Thousands of residents in Kigamboni, Dar es Salaam, are facing a daily transport crisis that has forced them to pay higher fares for private boats because government-owned ferries are grounded. For a community that functions essentially as an island, the reliability of these vessels is the difference between an affordable commute and a financial burden.
The crisis took a sharp turn today, December 24, 2025, during a site inspection at the Kigamboni ferry terminal. Prime Minister Mwigulu Nchemba and the Minister for Construction, Hamisi Ulega, revealed that the delay in returning these vessels to service is tied to a massive corruption scandal involving the Tanzania Electrical, Mechanical and Electronics Services Agency (TEMESA).
While a critical ferry remains idle for a lack of TSh 800 million in repair funds, an audit has confirmed that TSh 2.59 billion was embezzled by TEMESA staff. This means the money stolen is more than triple the amount needed to fix the transport problem for the people of Kigamboni.
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The ‘heartbreaking’ theft of TZS2.5 billion
During the inspection, Prime Minister Mwigulu Nchemba explained that a multi-agency team—including the Prevention and Combating of Corruption Bureau (PCCB), the Controller and Auditor General (CAG), the Financial Intelligence Unit (FIU), The Public Service Management and Good Governance (PO-PSMGG), the Government Security Office and Public Procurement Regulatory Authority (PPRA) and the President’s Office—discovered the TSh 2.59 billion theft.
“It is heartbreaking that our citizens are being charged high fares while those we entrusted with this responsibility have shared 2.5 billion shillings among themselves,” the Prime Minister told reporters and officials at the terminal. He pointed out the absurdity of the situation, noting, “We lack 800 million, yet those with the mandate have snatched 2.5 billion. If this money had been used properly, this ferry would be working.”
The Prime Minister also raised suspicions that ferry breakdowns might be intentional. “There are reports that these ferries are being set up to fail so that people can cut ‘deals’ in maintenance,” he explained. “People with this kind of thieving nature and character can even go as far as pulling out metal parts and sending them to the technician in advance, just so they can secure that maintenance money.”
Immediate sacking and prosecution of staff
Faced with the audit results, the Prime Minister issued a direct order to terminate the officials involved. He argued that since the nation’s top oversight bodies had already confirmed the theft, there was no reason to delay punishment with further internal reviews.
“This business of ‘investigation upon investigation’ is what gives thieves the confidence to keep stealing,” PM Nchemba emphasized. “Those people should be fired immediately and the relevant authorities should take them to the hand of the law.” He specifically directed the Permanent Secretary to take action today to ensure those responsible are removed from public service.
Minister for Construction Hamisi Ulega noted that the mismanagement has stalled progress on two key vessels.
He explained that one ferry is currently at 81% completion but requires about $2 million to be finalized, while another is only 30% complete. “The flow of maintenance payments must continue so that it is completed on time to help reduce or end this ferry problem here,” Ulega said.
A one-month deadline for restoration
To address the immediate needs of the people, the Prime Minister set a strict timeline for the Treasury and the Ministry of Construction. He ordered that roughly $3 million be released to ensure the nearly-complete ferry is back in the water within 30 days.
“Communicate early, if possible within one month they should have completed the maintenance,” the Prime Minister told the officials. He also recognized that until the government vessels return, residents are suffering under high costs. He instructed the team to negotiate with private boat owners for a “relief fare” that would help citizens without hurting private business plans.
As the officials left the terminal, the long queues for ferries remained—a visible reminder of the missing TSh 2.5 billion.
While the Prime Minister has ordered the cleanup of TEMESA, the residents of Kigamboni remains in a state of uncertainty, waiting to see if the promised one-month deadline will finally restore affordable ferries to the Kigamboni terminal.
