East African crude oil pipeline project reaches 47% completion, set for July 2026 finish

By Charles Mkoka

Dar es Salaam– The ambitious East African Crude Oil Pipeline (EACOP) project has reached 47.1% completion and is on track for a July 2026 completion date. This monumental project, launched in response to Uganda’s discovery of approximately 6.5 billion barrels of oil, has rapidly progressed due to close collaboration between the Governments of Tanzania and Uganda, along with key partners including TotalEnergies from France and China’s CNOOC.

With a pipeline stretching 1,147 kilometers across Tanzania alone, the project traverses eight regions — Kagera, Geita, Shinyanga, Tabora, Singida, Dodoma, Manyara, and Tanga — comprising nearly 80% of the pipeline’s total length.

Land acquisition efforts have met Tanzanian Land Act standards and International Finance Performance Standards, ensuring transparency and fairness for the 9,927 Tanzanian residents impacted. As of October 31, 2024, all 340 homes planned for relocation have been built and handed over to 294 families, achieving a 100% handover rate. The acquisition process has been paired with educational outreach to inform communities about resettlement and project benefits.

Since work began in February 2022, EACOP has generated over $304.95 million (roughly Sh 821.1 billion) in local procurement, providing a vital economic boost to Tanzanian businesses.

The project has also created 8,694 jobs for Tanzanians, with 6,430 citizens currently employed across various construction zones and project offices in Dar es Salaam. Over the entire construction phase, an estimated 7,030 Tanzanians will gain employment, underscoring the project’s substantial impact on local job creation.

EACOP’s long-term benefits go beyond employment. The project has improved electrical infrastructure by upgrading power stations in key locations including Kibete, Bulyanhulu, Lusu, and Majani Mapana, facilitating better electricity access for residents near the pipeline route. Additionally, EACOP’s efforts to enhance water accessibility have led to the construction of a 24-kilometer pipeline, capable of delivering 3 million liters of water daily to communities around Chongoleani.

 This pipeline can provide water connections for up to 20,000 households, while other water projects in Muheza, Sindeni, and Kwedigongo will further expand access to clean water for local communities and schools.

Training has been a crucial focus of the project. EACOP recently trained 148 Tanzanian and Ugandan workers through specialized programs at Arusha Technical College, VETA Moshi, and Uganda Petroleum Institute – Kigumba, preparing them for roles in pipeline management. Once operational, EACOP will employ 114 Tanzanian workers and 34 Ugandans.

In terms of government revenue, Tanzania has received approximately TZS 50 billion from EACOP through permits, land leases, utility fees, and taxes, adding a significant source of public income. The government has also benefited from technology transfer as international experts train local professionals to manage the advanced technology behind the pipeline.

The EACOP project, a testament to regional collaboration, is expected to contribute substantially to Tanzania’s socio-economic development while bringing about significant financial, infrastructural, and technological benefits.

By ensuring a responsible, transparent approach, the governments and partner organizations are positioning EACOP as a game-changer in East Africa’s energy sector, aimed at empowering communities and fueling regional growth well beyond its completion date.

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