Regulating Oil and Gas Resources between Mainland Tanzania and Zanzibar: Is it a Legal Challenge?

Abstract

This study  analyses legal challenges of the system of laws regulating oil and gas resources between Mainland Tanzania and Zanzibar.  The article reviewed  existing laws regulating oil and gas resources and identified that the law provides different system for regulating oil and gas resources between Mainland Tanzania and Zanzibar. It further examines whether regulating laws are adequate to regulate oil and gas resources without resulting into new challenges. The findings show that, the duo system of laws regulating oil and gas resources between Mainland Tanzania and Zanzibar suffers from practical and operational challenges such as: Ownership and Control of Oil and Gas Resources, differences in Regulatory Institutions, powers to issuance of exploration licenses, challenges relating to legislative authority over  oil and gas, Challenges relating to exploitation  of offshore oil and gas resources, and challenges relating to oil and gas revenue sharing between Mainland Tanzania and Zanzibar. The data for  this study,  were sourced from legal documents such as: statutes, legal text, court decisions, government bills and plicies and  from   government ministries, officials from regulatory institutions, members of the parliament, legal practitioners (advocates), investors in the oil and gas sector, and NGOs from both parts of the Union. Documentary reviews and field interviews were used as data collection methods.  Based on the findings from data analysis,  the researcher propose  potential mechanisms to enable the United Republic of Tanzania (Mainland Tanzania and Zanzibar) to explore and exploit oil and gas resources without resulting into resource conflict. Therefore, the study recommends for laws regulating oil and gas resources to be amended, to provide coordinating committee among institutions, harmonization of laws governing oil and gas resources, to establish oil and gas revenues sharing system, and oil and gas to remain union resource.