The East African Crude Oil Pipeline (EACOP) is a critical component of eradicating energy poverty in Africa by 2030. The pipeline will be critical for job creation, local community empowerment, and wider socioeconomic growth in addition to transporting much-needed oil across the region and improving energy security by connecting Uganda’s hydrocarbon-rich basins with both regional and international destinations. Despite its significance, western environmentalist groups are calling for the project’s cancellation, citing environmental concerns. But when do Africa’s energy needs and people’s well-being take precedence over sensationalist eco-socialism?
The EACOP, also known as the Uganda-Tanzania crude oil pipeline, is a 1,443-kilometer-long crude oil pipeline that will connect Uganda’s oilfields to the Tanzanian port of Tanga. The pipeline, which has a capacity of approximately 216,000 barrels per day, is expected to cost $3.5 billion when completed and will be the world’s longest heated crude oil pipeline. Standard Bank of South Africa is currently advising the governments of Uganda and Tanzania, with TotalEnergies (62 percent), the China National Offshore Oil Corporation (CNOOC) (8 percent), the Uganda National Pipeline Company (15 percent), and the Tanzania Petroleum Development Corporation sharing ownership of the pipeline (15 percent).
The 1,443km EACOP was proposed following the discovery of commercially viable quantities of oil in Uganda’s Lake Albert basin and the completion of exploration by CNOOC, TotalEnergies, and Tullow in 2006. The pipeline, which is part of the larger Lake Albert Development Project, will transport Ugandan oil to international markets, generating critical revenue for the entire East African community. TotalEnergies, the project’s majority shareholder, proudly announced a $10 billion final investment decision for the project in February 2022, kicking off development and ushering in a new era of energy security for the region.
For Africa, the pipeline represents a solution to energy poverty while also driving socioeconomic growth through community empowerment. The pipeline is expected to generate thousands of high-paying jobs and significant opportunities for local businesses such as contractors during the construction phase alone. Furthermore, Tanzania and Uganda are expected to see a 60% increase in foreign direct investment, with more capital expected to flow in subsequent stages of the project. Construction’s long-term employment, guaranteed energy security, and broader economic benefits highlight its importance in driving Africa’s development. Simply put, if EACOP fails, Africa will continue to be energy insecure.
“Ugandans and Tanzanians should not have to pay the price for western, developed nations. It makes no sense to oppose the construction of the pipeline. If EACOP fails, there will be no guarantee of employment, with a lot of the population remaining energy poor for years to come, and investment directed towards East African exploration will dry up. Africa does not deserve this. Africa deserves the rights to develop its resources and that includes the EACOP,” states NJ Ayuk, Executive Chairman of the African Energy Chamber (AEC).
The call by climate activists to #StopEACOP is detrimental, not just for East Africa’s energy future, but for the wellbeing of the regional community itself. In addition to fighting against the construction and operation of the project, activists are targeting the funding of the project, with 20 large-scale banks having been convinced not to finance the pipeline. Despite these attacks, project developers remain resilient, recognizing the value of the pipeline.
“TotalEnergies and partners have been very proactive and have invested a lot in building relationships at community level. They have a strong track record of robust environmental management and social engagement, and it gives the AEC comfort to back this project without hesitation. Citizens of Uganda and Tanzania are already benefiting from local content programs and community workshops, training programs and investments in local communities. 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,” continued Ayuk, adding that, “We are concerned that some want Ugandans and Africans to leave oil and gas in the ground while they are spending billions to fire up coal plants. Energy poverty is real. We are going to make EACOP a big part of the discussions during African Energy Week (AEW). We will push for African suppliers to sign Joint Ventures with Ugandans and grow together, using this project to promote intra-Africa trade and collaboration as envisioned by the AfCFTA.”
Let’s face it: Ugandans have a plan for how to spend the money wisely, and they should be allowed to debate it within their societies without interference or lecturing from outsiders. The proceeds from EACOP will be used to construct schools, hospitals, and modern infrastructure, as well as to fund the development of other energy projects such as renewables, thereby assisting Ugandans in closing the gap between struggle and success. TotalEnergies has proposed a safe and low-carbon plan for this pipeline. When it comes to this project, the vast majority of Ugandans, Tanzanians, and Africans are unwavering in their support for EACOP, TotalEnergies, and their partners. The project has the potential to provide significant benefits to Ugandans and Tanzanians, including progressive socioeconomic growth, a reduced environmental footprint, and risk reduction associated with oil transportation.
“Local communities and everyday people always struggle to make financial ends meet in Uganda and Tanzania. I believe TotalEnergies and EACOP is a Godsend. Income and opportunity already coming into families and communities will backfill many of the shortages that exist. Stop disrupting Africa’s development and let’s use the EACOP and every other oil and gas project on the continent to drive Africa into a new era of energy and economic success,” concluded Ayuk.