The head of utility provider TANESCO has been removed from his post by the president, after the company announced it would be raising power tariffs.
“It’s unacceptable that while we are making plans to build manufacturing industries and ensure more citizens have access to electricity…someone else uses his position to increase power tariffs,” says President John Magufuli.
The new tariffs, with an average increase of 8.5 percent, were to come into effect on January 1.
On December 31, just hours before the tariffs were to go into effect, Energy and Minerals Minister Sospeter Muhongo ordered their implementation be halted.
On Sunday, January 1, President Magufuli ‘undid’ the appointment of the executive director of TANESCO, Felchesmi Mrama, and appointed Tito Esau Mwinuka, a lecturer at the University of Dar es Salaam, as acting manager of the power company.
TANESCO, which had initially hoped to hike power tariffs by 18.19 percent, has warned their ‘financial capacity will be paralyzed’ if they don’t raise their tariffs.