By Рудо Абимбола on 14.12.2023
Category: Экономика и Финансы

Tanzania and Uganda forge ahead with their controversial oil project as pipelines arrive

The development of the most controversial construction project in East Africa, The East African Crude Oil Pipeline (Eacop), is fast becoming a reality. The joint project between Uganda, Tanzania, and foreign investors has received the first 100km of pipes, as disclosed by the project's coordinator, Mr. Msovu. This indicates that the project has officially commenced. 


The project organizer stated that at least 5000 pipes are already in place as the large-scale work is about to start, according to a report seen in the Tanzanian news publication, The Citizen.

He stated; "The project is now set to begin its construction phase. The project is still ongoing, and both countries (Uganda and Tanzania) are ensuring that is it carried out as intended."

"The recently delivered pipes have a maximum length of 100 kilometers, we have initiated the process of moving them from Dar es Salaam to Tabora, the project's center, and from there they will be distributed to other locations," he added.

Mr. Msovu also mentioned that Tanzania is still pushing the project via the Tanzania Petroleum Development Corporation (TPDC), which according to The Citizen, has issued "shares to shareholders releasing almost Sh500 billion for the project's execution."

The project coordinator also added that the installation of the pipes will kick off in April 2024, and by 2025, it should be completed.

"We anticipate that the project will formally start its operations of bringing oil from Uganda to this nation (Tanzania) by the start of 2026," the coordinator said.

The Eacop project has been a bone of contention between environmentalist groups and the stakeholders involved in the project, including French conglomerates TotalEnergies and Chinese investors.

While the Ugandan government has noted that the project is going to serve the good of East Africa's economy, the environmentalist groups which have in the past included an EU panel, argue that the project would cause too much damage to the region and displace the residents there.

The back and forth recently culminated in a case that was dismissed by a regional high court in the region case because the case was not within its jurisdiction. However, the environmentalist group has refused to yield and has noted that it would plead its cause via some other means.​

Source of the article: Business Insider Africa

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