President Yoweri Museveni and his host Tanzania President Samia Suluhu Hassan have agreed on various key strategic projects that will deepen cooperation in trade and development, notable among which is the East African Crude Oil Pipeline (EACOP) project that will not only see oil flow downstream from the Albertine region and in future from Kadam in Karamoja, DR.Congo and South Sudan but will also see gas flow from the coastal region in Tanzania upstream, to the continents inlands.
“I am happy to tell Tanzanians, Ugandans and the world that the activities on the pipeline are complete,†President Museveni who arrived following a much anticipated down pour that cooled the hot Tanzania capital, said at a press conference at State House Dar es Salaam.
President Museveni said the proposal to have the pipelines made here to benefit the people was abandoned following complaints that it would delay the project.
“We decided to leave that to companies to import pipes out of the continent. US$ 1300bn will be lost but the project will take off. For example US$52million will be used on transport costs annually and up to US$272million will be spent,†he said.
Uganda’s ambassador to Tanzania HE Richard Kabonero said this symposium aims at enhancing the Private Sector participation in the oil and gas sector of both countries.
“In the last two decades, we have made substantial advancements in the industry. Tanzania has already developed some of her natural gas, and Uganda is in the development phase of her oil reserves. At the center of it all is the East African Crude Oil Pipeline (ECOP),” he said.
The ECOP, he said will not only help both countries attract significant Foreign Direct Investment (FDI) in this and other sectors, but also to harness the potential of local investment, and give this to local Investment and other projects.
Both Uganda and Tanzania, he noted, have played to create an enabling environment and policies to guide oil and gas development, including the recently concluded agreements.
“This Symposium creates a unique opportunity for the private sector to understand the current Oil and Gas landscape, to explore opportunities for business that are available and to lay strategies for securing financing for the projects. The legal and regulatory framework for participating, the challenges involved and the possibilities for joint ventures between businesses in Uganda and Tanzania,” Kabonero said.
On health matters, their Excellences’ agreed to work closely on developing a vaccine as a measure to further combat the spread of the COVID-19 virus and other pandemic diseases.
President Museveni said he was happy that President Suluhu was willing to partner with Uganda to exploit the Pathogenic economy through joint production of pharmaceuticals.
“There are diseases but there is also money within these diseases. COVID-19 awakened us all. We must establish Pharmaceutical companies for vaccines and veterinary drugs. We should address the issues of viruses but also reagents to use for the vaccines. There is a huge business in the world of pathogenics but we must work on both the vaccines and reagents. When we had a breakthrough, I contacted Her Excellency and we agreed to cooperate. We started with the AIDS drugs, now we are saying, if we are sick, why not treat ourselves and get that money for our economies,†he said.
The President said the veterinary vaccines would help the communities of Byaramuro, Bukoba etc who keep livestock and would boost milk production.
President Museveni who was later hosted to a State Banquet at State House, Dar-es-Salaam emphasized the issue of markets to support business growth.
Market is a stimulus for business. The more you sell the more you produce. Segmenting African markets is a big mistake. We should use the tool of markets to support businesses,†he said.
On other joint projects, their Excellencies reaffirmed their commitment to fast-track the implementation of energy and road transportation networks, specifically, the ongoing construction of the Omugakorongo – Kigarama – Murongo (km 111)/Kikagati – Mbarara – Kampala (km 392) and Masaka – Mutukula (km 89.5)/Mutukula –Kyaka and Bugene – Kasulo – Kumunazi (km 157.6).
President Museveni is today due to address the Business Forum at State House Dar es Salaam, tour the Port of Dar es Salaam and the Standard Gauge Railway (SGR) and jointly address the EACOP symposium organized by the Tanzania and Uganda private sector bodies.