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Thanx  Admin 4 bringing this topic up. Because I am an environmental engineer, I will tackle this article from that direction.

Is Uganda environmentally ready for oil production? Depends on who you ask or are dealing with. The government of course ultimately takes responsibility on this matter. That is why, when negotiating with the drilling contractors, the gov't should include and insist on strict adherance to environmental clauses that take care of all environmental concerns in the area concerned. Environmental concerns do not include jusat the physical/scientific issues. They include social and legal (compensation) issues too.

The contractor will of course always claim they are paying attention to such issues. But it is NEMA that must put its foot down and ensure that we are not taken for a ride on environmental matters. Otherwise, we shall become another Nigeria or worse. The technology exists to prevent oil drilling operations ruining the environment and controlling spills or other hazards related to the industry. There should no excuses at all. The buck stops with the gov't.

Kaks- thanx for raising such pertinent issues concerning the enviornment at this time when media is awash with news of toxic gabbage dumping in Abidjan and  close to 17000 being bed ridden as a result from the panama ship. You begin to wonder if our govts  take keen interest in the welfare of their pple its absurd to see the AU has not castigated the act. The oil discovery is a big issue for uganda but care has to be taken especially abt the enviornment we have the nigerian example to take leaf and do better at least govt owes that to its citizens.

Two another issue nagging me is how if this oil is drilled will be exported crude or refined? Now we all know uganda has no refinery the nearest being kenya but research shows that exporting crude oil we will be riped. it would be nice if our govt could source for a consortuim or Bank to fund building of the Refinery there exporting a finished product where our earning will increase in folds. Another advantage there will be job creation  and Hoima will develop as a result of this influx of people.

We must begin preparations now as a country!!

True that, Butterfly. If we export crude oil, we lose any VAT on it (we wouldn't have added any value on it, would we?). This is Uganda's oil we r talking about. If Ugandans do not get anything out of it, they have themselves to blame. 4get 'bona bagaggawale'. This is the real deal. But it must be handled very carefully. Look wot happened 2 the UBC plot. Newspapers r now reporting that the Aya brothers r well & trully broke. Mbu they r looking 4 another party to pass the Hilton Hotel deal to. M7 is so  annoyed especially since he defended the deal and it now appears he was taken for a ride. So says Red Pepper. Just visit the site & u will see 4 yoself.

Have u noticed how many U-turns Kags is making recently? Some of them r about: The  SCOUL/Mabira thing, the DDT thing, his pay rise thing, the Regional Tears thing, the Kony talks climb down, etcDo u think Ugandans and their media are getting the hang of social justice campaigns?

Kaks- i totally agree with you on the issues raised. A few days ago i was chatting a friend of mine who is into th oil business and he told me they had advised the govt on matters of planning early about oil exploration,refining blah blah and the officials from govt were admant saying there was no money for such a venture. Btw you and me we know if we could build a refinery maybe acquire a loan from IMF or ADB,WB it would pay off in the long run but the problem with ?Ugandan managers they do not look far

Whereas the president is not wll advised by the technocrats he is also to blame sometimes the man can be obstinate abt certain issues like Mabira and all ?Much as we need investors we can sit by and watch why they infest our country Poor decisions from our govts will keep this country behind we need to go abt the oil biz seriously and slowly it shd be uganda to gain not some companies doing the work while riping this country apart.GOD Help us.

Basically the man thinks Investors are a way out of our poverty however i find this a misguided notion considering that there other avenues to raise our GDP.

I dont normally agree with Mwenda's view in his aricles but sometime ago he wrote abt
Rwanda he quoted the president saying the best resource they had was- human i wish we would sooner realise that than this hype abt investors!!

Have you noticed that almost middle to senior manager in Ug are either South africans or kenyans? Dont we have qualified personnel here? beats my understanding lol

Butterfly,

The other problem is that many Ugandans are busy managing S.African  and other international enterprises and organizations too which may also validate your position since this alien management cannot be due to lack of home born expertise!

About those none-ending poverty alleviation programs, we should learn from the likes of Brazil the 10^th largest economy on the planet yet still haunted by biting poverty in some quarters. It should not be about handouts but about viable and sustainable income generation projects. We all know where Nigerian and most Arab oil wealth end up; Corporate accounts in the west and in private Swiss  bank accounts.

What I don’t understand is how DRC fits in the oil exploration picture??

M/Woman- You  definetely are spot on but ugandans being content on running south african business but you also have to know we churn out jobseekers than creators because of our education policy system. what i dont agree with is the government has not taken steps to protect its people. Am of this view that we have qualified personnel there4 whoever sets up business here or buys a company or stake in a company here must employ a certain number of locals the southafricans are doing it whynot us?

When Eskom SA took over UEDCL what became umeme they came with top manager and now even middle level personnel are being reshuffled on the pretext that some jobs are redudant but word on the street is they are recruiting southAfricans! and the same Trend is Happening to UTL Telekom SA bought the controlling shares and began by getting rid of top ugandan managers! At this rate we shall be an annex republic to SA!

DRC has bigger problems ont heir plate hopefully they dont involve themselves in the ugandan oil quagmire. We should be able to draw lessons from the Nigerian oil biz but alas! it seems the folly will continue here and the monies in experts Swiss accounts leaving the nation with abject poverty and a retarded enviornment.

Butterfly,

One of the problems is the assumption that cronyism is so widespread in Ug that jobs are hereditary as opposed to meritorious. This unfortunately is a story widely told by those qualified Ugandans outside so when these outsiders come to Uganda they at times believe that they’re only doing the rational: awarding meritorious positions and weeding out cronies of powers that be.

As to our education system be very careful there, you may be shocked with what some of the people you rub shoulders  have achieved.     

Survival of those that can afford to hold on to their accrued assets more like it! 

With respects to the nation as a whole being ready - the answer to that would unfortunately have to be a resounding "NO".  This is based on the current operations of those in governance in addition to those being governed. Unless there is to be a complete and radical change to the system in place NOW we can all just whistle dixie for all that it matters! 

The decision makers are deeply entrenched in protecting their positions that national interests are mere afterthoughts. Perhaps in another 20yrs time we may see accountability to national matters. 

Modern Woman - your comments bring me to wanting to set up a separate thread though as one wouldn't wish to digress from the other important issue raised from this article on this precious discovery within Ug. One of the nepotism and hierachy in Uganda's governance: Is this a reality or a fiction that has it become biblical truth in practice? 

I wonder how if any unbiased research has ever gone into the ethinic/tribal numbers of personnel in local civic government posts that hold top managerial posts or middle managers let alone various posts.  How is it that companies are sold off without any comeback to address the majority of workers that are laid off. 

I feel an apology on my part ought to come on because this is really hijacking a thread for oil discussions...

What do we have? That and this oil is already in the hands of international cartels and cheats. We only waiting for polution and environmental damages and to send condolescence to our fallen brothers and sisters that, that poverty they suffered are still there to stay, no change with us! 

Still around!.......................................................

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 Many Ugandans form LC 1 to  the President are asking : IS THE NATION READY FOR ------- OIL IN UGANDA ?

Its the excitement of the top  NRM  government, military and political leaders

and its the excitement of the pipo of the land flowng with OIL and MILK, the Banyoro and their King Omukama Iguru,

but also its the excitement of the many Ugandans who are hoping that OIL will solve all of Uganda's problems.

This is because the politicians are telling the pipo that  OIL IS THE KEY TO THE ECONOMIC GROWTH OF UGANDA,

that oil is going to enable the BB programe BONNA BAGAGGAWALE=PROSPERITY FOR ALL program to take off at a much faster rate.

And the International community is asking : IS  THE NATION READY FOR ------- OIL IN UGANDA?

                                               iam just wondering what will be the next step??

                                              http://www.newvision.co.ug/D/8/13/562585  - HOIMA to get oil refinery plant

Bunyoro Kingdom is rejoicing at the discovery of Oil   -  http://www.youtube.com/watch?v=MYWPqoCpHEY

John. S. Badeau “The first and foremost intent of the United States is that the middle east, or any vital part of it, shall not be occupied or controlled by a foreign power hostile to the US and the free world. Such power could deny oil and passage to the west and use access to them as diplomatic blackmail to force changes in western policy” This statement applies as much to Africa as it does to the Middle East. Oil justifies foreign intervention, regime change, and wars and blackmail etc.

What I know about Africa and Uganda in particular tells me that we are not ready for any such dramatic surge in wealth and in particular one that is of strategic importance to the “free world” what is increasingly clear in international politics and relations, is the rivalry between the U.S.A and China over strategic mineral. In particular oil. With china trying to establish its control over oil resources in Sudan and the rest of Africa the “free world is very nervous. In a way it is the re-emergence of the cold war. China’s booming economy demands constant, uninterrupted supply of oil, hence its interest in Africa, while. The “free world” too needs continued availability of this crucial mineral to sustain their economy. If the middle east is any example to go by, then there is cause for alarm

Welcome back TKO

Thanks for the above excerpt... In addition, lemme sincerely hope we do not go the way of what is playing out in Nigeria with respects to this new-found wealth!

Thank you SB.

Oil politics is tough politics.What we are seeing is a new cold war over africa.China vs the west. Battleground? Africa.

Never theless i think the chinees approach is a better contast to America,s.

The chinese offer generous soft loans with no string attacthed to build infrastructures such as roads, hospital, schools etc while the IMF&WB offer very harmfull austerity measures which cripple and enslaves.

TKO:

Oil politics is tough politics.What we are seeing is a new cold war over africa.China vs the west. Battleground? Africa.Never theless i think the chinees approach is a better contast to America,s.........he chinese offer generous soft loans with no string attacthed to build infrastructures such as roads, hospital, schools etc while the IMF&WB offer very harmfull austerity measures which cripple and enslaves.

 BUT WILL THE OIL HELP UGANDA?

and the International Business Media has this as the answer to the above question:

http://www.businessinafrica.net/news/east_africa/925651.htm

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 Businge Gerald

Thanks for the article and OIL HERITAGE COMPANY ----- I like the greenery background in the picture.

This is interesting, great dream,hope for Uganda to become the ECONOMIC GIANT OF EAST AND CENTRAL AFRICA

Uganda the new economic giant of East Africa  ........

                                       .....http://www.ugpulse.com/articles/daily/Business.asp?id=629

Bunyoro: who examines those oil agreements ?  ......

                                       .....http://www.newvision.co.ug/D/8/220/568838

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Its Angelo Izama of the Daily Monitor Inside Politics

who seems to see far and in his view  it may be  that

CHINA  IS SOON COMING TO UGANDA to play abig role in the oil industry - to buy oil 

1.  for Oil  -- China is already in Sudan for oil
2.  for Regional politics  - China's presence may ease Sudan-Uganda tensions
3.  for international politics -  China may give Uganda a fast tract to development

 http://www.monitor.co.ug/inspol/inspol06207.php

We await to see how the soft loans of China will help Ugand be on a fast track to Economic development and perhaps become the big Economic Giant in the newly created Bigger East African Comunity which China too is eying for market and for more oil for its fast growing Chinese economy. the west USA and EU are now wondering at the rapid speed of Chinas climb into regional, and international and African politics.... its a rise that the western world can do little to halt it. --- its the rise of  China as a new super power and the rise of China as a new Economic Power of this and the next century.