UPDF, URA Demand For A Combined Shs34bn To Safeguard EACOP
The Uganda People’s Defence Force (UPDF) is seeking for Shs2.5bn to provide security to the East African Crude Oil Pipeline (EACOP), while the Uganda Revenue Authority (URA) also asked for Shs31.5bn to develop an oil and gas monitoring system to be used to monitor all taxpayers within this sector.
“You know the security of our oil pipeline isn’t catered for, Tanzania is ready, they have already budgeted for. It is a thorn in our back, it has remained unfunded,” said Vincent Ssempijja, the Minister of Defence, while appearing before Parliament’s Defence Committee.
Wilson Kajwengye, the Member of Parliament (MP) for Nyabushozi County, asked, “Are you saying that on the part of Uganda, you haven’t provided for the security of our pipeline? It is first of all Uganda’s pipeline before it becomes East Africa, so how can you not provide for it?”
The governments of Uganda and Tanzania together with oil companies TotalEnergies of France and CNOOC of China are undertaking a $4bn investment to develop a crude export pipeline to transport Uganda’s oil to the international market.
The EACOP project feasibility studies have been undertaken and the oil companies are inching closer to realizing the required investment to start laying the 1444km pipeline that will start from Hoima and snake to its end at the coastal port of Tanga in Tanzania, at the Indian coast.
UPDF budget for 2023/2024
The UPDF’s total desired budget is Shs9.123trn in 2024/25; however, only Shs3.880trn has been availed, leaving a shortfall of Shs5.242trn.
The Army wants Shs62.8bn for deployment in DRC, Shs27.5bn for deployment in Karamoja, while Shs40.889bn is needed for utilities (water & electricity) but no penny has been available.
The Army is also seeking an extra Shs997.020bn for payment of salary for the soldiers & other staff after the request of Shs2.049trn was made, but only Shs1.052trn was provided.
Among the likely affected groups are the Local Defence Personnel formally known as LDUs deployed require Shs27.6Bn for salaries, while LDPs on training require Shs28Bn on the day they pass out.
