Tanzania has reported completing land compensation for 9,823 out of 9,904 individuals affected by the passage of the East African Crude Oil Pipeline (EACOP) through their land.
This was revealed in parliament during the tabling of the Ministry of Energy budget on April 25,2024. According to the Deputy Prime Minister, Doto Biteko, who also serves as the Minister for Energy, a total of Tshs. 34.93 Billion was allocated for this purpose. Additionally, the government has constructed 340 new houses for 294 individuals who were relocated due to the pipeline project.
EACOP is a 1,443km pipeline that will transport oil produced from Uganda’s Lake Albert oilfields to Tanga in Tanzania. The pipeline runs from Kabaale, Hoima district in Uganda to the Chongoleani Peninsula near Tanga Port in Tanzania.
It’s jointly owned by TotalEnergies which has a 62 per cent stake in the project; China National Offshore Oil Corporation (CNOOC) which holds 8 percent of the stake and Tanzania and Uganda hold 15 percent of the stake each.
Tanzania has so far paid 94 percent of its capital requirement for the project translating to USD 289.78. The pipeline employs about 5,000 Tanzanians, and it was reported that Tanzania has received about Tshs 30 Billion of tax revenues from the pipeline.
