East African Crude Oil Pipeline Project Reaches 47.1% Completion
The East African Crude Oil Pipeline (Eacop) project has reached 47.1 percent completion as of September 2024, with a scheduled completion date of July 2026. This joint venture between Uganda and Tanzania, alongside TotalEnergies and CNOOC, reflects extensive planning and impacts on local economies.
As of September 2024, the East African Crude Oil Pipeline (Eacop) project, a crucial energy infrastructure initiative running from Uganda to Tanzania, has achieved 47.1 percent completion. Initiated in February 2022, the project has made remarkable strides in pipe-laying activities across eight regions. This joint venture sees the Tanzanian and Ugandan governments each holding a 15 percent stake, while TotalEnergies possesses 62 percent and CNOOC holds 8 percent. With an estimated total investment of $3.5 billion, extensive logistical and environmental planning is being executed to mitigate impacts on local ecosystems and communities. During a press briefing, Mr. Asiadi Mrutu, the project coordinator from the Tanzania Petroleum Development Corporation (TPDC), emphasized that construction is proceeding as per the established schedule, with an anticipated completion date set for July 2026. He also noted that 99.3 percent of eligible residents, equating to 9,858 individuals, have received compensation amounting to Sh35.1 billion. The project has also generated employment opportunities, offering approximately 8,694 temporary jobs to Tanzanians since its inception, with further employment opportunities projected upon completion. In discussions of project benefits, Mr. Mrutu highlighted the positive impact on government revenue through various fees and taxes associated with the project. Furthermore, local services worth Sh821.1 billion have been procured, boosting the regional economy. Mr. Mrutu reiterated the significance of community involvement in safeguarding project infrastructure, affirming that collaborations with residents and regional governments are pivotal in preventing vandalism and ensuring the project’s success. Moreover, 148 individuals—114 Tanzanians and 34 Ugandans—are anticipated to secure permanent employment, currently undergoing training in preparation for future roles. Mr. Mrutu concluded by accentuating the importance of stakeholder engagement, stating the commitment to inviting comprehensive participation in discussions regarding crucial project issues.
The East African Crude Oil Pipeline (Eacop) is a significant initiative designed to facilitate the transportation of crude oil from landlocked Uganda to the port of Tanga in Tanzania. This project represents a collaboration between the governments of Uganda and Tanzania, alongside major stakeholders TotalEnergies and CNOOC. Given the extensive investment and logistical considerations involved, the project underscores both operational and environmental challenges, necessitating comprehensive planning to minimize adverse impacts on local communities and ecosystems. With its substantial economic implications, the project aims to enhance employment opportunities and generate revenue for the governments involved, while also ensuring stakeholder engagement throughout its development phase.
The Eacop project signifies a critical advancement in East Africa’s energy infrastructure, with 47.1 percent of construction completed as of September 2024. With substantial investments and a strong focus on community engagement, the project is poised to contribute significantly to the regional economy. As construction progresses towards its scheduled completion in July 2026, the anticipated benefits for local communities, coupled with increased government revenue and job creation, underscore the importance of this initiative within the broader context of regional development.
Original Source: www.thecitizen.co.tz
