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PRESS RELEASE FOR PWYP-UGANDA/BUNYORO GROUP, RIVEIRA HOTEL, 17TH FEB, 2010.
On 17th February 2010, 36 NGOs, CBOs and Associations from the Albertine region (Buliisa, Kibaale, Masindi and Hoima)-Uganda’s oil area met at Hotel Riviera-Hoima town to discuss about the progress and challenges of oil development in their respective communities including issues on environmental conservation, customary land rights, protection of culture amidst oil activities, oil waste management such as cuttings by companies, public participation in EIA processes, poor compensation to local people, revenue sharing, access to information and justice by the poor and un-educated, and many other issues.  The meeting was organized by Publish What You Pay-Uganda (PWYP-Uganda and Africa Institute for Energy Governance (AFIEGO).
 

 

The main aim of the meeting was to strengthen the capacity of PWYP-Uganda local members/partners on policy research and advocacy campaign for greater transparency and accountability in the management of oil resources and revenues in Uganda”:
•    Members discussed and reviewed the importance of transparency and good governance at various stages of extractive industries development ranging from the decision to extract, to revenue generation and allocation in the national budget, and follow-up on how these revenues are used for the good of our people;
•    Reflected on the level of corruption in both local governments and central government;
•    Shared experiences about good practices of oil governance with a view to greater synergy and strengthening of our advocacy at all levels in our respective communities;
•    Agreed that openness and governance are essential for accountability and effective management of extractive revenues geared to wards poverty reduction and sustainable development in our region and our country;
•    Discussed the challenge of exploiting oil in gazetted areas such as game reserves, forest reserves, lakes, rivers and other trust areas;
•    Agreed that both government and oil companies currently don’t recognize people’s rights to land under customary or communal ownership;
•    Recognized the unfairness in the current compensation processes;
•    Recognized that the absence of a policy on CSR will cause future problems especially on sustaining the CSR initiatives by oil companies;
•    Recognized the inseparable link between economic governance and importance of an open debate and frank dialogue over the management of natural resources between the government, extractive companies and civil society; and
•    Emphasized the need for us as civil society activists to play our role as watchdogs with out fear, threats or harassment from government and companies.

We believe and emphasize that PWYP campaign and Extractive Industries Transparency Initiative (EITI) are fundamental processes for establishing a culture of transparency, accountability and good gorvance in general in Uganda’s extractive industry for social and economic development. In light of our observations and discussions above, we recommend as follows:

1.    Governments of Uganda should:

•    In line with Objective VI of our National Oil and Gas policy 2008, the government should adopt and effectively implement EITI for transparency and accountability in the country;
•    Adopt the EITI process to the needs of our country, especially taking into account the need to stop the current high level corruption in government, and in particular encourage the disclosure of information contained in the various oil agreements;
•    Set up institutional and legal mechanisms capable of expanding  transparency to  transparency of contracts and future revenue payments;
•    Establish national laws on transparency of extractive transactions including company to company, company to government, licensing, PSAs negotiations and effectively implement existing laws and policies on access to information;
•    Formulate and enact policies and laws which emphasize  local content, taking into consideration criteria for human resource development through training, national ownership of the oil resources, efficiency, transparency and good governance;
•    License only companies which have good environmental conservation records even if the financial offers are not the best,
•    Ensure effective and timely compensation by involving the affected communities in determining compensation rates in all cases which require compensation;
•    Respect land rights of communities/people irrespective of whether the land is owned as mail-hold, freehold, leasehold or under customary/communal ownership. Communal land rights of communities should be respected.
•    Educate, sensitize and give communities enough information on oil development processes including information on environment, revenues to increase community participation in development;
•    Local communities in Bunyoro are already being affected by effects of oil activities and may continue to be affected and as such, they should get a specific share of the oil revenues and this should be put in the laws and policies;
•     Avoid conducting oil activities in sensitive areas of national game reserves and forest reserves, Lakes, Rivers and others’ and
•    Conduct public hearings for all oil related Environmental Impact Assessments (EIAs) and make public the environmental strategic management plan.

2. We call upon our partners to:
•    Support capacity building of civil society, especially those in the oil rich areas for increased research and advocacy for socio-economic development;

3. Oil companies should:
•    Abandon confidentiality clauses and support the disclosure of contracts to ensure transparency and accountability in Uganda’s oil sector; and
•    Respect environmental, culture and local community standards in place at all level of society.

4. As civil society in the oil areas, we should:

•    Work with national and international organization to strengthen our research and advocacy work on environmental monitoring and conservation;
•    Monitor activities of companies and report wrong doings to authorities;
•    Strengthen work on budget monitoring;
•    Increase advocacy for access to information;
•    Continue campaigning for the adoption and implementation of EITI in Uganda;
•    Set up a monitoring committee to monitor the implementation of mitigation measures provided for in various EIAs;

Signed by:

1.    Isaac Biruja-Executive Director-BIRUDO-BULIISA and Chairman, PWYP-Uganda-Bunyoro Group.

     2.  Dickens Kamugisha-CEO-AFIEGO and National Coordinator, PWYP-Uganda.