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Roskilde University Roskilde University The Return of The State A Political Economy of Resource Nationalism and Revived State-Owned Enterprises in Tanzania’s Coal Sector Jacob, Thabit Publication date: 2020 Document Version Publisher's PDF, also known as Version of record Citation for published version (APA): Jacob, T. (2020). The Return of The State: A Political Economy of Resource Nationalism and Revived State- Owned Enterprises in Tanzania’s Coal Sector. Roskilde Universitet. FS & P Ph.D. afhandlinger General rights Copyright and moral rights for the publications made accessible in the public portal are retained by the authors and/or other copyright owners and it is a condition of accessing publications that users recognise and abide by the legal requirements associated with these rights. • Users may download and print one copy of any publication from the public portal for the purpose of private study or research. • You may not further distribute the material or use it for any profit-making activity or commercial gain. • You may freely distribute the URL identifying the publication in the public portal. Take down policy If you believe that this document breaches copyright please contact [email protected] providing details, and we will remove access to the work immediately and investigate your claim. Download date: 10. Oct. 2021 ROSKILDE UNIVERSTY DOCTORAL SCHOOL OF SOCIAL SCIENCES AND BUSINESS PhD Thesis THE RETURN OF THE STATE: A POLITICAL ECONOMY OF RESOURCE NATIONALISM AND REVIVED STATE-OWNED ENTERPRISES IN TANZANIA’S COAL SECTOR. Thabit Jacob Supervision Lars Buur (Supervisor) Faustin Maganga (Co-supervisor) ISSN no. 0909-9174 October 2020 THE RETURN OF THE STATE: A POLITICAL ECONOMY OF RESOURCE NATIONALISM AND REVIVED STATE-OWNED ENTERPRISES IN TANZANIA’S COAL SECTOR. A thesis submitted in fulfilment of the academic requirement for the degree of Doctor of Philosophy in the Doctoral School of Social Sciences and Business, Roskilde University. Thabit Jacob Supervision Lars Buur Faustin Maganga ISSN no. 0909-9174 List of Abbreviations BOT Bank of Tanzania CCM Chama cha Mapinduzi CHADEMA Chama cha Demokrasia na Maendeleo EITI Extractive Industries Transparency Initiative FDI Foreign Direct Investment GDP Gross Domestic Product IEC Intra Energy Corporation IMF International Monetary Fund IOCs International Oil Companies JV Joint Venture MEM Ministry of Energy and Minerals MNC Multinational Corporation NDC National Development Corporation NGOs Non- Governmental Organizations NMCs National Mining Companies NOCs National Oil Companies PRSC Presidential Parastatal Sector Reform Commission SOE State-owned Enterprise STAMICO State Mining Corporation TMAA Tanzania Mineral Auditing Agency TPDC Tanzanian Petroleum Development Corporation TR Treasury Registrar UNCTAD United Nations Conference on Trade and Development URT United Republic of Tanzania i List of Figures Figure 1.1 President Jakaya Kikwete addressing the United Nation’s annual climate conference (COP 19) in November 2013 in Warsaw, Poland. Figure 1.2 Guardian headline, 27 February 2016. Figure 4.1 Hugo Chavez, Evo Morales, Luiz Lula da Silva and Rafael Correa in 2009 Figure 5.1 Selected parts of CHADEMA 2010 election manifesto in Swahili (with English translation provided underneath). Figure 5.2 Photograph of CHADEMA’s election manifesto, with the slogan ‘Our natural resources for our development’. Figure 5.3 Historical Mineral Export Value (Gold, Silver and Copper) 2001 – 2015. Figure 6.1 President Kikwete visiting NDC-run Liganga-Mchuchuma iron project in 2013 Figure 6.2 The researcher, accompanied by an NDC official, during fieldwork in Ngaka Figure 6.3 NDC Board of Directors, 1968-1970. Figure 6.4 Al Noor Kassum during his time as NDC board chairman Figure 7.1 Model of the key relationships and characteristics ii List of Tables Table 3.1 Tanzania’s electricity generation mix: scenarios by 2040. Table 3.2 Numbers of interviews conducted by category and location Table 3.3 Research questions, Corresponding data collection method and output in thesis chapters Table 4.1 Number and shares of SOEs on Fortune Global 500 list between 2005-2014 Table 4.2 Fortune 500 global ranking of companies 2018. Table 4.3 Shareholdings of the National Development Corporation (NDC) in selected industries and extractive enterprises by June 1968 Table 5.1 The Value of Mineral Exports, 1999 – 2010 (US$m) Table 5.2 Share of votes in presidential elections, 2005-2015 Table 5.3 State ownership of mines from 2010 Table 5.4 Ideas and mining governance in Tanzania, 1920-2015 Table 6.1 Status of various coal projects in Tanzania. Table 6.2 Tanzania’s leading cement companies as of November 2018 iii Acknowledgements I would not have reached this stage in preparing this PhD thesis without the time and support of so many people along the way. Completing this thesis has relied on inputs and collaboration from various mentors, friends, peers, and institutions around the world. I am grateful to all those who assisted me and made the completion of this project possible. It would be difficult to thank each and every person specifically due to limitations of space, but I will do my best. First, I am incredibly gratefully to my respondents for sharing their stories and experiences with me. Nationally, I am grateful to the public relations department and librarians at NDC for allowing me to spend considerable amounts of time doing archival research at their head office in Dar es Salaam. I also thank NDC’s representatives in Mchuchuma and Ngaka for the insights they gave me both during my initial reconnaissance and in actual fieldwork. Officials from several government ministries and departments and agencies, such as the now-defunct Tanzania Minerals Audit Agency, are also acknowledged here. At the sub-national level, I am very grateful for the cooperation received from local officials, company staff and local communities in Songea, Mbinga, Ruanda and Ntunduwaro villages. People at the village level were willing to share their precious time and thoughts and sometimes even their food with me, as was the case in Ntunduwaro. I am also grateful to Isaya for his assistance during fieldwork in Ngaka; his charisma made it less stressful to navigate the terrain at the sub-national level. I thank my supervisors Lars Buur and Faustin Maganga for all their support and tireless efforts throughout the doctoral journey. I thank Faustin, who I have had the privilege of collaborating with and learning from over the past nine years. Faustian has always been very supportive of my research and has always pushed me to do better. Lars has been great supervisor and so much more. I thank him for his support throughout this process. I particularly thank him for his flexibility in allowing me to find my own voice as a scholar and offering me the freedom to my find my own research niche when I started this research. My niche ended up being far from the original core objective of the ‘Hierarchies’ research project, but Lars was happy with that and energized me to make progress as an independent researcher. On top of his supervision and mentorship, and of course aside from his own very prolific research, Lars finds the time to socialize. I remember my many visits to his house to discuss research and watch football where, among other things, he introduced me to quinoa, a very high-fiber and protein-rich food which not only kept me energized, but also went perfectly with my pescatarian diet. When state surveillance was extended beyond Tanzania’s iv borders, I did my best to remain courageous, but I felt out of place at times. The nature and level of surveillance and threats was a lot for any one person to take. Sensing my determination and to some extent my vulnerability, Lars was always there to discuss the challenges and offer advice on the best steps to take to remain positive. Lars has also introduced me to new research networks, allowing me to widen my research circle and link up with others for future collaborations. Unlike some senior researchers with whom I have worked before, Lars allowed me to shine on my own even in our joint research. I remember clearly how in my second year, when I had drafted an article for journal submission, Lars offered a lot of criticism and useful comments, and I asked him to be my co-author. I was surprised when he declined and encouraged me to submit the article alone, emphasizing that I should take ownership of my own work. There are many anecdotes like this. So naturally I used to flatter myself into thinking that Lars must really like me because obviously he doesn't have time to devote so much effort to all his doctoral students. But after chatting with other students, I realized how wrong I was. Other doctoral students shared their own stories about Lars’s incredible generosity and his efforts to allow junior scholars to shine. Simply put, I am grateful to have had the opportunity to work with Lars and hope other junior researchers have the chance to experience similar treatment from him. I also thank Rasmus Pedersen, who treated me more like a colleague than a student from day one. I have been lucky enough to benefit from Rasmus’s advice and criticisms at every stage of my doctoral studies right from when we first met as part of the ‘Hierarchies of Rights’ project, and in the past four years as co-researchers in various collaborations beyond the ‘Hierarchies’ project, and now as his co-author of various academic works, a colleague and a friend. I would also like to thank other fellow team members and affiliates from the ‘Hierarchies of Right’ research project for their friendship and intellectual conversations over the last four years: Ole Therkildsen from the Danish Institute for International Studies, Jose Macuane and Carlota Tembe from University of Eduardo Mondlane, Opportuna Kweka and Agness Mwakaje from the University of Dar es Salaam, Emmanuel Sulle from the University of Western Cape, Joanny Bélair from the University of Ottawa, Malin Nystrand from the University of Gothenburg, and Eileen Dyer Jarnholt from Roskilde University.
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