The proposed East African Crude Oil Pipeline (EACOP) has become the latest sore thump in Africa’s quest to seek local solutions to its perennial development challenges amid the usual murmurs by Western environmental activists.
EACOP represents a critical solution to making energy poverty history in Africa by 2030.
In addition to transporting much-needed oil across the region and improving energy security by connecting hydrocarbon-rich basins in Uganda with its regional and international destinations, the pipeline is expected to create thousands of jobs and empower local communities in participating countries.
The EACOP – also known as the Uganda-Tanzania crude oil pipeline – is a 1,443 kilometre-long crude oil pipeline that will link Uganda’s oilfields to the Port of Tanga in Tanzania.
With capacity to transport approximately 216,000 barrels per day, the pipeline is estimated to cost US$3.5 billion, and once complete, will represent the longest heated crude oil pipeline in the world.
However, despite its significance to Uganda and the rest of Africa, the pipeline is set to be another victim of an international conspiracy as some Western environmentalist groups are demanding that it be abandoned due to environmental concerns.
#StopEACOP climate activists have been targeting funding of the project, with 20 large-scale banks having been convinced to withdraw their support for the pipeline.
The shenanigans by the Western environmental activists, however, appear to be achieving the opposite result and have invigorated project developers to see the project through.
The governments of Uganda and Tanzania have contracted South Africa’s Standard Bank Group to advise them on the project.
Ownership of the pipeline shared between TotalEnergies (62 percent), the Uganda National Pipeline Company (15 percent); the Tanzania Petroleum Development Corporation (15 percent) and the China National Offshore Oil Corporation (eight percent).
TotalEnergies in February 2022 announced plans to invest US$10 billion in the project.
African Energy Chamber (AEC) executive chairman NJ Ayuk said no amount of “sensational eco-socialism” would deny Africa its dream of a solution for addressing its energy poverty.
“Ugandans and Tanzanians should not have to pay the price for western, developed nations,” Ayuk said.
He added: “Africa does not deserve this. Africa deserves the rights to develop its resources and that includes the EACOP.”
During the construction phase alone, the pipeline is expected to create thousands of jobs and significant opportunities for local companies such as contractors.
Tanzania and Uganda are expected to see a 60-percent increase in foreign direct investment, with more capital expected to flow throughout the project’s subsequent stages.
“This should not be stopped by zealots who believe that Uganda, a country that has been one of the lowest greenhouse gas footprints, should be punished and foot the bill for the wealthy nations that are now using coal to power their industries and homes,” Ayuk said.
He said AEC is going to promote the EACOP during African Energy Week set for South Africa in October this year.
JN/APA