Oil cash starts flowing

Ibrahim Kasita

People in the Albertine region are already reaping the benefits of the oil ahead of production, a visit to the oil region by Sunday Vision has found.

Previously a remote and backward area, the infrastructure and social services have improved, new jobs have been created, while fishermen and farmers have a bigger market for their products.

Before oil exploration started, Godfrey Kirunda, a father of five from Buhuka parish in Hoima District, had taken his children from school to help him fetch water, which was a problem in the region.

“Four years ago, we had one small water source which served thousands of people of different villages. But when these oil men came, they drilled boreholes that now provides safe and clean water and built a new school too,” he said.

Kirunda has now decided to send his children back to school since he sees new job opportunities in the region.

“The people who were given jobs are able to prosper. Some of them have graduated from grass thatched houses and built houses with iron sheet roofs.”

The oil exploration activities have stimulated economic activities in Hoima, Buliisa, Kanungu, Rukungiri, Packwach, Nebbi and Arua.

A survey along the 23,000 square kilometre stretch of the oil prospective Albertine Graben found that hotels, lodges, restaurants and recreation grounds have multiplied, meeting an increasing demand for accommodation.

The once remote and isolated areas have been opened up and linked to the rest of the world with upgraded murram roads, which will soon be tarmacked to enable oil distribution to the local and region markets.

This has greatly reduced transport costs and led to faster delivery of supplies and products. Fresh fish from Lake Albert and River Nile and other agrarian products are now on high demand. New jobs have been created for security guards, transport providers, cleaners, drivers and caterers.

Simon Aziku, a councillor in Animu Parish in Arua District, said apart from jobs with the oil companies and sub-contractors, the oil sector has also brought better services.

“The market for our products has increased and there are better social services in terms of communication, health care and education,” he said. “Many of our people have been employed as casual labourers, qualified technical people, liaison officers, service providers and drivers for surveyors.”

The changes in the community are undeniable. New roads and buildings are coming up and living standards have improved.Three airstrips, including a helicopter landing pad, have been constructed on the shores of Lake Albert. They are connected to the exploration sites by murram roads.

Four primary schools and several health centres have been upgraded, a modern maternity centre has been constructed in Kaiso-Tonya and there is now a running water system.

In Bugoma Sub-county in Hoima District, a modern sh10m school for 700 pupils was built in memory of Carl Nefdt, the British oil worker of Heritage Oil who was killed by Congolese gunmen two years ago.

Abdul Byakagaba, a senior geologist with Heritage Oil, says ownership of land, especially in Buliisa, remains a big challenge to the oil companies.

“Somebody can be compensated for the use of his land and the next day, another person will claim the land belongs to him and he will want compensation.”

They now work through the local government administration, which ascertains the rightful owners of the land and provides proper documentation before compensation is done, he explained.

Unrealistic expectations are another challenge the oil companies are facing.

“People’s expectations regarding jobs and money being provided by the oil companies are too high,” said Byakagaba.

“Even when they are not qualified for any specialised job, they expect to be employed by the oil companies.”

He attributed the problem to misinformation, with local people believing that the oil is already being produced and taken away by the exploration companies.

“People should be informed that oil exploration, development and production are a long process and that there is no way we, the exploration companies, can take it away,” he said.

Published on: Saturday, 10th October, 2009