EACOP vs Lamu pipeline

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Govt sends energy bill on urgent note​

ippmedia.com/en/news/govt-sends-energy-bill-urgent-note
June 28, 2021

28Jun 2021
The Guardian Reporter
Dodoma
News
The Guardian
Govt sends energy bill on urgent note
THE National Assembly has received a miscellaneous amendment bill relating to energy sector business which has been set for debate this week.

Speaker Job Ndugai told reporters at the weekend that his office received the bill under a certificate of urgency from President Samia Suluhu Hassan.

Among other objectives, the bill seeks to fine-tune laws touching on the implementation of the East Africa Crude Oil Pipeline from Hoima in Uganda to the port of Tanga, he said.

The bill aims to ensure the proper distribution of benefit of national resources and prevent exploitation through various agreements. It is expected to be deliberated in Parliament in all its stages on Wednesday.

National Assembly Speaker, Job Ndugai informed legislators at the weekend that he received the bill and called upon them to deliberate on the proposed amendments, as the Miscellaneous Amendments Bill, No 3 of 2021.

“It is imperative because it involves laws to be amended to go in tandem with the EACOP for strengthening various sectors for better achievements from the investment without hitches.

“And we, legislators, support the project; hence we shall work on the bill in all its stages during this House sitting before it winds up,” he said.

“Therefore the Bill will be discussed on Wednesday afterthe questions and answers session, after which Prime Minister Kassim Majaliwa will stand up for the parliamentary adjournment speech.”

The bill involving various laws requires amendments and that it has been referred to the Legal and Constitutional Affairs standing committee of the House, he elaborated.

“Since various laws are touched in sectors like energy, transport and road infrastructures, I have nominated MPs who will join the committee from various House panels to start going through the bill,” he specified.

They hail from areas touched by the pipeline, he said, noting that MPs nominated to assist the committee are drawn from the Local Governments standing committee, namely Humphrey Polepole, Abdallah Chaurembo, Tunza Malapo, Denis Londo and Margaret Sitta, to join the legal affairs team to help fine-tune the envisaged amendments.

On April 11, President Samia and her Uganda counterpart YoweriMuseveni signed an agreement for the construction of the 1,440-km EACOP pipeline, billed to cost $15bn, set to transport 200,000 barrels of oil per day and earning the government millions of dollars in revenue annually.

Apart from transporting the oil from Uganda, the pipeline will be transporting oil from DRC and South Sudan, as they have shown interest to transport their oil through the new facility once it is operational.

Other benefits that Tanzania will obtain from the project are 15,000 employment opportunities during construction and 2,000 when it is operational.

 

[Tony254]

Govt sends energy bill on urgent note​

ippmedia.com/en/news/govt-sends-energy-bill-urgent-note
June 28, 2021

28Jun 2021
The Guardian Reporter
Dodoma
News
The Guardian
Govt sends energy bill on urgent note
THE National Assembly has received a miscellaneous amendment bill relating to energy sector business which has been set for debate this week.

Speaker Job Ndugai told reporters at the weekend that his office received the bill under a certificate of urgency from President Samia Suluhu Hassan.

Among other objectives, the bill seeks to fine-tune laws touching on the implementation of the East Africa Crude Oil Pipeline from Hoima in Uganda to the port of Tanga, he said.

The bill aims to ensure the proper distribution of benefit of national resources and prevent exploitation through various agreements. It is expected to be deliberated in Parliament in all its stages on Wednesday.

National Assembly Speaker, Job Ndugai informed legislators at the weekend that he received the bill and called upon them to deliberate on the proposed amendments, as the Miscellaneous Amendments Bill, No 3 of 2021.

“It is imperative because it involves laws to be amended to go in tandem with the EACOP for strengthening various sectors for better achievements from the investment without hitches.

“And we, legislators, support the project; hence we shall work on the bill in all its stages during this House sitting before it winds up,” he said.

“Therefore the Bill will be discussed on Wednesday afterthe questions and answers session, after which Prime Minister Kassim Majaliwa will stand up for the parliamentary adjournment speech.”

The bill involving various laws requires amendments and that it has been referred to the Legal and Constitutional Affairs standing committee of the House, he elaborated.

“Since various laws are touched in sectors like energy, transport and road infrastructures, I have nominated MPs who will join the committee from various House panels to start going through the bill,” he specified.

They hail from areas touched by the pipeline, he said, noting that MPs nominated to assist the committee are drawn from the Local Governments standing committee, namely Humphrey Polepole, Abdallah Chaurembo, Tunza Malapo, Denis Londo and Margaret Sitta, to join the legal affairs team to help fine-tune the envisaged amendments.

On April 11, President Samia and her Uganda counterpart YoweriMuseveni signed an agreement for the construction of the 1,440-km EACOP pipeline, billed to cost $15bn, set to transport 200,000 barrels of oil per day and earning the government millions of dollars in revenue annually.

Apart from transporting the oil from Uganda, the pipeline will be transporting oil from DRC and South Sudan, as they have shown interest to transport their oil through the new facility once it is operational.

Other benefits that Tanzania will obtain from the project are 15,000 employment opportunities during construction and 2,000 when it is operational.

french eliakeem niliwaambia kwamba bill hii ni muhimu na lazima muipitishe kabla ya ujenzi kuanza na nyinyi mkapinga na kusema kwamba bill hii sio muhimu, kwamba construction itaanza kabla ya bill hii kupitishwa. Sasa mbona mumeifanya bill yenyewe kuwa emergency bill ikiwa bill yenyewe sio muhimu? Halafu ujenzi mbona bado haujaanza mpaka sasa? Ni kwa sababu hamjapitisha bill hii.

 

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Behind Total’s name change​

RONALD MUSOKE June 28, 2021 In The Magazine, NEWS ANALYSIS, The News Today Leave a comment

Crude oil exploration workers at an oil rig in Buliisa District in western Uganda during the oil prospecting phase in 2012. FILE PHOTO

Why French Oil giants are now called TotalEnergies

Kampala, Uganda | RONALD MUSOKE | Last month, shareholders of the French oil and gas giants, Total SE, unanimously agreed to change the company’s name to TotalEnergies complete with a new visual identity.

Top company executives said the change in name was a reflection of the company’s strategic transformation into a “broad energy company.”

“This new name and new visual identity embody the course TotalEnergies has resolutely charted for itself; that of a broad energy company committed to producing and providing energies that are ever more affordable, reliable, and clean,” Total said in a statement posted on its website.

Patrick Pouyanne, the company’s chairman and chief executive officer noted: “Energy is life. We all need it and it’s a source of progress.” “So…to contribute to the sustainable development of the planet facing the climate challenge, we are moving forward, together, towards new energies. Energy is reinventing itself, and this energy journey is ours.”


“Our ambition is to be a world class player in the energy transition. That is why Total is transforming and becoming TotalEnergies,” he added.

TotalEnergies which is active in more than 130 countries including Uganda now describes itself as a broad energy company that is involved in oil and biofuels, natural gas, green gases, renewables and electricity.

Uganda’s oil project
Energy experts say oil companies are rebranding fast to send a message to the public and investors about their commitment to change business models to prepare for a low-carbon future.

It remains to be seen how TotalEnergies’ recent rebrand and its changing stance towards fossil fuels might reflect on Uganda’s oil and gas project where the French super major has taken a lead role in commercializing the country’s oil resources first discovered in 2006.

Total E&P Uganda, an upstream affiliate of TotalEnergies is leading the development activities towards production in the Tilenga project area (Exploration Area 1 (EA-1) and Exploration Area 2 North (EA-2N) within the Albertine region.

It is also playing a lead role in the construction of the EACOP, the world’s longest electrically heated pipeline to transport about 230,000 barrels of oil every day via the Tanzanian port of Tanga. In the downstream sector, TotalEnergies has also been present in the country since 1955 through its marketing operations and the company currently has over 200 filling stations nationwide.

Dr. Victoria Nalule, a Kampala-based natural resources consultant told The Independent in an email that the global move to tackle climate change as envisaged in the 2015 Paris Agreement has necessitated debate and action geared towards transitioning to a low carbon economy.

“This is leading to a decline in investments in oil and gas projects around the world and some oil companies have had to change strategy-including rebranding as in the case of Total- in order to reflect the global energy transition move,” she told The Independent on June 23.

“Oil majors are facing increasing pressure from government regulators and shareholders about the risk of climate change to their business,” Utpal Dholakia, a marketing professor at Rice University in Houston told the Houston Chronicle early this month, “It’s obvious Total wants to align their image with the new business strategy and wishes of all their stakeholders.”

James Muhindo, the coordinator of the Civil Society Coalition on Oil and Gas (CSCO), a consortium of local and international NGOs that advocate for transparency and accountability in Uganda’s extractives sector told The Independent on June 19 that Total’s rebranding is informed by the fact that they are trying to broaden their portfolio of investment to move away from predominantly fossil fuel investments to renewable energy.

“With them having fairly established themselves in fossil fuels, they are now working to show the world that they are more than oil and gas companies. This only shows that the red flag is up on oil and gas and the giants in the sector are planning their exit,”Muhindo told The Independent.

Dickens Kamugisha, the executive director of the Africa Institute for Energy Governance (AFIEGO), a Kampala-based civil society that has been advocating for responsible investment in Uganda’s oil and gas industry also told The Independent on June 21 that it appears the oil and gas companies are feeling the pressure from environmentalists.

But Kamugisha quickly noted that he doubts TotalEnergies’ rebrand will change anything. “These companies just want to show that they are doing something about the climate change talk.”

“In fact, as Total was rebranding, they were also giving the green light for billion-dollar projects in Uganda and Mozambique. They are sinking billions of dollars in these projects,” Kamugisha told The Independent, “The change in name or public perception is not going to change the way they do their work.

Kamugisha told The Independent that people in resource-rich poor countries are instead likely to see these changes putting more pressure on these countries to accept whatever deals these companies come up since an impression has been created to show that the oil and gas resources will soon become non-profitable.

Kamugisha said: “We have to understand that these companies are capitalist in nature and so we are likely to see that these changes will put a little more pressure on poor resource-rich countries to accept whatever deals these companies come up.”

“An impression is being created to show that the oil and gas resources will soon become non-profitable,” he said.

Kamugisha gave a recent example of how the Uganda government which had been playing hardball with both Tullow Oil and Total over the farm-down deal suddenly accepted the transaction last year which was far below the initial valuation by the country’s tax body—the Uganda Revenue Authority.

“These companies have a strategy to pile pressure on resource rich poor countries like Uganda to take their deals. If you do not agree upon what we are giving you, we have to leave. These are capitalists and they are not just going to change suddenly.”

Behind Total’s name change

Why French Oil giants are now called TotalEnergies Kampala, Uganda | RONALD MUSOKE | Last month, shareholders of the French oil and gas giants, Total SE, unanimously agreed to change the company’s name to TotalEnergies complete with a new visual identity. Top company executives said the change...

www.independent.co.ug

 

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Samia Accelerates Eacop Implementation​

28 JUNE 2021
Tanzania Daily News (Dar es Salaam)
By Edward Qorro

Tanzanians and Ugandans are gleefully waiting for the fortunes to be reaped from the 3.55 billion US dollars crude oil pipeline venture by their two countries.

The project is said to have short and long term economic benefits for the two neighboring countries, specifically during the construction phase.

In April this year, President Samia Suluhu Hassan was in Uganda to witness the signing of the agreements at State House Entebbe.

The two countries signed the Host Government Agreement, Shareholder Agreement (for the pipeline company) and Tariff agreements.

Partners in the pipeline agreement, Total and China National Offshore Oil Corporation, also witnessed the signing of the agreements.

The signing of the agreements would pave the way for the construction of the 1,440 km crude oil pipeline from Hoima in Uganda to the Tanzanian seaport of Tanga with the project billed to be the longest electrically heated pipeline in the world.

It is heated because of the waxy nature of Uganda's oil. Uganda has so far discovered over 6.5 billion barrels of oil.

Ms Samia exuded confidence that the ambitious project would not only benefit Uganda and Tanzania alone but the entire region.

"The project will bring revenues to the regional countries and more than 10,000 jobs will be created," she said.

According to the President, the East African Crude Oil Pipeline (EACOP) will unlock the regional potential and attract more investors to east Africa.

"Our region is well-endowed with abundant resources. In order to fully and effectively exploit these resources, we need infrastructure," she added.

The opportunities expected to be available during the construction project on the Tanzanian side include supplying of equipment, security services, food and beverage services, hospitality services, human resource management, supplying fuel in the project and communication services.

According to some official reports, the huge investment of the EACOP construction will be the major source to increase direct foreign investment in both countries by 60 per cent.

Tanzania is expected to earn an estimated 3.24bn/- US dollars once the project becomes operational with more than 18,000 jobs set to be generated over the next 25 years.

As part of long-term economic benefits, the EACOP project is expected to attract more investors for exploring oil and gas resources in the countries.

The project is envisaged to increase Tanga Port's logistic activities; with the port also due to experience more 600 million US dollars direct investments in establishing new jetty, storage tanks, and supporting facilities.

The local communities along the EACOP route will benefit from various training and education programmes such as road safety, and welder training.

Also, the small towns along the pipeline's path are likely to experience the local business boom as those working on the pipeline will stay in the construction camps, local hotels and drink in local bars.

There will be individual benefits from the job opportunities that will emerge throughout the project, with approximately 10,000 jobs expected during the construction phase. These include skilled workers, semi-skilled workers, and casual workers.

During the construction phase of the proposed EACOP project, indigenous casual workers will be employed from each district the pipeline passes and this will improve the development of local capacity through technology transfer.

Also, the EACOP will create short-term employment of about 2-3 years, for welders, heavy equipment operators, truck drivers, mechanics, site engineers, construction managers, construction labourers and more.

Total will hold the major stake in the heated pipeline, at 72 per cent with Uganda's at 15 while Tanzania will have 15 per cent and CNOOC Ltd 8 per cent.

Samia accelerates EACOP implementation

National Leading English Newspaper

dailynews.co.tz

 

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Law amendments clear way for EACOP project​

ippmedia.com/en/news/law-amendments-clear-way-eacop-project
July 1, 2021

01Jul 2021
Francis Kajubi
Dodoma
News
The Guardian
Law amendments clear way for EACOP project
THE National Assembly yesterday passed the Written Laws (Miscellaneous Amendments) Act number 3 of 2021, making changes in 14 laws aimed at facilitating implementation of all strategic projects the government has signed with multinational companies including the East African-Crude Oil Pipeline (EACOP).

Energy minister Dr Medard Kalemani.

The $3.5bn EACOP project has so far witnessed the signing of five agreements between Tanzania and Uganda since 2016, Energy minister Dr Medard Kalemani said in the legislature yesterday, noting that the ministry has constituted a facilitation team to help put together requirements for the project to kick off in Tanzania, by fast-tracking permit clearance processes and obtaining tax exemptions from the Tanzania Revenue Authority (TRA).

“We have also established a database that shows locally registered companies in the oil and gas exploration sector which will take part in the project value chain. All these local companies must be re-registered at the Energy and Water Utilities Regulatory Authority (EWURA) to enable them to benefit from opportunities offered in the project by the hosting companies,” he said.

Local companies taking part in the project must be locally owned to at least 25 percent, he said, noting further that the ministry will next week meet with the Tanzania Private Sector Foundation (TPSF) in Tanga to see how opportunities from the project will be explored.

The ministry expects that more than 15,000 youths will be employed in the project directly and indirectly during the construction period, with project construction materials procured from the local market, he said.

In the project, the Tanzania Petroleum Development Corporation (TPDC) will hold a 15 percent stake that enables the government to collect 60 percent of pipeline revenues accrued from taxation, with Uganda holding another 15 percent, and receiving 40 per cent share of revenues. Other shareholders are Total Energy (France) with 62 per cent shares and China National Offshore Oil Corporation (CNOOC) holding eight percent of the shares.

The 1,443-km pipeline has 1,147km in Tanzanian territory spread in eight regions through 24 districts, from which tax revenue for the 25 years of the project, $290m in direct taxes is expected.

Since the project covers a large area in Tanzania, it will benefit from an estimated $59m in revenues from economic activities related to the project, with port shipments for the project materials attracting $73m in further revenue gains, he elaborated.

Building the pipeline stretching 1443km from Hoima to Chongoleani peninsula in Tanga will feature eight oil pumping stations, two built in Uganda and six in Tanzania, intended to control fuel flow speed.

There will be 33 lubricant facilities holding hot wax from the oil, with 26 to be built in Tanzania and seven in Uganda, while 76 valve shutters will be built, 53 located in Tanzania and 23 in Uganda.

Similarly, five oil storage tanks will be put up at the storage depot in Tanga, with each tank holding 500,000 barrels at one time, thus store 2.5m barrels of oil at maximum capacity, the minister stated.

On his part, Attorney General Professor Adelardus Kilangi said that the cabinet of ministers will be kept informed and deliberate on project implementation progress, after blanket endorsement of the project and the law facilitating it being passed by the National Assembly.

Citing provisions of the Natural Wealth and Resources (Permanent Sovereignty) Act at Article 12, he said the law ensures that all arrangements and agreements entailing extraction, exploitation or acquisition and use of natural wealth and resources may be reviewed by the National Assembly.

In that case the legislature still has its prerogatives on the matter but the cabinet will stand as the immediate custodian of the contract as the president is part of it, he explained.

Najma Murtaza Giga, chairperson of the standing committee for Constitution and Legal Affairs said the amended 14 laws will harmonize implementation of the project for the best interest of the country.

 

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Tilenga and EACOP: acting transparently​

The projects for the development of the oil and gas resources of the Lake Albert region and the cross-border pipeline are situated in a sensitive social and environmental context that requires special measures for the environment and the rights of the local communities.

No. 1

oil development in Uganda

The Lake Albert region in Uganda has major oil and gas resources, estimated at over one billion barrels. Uganda wanted to develop them under the projects Tilenga, operated by TotalEnergies, and Kingfisher by CNOOC.* Production will be delivered to the Tanzanian port of Tanga by a cross-border pipeline, built and operated by the EACOP company (East African Crude Oil Pipeline).

The Tilenga and EACOP projects are situated in a sensitive social and environmental context and require land acquisition programs with close attention to the rights of the affected communities. Environmental and social impact assessments (ESIAs) have been carried out in compliance with the exacting standards of the International Finance Corporation (IFC). Third-party reviews have also been conducted to ensure that the projects are compliant with the best social and environmental practices.

1 CNOOC China National Offshore Oil Corporation
ACTING RESPONSIBLY AND TRANSPARENTLY ON SOCIAL AND ENVIRONMENTAL ISSUES
As a responsible operator, TotalEnergies recognizes the projects’ environmental and social issues, and takes them into consideration.

A land acquisition program compliant with the highest international standards
The completion of the Tilenga and EACOP projects will require the implementation of a land acquisition program covering some 6,400 hectares. For Tilenga and EACOP, this program means relocating 723 primary residences, and will affect a total of 18,800 stakeholders, landowners and land users. Carried out in compliance with IFC performance standards, this program will begin with a complete survey of the land and crops and monetary compensation and/or compensation in kind. Each family whose primary residence is being relocated may choose between a new home and monetary compensation. An accessible, transparent and fair complaints-handling system will be running throughout the process.

Close attention to the rights of the communities concerned
Right from the design phase of these projects, special attention has been paid to information, consultation and consensus-building with all stakeholders. Over 70,000 people were consulted for the ESIAs. Discussions have been initiated with several NGOs, laying the foundation for a sustainable collaboration process aimed at capitalizing on their expertise and driving continuous improvement.

As in all the Group’s operations, TotalEnergies attaches the utmost importance to compliance with human rights in the implementation of these projects. Everybody has the right to express themselves. TotalEnergies does not use or tolerate the use by others of aggression or physical or legal threats against people who are exercising their right to freedom of expression or their right to peaceful assembly or protest.

Projects consistent with our environmental commitments
These projects are located in a particularly sensitive natural environment, especially in terms of biodiversity. Strict measures have been taken to avoid, mitigate and offset their impact.

TotalEnergies has decided to restrict the footprint of the Tilenga project in Uganda’s Murchison Falls Park, a protected area and a showcase for African biodiversity. Development will be limited to an area that accounts for less than 1% of park land, and thanks to strict preventive and reduction measures built into the design of the project, the temporary and permanent Tilenga facilities inside the Park will cover less than 0.05% of the surface area.

The main measures taken in Murchison Falls Park​

• Number of well locations limited to ten
• Underground oil and water injection lines
• No processing facilities
• No flares
• Installation of horizontally drilled flowlines to cross the Nile
• No night work, except for drilling
• Strict specifications applied to drilling equipment in order to limiting sound and visual impact
• Removal of all waste for processing
• Traffic management plan to limit the number of vehicles and interference with tourist activities in the Park

The route of the EACOP pipeline has been designed to minimize its environmental impact. Careful attention was paid to watercourses, and horizontal drilling will be used for the most sensitive case.

Producing a positive impact on biodiversity
For these two projects, and in line with its biodiversity commitments, TotalEnergies will also implement action plans that generate a positive net impact on biodiversity.

These plans will be defined in close collaboration with the authorities and stakeholders responsible for nature conservation in Uganda and Tanzania. TotalEnergies will contribute to a 50% increase in the number of Murchison Falls park rangers and will support a program, conducted in partnership with the UWA (Uganda Wildlife Authority), to reintroduce the black rhinoceros in Uganda. TotalEnergies is also working closely with IUCN (International Union for Conservation of Nature) experts to integrate the best practices for the protection of chimpanzees, particularly by promoting the conservation of forest habitats.

Tilenga and EACOP are a concrete example of the application of the Group’s ambition and commitments to biodiversity. Significant resources have been mobilized to implement them in an exemplary way. For four years, the affiliate has been in close contact with the local people and has been striving to minimize the projects’ impact on the local community. We are proud to be a part of these major developments for the Group that promise to transform their host countries.
Nicolas Terraz, Vice President Total E&P Africa

​

The projects​

Tilenga: located in the Buliisa and Nwoya districts in the Lake Albert, the Tilenga project is operated by TotalEnergies (56.6%), in partnership with CNOOC and UNOC. It includes the development of six fields and the drilling of around 400 wells from 31 locations. Production will be delivered through buried pipelines to a treatment plant built in Kasenyi, for the separation and treatment of the fluids (oil, water, gas. All of the water produced will be reinjected into the fields and the gas will be used to produce the energy needed for the treatment process. Surplus electricity will be exported to the pipeline and the Ugandan grid.

One of the fields developed is located inside Murchison Falls Park. The others are located outside the Park, south of the Victoria Nile in sparsely populated rural areas and activities that are essentially agricultural.

EACOP: this project consists of the construction of a buried 1,443 km oil pipeline between the town of Kabaale in Uganda and the port of Tanga in Tanzania, and a storage terminal and loading jetty in Tanga.

The oil pipeline includes six pumping stations, powered by solar plants in Tanzania, and a heat tracing system. The physical characteristics of the oil from Tilenga mean that it needs to be kept at a temperature of 50°C for transportation. The route of the pipeline was designed to avoid areas of environmental interest as much as possible, and generally crosses farming areas.

During the construction phase

58 000
emplois créés dont 11 000 emplois directs

2,1 millions
d’heures de formation pour développer les compétences locales

1,7 milliard de $
d’activités pour les entreprises locales

Tilenga and EACOP Projects: Acting Transparently

To develop the Lake Albert oil and gas reserves in Uganda, we are developing the Tilenga and Kingfisher projects, and the cross-border EACOP pipeline in Uganda and Tanzania.

www.totalenergies.com

 

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Concerns raised over red tape at the East African crude oil pipeline project​

SUNDAY JULY 04 2021​

By Burhani Yakub
More by this Author

Tanga. Residents from the eight regions where the East African Crude Oil Pipeline (EACOP) project will pass, expressed concerns yesterday about the emerging bureaucracy that may see many missing out on opportunities rleated to the pipeline in their area.

The stage has already been set for the construction of a $3.5 billion 1,443km oil pipeline from Hoima in Uganda to the port city of Tanga to commence following the signing of all Host Government Agreements.

The project is reportedly set to create employment for more than 10,000 Tanzanians during construction, and 1,500 after oil transportation starts to flow along the facility.

Yesterday, the government instructed the Tanzania Petroleum Development Corporation (TPDC) and the private sector to create an environment that will enable the people of Tanzania to benefit from Sh8.4 trillion that will be spent on the crude oil pipeline project from Uganda to Chongoleani in Tanga region.

The directive was issued by the Minister for Energy, Dr Medard Kalemani and the Minister of Investment, Geoffrey Mwambe during the first Ugandan-Tanga oil pipeline implementation workshop for private sector stakeholders.

Dr Kalemani, who chaired the session said the government had fulfilled its responsibility after signing all agreements, so it was now the role of TPDC and the Tanzania Private Sector Foundation (TPSF) to design an environment that will enable Tanzanians to benefit.

He said 80 percent of the project was on Tanzanian soil where 14 camps were built, 23 out of 29 lubricating stations and that 53 out of 76 shut-off valve stations were in Tanzania.

However, speaking at different occasions, the people who attended the meeting said that they were ready to seize the opportunities, but are skeptical of the already witnessed bureaucracy when appointing companies to provide services in the project.

Mr Masoud of the passenger transport sector in Tanga region, said signs of bureaucracy have begun that indicated that clearing and forwarding companies may be replaced by government agencies.

An entrepreneur, Richard Abel said the recruitment and registration process has not been clarified yet, leading to the emergence of fraudulent companies claiming to provide employment.

“Confidentiality in the employment process in this project is also a problem, it provides an opportunity for young people to be deceived,” said Mr Abel, who doubles as the opposition-NCCR Mageuzi’s chairperson in Tanga District.

For his part, Kipumbwi ward councilor in Pangani District, Akida Bahorera said despite the good plans for the project, a system should be put in place to supervise the implementation of the project at the grassroots level.

Further, Mami Mohamed from Anjari factory in Tanga said there was already a tendency of some investors wanting to use products from their countries, such as water, so he advised the government to prevent imports of products that are available in Tanzania and of good quality.

Responding to some of the concerns, Dr Kalemani instructed the manufacturers to prepare themselves so that they can repair the pipes that will be used in the project instead of importing them.

“I have heard that the pipes will be imported. I now ask our local manufacturers to manufacture quality pipes needed for the project,” said Dr Kalemani.

Among the product services earmarked for Tanzanians in accordance with the agreement signed according to a statement issued by the director general of TPDC, Dr James Mataragio, were building materials, transportation, food and beverages.

Others were hotels and catering, office equipment, fuel products, land surveying, freight installations, security services, construction contracts, communications services and sanitation services.

On the other hand, the Minister for Investment, Geoffrey Mwambe urged the people of the eight regions that host the pipeline to be fully prepared to protect the venture to, among other things, safeguard the good relations between Tanzania, Uganda and countries implementing the project.

In terms of insurance, Mr Mwambe urged insurance service providers to be fully organized to achieve efficiency.

Senior Officer of the Energy and Water Utilities Regulatory Authority (Ewura), Kenneth Kaganga revealed that the database for registration of companies that will provide services for the project has already reached 737.

He mentioned the categories in the database that will require services from Tanzanian companies to include electricity, construction, industrial products, transportation, spare parts, telecommunications, insurance, technical advice, research and protection.

TPSF executive director, Francis Nanai said the industry was preparing a mechanism that will enable Tanzanian service providers to cooperate.

“If we really want Tanzanians to fully benefit, I suggest we ensure that cooperation between us is fortified,” said Nanai.

Concerns raised over red tape at the East African crude oil pipeline project

Residents from the eight regions where the East African Crude Oil Pipeline (EACOP) project will pass, expressed concerns yesterday about the emerging bureaucracy that may see many missing out on...

www.thecitizen.co.tz

 

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MY TAKE
Humu ndani kunaanza kutokalika kuna watu (Prophets of doom) watakimbia soon!

CC: Tony254

 

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