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Browsing: EACOP
The final stretch of the East African Crude Oil Pipeline (EACOP) reveals a paradox of a project held hostage by…
Uganda stands at a critical economic crossroads with the commencement of commercial oil production expected to coincide with the 2026-2027…
Activists and critics are intensifying their opposition to the East African Crude Oil Pipeline (EACOP), citing concerns over its potential…
In Berlin, German Chancellor Olaf Scholz says his country will invest 4 billion euros in Africa’s green energy until 2030.…
High protection and heavy import dependency have left industries in Africa poorly prepared for international competition. The tendency of many…
One of Africa’s biggest pipeline is the 4,100Km Trans-Sahara Gas Pipeline connecting Nigeria and Algeria oil fields. At 1,443Km East…
Both nations have the right to attain energy supremacy as it has been a long-time ambition. Despite that goal, environmental and climate-related concerns must be addressed if they are present.
The EACOP is one starting point that can catapult the region towards economic mastery and energy sufficiency. Tanzania, which is also banking on natural gas exploration and production, could learn a lot from EACOP complications now.
Despite the challenges, EACOP’s potential has managed to draw the attention of other financiers, and things are turning out well. The project has attracted US$300 million from alternative lenders as its proponents rush to save the project from pressure groups citing environmental concerns, according to a report by The Citizen.
More importantly though, a clear signal was sent to the EU Parliament that the colonial days are over and that meddling in affairs and interfering with matters that are of the exclusive sovereign remit of the host countries, Uganda and Tanzania, is simply not tolerated.
Following the EU Parliament’s action, Total Energies is to appear before the Parliament for a hearing and answer queries that the members of parliament will have. That coupled with the fact that Total has an ongoing court case in France regarding an allegation of its failure to put in place an adequate vigilance plan covering health, safety, environment, and human rights risks as required by French law, related to the the same EACOP project, it will be interesting to see whether or not Total Energies might drop out of the project at the risk of being exposed to breach of contract claims by the other Parties to the venture.Total Energies controls EACOP legal shareholding since it has the majority.
However, it may be a small price to pay amid the increasing pressure in France and Europe for green and climate friendly projects. Worldwide, financiers are avoiding investments in fossil fuels projects and looking for what is hailed as green investments.
The ministry argued that the oil pipeline project is being implemented strictly on international safety, environmental and social aspects, including the Human Rights Impact Assessment (HRIA).
The EACOP project has managed to amass at least US$20 billion, benefiting the two neighbouring nations immensely. That’s why Tanzania is stern on highlighting key issues regarding human rights and environmental risks.
“A dedicated HRIA was undertaken as part of the project implementation process. The HRIA assessed and put in place measures for addressing the potential adverse of the project on the human rights enjoyment,” the statement pointed out.
According to the EU Parliament statement, at least 100,000 people have been forced to move out of their homes to leave the path for the pipeline.
TotalEnergies CEO Patrick Pouyanne said that the memorandum of understanding will see the French firm produce Liquefied Petroleum Gas (LPG) and also deploy large-scale renewable energy technologies to identify areas of commercial investment.
Uganda’s Minister of Energy and Mineral Development, Ruth Nankabirwa said in a speech ahead of the signing that the agreement would put the country on the path to first oil in 2025. She added that EACOP would create approximately 160,000 jobs during the project’s development.
The agreement dictates TotalEnergies will develop solar, wind, geothermal, and other renewable technology power projects in Uganda to add a combined installed electricity output capacity of 1 Gigawatt by 2030 to the current 1.2-Gigawatt production.