2012
Supportive business environment?
Road Blocks on Transit Routes
Dar es Salaam – Tunduma | Dar es Salaam – Kabanga | Dar es Salaam – Rusumo
1
Road blocks on transit routes | Supportive business environment?
Policy brief BE/12/02
1. Introduction Improvement of business environment in Tanzania is one of the key focus areas at Centre for Economic Prosperity (CEP). Since 2010, Centre for Economic Prosperity has been independently monitoring various red-tapes on business environment; among others, road blocks – in both local and transit routes. The 2011 Policy brief on road blocks shaded light on road blocks transit trucks normally face on the way to their final destinations. It probed why there were so many checks and stops in Tanzania and what are their significance to the economy. It also called for Tanzania to consider reducing the road blocks to foster timely delivery of transit goods and improve its competitiveness in the region. Are there any developments to reduce these road impediments?
Figure 1: Tanzania Police Force Public Notice on Mwananchi News Paper 15th August 2012
“...You are further reminded to take note that the requirement to report to transit checkpoints is waived for the truck/IT units fitted with ECTS gadgets...” - Tanzania Revenue Authority Public Notice In June 2012 Tanzania Revenue Authority gave directives for the truck owners to install/fit the Electronic Cargo Tracking System in their trucks which will among other things waive the requirements for the trucks to report to transit checkpoints (TRA Checkpoints) However, despite this significant development by the Authority, there has been a concern from the truck drivers being required to report to transit checkpoints. It is not still clear why these trucks have to report to transit checkpoints despite the fact that they are fitted with ECTS gadgets as required. For Dar – Rusumo route, Police have also pledged to reduce the road blocks to 15 (Figure 1). Is this number a supportive business environment? What is the status of the road blocks in the three main transit routes? This 2012 Policy brief explores what happened during various stops made by trucks along the main three transit routes (Dar es Salaam – Rusumo, Dar es Salaam – Kabanga and Dar es Salaam – Ruvuma) from 14th August to 25th September 2012. The complete 2012 dataset is available on our website www.ceptz.org Thi s bri ef wa s produced by Centre for Economic Prosperi ty, under genera l gui da nce of Thoma s Ma qwa y P.O. Box 110024, Da r es Sa l a a m, Ta nza ni a | Tel : +255(0)614 229 247 E: i nfo@ceptz.org | W: www.ceptz.org F: www.fa cebook.com/CenterEconProsp |T: www.twitter.com/CenterEconProsp Rel eased December, 2012
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Road blocks on transit routes | Supportive business environment?
2. Methodology The sample size of 380 truck drivers for the three transit routes (Dar-Rusumo, Dar-Kabanga and DarTunduma) was devised from the estimated 11,000 trucks with transit license in Tanzania using Creative Research Systems sample calculator based on 95% Confidence level, 5% Confidence interval. Figure 2: Location where truck drivers contacts list were collected using episurveyor
Figure 3: Tufuatilie Pamoja card with hotline numbers
The total number of 530 truck drivers’ contacts was collected by convenience sampling from 13th August to 25th September 2012 at the Dar es Salaam Port area when trucks were on queue to load consignment. The collection of the truck drivers contact information was facilitated by the Episurveyor software, tracking actual location, and timely upload of the information conveniently used at the call centre without physical submission (see figure 1). The collected contacts according to the routes were as follows; Dar-Tunduma route 279 truck drivers, Dar-Rusumo route 188 truck drivers and Dar-Kabanga route 63 truck drivers. A special card with numbers to dial was distributed to all 530 truck drivers (see figure 3). The good number of truck drivers fully participated and the attrition due to nonrespondent in this survey were 388 and 142 respectively. The call centre based at CEP offices in Dar es Salaam was used to reach out all 530 truck drivers to report on road blocks in their respective routes. The truck drivers were advised to make a missed call the call centre as soon as they get stopped on the way. The truck drivers also received a phone call daily after every three hours, from 14th August to 25th September 2012 to report on road blocks. Information on road blocks was collected from total of 6,104 stops. Of this number, 4,412 stops were associated to checkpoints—traffic and TRA, police and weigh bridges while 1,692 stops were related to vehicle break down, rest stop and point of arrival. However, in this brief report only stops associated to checkpoints— traffic and TRA, police and weigh bridges are used in the analysis unless otherwise stated.
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Road blocks on transit routes | Supportive business environment?
3. Key findings on stops along the main transit routes Fact 1: Most stops along the main transit routes are enforced at Weigh Bridge The total number of stops due to checkpoints—traffic and TRA, police and weigh bridges in all three transit routes (Dar-Tunduma, Dar-Kabanga and Dar-Rusumo) monitored in the period of 45 days stand at 4,412. Of this number 1,426 stops were enforced by traffic police 1. The truck drivers also experienced stops at both Weigh Bridges “On average, a truck driver is (2137 stops) and TRA checkpoints (849 stops) respectively (Figure 4). It should be noted that, the stops at Weigh Bridges, stopped 11 times in a single trip TRA checkpoints are normally consistent, while those enforced compared to 10 times in 2011 by traffic police are unpredictable – one must stop only when Policy brief on Road Blocks ordered to by police.
1200 1034 1000 842 800
600 445
408
371
400
335
299
261
151
200
70
106
90
Dar-Tunduma
Dar-Rusumo
Dar-Kabanga
Source: Centre for Economic Prosperity
1
Where “police” is mentioned in this brief, it refers to “traffic police”.
TRA Checkpoint
Weigh bridge
Traffic Police Checkpoint
Police
TRA Checkpoint
Weigh bridge
Traffic Police Checkpoint
Police
TRA Checkpoint
Traffic Police Checkpoint
Weigh bridge
0 Police
Number of stops made by truck drivers
Figure 4: Total number of stops made by truck drivers
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Road blocks on transit routes | Supportive business environment?
Fact 2: Truck’s drivers are much more likely to pay a bribe during traffic police stops In all three routes, the incidences where bribe is paid to traffic police or at traffic police checkpoint is relatively higher compared to stops at Weigh Bridge and TRA checkpoints. In Dar-Tunduma route the incidences where bribe is paid to police or at traffic police checkpoints were at 62% and 58% , while for Dar-Rusumo and Dar-Kabanga routes the incidences where bribe is paid to police were both at 60% where at traffic police checkpoints the incidences stand at 61% and 57% respectively (Figure 5).
“The incidences where bribe is given to traffic police were cumulatively at 55% - 2011 Policy brief on Road Blocks
Figure 5: Incidents where bribe is given at Police stops, Weigh bridges and TRA checkpoints
Bribe paid
Bribe not paid
120%
96%
100%
93%
93%
94%
92%
89%
62%
60%
40%
38%
60%
58% 42%
40%
61%
60%
40%
39%
57% 43%
20% 7%
7%
4%
11%
8%
6%
Dar-Tunduma
Dar-Rusumo
Source: Centre for Economic Prosperity
Dar-Kabanga
TRA Checkpoint
Weigh Bridge
Traffic Police Checkpoint
Police
TRA Checkpoint
Weigh Bridge
Traffic Police Checkpoint
Police
TRA Checkpoint
Weigh Bridge
Traffic Police Checkpoint
0% Police
Percent
80%
5
Road blocks on transit routes | Supportive business environment?
Fact 3: Kihonda Weigh Bridge is reported to have the highest incidences of payments when bribe is paid The total payment made in bribe by the truck drivers when bribe is paid at weigh bridge in all three routes during the period when this monitoring was conducted is TShs 893,000.
“Tunaomba tusaidiwe mzani wa Kihonda Morogoro unatutesa kwa rushwa�- SMS from one of the truck
Of this amount TShs 478,000 was paid in bribe at Kihonda Weigh Bridge alone by 28 truck drivers associated with DarRusumo and Dar-Kabanga route.
dri ver pa rticipated in the survey Figure 6: Amount (TShs) paid in bribes at Weigh Bridges, when bribe is paid
18,000
17,071
14,000 12,000 10,000
10,000 8,000
7,944 7,200
6,833
5,333
6,000
4,333 4,000
2,667
2,455
1,857
2,000
Mikumi Weigh Bridge
Nyakaura Weigh Bridge
Mwendakulima Weigh Bridge
Kahama Weigh Bridge
Makambako Weigh Bridge
Singida Weigh Bridge
Mikese Weigh Bridge
Kihonda Weigh Bridge
Kibaha Weigh Bridge
Dodoma Weigh Bridge
Average payment made in bribe per truck driver (in Tshs)
16,000
6 Truck 21 Truck 28 Truck 18 Truck 9 Truck 5 Truck 3 Truck 1 Truck 3 Truck 11 Truck drivers drivers drivers drivers drivers drivers drivers driver drivers drivers Source: Centre for Economic Prosperity
6
Road blocks on transit routes | Supportive business environment?
Fact 4: Kibaha Weigh Bridge has the longest waiting time to weigh a truck Truck drivers spent an average of an hour and forty five minutes to weigh their trucks at Kibaha Weigh Bridge (Figure 7). This is the longest waiting time spent in queue by truck drivers when “Key Facts: There are 26 compared to other Weigh Bridges, Dodoma (31 minutes), Kihonda (49 Permanent and 17 Movable minutes), Kahama (66 minutes), Nyakaura (59 minutes) and Weigh Bridges in Tanzania Mwendakulima Weigh Bridge (30 minutes). Figure 7: Time spent in queue at Weigh Bridges
120 106
Average time spent in queu by truck driver (in minutes)
100
80 66 59
60 49
44 37
40 31
20
30 19
0
Source: Centre for Economic Prosperity
21
7
Road blocks on transit routes | Supportive business environment?
Fact 5: Truck drivers spent more time at Weigh Bridges than at TRA and Traffic Police checkpoint All stops enforced by traffic police or at traffic police checkpoint normally do not take very long as 78% and 89% of these stops took between 1 and 10 minutes respectively
“62% of the stops where truck drivers spent more than 20 minutes were at TRA checkpoints 2011 Policy brief on Road Blocks
The time spent on stops at the weigh bridge is relatively longer where 50% of these stops took more than 20 minutes (Figure 8).
Figure 8: Duration at traffic police, weighing bridge, TRA and traffic police checkpoint stops
100% 89%
90% 80%
78%
70% 60%
50% 50% 40%
28%
30%
24%
22% 20%
16% 5%
6%
More than 20 Minutes
7%
10%
11-20 Minutes
15%
Traffic Police
Traffic Police Checkpoint
Weigh Bridge
Source: Centre for Economic Prosperity
More than 20 Minutes
11-20 Minutes
1-10 Minutes
More than 20 Minutes
11-20 Minutes
1-10 Minutes
1-10 Minutes
More than 20 Minutes
11-20 Minutes
0%
1-10 Minutes
Percent
60%
TRA Checkpoint
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Road blocks on transit routes | Supportive business environment?
Fact 6: Truck drivers pay an average of TShs 2,008 as bribes to the traffic police per stop The total of TShs 1,715,000 was paid in bribe to traffic police at 854 stops enforced by traffic police or at traffic police checkpoint in the period of 45 days when this monitoring took place.
“Truck drivers pay an average of TShs 2,219 as bribes to the traffic police per stop - 2011 Policy brief on Road Blocks
On average truck drivers pay TShs 2,008 in bribe to the traffic police. As shown in Figure 9 below, 98% of the payments made in bribe to traffic police ranges between TShs 1000-5000.
Figure 9: Amount (TShs) paid in bribes, when bribe is paid
120%
100%
98%
98%
Percent
78%
78%
80%
60%
40%
22%
22%
20%
2%
2%
0% 1000-5000 More than 1000-5000 More than 1000-5000 More than 1000-5000 More than 5000 5000 5000 5000
Traffic Police
Traffic Police Checkpoint
Weigh Bridge
Source: Centre for Economic Prosperity
TRA Checkpoint
9
Road blocks on transit routes | Supportive business environment?
Fact 7: Truck driver spends an average of 7 hrs at all enforced stops in a single trip On average truck drivers in all three transit routes spend 443 minutes (7hrs) at all enforced stops in a single trip. These stops are those associated with checkpoints—traffic and TRA, police and weigh bridges. However, the average time spent in a single trip significantly changes when other stops such as vehicle breakdown and rest stops are included. When this is the case, on average a truck driver spend s 2,143 minutes (36hrs) in a single trip.
“The average time spent by truck driver at all stops in a single trip was 960 minutes (16hrs) - 2011 Policy brief on Road Blocks
The minimum time spent at traffic police Weigh Bridge and TRA check points were 1 minute respectively. The maximum time was spent at Weigh Bridge (8640 minutes)
Figure 10: Average time spent by truck driver at all stops in a single trip
10000 9000 8000
Average time spent by truck driver at all stops including vehicle break dow n, and rest stops in a single trip
Average time spent by truck driver at checkpoints — traffic and TRA, police and Weigh Bridges excluding vehicle breakdow n and rest stop in a single trip
8640
Time spent by truck driver (in minutes)
7000
6000 5000 3840
4000
3180 3000 2000 1000
730 1
2
1
1
0
Maximum Minimum Maximum Minimum Maximum Minimum Maximum Minimum Traffic Police
Traffic Police Checkpoint
Weigh Bridge
Source: Centre for Economic Prosperity
TRA Checkpoint
10
Road blocks on transit routes | Supportive business environment?
4. Conclusion This policy brief has summarized main findings on several stops made by truck drivers along the transit routes in a simplest way for easy uptake by the stakeholders. The facts presented in this brief shows that transit trucks still experience considerable delays, due to road impediments while on route to their respective destinations. These road impediments, undoubtedly, contribute to the increase in the cost of logistics in Tanzania and are definitely not supportive of ideal business environment. On average truck drivers in all three transit routes (Dar-Rusumo, Dar-Kabanga and Dar-Tunduma) spend 443 minutes (7hrs) at all enforced stops in a single trip equivalent to 420Km distance travelled at 60Km/hr speed. On the other hand, for all stops including vehicle breakdown and rest stops, truck drivers in three transit routes spend 2,143 minutes (36hrs) on average at all stops in a single trip. It should be noted that in June 2012 Tanzania Revenue Authority gave directives for the truck owners to install/fit the Electronic Cargo Tracking System in their trucks which will , among other things, waive the requirements for the trucks to report to transit checkpoints. However, despite this significant development by the authority, there has been a concern from the truck drivers being required to report to transit checkpoints. It is not clear why these trucks have to report to transit checkpoints despite the fact that they are fitted with ECTS gadgets as required. This is a policy contradiction which must be addressed outright least the decision to fit ECTS is rendered redundant. Other EAC member states are making progress. In Rwanda, for example, transit truck drivers have testified all road impediments to have been removed – transit trucks are only checked once at the border. It is still not clear at the moment why checks like Weigh Bridge, TRA transit checkpoints and police that goes over the same process and repeat the same procedures done in the previous locations are still enforced in Tanzania. It is high time for Tanzania to pause for a reality check on whether these enforced stops hold any value to the Government and significance to the economy. For transit trucks, Tanzania should consider streamlining all enforced stops. It is recommended police checks to be enforced if and only if there is a probable cause for such enforcement and weighing checks minimized to 2 points – at the port and final check at boarder exit point – applicable to all transit routes.