Tanzania: Tasac secures full stake in East African crude oil pipeline
TANZANIA Shipping Agencies Corporation (TASAC), has unveiled the role it will play in the execution of the East African Crude Oil Pipeline (EACOP).
The pipeline to be built from Hoima district in Uganda to Tanga port in Tanzania will cover 1,445 km at US $ 3.5 billion.
The project is touted as the longest electrically heated pipeline in the world.
It is heated due to the waxy nature of Ugandan oil. Uganda has so far discovered more than 6.5 billion barrels of oil.
As one of the stakeholders, TASAC ensured its full participation in the project to be concluded in time for the greatest benefit of the populations of the two countries.
“In the project, TASAC has three main roles to play; a list must regulate the maritime environment, safety and security, ”said Nelson Mlali, director of maritime agencies at TASAC.
According to him, the agency also regulates maritime transport services as well as the exercise of maritime transport activities on the exclusive mandate of the company.
He also explained the role of maritime transport in the project, saying that the sector is a transport of crude oil from the pipeline from the Tanga terminal to international markets.
“The role of maritime transport can be seen as twofold: during the construction phase and after the completion of the construction phase,” he said.
Explaining further, he said, some project cargoes will be transported by sea while after the completion of construction activities, crude oil will be transported by sea.
For his part, political and economic analyst Prince Bagenda called on the government to ensure that all those who leave their areas to pave the way for the project are compensated accordingly.
“On the implementation of the projects, attention must also be paid to the households that will be leaving their areas,” he explained during a workshop for journalists organized by Equator Communications Limited.
In April of this year, President Samia Suluhu Hassan was in Uganda to witness the signing of the agreements at State House Entebbe.
The two countries signed the host government agreement, the shareholders agreement (for the pipeline company) and the tariff agreements.
Pipeline agreement partners Total and China National Offshore Oil Corporation also witnessed the signing of the agreements.