditure % n/a Road Maintenance Effectiveness % % 18 FINANCIAL AUTONOMY Indicator Unit Year Data Source Vehicle Expenditure US$ n/a United Republic of Tanzania Transport Sector Snapshot A Work in Progress, June 25, 2004, Page 20