The East African Crude Oil Pipeline (Eacop) Project, a joint venture between the governments of Tanzania and Uganda, has achieved 47 percent completion as of September 2024. With a total investment of $3.5 billion, construction is anticipated to conclude by July 2026. The project has processed compensation for nearly all affected residents and has created 8,694 jobs, highlighting its economic and social impact.
The East African Crude Oil Pipeline (Eacop) Project, which stretches from Uganda to Tanzania, has reached 47 percent completion as of September 2024. Since the commencement of construction in February 2022, significant progress has been made across the eight regions involved in the pipeline’s construction. This joint venture is shared by the Tanzanian and Ugandan governments, each holding a 15 percent stake, while TotalEnergies leads with 62 percent ownership, and CNOOC holds 8 percent. The total financial outlay for this ambitious project is estimated at $3.5 billion, necessitating thorough logistical and environmental considerations to ensure minimal disruption to local ecosystems and communities. In a recent press briefing, Mr. Asiadi Mrutu, the project coordinator from the Tanzania Petroleum Development Corporation (TPDC), confirmed that construction is proceeding on schedule. The anticipated completion date is July 2026. Mr. Mrutu highlighted the significant social impact of the project, noting that nearly all eligible residents—9,868 individuals, or 99.3 percent—have been compensated, totaling Sh35.1 billion in payments. Furthermore, the project has created employment opportunities for approximately 8,694 Tanzanians, both temporarily and permanently, since its initiation. Mr. Mrutu stated, “The project has brought numerous benefits to Tanzania, including government revenue from permits, fees, and land taxes. Additionally, local services worth Sh82.1 billion have been procured for the project.” He emphasized the importance of safeguarding the project’s infrastructure, noting that local communities, in collaboration with regional governments, are actively engaged in protecting against sabotage. Finally, he affirmed that once the pipeline is fully operational, it will offer permanent employment to 148 workers from Uganda and Tanzania, further enhancing local economic opportunities. Moreover, Mr. Mrutu reiterated the project’s commitment to stakeholder engagement, stressing, “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.” As the Eacop Project progresses, it stands as a vital initiative fostering economic growth and collaboration between Uganda and Tanzania, while also providing significant local benefits.
The East African Crude Oil Pipeline (Eacop) project is a landmark infrastructure initiative aimed at transporting crude oil from Uganda to the port of Tanga in Tanzania. It represents a significant investment in the region, totaling approximately $3.5 billion, and is designed to enhance economic cooperation between the East African nations involved. The venture involves significant international stakeholders, including TotalEnergies and CNOOC, demonstrating keen global interest in East Africa’s vast oil reserves. The project’s careful planning also involves attention to environmental sustainability and the socio-economic impacts on local communities, underscoring the importance of responsible development in the region.
In conclusion, the East African Crude Oil Pipeline (Eacop) is making considerable strides towards completion, with significant engagement from local communities and stakeholders. With 47 percent of construction completed and a timeline set for July 2026, the project aims not only to facilitate oil transportation but also to stimulate economic growth and job creation in Tanzania and Uganda. The commitment to stakeholder engagement and environmental stewardship further underscores the project’s importance and potential long-term benefits for the region.
Original Source: www.thecitizen.co.tz
