Abstract

This paper investigated the institutional framework and capacities in enhancing local content in the natural gas value chain in Tanzania. It aimed to assess the regulatory framework, institutional preparedness, and readiness to facilitate the enhancement of local content in the natural gas value chain in Tanzania. The study established key actors’ perceptions about local content policy (policy statements, requirements, metrics; institutional/organizational structure). An exploratory relative research strategy was utilized by using a qualitative approach. The study uses documentation, archive records, and interviews to collect data. In total 60 interviews with respondents were conducted using the purposive sampling technique from the key stakeholders in the oil and gas sector in Tanzania. The study provides knowledge to all stakeholders in the upstream sector of oil and gas in Tanzania, which they can use as a guide to enhancing local content in Tanzania. The findings from this research show that the institutional framework and regulations have not yet made critical progress in enhancing local content in the natural gas value chain in Tanzania. Specifically, issues such as poor participation and contribution of the stakeholders in making the regulations and policies, political intervention, corruption, experience, and poor infrastructures hinder the capacities of the institutional framework and regulations in enhancing local content in the natural gas value chain in Tanzania. The study recommends government and the responsible institution must develop a public-private dialogue forum as a vehicle to build trusted relationships and close collaboration, and use this to jointly discuss key sector-wide development issues which will empower our regulatory framework for enhancing local content policy and proper implementation and framework development in promoting of the local content policy in Tanzania

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