Uganda has invested approximately US$20b into its oil and gas sector. However, key issues persist, particularly regarding transparency and the involvement of local communities in accessing opportunities from petroleum.
While stakeholder engagement has been formally implemented, as a testament to government’s seemingly unwavering commitment to transparency and accountability, aligned with the principles of the Extractive Industries Transparency Initiative (EITI), the focus has often been on the “what” rather than the “how” and “who is impacted” concerns raised by local communities.
Efforts to build sustainable infrastructure-such as two Central Processing Facilities- Tilenga and Kingfisher projects in Kikuube and Buliisa districts in the upstream sector, the 1,433 kilometre East African Crude Oil Pipeline (EACOP) and potential developments like the oil refinery both in the Midstream sector-are commendable, but the question of whether these investments benefit local communities’ remains uncertain.
The major projects in the oil and gas sector include the Tilenga and Kingfisher projects in the upstream sector, each with investments exceeding US$6b.
In the midstream sector, the East African Crude Oil Pipeline (EACOP) is valued at US$5b, and the Uganda Refinery project is estimated at US$4b.
Despite these vast investments, the benefits to local communities, particularly in terms of local content, remain questionable.
Substantial investments in social performance, enterprise development, and local content discussions are ongoing, but how local communities engage as participants and beneficiaries remains a significant public concern.
For instance, visiting Total Energies’ facilities in Buliisa district reveals that the immediate neighbouring communities are not visibly impacted by the projects.
Instead, one is confronted by poverty, project-related waste, and plastic bottles. These grassroots communities often have no voice, raising questions about the true impact of these investments.
Over the past seven years, Uganda’s oil and gas sector has been embroiled in controversy, with resistance from local communities.
One of the most notable movements is the “STOP EACOP” campaign, which seeks to halt the financing and construction of the aforesaid heated EACOP designed to transport 600,000 barrels of crude oil per day from Hoima district in western Uganda to Tanga Port in Tanzania.
The campaign has seen arrests and detentions of activists, especially youth, alongside litigation from both local communities and companies like TotalEnergies Uganda.
As an active participant and follower of the sector, I ‘m convinced that if the silent communities knew the extent of the issues and the sector’s perceived disregard for their concerns, a revolution might emerge.
The sector now faces two conflicting dynamics. On one hand, there are communities actively demanding their rights, as seen in the rise of campaigns like “STOP EACOP” and smaller movements like the “Save Bugoma campaign.”
On the other hand, there is a silent, disempowered group of communities-especially in the Albertine region-who feel excluded from the benefits of the oil and gas sector and have given up on participating.
This group, while apathetic, is also fearful of acting. They perceive the sector as a project benefiting only a select few and have little hope for meaningful engagement or improvement.
This situation is compounded by the failure of local governments, political leaders, and many civil society organisations to engage effectively with the oil and gas sector.
They often feel disconnected from the sector’s processes and see the infrastructure, such as roads, as projects that only serve the oil and gas industry rather than contributing to the broader social transformation of communities.
Although the Ugandan government and international oil companies have attempted to engage with stakeholders, these efforts have largely been top-down and aimed more at calming potential anger than addressing genuine concerns.
Stakeholder engagement has often been one-sided, focused on disseminating information rather than fostering a dialogue.
Since the first engagement efforts in 2006 in the Albertine Graben, there has been little follow-up on community concerns, leaving many stakeholders, except for the oil companies, without a clear path for action.
This lack of trust in the oil and gas sector is exacerbated by an engagement process that seems designed to exploit the resources rather than empower the communities.
The current engagement model has produced a community that feels excluded, fearful, and passive.
Communities are seen as followers, not active participants, and their involvement is limited to token gestures such as meals during stakeholder meetings rather than genuine collaboration.
This approach has created a situation where communities see no accountability or real benefit from the oil and gas sector.
Local leaders often feel sidelined, and many communities perceive the sector as being policed rather than engaged with in a meaningful way.
One of the most pressing issues is the lack of a known community of practice in the Albertine region, where stakeholders, including government representatives and oil companies, could engage in meaningful discussions.
Even ad-hoc groups operate in fear of opposing the state or the sector. This is why it is crucial to reshape the stakeholder engagement model.
Recreation for Development and Peace Uganda (RDP Uganda) has initiated discussions among youth, entrepreneurs, and other stakeholders in the Albertine region.
These discussions, which take the form of caravans, reflection meetings, research forums, and exposure visits, aim to create a space for better engagement built on trust, mutual respect, and collaboration.
Supported by the Partnership Brokers Association of the United Kingdom, these efforts have generated a demand for more inclusive, frequent, and meaningful stakeholder engagement.
To address the current engagement dilemma, there is a pressing need to audit and reshape the stakeholder engagement model in Uganda’s oil and gas sector.
If the sector is to have a lasting positive impact on communities, it must move beyond formalities and embrace collaborative, respectful, and transformative approaches to engagement.
Effective collaboration with affected communities-particularly in the Albertine region-is essential for ensuring that the benefits of the oil and gas sector are equitably shared and that long-term social and economic transformation is achieved.
In conclusion, the government and oil companies must learn how to engage communities effectively, not just formally, but with a genuine commitment to collaboration and mutual benefit.
A partnership-based approach is crucial for the well-being of both the people of Uganda and the country as a whole.
The Author is the Executive Director, Recreation for Development and Peace Uganda (RDP Uganda), a youth national NGO engaged in youth empowerment for generations.
