Discussions on the regional oil pipeline begin
Experts from the three East African countries of Rwanda, Kenya and Uganda met in Kigali on Tuesday to discuss and agree on the technical specifications for the oil pipeline that will link the three member states.
The meeting determined the current and the projected flow rates required, and the larger market that would be supplied from Kigali. The team will design ways of dealing with issues such as: Technical specifications, funding mechanisms and Land issues.
After the implementation of the pipeline, it is expected that it will strengthen regional co-operation and boost business opportunities globally and between the three member countries.
Uganda and Kenya have discovered commercially viable oil deposits, and the project will help reduce energy costs, and improve the economic ties between the neighboring countries.
The pipeline will also eradicate the current tanker transportation which is risky, and subsequently reduce the price of oil for consumers.
Experts say that besides improving transport time, the pipeline will also reduce frequent road accidents involving tankers crossing borders, and it will end the importation of the expensive oil products from the Gulf region through Indian Ocean to the port of Mombasa where there are refineries.
The reduced costs of oil transportation will are expected to bring down production costs and improve the living standards of people in the region.
The project will consist of two pipeline sections to be constructed. They are; Eldoret (Kenya) – Kampala (Uganda) and the second pipeline will be constructed Kampala- Kigali (Rwanda).
All these countries will benefit from the pipeline while minimizing delays at the borders, non-tariff barriers, hence increasing in service delivery between the member countries.
The pipeline would not only benefit Uganda, Rwanda and Kenya, but also Tanzania and Burundi with expectations of even serving the Democratic Republic of Congo.
This project was agreed on by the member countries and their heads of states in June 25, 2013, and a Joint Communique was signed after tripartite meeting in Kampala.
