DAR ES SALAAM: THE Tanzania International Petroleum Reserves Limited (TIPER) has delivered a total dividend of 30bn/- to its shareholders for the 2025 financial year, reflecting strong financial performance driven by operational reforms, infrastructure investment and improved efficiency in petroleum handling.
Of the total payout, the Government, which holds a 50 per cent stake through the Treasury Registrar’s Office, received 15bn/- during a ceremony held at State House in Dar es Salaam, yesterday.
The dividend marks a significant increase in the company’s performance compared to previous years, underscoring a sustained upward trend in profitability and shareholder returns.
Treasury Registrar Nehemia Mchechu said TIPER remains among the top-performing parastatals contributing dividends to the Government, noting that its improved performance reflects successful reforms and better management.
“TIPER this year has paid a dividend of 15bn/-, compared to last year when it did not meet expectations,” he said, commending the company’s turnaround and contribution to national development.
Over the past decade, TIPER has recorded notable financial growth. Between 2016 and 2020, the company paid a cumulative dividend of 7.65bn/- to the Government. This increased sharply to 30.65bn/- between 2021 and 2025, representing nearly a fourfold rise.
The most striking growth was recorded between 2021 and 2025, when dividends rose from 500m/- in 2021 to 15bn/- in 2025, the highest payout in the company’s history.
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Commenting of the achievements, Company’s Managing Director Mohamed Mohamed said this performance has been driven by major investments in infrastructure upgrades and operational efficiency improvements. Over the past 10 years, TIPER has invested more than 105bn/- in rehabilitating and constructing new storage tanks, modern operational systems and a new truck loading facility.
As a result, storage capacity has increased from 253 million litres to 313 million litres, representing a 24 per cent rise, significantly strengthening the country’s fuel reserve capacity.
In January 2025, TIPER began implementing its Single Receiving Terminal (SRT) system for diesel, a reform that has improved efficiency at the Port of Dar es Salaam. The system has reduced fuel discharge time from an average of nine days to four days, lowered demurrage costs by billions of shillings and doubled the number of diesel vessels handled monthly from three to six.
Mr Mohammed noted that the improvements have strengthened fuel supply security and enhanced the competitiveness of Dar es Salaam Port as a key petroleum entry hub for East and Central Africa.
Despite volatility in global oil prices, TIPER has maintained strong performance due to its business model, which focuses on storage and logistics services rather than direct fuel trading. This has enabled the company to generate stable income through increased throughput and optimal use of its infrastructure.
Looking ahead, TIPER plans to implement a 265bn/- investment programme over the next five years aimed at further expanding storage capacity, upgrading transport infrastructure and positioning Tanzania as a regional petroleum hub.