The Eacop Project from Uganda to Tanzania is 47.1% complete as of September 2024. Total cost is estimated at $3.5 billion. Compensation has been paid to 99.3% of eligible residents. The project is expected to conclude by July 2026.
As of September 2024, the East African Crude Oil Pipeline (Eacop) Project, which connects Uganda and Tanzania, has achieved a significant milestone with 47.1 percent of its construction completed. The project commenced in February 2022 and involves pipe-laying across eight regions, showcasing impressive progress. Eacop is a collaborative effort between the Tanzanian and Ugandan governments, each holding a 15 percent stake, while TotalEnergies owns 62 percent and CNOOC retains 8 percent of the venture. The estimated cost of the Eacop project stands at approximately $3.5 billion, necessitating meticulous logistical and environmental planning to mitigate potential impacts on local ecosystems and communities. Mr. Asiadi Mrutu, the project coordinator from the Tanzania Petroleum Development Corporation (TPDC), confirmed during a recent press briefing that construction remains on schedule, with a projected completion date set for July 2026. “We are on the right track, and construction will be completed on schedule, as per the contract,” Mr. Mrutu stated. As of September, compensation has been successfully disbursed to 9,858 residents, representing 99.3 percent of those eligible, amounting to Sh35.1 billion. Since the project’s initiation, it has provided temporary employment for approximately 8,694 Tanzanians, while permanent positions will ultimately benefit 148 workers, including 114 Tanzanians and 34 Ugandans who are currently in training. Furthermore, the Eacop project has contributed significantly to Tanzania’s economy through government revenues from various permits, fees, and land taxes, alongside local services procured for the project worth Sh821.1 billion. Mr. Mrutu emphasized the importance of community collaboration in protecting the project’s infrastructure, noting, “We have invited stakeholders to participate in meetings, seminars, and discussions on important project issues. This ensures that their opinions are considered in the project’s implementation.”
The East African Crude Oil Pipeline (Eacop) is a pivotal infrastructure project designed to transport crude oil from Uganda to Tanzania, enhancing the region’s energy sector and economic prospects. Jointly owned by the Tanzanian and Ugandan governments, along with significant contributions from TotalEnergies and CNOOC, this venture underscores international collaboration in harnessing East Africa’s oil potential. The project is instrumental in fostering employment and facilitating infrastructure development while prioritizing environmental sustainability throughout its execution.
In summary, the East African Crude Oil Pipeline Project is making steady progress, having reached 47.1 percent completion as of September 2024. With significant investments and community engagement, it is poised to provide substantial economic benefits to Tanzania and Uganda, creating employment opportunities and enhancing government revenues. The project emphasizes careful planning to minimize environmental impacts, ensuring local communities remain integral to its success.
Original Source: www.thecitizen.co.tz
