President Yoweri Museveni has assured Ugandans that the East African Crude Oil Pipeline (EACOP) project will be implemented according to plan and schedule.
Recently, the European Union (EU) parliament passed a resolution that essentially called for the development plan to be changed — including a re-routing of EACOP — to protect the environment, climate and human rights in Uganda, where two oilfields will be tapped, and Uganda and Tanzania, across which EACOP will run.
However, the thrust of the resolution — which is not binding — implied the integrated project, particularly EACOP, be dropped completely.
However, while officiating at the 7th Annual Uganda International Oil and Gas Summit at Kampala Serena Hotel on Tuesday, President Museveni said Uganda will not be intimidated by the EU parliament that wants the East African Country to dance to its tunes.
“Some of these people are insufferable; they are so shallow and wrong, they think they know everything but they should calm down because this is a wrong battleground for them. The plan will be implemented according to schedule,” the President said before calling upon Uganda’s partners to join hands to ensure the project is a success.
Gen. Museveni also revealed that initially he did support the idea of the pipeline but along the way he picked interest in it after realizing that it will contribute handsomely to the development of the country.
“My question to all the Chairmen of TotalEnergies I have interfaced with, was always, where are you taking our oil and the pipeline for what? They told me that to get their money quickly, they had to put up the pipeline. They wanted the pipeline only but I said that cannot happen when I’m still here. I suggested that there must be a refinery. That is how we reached an agreement of a pipeline and a refinery. There’s a 12.7 USD Tariff Transportation fee on each oil barrel that passes through the pipeline which I would not pay if I had only used the refinery,” he explained.
“Later, I developed interest in it. I wanted to move with Total but along the way I picked interest in CNOOC and Tanzania….Tanzania and Mozambique have more gas than us so it was agreed that the pipeline will also help to transport gas to Uganda from Tanzania. This is good for our integration plan. Therefore, I encourage the oil companies to move on with the pipeline and refinery.”
The President further underscored the importance of petroleum, saying that despite the move to stop using fuel to move cars, the petrochemical industry will remain very important since it is used in making medicinal coating, petroleum jelly, tyres, fertilizers among other products.
“Petroleum will be here and used for a long time.”
The Minister for Energy and Mineral Development, Hon. Ruth Nankabirwa thanked President Museveni for defending and taking a firm stand in protecting Uganda’s oil from the European Union.
“Your Excellency, thank you for coming out against the EU. They should know that we know where we came from and where we are going,” Hon. Nankabirwa said.
The Minister also reaffirmed that Uganda is currently at a point where most of its oil and gas projects have matured and ready for exploitation. She gave a case in point that by April, 2025, the country will make its first oil production.
“Uganda is naturally endowed with resources like hydro, geothermal, solar and many more. All these are not fully exploited so I call upon stakeholders to take interest,” Hon. Nankabirwa added.
“People are talking about energy transitioning, but it cannot happen at the same time, We accept that we need to transit but we did not start from the same time. We should reduce emissions from our petroleum activities rather than suppressing development.”
On the other hand, Eng. Irene Pauline Batebe Okello, the Permanent Secretary, Ministry of Energy and Mineral Development said as oil and gas stakeholders, they are committed to protecting the environment and conserve the biodiversity.
” One time we were castigated for being slow but now we have negotiated a number of deals and put up legal frameworks that promote accountability and transparency.”
Meanwhile, day one of the two day- Uganda International Oil and Gas Summit was also attended by Mr Guster Bukenya the organiser and Managing Director of Beautiful Engineering and Equipment, Mr. Emmanuel Katongole, the Board Chairman, Uganda National Oil Company (UNOC),Mr. Philippe Groueix, General Manager, TotalEnergies EP Uganda, Mr. Chen Zhuobiao, president CNOOC Uganda, among other officials.
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