Opinion: It has now been 425 days without a Governor of the BoU…

“The appointment of the Governor is a prerogative of H.E the President subject to Article 161 of the Constitution of the Republic of Uganda, which states that; the governor, the deputy governor and all other members of the board shall be appointed by the President with the approval of Parliament. To that effect, if the Governor dies, resigns, or otherwise vacates office before the expiry of the term for which he or she was appointed, the President may appoint another person in his or her office, and the person so appointed shall hold office for the unexpired period of the term of office of the person in whose place he or she is appointed. In the absence of the Governor, the Deputy Governor will perform the duties of offices of the Governor and Deputy Governor until the new Governor is appointed. Indeed, The Bank is currently operating efficiently under the direction of the Deputy Governor. He is supported by a team of Executive Directors and technical officers. The appointing authority – H.E. will the right time and moment, appoint a Governor. So let us wait on him” (Bank of Uganda, 23.03.2023).

Since the 23^{rd of} January 2022, the Bank of Uganda has been without a Governor. The Deputy Governor has run the Bank since then. It has been 425 days or 1 year and two months without an appointed governor. That is really telling and compelling that the President haven’t appointed anyone for so long.

The Bank of Uganda is clearly not a priority, because By-Elections and getting people elected to office is coming first. The appointments of Speakers and other high ranking official roles gets pushed instantly. However, the BoU can just live without a head and a master at the helm. The Deputy can steer the ship and without question too, apparently.

You know the mission of the BoU when it states this:

“The Bank of Uganda (BoU) is the Central Bank of the Republic of Uganda. It was opened on August 15, 1966. It is 100% owned by the Government of Uganda but it is not a government Department.  Bank of Uganda conducts all its activities in close association with the Ministry of Finance, Planning and Economic Development(MoFPED). Bank of Uganda is responsible for the formulation and implementation of monetary policy as well as regulating & supervising financial institutions” (BoU – ‘Overview – About BOU’).

It isn’t just a run-of-the-mill organization, but a vital one. It is the place for monetary policies and uphold the national currency. The BoU is by just these things an important piece of the puzzle in the Republic. That’s why its extra weird that it has been without a leader or a governor for over a year.

This shows that the President is just waiting and waiting. That the President isn’t mindful or caring about the concerns of the BoU. When he cannot find a suitable character or leader to become the next the Governor. We know he kept the previous Governor from 2001 until his death in 2022. So, he enjoyed the loyalty and the work of the predecessor. However, that shouldn’t stop His Excellency from appointing another one.

“The appointing authority – H.E. will the right time and moment, appoint a Governor. So let us wait on him” (Bank of Uganda, 23.03.2023).

It is just foolish that the institution and national bank is waiting this long for a new governor… seriously this is bonkers. 425 days and counting without a head or the appointed chief. This just shows that the President doesn’t think this is important or that serious. Peace.

Opinion: 11th Parliament is now the House of the Lord…

“We gathered earlier today to dedicate Parliament to the Lord, and I pledged to the country that a bill will be introduced as soon as possible to deal with homosexuality and lesbianism. We shall Jealously protect our cherished values and culture” (…) “Tomorrow, we are going to introduce the bill on homosexuality and I want to request the religious leaders that this time around, be there to see who is who” (…) “We are going to vote by show of hands. You’re either for homosexuality or against it. we want to see the kind of leaders we have in this country” – Speaker Anita Among (28.02.2023).

I don’t know if the Member of Parliament and now Speaker of Parliament Anita Among has read the 1995 Constitution. Neither does it matter, because it is a forgotten text. The one that was the “fundamental change” and game changer when launched. It gave life to the National Resistance Movement and legitimacy. However, with time it has withered and obviously lost value.

Still because of her words… I just have to add two parts of the 1995 Constitution. Just to remind ourselves of the goals, the aims and what is the supposed law of the land. It is fine that the Speaker is a woman of faith and wants to live her life to honour a deity. That is fine and dandy as an individual, but as a legislator and such. She is out of bound with the ideals of the State, the government and her own role as Speaker.

“Article 7 Non-adoption of State religion Uganda shall not adopt a State religion” (1995 Constitution – Chapter 2)

“Article 21 Equality and freedom from discrimination (1) All persons are equal before and under the law in all spheres of political, economic, social and cultural life and in every other respect and shall enjoy equal protection of the law. (2) Without prejudice to clause (1) of this article, a person shall not be discriminated against on the ground of sex, race, colour, ethnic origin, tribe, birth, creed or religion, or social or economic standing, political opinion or disability. (3) For the purposes of this article, “discriminate” means to give different treatment to different persons attributable only or mainly to their respective descriptions by sex, race, colour, ethnic origin, tribe, birth, creed or religion, or social or economic standing, political opinion or disability” (1995 Constitution – Chapter 4).

Speaker Among can be Christian all she wants and that’s all good. Nevertheless, the 11^th Parliament and the Members of the Parliament doesn’t have to be connected to any faith or such. So, to say that she gives the House to God is out of the sphere and function of the Parliament.

I wonder if the fellow legislators have seen these articles or even considered them. The activist lawyers’ better tool up. Because this should be food for the Courts and be tested by law-abiding citizens. This law should be tested, especially when the Article 7 and Article 21 specify certain rights. These rights has to be respected, even if are against or see it as sinful to live with the same sex. In your faith and what you deem as right is maybe morally incorrect in your view, but as society and by law it shouldn’t be criminalized. Especially, when the 1995 Constitution specifically says a individual should be discriminated against “on the ground of sex, race, colour, ethnic origin, tribe, birth, creed or religion, or social or economic standing, political opinion or disability”. Those words are giving the homosexuals rights to live as they deem fit and they shouldn’t be discriminated against. I am maybe against it by faith myself, but by law they should be allowed to live the way they please. Just like I am allowed and have the rights to live after my religion. That’s why the laws shouldn’t target a minority and one group, which the anti-homosexual bill is doing. They are target today and tomorrow it could be another group of faith. Therefore, it is a slippery slope and when you start… they must demonize more people and make them illegal. That’s just how these things are played out historically.

If the Speaker wants to be Christian that is fine, and I applaud her. However, in this case… it’s the wrong context, the wrong forum and the plenary sessions isn’t made for that. That’s for church or the holy communion. The 11^th Parliament is created for legislative agendas and not a prayer house. Secondly, the law itself is a violation of the Constitution, which is what the Parliament is supposed to protect. So, the Speaker and her merry men are violating their own purpose and function by doing so. That’s the interesting part here… and that’s why this got to be tested in the Courts. Peace.

International Criminal Court (ICC): Defence Team for Dominic Ongwen (16.12.2022)

Opinion: 2 Trillion shillings is suddenly needed to cover the deficit

A letter dated to the 7^th November 2022 by the Minister of Finance, Planning and Economic Development, Matia Kasaija was leaked titled “Request for Proposal to Finance the Government of Uganda Budget for the FY 2022/23”. In that letter, the Minister is specifying the needs to borrow €500 million euros. When you convert this to Ugandan Shillings it ends up being 1,957,704,000,000 or about UGX 2 Trillion Shillings. That’s a lot of money that the Government and the MoFPED needs to borrow.

This is the definition of deficit financing. The cycle of bad loans in combination of lacking domestic revenue. The only way to be able to cough up funds for the short-fall in the short-term is to add additional loans. So, the cycle continues, the state take one loan after another. Loans upon loans to cover for the old loans. While also borrowing more money to be able pay expenditure and government expenses.

That’s why the idea that the MoFPED is asking for this now isn’t surreal. It is the bleak reality and the misfortune of a bloated government. The government has to many entities, to many representatives and a local government structure, which is too expensive. Expensive in the sense, that the government cannot foot the bills and don’t have the revenue to carry the expenses. That is living lavish and someone else is picking up the tab.

We already know the state is running out of loss, when the budget was forecasted with a huge leap of faith that grants and such would cover about 40% of the budget. That is telling and it’s really showing the lack of it when the state this early in the Financial Year needs another 2 trillion shillings loans to cover it’s expenses.

The MoFPED wouldn’t call for this loan and at these levels… if they didn’t know there was a short-fall or a lack funds. There is deficit and that’s not shocking. It is just worrying that it’s happening at this extent and is so normalized. While we are seeing the 11^th Parliament is following where the 10^th Parliament left off. Accepting loans after loans on development projects and other additional expenses, which only creates a huger debt-burden down the road. These roads or infrastructure projects has to be covered and they are not money generating enterprises. Therefore, the cost of doing it will be ten-fold in the long run. Especially, when you don’t have money for the upkeep or the ones doing the day-to-day works on it.

That’s why you know the latest revelation of this loan is just concerning. It is not a winning bargain, but a proof of mismanaged and lacking progress. When the state cannot sustain itself or be able to get a tax-base to cover these expenses. That’s because the state is wasting funds on paying for old debts and interests, which are far over the grace-period. Peace.

Uganda: Over Hundred CSOs Express Concern over Islamic Development Bank’s Financing of EACOP (22.09.2022)

National Unity Platform (NUP): Robert Kyagulanyi aka Bobi Wine – Statement on the Resolution of the European Parliament on the Violation of Human Rights linked to Investments in the Oil Pipeline (21.09.2022)

Bank of Uganda (BoU): Government has not failed to pay Bank of Uganda (20.09.2022)

National Environment Management Authority (NEMA): Clarification on information concerning the Environment and Social Impact Assessment (EISA) Reports for Oil and Gas Projects in Uganda (19.09.2022)

Opinion: The EACOP is no bargain

This week there been new talks of the East African Crude Oil Pipe Line (EACOP). That comes after the European Union Parliament came with a Motion, which reflect dire concerns about it. The EACOP pipeline will go from the Lake Albert Basin down to Port of Tanga in Tanzania. It is a joint venture deal, but the one who has the most leverage is the French Company Total. While EACOP itself is a United Kingdom based corporation.

The others with smaller stakes are the Uganda National Oil Corporation (UNOC) and the Tanzania Petroleum Development Corporation (TPDC). Not to forget the even smaller ownership of the China National Offshore Oil Corporation. So, it is not like the EACOP or the drilling of petroleum is done by solely Ugandan ownership either. Not like Tanzania has a huge stake in it either.

Yes, CNOOC and Total will pay taxes and transport fees of sorts, which is normal for a pipeline to the respective nations. However, they are still able and licenced to drill or exploit the oil fields in the Lake Albert Basin. They are doing that and then later transporting the petroleum from Bunyoro to the coast of Tanzania, which is a long pipeline over vast different environments, which could cause harm or endanger it even. That’s only one thing in this enterprise.

The drilling and exploitation of the petroleum in Lake Albert basin and parts of it is done in Murchison Falls National Park. Meaning the ones with the licence to drill will do so in areas, which has already been facilitated to reserve the nature and the habitats of the species living there. In beautiful surroundings and unique as well. Therefore, the whole petroleum industry could cast a spell on the area as a whole. Especially, if there was something going wrong or an “accident” would occur, which could cause massive damage to the areas.

The EU Parliament Motion has been called “colonial” and “Supremacist” also said to block industrial development in East Africa. They are calling it undermining and saying the Europeans should mine their own business. Which is very ironic, when Total, the French company is the main investor and company involved. The lions share of it run by Total and not by anyone else. Before that UK businesses Tullow and Heritage had vast control of the licences to drill in Lake Albert Basin. So, it’s very weird to call one thing “colonial” and yet allowing the same “colonial” enterprises to run business there.

The Ugandans speaking ill of it. Should first ask for Good Governance and proper due diligence over the projects. The development done and the deals should be looked into. Because, little to none is public. Only the diplomatic papers and some shareholding or ownership details are known. The licencing deals for drilling is “secret” and the transactional parts of also under wraps. The same with registration and practically ownership of the UNOC and TPDC. They are not entities who is very open or transparent about.

That’s why when the minority isn’t transparent, and the Total company isn’t either. The grand public cannot know what is at stake. Who is getting a cut and who is really earning on it. Not like the monies or the credible profits cannot be siphoned. It is not like it is in the domain of the public or it has a knowledge about that.

That’s the making of the President and his Office. They have kept it all hidden for a reason. It is his business and not the citizens one. It is his “oil” and he can do what he likes. He don’t like nosy people and don’t want to be bothered with real questions. That’s why its been kept secret… and it’s deliberately so. Peace.

The EACOP Pipeline might have a harder time getting funding after EU Parliament Motion condemning it…

The East African Crude Oil Export Pipeline (EACOP) could face a new hurdle and delays. As there is not only a collective of activists and organizations working to stifle the options of funding the EACOP. The EACOP needs funding to be able to be built. The EACOP has to get funding from either Corporate Banks or Multi-National Institutions. The World Bank said in 2019 that it wouldn’t support it and neither will International Monetary Fund (IMF). Therefore, the EACOP needs to get $5 billion elsewhere to fund the building of it.

Because of the Motion today made by the European Parliament. I had to go back and find more new information into the EACOP. The EACOP haven’t been a steady operation or a quick fix. No, this has been a slow train moving. There has been slowly getting things in order and the it was only last year both Uganda and Tanzania had settle their negotiations. This is why it haven’t gotten further. The slow approach is also a reason why the EACOP is lacking funding and not being operational. The deadlines of the production, the exports and a possibly a refinery in Uganda has also been on hold. Therefore, the EU motion could only get into existence because of the slow movements from the Government of Uganda.

Take a look here…

EACOP Ownership:

“The Tilenga oilfield, to the north of Lake Albert, will include operations within the Murchison Falls National Park, and is operated and owned 56.67% by TotalEnergies. The Kingfisher oilfield, at the southern end of the lake, is being developed by CNOOC which owns 28.33%, and Uganda’s UNOC, which has a 15% stake. The two projects are expected to start producing oil in 2025 and reach a peak production of 230,000 barrels per day, which will rank the Lake Albert oil fields as one of Africa’s top 10 oil projects. The shareholders in the pipeline are TotalEnergies (62%), UNOC (15%), Tanzania Petroleum Development Corporation TPDC (15%) and CNOOC (8%)” (Tonderayi Mukeredzi – ‘Controversial East Africa oil pipeline moves one step closer to construction’ 25.03.2022, ChinaDialogue,net).

EACOP Funding:

“The East African Crude Oil Export Pipeline, which will have a daily capacity of 216,000 barrels a day, will be funded on a 40% to 60% equity-debt ratio, according to UNOC, a partner in the project. The link is designed to move land-locked Uganda’s oil to international markets. The Islamic Development Bank became the first lender to commit funding to the project when it approved $100 million for EACOP at the weekend. TotalEnergies SE is leading development of the project with a 62% stake in the cross-border pipeline. UNOC and Tanzania Petroleum Development Corp. each have a 15% interest, and the rest is owned by China’s Cnooc Ltd” (Fred Ojambo – ‘Uganda expects all pledged funding for oil pipeline by end of November’ 12.09.2022, WorldOil.com)

EU Parliament Motion:

“Calls for the EU and the international community to exert maximum pressure on Ugandan and Tanzanian authorities, as well as the project promoters and stakeholders, to protect the environment and to put an end to the extractive activities in protected and sensitive ecosystems, including the shores of Lake Albert, and commit to using the best available means to preserve the culture, health, and future of the communities affected and to explore alternatives in line with international climate and biodiversity commitments; calls on the promoters of the EACOP project in Uganda and Tanzania to resolve all disputes that should have been resolved prior to the launch of the project, and to take into account all the above-mentioned risks, threatening this project; urges TotalEnergies to take one year before launching the project to study the feasibility of an alternative route to better safeguard protected and sensitive ecosystems and the water resources of Uganda and Tanzania, limiting the vulnerability of the watersheds in the African Great Lakes region, which is a critical resource for the region, and to explore alternative projects based on renewable energies for better economic development” (European Parliament – ‘JOINT MOTION FOR A RESOLUTION on violations of human rights in Uganda and Tanzania linked to investments in fossil fuels projects’ 14.09.2022).

We know the EU Parliament Motion is causing a stir in Kampala and Dodoma. There will be words and possible ramifications of this. The EACOP is mostly owned and run by the Total Energie and that’s French. So, the French or France, which is a Member State in the EU could suddenly apply more pressure on the French Petroleum Company. That would further delay and possibly stop the EACOP pipeline. Since, the pipeline isn’t majority owned by the governments of Uganda or Tanzania. This is why the condemnation of the EU Parliament matters.

Just like the activists and NGOs who is working on overtime pressuring banks and lenders to the EACOP. That in combination of the new policies of greener technology or following climate change programs within the World Bank (WB) or International Monetary Fund (IMF). The EACOP certainly needs lots of funding and fiscal funds. That’s why the EU Parliament condemnation can alter a lot and add pressure, which is even stronger than the activists or NGOs who is already running a marathon with it.

This pipeline is contested, not only because of the parties involved and the respective republic’s. No, it is because of the environments that the oil is drilled and where the petroleum pipeline route goes as well. Peace.