albertine situation analysis report

www.cpcs.ca

CPCS Ref: 12243 16 May 2014

Preparation of a Physical Development Plan for the Albertine Graben in Uganda Prepared for:

Ministry of Lands, Housing and Urban Development Prepared by:

CPCS International Limited In association with: KKATT Consult

SITUATION ANALYSIS REPORT

1st Floor, Trident House Lower Broad Street Bridgetown, Barbados [email protected] www.cpcs.ca

16 May 2014 CPCS Ref: 12243 Permanent Secretary Ministry of Lands, Housing and Urban Development, P. O. Box 7096, Kampala, Uganda Attention: Commissioner Byendamira, Dear Sir: Re: Development of a Physical Development Plan for the Albertine Graben, Uganda We are pleased to deliver our Situation Analysis Report for this Project following an intense six-week data collection effort during April and May. This included significant amounts of field work by 8 of our team along with a highly participatory series of Stakeholder Working Sessions held in 5 major centres. Please find enclosed 3 hard copies and 1 soft copy as per our agreement. We are, of course, always ready to discuss any items that may emerge or for which you require further clarification. We await your comments by 31 May and, as always, appreciate your continuing support in successfully completing this piece of work. Best regards, CPCS Transcom International Limited Rob Story Project Manager/Team Leader

SITUATION ANALYSIS REPORT | Preparation of a Physical Development Plan for the Albertine Graben, Uganda

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Acknowledgements

Acknowledgements

CPCS would like to acknowledge the kind assistance granted to them by the staff of the Ministry of Lands, Housing and Urban Development. In addition we wish to thank the many officials and residents of the Albertine Region who gave so generously of their time and shared with us their insights into the future development of the Albertine Region. Any errors of fact or interpretation are ours. CPCS Transcom International Limited 1st Floor, Trident House Lower Broad Street Bridgetown, Barbados [email protected]


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Table of Contents Acknowledgements ........................................................................................................... i Acronyms/Abbreviations ................................................................................................... i Executive Summary ...........................................................................................................1 1 Introduction ....................................................................................................................1

1.1 Project Background ..................................................................................................... 2 1.2 Project Goals and Objectives ....................................................................................... 2

1.2.1 Project Objectives ................................................................................................ 2 1.3 Strategic Objectives ..................................................................................................... 3 1.4 Components of an Integrated Physical Development Plan ......................................... 4 1.5 Situation Analysis Approach and Methodologies ....................................................... 4

1.5.1 Team and Roles .................................................................................................... 4 1.5.2 Information Sources ............................................................................................. 5 1.5.3 Field Work ............................................................................................................ 5 1.5.4 Stakeholder Participation ..................................................................................... 6 1.5.5 GIS and Air Photo Data ......................................................................................... 6

1.6 Structure of this Report ............................................................................................... 6 2 National & Regional Context ...........................................................................................7

2.1 Project Location & Physical Description ...................................................................... 8 2.2 Socio-Economic Context .............................................................................................. 8 2.3 Institutional Context .................................................................................................. 11

2.3.1 Government Structure ....................................................................................... 11 2.3.2 Institutional Context - Physical Planning ............................................................ 11 2.3.3 Local Government in the Albertine .................................................................... 13

2.4 Legal and Institutional Framework ............................................................................ 15 2.4.1 The Constitution of the Republic of Uganda, 1995 ............................................ 15 2.4.2 The Physical Planning Act, 2010 ......................................................................... 15 2.4.3 The Local Government Act ................................................................................. 16 2.4.4 The Land Act, 1998 ............................................................................................. 17 2.4.5 The Land Acquisition Act, 1965 .......................................................................... 18 2.4.6 The Public Health Act ......................................................................................... 18 2.4.7 The National Environment Act, Cap 153 ............................................................ 18 2.4.8 The Wildlife Act, 1996 ........................................................................................ 19 2.4.9 The Forest Act, 1999 .......................................................................................... 19 2.4.10 The Petroleum Supply Act, 2003 ........................................................................ 19 2.4.11 The Petroleum (Exploration, Development and Production) Bill, 2012 ............ 19 2.4.12 The Petroleum (Refining, Gas Processing and Conversion, Transportation and Storage) Bill, 2012 .............................................................................................................. 20

2.5 The Planning Context and Hierarchy ........................................................................ 20 2.6 Sub-Regions Overview ............................................................................................... 21

2.6.1 North Study Area ................................................................................................ 21 2.6.2 Central Study Area ............................................................................................. 21 2.6.3 South Study Area ................................................................................................ 21

3 Stakeholders' Views ...................................................................................................... 24 3.1 Introduction ............................................................................................................... 25


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3.2 Stakeholders Working Sessions - Planning Participation Process ............................. 26 3.2.1 Summary of Key Topics Identified ...................................................................... 26 3.2.2 Arua Planning Participation Working Session .................................................... 29 3.2.3 Adjumani Planning Participation Working Session ............................................ 37 3.2.4 Hoima Planning Participation Working Session ................................................. 45 3.2.5 Fort Portal Planning Participation Working Session .......................................... 54 3.2.6 Ishaka-Bushenyi Planning Participation Working Session ................................. 62 3.2.7 MLHUD Planning Participation Working Session ............................................... 72

4 Socio-Economic & Cultural Situation .............................................................................. 78 4.1 Demographics ............................................................................................................ 79 4.2 Migration and Urbanisation Trends .......................................................................... 83 4.3 Local Economy & Employment .................................................................................. 85

4.3.1 Formal Sector ..................................................................................................... 86 4.4 Education ................................................................................................................... 86

4.4.1 Enrolment ........................................................................................................... 86 4.4.2 Distance to Nearest School Facility .................................................................... 87

4.5 Health and Sanitation ................................................................................................ 88 4.5.1 Health Infrastructure .......................................................................................... 88 4.5.2 HIV/AIDs ............................................................................................................. 90

4.6 Gender Equality ......................................................................................................... 92 4.7 Poverty ....................................................................................................................... 93 4.8 Cultural Heritage ........................................................................................................ 95

4.8.1 Ethnic Groups ..................................................................................................... 95 4.9 Issues Relevant to the PDP ........................................................................................ 98

5 Land Use, Management and Settlement Patterns ........................................................ 100 5.1 Introduction - Land .................................................................................................. 101

5.1.1 General Problems in Uganda’s Land Acquisition System ................................. 101 5.1.2 Recommendations to Solve the General Land Acquisition Problems ............. 102

5.2 Land Tenure Regimes in Uganda ............................................................................. 102 5.2.1 Customary Land Tenure ................................................................................... 102 5.2.2 Mailo Tenure and Native Freehold Tenure ...................................................... 104 5.2.3 Freehold Tenure ............................................................................................... 106 5.2.4 Leasehold Tenure ............................................................................................. 107

5.3 Compulsory Land Acquisition .................................................................................. 108 5.4 Land Values .............................................................................................................. 110 5.5 Land-Use Guidelines ................................................................................................ 111 5.6 Land Uses ................................................................................................................. 112 5.7 Settlement Patterns................................................................................................. 115

5.7.1 Settlement Patterns & Growth Trends ............................................................ 115 5.7.2 Settlement Analysis .......................................................................................... 118

6 Infrastructure and Services .......................................................................................... 125 6.1 Transportation ......................................................................................................... 126

6.1.1 Road Transport ................................................................................................. 126 6.1.2 Railway Transport ............................................................................................. 135 6.1.3 Air Transport .................................................................................................... 139 6.1.4 Water Transport ............................................................................................... 145 6.1.5 Pipeline ............................................................................................................. 149


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6.1.6 Transportation Needs ...................................................................................... 149 6.1.7 Transport Legal and Regulatory framework .................................................... 151

6.2 Water Supply ........................................................................................................... 152 6.2.1 Existing Infrastructure ...................................................................................... 152 6.2.2 Condition of the Water Sources ....................................................................... 153 6.2.3 Water Supply Challenges and Recommendations ........................................... 154 6.2.4 Water Supply Situation Analysis ...................................................................... 155 6.2.5 Water Institutional Framework ........................................................................ 155

6.3 Sanitation ................................................................................................................. 157 6.3.1 Existing Infrastructure ...................................................................................... 157 6.3.2 Sanitation in the Albertine region .................................................................... 157 6.3.3 Planned Projects /Strategies ............................................................................ 157 6.3.4 Sanitation Challenges and Recommendations................................................. 157 6.3.5 Sanitation Situation Analysis ............................................................................ 158 6.3.6 Sanitation Institutional Framework ................................................................. 159

6.4 Solid Waste Management ....................................................................................... 159 6.4.1 Existing Infrastructure ...................................................................................... 159 6.4.2 Condition of Solid Waste Disposal ................................................................... 160 6.4.3 Planned Solid Waste Strategies/Projects ......................................................... 160 6.4.4 Solid Waste Situation Analysis ......................................................................... 160 6.4.5 Solid Waste Legal and Institutional Framework .............................................. 161 6.4.6 Solid Waste Challenges and Recommendations .............................................. 161

6.5 Energy ...................................................................................................................... 162 6.5.1 Introduction ...................................................................................................... 162 6.5.2 Hydropower...................................................................................................... 163 6.5.3 Alternative Energy Sources .............................................................................. 167 6.5.4 Energy Challenges and Recommendations ...................................................... 167 6.5.5 Energy Situation Analysis - Summary ............................................................... 169 6.5.6 Energy Institutional Framework ....................................................................... 170

6.6 Information and Communication Technology ........................................................ 171 6.6.1 Introduction ...................................................................................................... 171 6.6.2 ITC Targets / Planned Developments ............................................................... 172 6.6.3 ITC Challenges and Recommendations ............................................................ 173 6.6.4 ITC Legal and Institutional framework ............................................................. 174

7 Municipalities, Towns and the Albertine ..................................................................... 176 7.1 Introduction- Urban Development .......................................................................... 177 7.2 Urban Areas in the Albertine Graben ...................................................................... 177 7.3 Status of Planning of Urban Areas ........................................................................... 179 7.4 Urban Development Issues, Opportunities and Constraints ................................... 185

7.4.1 Arua .................................................................................................................. 185 7.4.2 Hoima ............................................................................................................... 186 7.4.3 Fort Portal Town ............................................................................................... 188 7.4.4 Kasese Town ..................................................................................................... 190 7.4.5 Masindi Town ................................................................................................... 192 7.4.6 Bushenyi-Ishaka Town ...................................................................................... 193 7.4.7 Pakwach............................................................................................................ 194 7.4.8 Butiaba ............................................................................................................. 195


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7.5 Regional Integration ................................................................................................ 199 8 Environmental Situation.............................................................................................. 200

8.1 Introduction ............................................................................................................. 201 8.2 Legal, Administrative and Policy Framework .......................................................... 201

8.2.1 Key Legislation and Policies in Uganda ............................................................ 201 8.2.2 Regulatory and Planning Bodies and their Roles ............................................. 205 8.2.3 Approvals Process as Applied to Oil & Gas ...................................................... 206

8.3 The Existing Environment ........................................................................................ 206 8.3.1 Introduction ...................................................................................................... 206 8.3.2 Atmospheric Environment ............................................................................... 207 8.3.3 Geology and Soils ............................................................................................. 207 8.3.4 Surface Water and Groundwater ..................................................................... 207 8.3.5 Flora, Fauna and Biodiversity ........................................................................... 209 8.3.6 Fishing ............................................................................................................... 211 8.3.7 Protected Areas ................................................................................................ 211

8.4 Potential Development Impacts .............................................................................. 212 8.4.1 Introduction ...................................................................................................... 212 8.4.2 Climate Change ................................................................................................ 217 8.4.3 Land Cover and Soils ........................................................................................ 218 8.4.4 Surface Water and Groundwater ..................................................................... 218 8.4.5 Flora and Fauna ................................................................................................ 220 8.4.6 Wetlands .......................................................................................................... 221 8.4.7 Protected Areas ................................................................................................ 222 8.4.8 Fish ................................................................................................................... 223 8.4.9 Cumulative Effects ............................................................................................ 224 8.4.10 Secondary Effects ............................................................................................. 224

8.5 Location of Environmental Disturbance .................................................................. 225 8.5.1 Introduction ...................................................................................................... 225 8.5.2 Protected areas ................................................................................................ 227 8.5.3 Wetlands .......................................................................................................... 227 8.5.4 Wildlife, Species of Special Importance and Biodiversity ................................ 228 8.5.5 Fish Populations ............................................................................................... 228 8.5.6 Soil Erosion ....................................................................................................... 229

8.6 Conclusions .............................................................................................................. 229 9 Natural Resources Management ................................................................................. 231

9.1 Context / Introduction ............................................................................................. 232 9.1.1 Definition .......................................................................................................... 232 9.1.2 Ecosystem Services: Framework for Natural Resources Management ........... 233 9.1.3 Purpose of this Chapter .................................................................................... 234 9.1.4 The National Context of Natural Resources ..................................................... 234

9.2 National Institutional, Legal and Regulatory Context ............................................. 235 9.2.1 Institutional Structure ...................................................................................... 235 9.2.2 Legislation and Regulation ............................................................................... 237 9.2.3 International Considerations ............................................................................ 238

9.3 Natural Resources of the Albertine Graben region ................................................. 238 9.3.1 Introduction ...................................................................................................... 238 9.3.2 Non-renewable Resources: Minerals and Oil & Gas ........................................ 239


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9.3.3 Renewable Resources: Water Supply and the Ecological Reserve .................. 239 9.3.4 Climate Change ................................................................................................ 242 9.3.5 Water and Fisheries ......................................................................................... 242 9.3.6 Water and Energy: Hydropower ...................................................................... 243 9.3.7 Land, Soils and Agriculture and Forestry ......................................................... 244 9.3.8 Forests and Forestry ......................................................................................... 245 9.3.9 Wood Resources and Biomass Energy (Charcoal) ............................................ 248 9.3.10 Wildlife, Biodiversity and Tourism ................................................................... 251

9.4 Issues Relevant to the PDP ...................................................................................... 255 9.4.1 Synopsis and Best Practice ............................................................................... 255 9.4.2 Natural Resource Opportunities for the Albertine Graben ............................. 259 9.4.3 Natural Resource Constraints in the Albertine Graben ................................... 259

10 Agriculture - The Economic Base ................................................................................ 261 10.1 Introduction ............................................................................................................. 262

10.1.1 Background ....................................................................................................... 262 10.2 Agriculture Sector in the Albertine Graben ............................................................. 263 10.3 Land Uses in the Albertine Graben ......................................................................... 267 10.4 Agriculture Performance ......................................................................................... 267

10.4.1 Land .................................................................................................................. 267 10.4.2 Key Agriculture Enterprise Profiles in the Albertine Graben ........................... 268

10.5 Key Issues Shaping Competitiveness in Agriculture ................................................ 270 10.5.1 Increased Production, Productivity and Resilience .......................................... 270 10.5.2 Improved Marketing Systems and Access ........................................................ 271 10.5.3 The Case for “Dutch Disease” Impetus: ........................................................... 271 10.5.4 Information Access and Involvement of Civil Society Organisations ............... 272 10.5.5 Human Resource Capacity and Skills Enhancement: ....................................... 272 10.5.6 Marketing ......................................................................................................... 273 10.5.7 Agricultural Financing ....................................................................................... 273

11 The Petroleum Industry in the Albertine .................................................................... 276 11.1 Introduction ............................................................................................................. 277 11.2 Overarching Issue: Managing Expectations ............................................................ 279

11.2.1 Expectations from Government of Industry .................................................... 279 11.2.2 Expectations from Communities of Industry ................................................... 280 11.2.3 Expectations of Industry from Government .................................................... 280 11.2.4 Expectations of Communities from Governments ........................................... 281

11.3 Land ......................................................................................................................... 282 11.3.1 Complex Land Use Traditions ........................................................................... 282 11.3.2 Land Valuation and Speculation ....................................................................... 283 11.3.3 Involuntary Resettlement ................................................................................ 283

11.4 Institutional Presence/Capacity .............................................................................. 284 11.5 Coordinating Company/Community /National Development Plans ....................... 285 11.6 Challenges and Related Best Practices .................................................................... 286

11.6.1 Sustainability Performance Standards ............................................................. 286 11.6.2 Revenue Transparency ..................................................................................... 287 11.6.3 Stakeholder Engagement ................................................................................. 287 11.6.4 Project-induced In-migration ........................................................................... 289 11.6.5 Local Content and Vocational Training ............................................................ 289


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11.7 Issues Relevant to the PDP ...................................................................................... 291 12 Economic Development ............................................................................................. 292

12.1 Macro-Economic Overview - Uganda ...................................................................... 293 12.2 Uganda in the East Africa Community ..................................................................... 296 12.3 The Albertine in Uganda .......................................................................................... 297

12.3.1 Agriculture – Crop Production ......................................................................... 297 12.3.2 Agriculture – Fisheries ...................................................................................... 299 12.3.3 Agriculture – Other ........................................................................................... 300 12.3.4 Tourism ............................................................................................................. 300 12.3.5 Petroleum Industry .......................................................................................... 301 12.3.6 Mining............................................................................................................... 301

12.4 Opportunities and Limitations/Constrains .............................................................. 302 12.4.1 Oil Sector Impact on Uganda ........................................................................... 302 12.4.2 Oil Sector Development within National Development Plan ........................... 303 12.4.3 Specific Opportunities for the Albertine Region .............................................. 305 12.4.4 Major Economic Opportunity Constraints in the Albertine ............................. 305

12.5 Issues Relevant to the PDP ...................................................................................... 309 13 On-going and Planned Projects .................................................................................. 311

13.1 Planned and On-Going Projects in the Albertine .................................................... 312 14 IEC Programme ......................................................................................................... 314

14.1 Introduction ............................................................................................................. 315 14.2 Understanding IEC ................................................................................................... 315

14.2.1 Information ...................................................................................................... 315 14.2.2 Education .......................................................................................................... 316 14.2.3 Communication ................................................................................................ 316

14.3 The IEC Strategy ....................................................................................................... 316 14.3.1 Goal & Objectives ............................................................................................. 316 14.3.2 Approach & Methodology ................................................................................ 316 14.3.3 IEC Materials & Activities ................................................................................. 317 14.3.4 Targeted Audience ........................................................................................... 317

14.4 Monitoring Effectiveness ......................................................................................... 317 14.5 IEC Progress to Date (Situation Analysis Phase – May 2014) .................................. 318

14.5.1 Monitoring and Evaluation ............................................................................... 322 14.6 Way Forward ........................................................................................................... 323 14.7 IEC for Physical Plan Implementation ...................................................................... 323

15 Issues, Opportunities, Constraints ............................................................................. 325 15.1 Albertine Development Issues, Opportunities and Constraints .............................. 326

16 Next Steps ................................................................................................................. 334 16.1 Next Steps ................................................................................................................ 335

16.1.1 Client and Stakeholder Review ........................................................................ 335 16.1.2 Formal Presentation of the Situation Analysis Report ..................................... 335 16.1.3 Preparation of the Draft Albertine Graben PDP .............................................. 335 16.1.4 Proposed Presentation, Consultation on the Draft PDP .................................. 335

Annexes......................................................................................................................... 336 Annex 1: Document List ................................................................................................. 337 Annex 2: Identified Stakeholders ................................................................................... 340


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List of Figures Figure 1-1: Integrated Physical Planning Components .............................................................. 4 Figure 2-1: Planning Institutional Hierarchy ............................................................................ 13 Figure 2-2: Physical Development Plan Hierarchy ................................................................... 20 Figure 3-1: Integrated Planning Approach ............................................................................... 26 Figure 5-1: Global Urban-Rural Population Trends ................................................................ 116 Figure 5-2: Fort Portal Formal Pattern ................................................................................... 118 Figure 5-3: Arua Settlement Pattern Analysis ........................................................................ 119 Figure 5-4: Hoima Settlement Pattern Analysis ..................................................................... 120 Figure 5-5: Fort Portal Settlement Pattern Analysis .............................................................. 120 Figure 5-6: Rhino Camp Settlement Pattern Analysis ............................................................ 121 Figure 5-7: Urban Formal Settlement - Density Sample ........................................................ 122 Figure 5-8: Informal Urban Settlement - Density Sample ...................................................... 122 Figure 5-9: Peri-Urban Settlement - Density Sample ............................................................. 123 Figure 5-10: Rural Settlement - Density Sample .................................................................... 123 Figure 6-1: Road Networks - Existing and Future Works ....................................................... 131 Figure 6-2: Passenger traffic at CAA managed Aerodromes .................................................. 142 Figure 6-3: Albertine Water Supply Coverage........................................................................ 156 Figure 6-4: Albertine Hydro Situation .................................................................................... 164 Figure 7-1: Proposed "Eco-City, Arua" ................................................................................... 185 Figure 7-2: Arua Planning ....................................................................................................... 186 Figure 7-3: Hoima Planning .................................................................................................... 187 Figure 7-4: Hoima Structure Plan ........................................................................................... 188 Figure 7-5: Fort Portal Planning ............................................................................................. 189 Figure 7-6: Fort Portal Structure Plan .................................................................................... 190 Figure 7-7: Kasese Planning .................................................................................................... 191 Figure 7-8: Masindi Planning .................................................................................................. 192 Figure 7-9: Masindi Structure Plan ......................................................................................... 193 Figure 7-10: Pakwach Planning .............................................................................................. 194 Figure 7-11: Butiaba Planning ................................................................................................ 195 Figure 9-1: Lake Albert Fishing and Invasive Weeds .............................................................. 241 Figure 12-1: Real GDP and GDP Per Capita (2002 constant prices), 2002-2013 .................... 293 Figure 12-2: Uganda’s Economic Structure – Employment vs. Contribution to GDP ............ 294 Figure 12-3: Tourism Sector’s Contribution to GDP and Employment, 2000-2020 ............... 295 Figure 12-4: Contribution of Albertine Region in National Food Crop Production, 2008/09 297 Figure 12-5: Production of Four Top Food Crops (metric tonnes), 2008/09 ......................... 298 Figure 12-6: Fish Catch by Water Source, 2009-2012 ............................................................ 299 Figure 12-7: Number of Visitors to National Parks, 2012 ...................................................... 300 Figure 12-8: Doing Business Ranking by Indicator, 2014 ....................................................... 307 Figure 12-9: Starting Business Procedures and Time ............................................................. 308 Figure 12-10: Domestic Credit to Private Sector by Banks (in % of GDP), 2012 .................... 309 Figure 14-1: Poster 1 (English/Rutooro/Runyoro) ................................................................. 318 Figure 14-2: Poster 2 .............................................................................................................. 319 Figure 14-3: Poster Sample Addopting Visuals ...................................................................... 324


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List of Maps Map 2-1: Study Area Location .................................................................................................... 9 Map 2-2: Albertine Physical Description .................................................................................. 10 Map 2-3: Albertine Adminstrative Boundaries ........................................................................ 14 Map 4-1: Population Density.................................................................................................... 82 Map 4-2: Social Facilities .......................................................................................................... 91 Map 4-3: Albertine's Ethnic Composition ................................................................................ 97 Map 5-1: Albertine Graben Land Uses ................................................................................... 114 Map 6-1: Uganda's Major Road Links .................................................................................... 127 Map 6-2: Major Road Links to and Within the Albertine Graben .......................................... 130 Map 6-3: Railway Transport in Uganda .................................................................................. 135 Map 6-4: Proposed Uganda Rail Projects ............................................................................... 138 Map 6-5: Proposed Airstrips .................................................................................................. 144 Map 6-6: Albertine Ferry Services .......................................................................................... 147 Map 6-7: Proposed Location of Oil Infrastructure ................................................................. 149 Map 7-1: Municipalities in the Albertine ............................................................................... 180 Map 8-1: Environmental Issues - Albertine ............................................................................ 226 Map 9-1: Natural Resource ‘Hotspots’ in the Albertine ........................................................ 258 Map 10-1: Agriculture - Northern Albertine Graben ............................................................. 264 Map 10-2: Agriculture - Central Albertine Graben ................................................................ 265 Map 10-3: Agriculture - Southern Albertine Graben ............................................................. 266 Map 11-1: Petroleum Leases - 2013 ...................................................................................... 278 Map 15-1: Albertine Growth Trends ...................................................................................... 333 List of Tables Table 1-1: Consultant Team and Roles ....................................................................................... 4 Table 2-1: Study Area - Key Features ....................................................................................... 22 Table 3-1: Summary - Key Topics Identified ............................................................................. 27 Table 3-2: Arua SWS - Issues, Recommendation & Prioritization ........................................... 30 Table 3-3: Adjumani SWS - Issues, Recommendation & Prioritization .................................... 39 Table 3-4: Hoima SWS - Issues, Recommendation & Prioritization ......................................... 47 Table 3-5: Fort Portal SWS - Issues, Recommendation & Prioritization .................................. 56 Table 3-6: Ishaka-Bushenyi SWS - Issues, Recommendation & Prioritization ......................... 64 Table 3-7: MLHUD SWS - Issues, Recommendation & Prioritization ....................................... 73 Table 4-1: Demographic Information of the Albertine Graben ............................................... 80 Table 4-2: Projected 2014 Municipal Population within the Albertine Region ....................... 83 Table 4-3: Projected 2014 Town Councils in the Albertine Region ......................................... 83 Table 4-4: Education Enrolment Information - Albertine Graben ........................................... 87 Table 4-5:Distances to Educational Facility .............................................................................. 88 Table 4-6:Health Facilities in the Albertine Graben ................................................................. 89 Table 4-7: % Poverty Headcount by Districts - Albertine Graben ............................................ 94 Table 4-8: Cultural Sites within the Albertine Graben Region ................................................. 96 Table 5-1: Albertine Graben Land Uses .................................................................................. 113 Table 5-2: Density Samples .................................................................................................... 124 Table 6-1: Length of Uganda's Road Network ....................................................................... 126 Table 6-2: Average 2013 Daily Traffic on the Uganda Road Network (in vehicles/day) ........ 126


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Table 6-3: Ongoing and Prospective Road Projects ............................................................... 128 Table 6-4: Major Buses from Kamapala to the Albertine region ........................................... 129 Table 6-5: Challenges and Recommendations by Road Transport Stakeholders Consulted . 134 Table 6-6: Existing Condition of Kampala to Kasese Railway Line ......................................... 136 Table 6-7:Existing Condition of Tororo - Pakwach Railway Line ............................................ 136 Table 6-8: Challenges in the Railway Transport ..................................................................... 139 Table 6-9: Features of Arua Airstrip ....................................................................................... 140 Table 6-10: Features of Kasese Airstrip .................................................................................. 141 Table 6-11: Featues of Pakuba Airstrip .................................................................................. 141 Table 6-12: Transit Passenger Traffic - CAA Aerodromes in Albertine (2003-2012).............. 143 Table 6-13: Challenges Faced in Air Transport Sector ........................................................... 145 Table 6-14: Status of Water Transport Infrastructure in the AlbertineGraben ..................... 146 Table 6-15: Water Transport Challenges Faced by Stakeholders Met................................... 148 Table 6-16:Situation Analysis – Transportation ..................................................................... 150 Table 6-17: Condition of Water Sources in the Northern Region of the Albertine Graben .. 153 Table 6-18: Condition of Water Sources in the Central Region of the Albertine Graben...... 153 Table 6-19: Condition of Water Sources in the Southern Region of the Albertine Graben .. 154 Table 6-20: Water Supply Challenges and Recommendations from Stakeholders ............... 154 Table 6-21: Challenges and Recommendations ..................................................................... 161 Table 6-22: The Energy Power Potential in Uganda .............................................................. 163 Table 6-23: Energy Challenges and Recommendations ......................................................... 167 Table 6-24: Energy Sources in Uganda ................................................................................... 168 Table 6-25: Situation Analysis– Energy .................................................................................. 169 Table 6-26: Radio Stations in the Albertine Graben .............................................................. 171 Table 6-27: Television Stations in the Albertine Graben ....................................................... 172 Table 6-28: Challenges and Recommendations in the Communication Sector ..................... 173 Table 7-1: Urban Hierachy in Uganda .................................................................................... 177 Table 7-2: Municipalities and Town Councils in the Albertine Graben ................................. 178 Table 7-3: Key Features of the Municipalities in the Albertine Graben ................................ 181 Table 7-4: Status of Planning of the Major Towns in the Albertine Graben .......................... 182 Table 7-5: Municipalities Development Issues, Opportunities and Constraints ................... 196 Table 8-1: Conservation Areas in the Albertine Graben ........................................................ 212 Table 8-2: Primary Potential O&G Effects on Environment ................................................... 214 Table 8-3:Secondary Potential O&G Effects on Environment ............................................... 215 Table 8-4: Wetlands Sensitivity .............................................................................................. 222 Table 9-1: Institutional, Policy & Legal Framework - Natural Resources Management ........ 236 Table 10-1: Production of Major Crops (metric tonnes), 2008/09 ........................................ 274 Table 10-2: Summary of Food Production (Tonnes) - Hoima District 2013 ........................... 274 Table 12-1: Uganda and East African Community Partner States ......................................... 296 Table 12-2: Ease of Doing Business Ranking, 2014 ................................................................ 307 Table 13-1: Projects in the Albertine ..................................................................................... 312 Table 14-1: Activities/Stakeholders ....................................................................................... 319 Table 14-2: Activity Assessment ............................................................................................. 322 Table 15-1: Albertine Summary Issues, Opportunities and Constraints ................................ 327


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Acronyms/Abbreviations ALC Area Land Committee ARSDP Albertine Region Sustainable Development Project BC Broadcasting Council BRL Building Restriction Line CAA Civil Aviation Authority CAO Chief Administrative Officer CAR Community Access Roads CBO Community Based Organizations CSO Civil Society Organisations CDO Community Development Offices CFR Central Forest Reserve CG Central Government CPP Commissioner for Physical Planning DDP District Development Plan DEM Digital Elevation Model DFR Department of Fisheries Resources DLB District Land Board DRC Democratic Republic of Congo DWD Directorate of Water Department DWO District Water Office DWRM Directorate of Water Resources Management EARS East African Rift System ERA Electricity Regulatory Authority FY Fiscal Year GDP Gross Domestic Product GIS Geographic Information System GoU Government of Uganda Km Kilometre Kv Kilovolts LG Local Council LFR Local Forest Reserve LPG Liquefied Petroleum Gas MAAIF Ministry of Agriculture, Animal Industry and Fishery MC Municipal Council MEMD Ministry of Energy and Mineral Development MFCA Murchison Falls Conservation Areas MFNP Murchison Falls National Park MIST Management Information System Technology MLHUD Ministry of Lands, Housing and Urban Development MLG Ministry of Local Government MoWT Ministry of Works and Transport MW Mega Watts


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MWE Ministry of Water and Environment MWLE Ministry of Water, Lands and Environment NaFIRRI National Fisheries Resources Research Institute NDP National Development Plan NEMA National Environment Management Authority NFA National Forestry Authority NFRRI National Fisheries Resources Research Institute NGO Non-Governmental Organizations NOGP National Oil and Gas Policy NP National Park NPDP National Physical Development Plan NPPB National Physical Planning Board NRSC National Road Safety Council NWSC National Water and Sewerage Corporation PAs Protected Areas PCE Policy Committee on Environment PDP Physical Development Plan PEPD Petroleum Exploration and Production Department PPD Physical Planning Department PPP Public Private Partnership QECA Queen Elizabeth Conservation Areas QENP Queen Elizabeth National Park REA Rural Electrification Agency ROW Right of Way RVR Rift Valley Railway UBOS Uganda Bureau of Statistics UCC Uganda Communications Commission UEDCL Uganda Electricity Distribution Company Ltd. UEGCL Uganda Electricity Generation Company Ltd. UETCL Uganda Electricity Transmission Company Ltd. UIA Uganda Investment Authority UICT Uganda Institute of Information and Communications Technology ULA Uganda Land Alliance ULC Uganda Land Commission UM Uganda Museums UNEP United Nations Environment Management Programme UNHCR The United Nations Refugee Agency UNHS Uganda National Household Survey UNPAC Uganda National Plan of Action UNRA Uganda National Roads Authority UPHC Uganda Population and Housing Census URF Uganda Road Fund UWA Uganda Wildlife Authority WCS Wildlife Conservation Society WFP World Food Programme (UN) WMD Wetlands Management Department WWF World Wide Fund For Nature


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Executive Summary Introduction and Objective The Albertine Graben is one of Uganda's most important and dynamic regions. It includes ¼ of the land; houses ¼ of the population; produces more than its share of food; generates over 70% of the country's tourism revenue; shares borders with two unstable neighbours; and is now centre to Uganda's emerging petroleum industry. With all of this comes a complex mix of development issues, opportunities and constraints. To help establish a framework for the future, the Government of the Republic of Uganda, through the Ministry of Lands, Housing and Urban Development (MLHUD) commissioned the preparation of a priority Albertine Graben Physical Development Plan (PDP) with the objective to:

"Provide a physical development planning framework to promote and guide the development process in the Albertine Graben region in a sustainable manner through preparation of a 25 year integrated Physical Development Plan."

Approach The Canadian consulting firm, CPCS Transcom International Ltd. was contracted and commenced work on this 6-month assignment in March, 2014. Following a 3-week Inception Phase, this Situation Analysis Report was prepared during an intense 6-week period in April and May, 2014, and is presented here as the basis for the next phase preparation of the Draft Albertine Graben Physical Development Plan. The approach to the work is based on two key principles: 1. Physical Planning must be inclusive and multi-sectoral integrating: social, cultural,

economic, environmental, institutional, physical and financial considerations; 2. Physical Planning must be based on highly participatory processes involving a full range

of public, private and community stakeholders. Of great benefit to the work to date is the high level of collaborative support and timely response being accorded the Team by MLHUD officials. Strategic Objectives In addition to the overall project objective, a number of Strategic Objectives are identified:

▪ Development Control and Institutional Capacity require priority attention as the keys to sustainable planning and development.


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▪ A comprehensive long-term view of social, economic and environmental sustainability is required to balance the short and medium-term petroleum benefits.

▪ Agriculture, the traditional economic base, must be safeguarded and enhanced for long-term sustainability.

▪ The Albertine's world-class protected areas and biodiversity which contribute to the country's environmental health, and support an important tourism industry, must be protected and sustainably considered with all other development plans.

▪ Roles of Public and Private Sectors in regional and local development must be clearly defined, communicated and integrated into planning, implementation and management of all development components.

Participation In addition to extensive document review and numerous stakeholder interviews in Kampala and throughout the Albertine, a key source of information for this Report is a series of highly participatory Stakeholder Working Sessions (SWS) held in Kampala and the 5 Albertine centres of Arua, Adjuman, Hoima, Fort Portal and Ishaka-Bushenyi. These involved a mix of public, private and NGO participants engaged in Mind-Mapping, Physical Mapping and discussion exercises of their perceived important issues, opportunities and constraints for the Albertine. Full details are presented in Chapter 3. These formed an important part of the on-going Information, Education and Communication (IEC) Programme being carried on throughout. MLHUD officers accompanied the Team for its SWS work as part of hands-on training. A Summary of the Situation The following combines highlights of the many research findings and comments gathered from stakeholders during this Phase, and forms the foundation for recommendations to be made in the forthcoming Albertine Graben Physical Development Plan: Social and Cultural Context The Albertine's diverse mix of ethnic groups has a total estimated population of 9 million, which could as much as triple during the 25-year planning period based on current growth rates. The challenges of delivering basic services and ensuring adequate food, water and shelter will be immense. Almost 25% of the population remain below the poverty line with 95% of that in rural areas rely largely on subsistence agriculture. Current development priorities include:

▪ Improved access to regionally-based post-secondary educational institutes.

▪ Development of higher level District Health Care facilities.


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▪ Control and additional services to address high levels of refugee influx, particularly in the northern areas.

▪ Institutionalised bottom-up participation and community sensitisation for all development initiatives.

Land Use, Management and Settlement Patterns Land is the basis of all development, and how it is planned, managed, used and transferred has major impacts on the sustainable future of any region. Numerous land issues have been identified in addition to the concern that land will run out as the population grows:

▪ Customary land tenure and the strong cultural ties to its use and control impede orderly and economic development and servicing, particularly in urban areas.

▪ Plan implementation and Development Control are almost non-existent in the Albertine's urbanising centres. Uncontrolled urban sprawl is the norm to the detriment of service provision, environmental management and agricultural sustainability.

▪ Informal settlement patterns dominate everywhere, but are of greatest concern in urbanising areas where the economic provision of infrastructure and services become technically and financially prohibitive.

▪ Greater community participation is needed in the preparation of all Plans and regulations to ensure agreement, understanding, ownership and support for implementation.

Infrastructure and Services Transport and Connectivity Transport infrastructure forms the physical framework for development with a number of key issues identified in the Albertine:

▪ Concerns are raised that oil industry activity will destroy existing road infrastructure to the detriment of local governments and residents if adequate and timely interventions are not made by both government and the private sector.

▪ Infrastructure through the southern and central parts of the Albertine should be integrated into the proposed Northern Corridor development linking Rwanda through Uganda to Kenya with possible South Sudan connections.

▪ All infrastructure components should be developed in Infratructure Corridors to consolidate services, minimize local disruption and land loss, and minimize compensation and resettlement needs.


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▪ The north part of the Albertine particularly needs improved road and rail access to take advantage of important South Sudan and DRC trade opportunities, not to mention the rest of Uganda and the EA Community.

▪ Improved rail connections throughout the Albertine will provide an efficient and economic alternative to road transport.

▪ Multi-modal transport opportunities should be developed making best use of road, rail and water options. Pakwach and Butiaba are two key locations.

▪ Improved Lake Albert water transport will provide a needed link from the northern Albertine to the rest of the Graben.

Water Supply

▪ Shortages and concerns exist throughout the Albertine.

▪ Perceived large potential sources such as the Nile River and Lake Albert have limits, are in risk of over-exploitation, and need substantial investments to move water to where it is needed.

▪ Sustainable management of this key Natural Resource must rank as one of the country's top priorities, and is tied to good land management, control of oil industry activities, community sensitisation, wetland and forest conservation, and political will.

Sanitation and Solid Waste Management

▪ Both services rank high among urban concerns. None of the Albertine urban centres have centralised sewerage systems and increased size and densification increases community health risks. Installing such systems is extremely expensive and difficult to manage depending on location, treatment and disposal options.

▪ Solid waste management is a much easier service to implement at far less cost with

options for PPP implementation. However, it also needs political will, technical inputs and community sensitisation.

Energy

▪ Power shortages are a key constraint to attracting private investment into industrial development with the accompanying opportunities for economic diversification. Numerous hydro sites have been identified, and many licensed for development, throughout the Albertine. However, care must be taken to not develop these without due attention to the potential wide-spread environmental damage these can cause if water resources are mismanaged, drainage patterns shifted, bio-diversity habitats sacrificed, etc. These are particular concerns along the Nile which influences a 10-country basin.


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▪ Charcoal remains the dominant cooking fuel and is devastating the environment. Deforestation and loss of this key natural resource is fuelling erosion, local climate change including rainfall patterns, loss of biodiversity habitat and degrading air quality.

▪ Abundant opportunities exist to utilise alternative renewable energies, but the initial

capital costs of many, such as solar, put it beyond the means of most without external support.

Municipalities, Towns and the Albertine

▪ Urban centres account for only ¼ of the Albertine's population, but are the centres of economic activity and governance, and growing at almost double the national population growth rate. Rural-urban migration is the main driver.

▪ There are 7 Municipalities in the Albertine and another 45 Town Councils. Structure

Plans exist for most of the Municipalities and many of the Town Councils, but implementation and development control are almost non-existent. Urban sprawl, infrastructure challenges, environmental degradation, limited higher-level social facilities, and limited employment are among the key issues.

▪ Political expediency over-riding technical guidance is frequently cited as a further

impediment to order growth. ▪ Community sensitisation and stakeholder participation are recognized as key to

meaningful planning and sustainable implementation. ▪ Arua, Hoima and Fort Portal are particularly identified as key Regional Centres

supporting regional trade, the oil industry, and tourism in their respective areas. ▪ Limited central government financial support, and limits to Local Government's

capacity to collect and manage local revenue are touted as critical constraints.

▪ Understanding the dynamics of formal and informal settlement with their accompanying patterns of incremental growth within a largely "trickle" economy is essential for proposing realistic planning and development strategies.

Environmental Situation

▪ The physical environment is the basis of all social and economic well-being, and has clearly been elevated from the peripheral attention it received in the past to being a key underlying concern.

▪ Uganda has ample legislation, regulations, international protocol agreements,

watchdog oversight, and much of the technical knowledge it requires for sustainable environmental management. Adequate political will, community sensitisation, and the ability to implement and enforce these are, however, lacking.


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▪ Traditional environmental management knowledge and techniques were sustainable. These tend to be lost and over-ridden by contemporary aspirations, but should be brought back into play by involving local communities in environmental management.

▪ Concerns and examples of oil industry environmental damage are raised by many

including water pollution, loss of wildlife habitat, destruction of forest and farm land. Some claims are undoubtedly real, many may be tied to compensation hopes.

▪ Overpopulation is weighing heavily on the health of land, water, fish stocks, forests

and biodiversity in general. ▪ With the majority of the population continuing to subsist on traditional agriculture,

there is limited scope for individual action beyond daily feeding of the family. Natural Resource Management The foundation of Uganda's economy is its natural resources: soil, forest, water, and the minerals, biomass, fish and wildlife they contain. Most of Uganda's natural resources are under threat of serious degradation or complete loss.

▪ The soil is the natural resource base for Uganda's economic survival. Deforestation and overuse leading to erosion need controlling to ensure food for a growing population.

▪ Forest cover is a fraction of what it once was, and being rapidly depleted by conversion

to farmland and charcoal production.

▪ Reforestation with monoculture plantations is an important economic contribution, but addresses only part of the sustainable environment and resource problem.

▪ Water resources are potentially abundant for consumption, as fish habitat, and for hydro power generation, but they are under threat from over-use, industrial and domestic pollution, and a growing population. Broad regional cooperation through such initiatives as the Nile Basin Authority is needed, as water is not just a local resource.

▪ Underground aquifers are being depleted from over-reliance on boreholes, and loss of important wetland re-charge zones.

▪ Wildlife, which supports an important tourism industry and contributes to essential biodiversity, is suffering from habitat loss including encroachment in protected areas by a growing population and the oil industry.

▪ Oil and gas reserves, and probably to a lesser extent other mineral resources, have the potential to contribute positively to Uganda's economic health and are now being developed. It is a new adventure for Uganda and considerable effort, care and caution are being applied to their sustainable exploitation as knowledge and experience are gained.


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▪ As with all development components, the key to sustainability is institutional capacity,

community participation, and political commitment. Sufficient legislation, policy and international protocols likely exist; again it is the will and ability to implement and enforce that are key.

Agriculture - The Economic Base Uganda has, does and will rely on agriculture as its economic base for the foreseeable future. This must not be forgotten in the bright lights of such things as the emerging petroleum sector.

▪ Fears have been expressed throughout the Albertine that agriculture will be forgotten and sacrificed as the petroleum industry develops and urbanisation begins to dominate.

▪ Hopes exist that oil revenue will be re-invested to help modernise the agricultural sector.

▪ Communal land ownership, agriculture and the traditional farming live are integrally woven into the culture of the country and will be slow to change without greater education and sensitisation.

▪ Opportunities are identified to increase local agro-processing industries to add value and generate local employment before production is shipped out.

▪ Consideration is being given to experimenting with consolidation of rural residents into more urban centres to ease the provision of services, and allow greater agricultural mechanisation. Rwanda is currently undertaking the same through its umudugudu programme. It remains to be seen how this will be accepted, and how the ties to the land can be retained.

▪ Improved physical central markets and storage facilities are suggested as ways of adding value, supporting higher prices to farmers, and increasing outside trade.

▪ Improved transport and access to water - irrigation is relatively unknown, but seen as a pending necessity - are identified as priority requirements.

The Petroleum Industry in the Albertine The Abertine PDP is being given national priority because of the emergence of the petroleum industry. Numerous concerns are raised and considerable efforts are being made to ensure a smooth integration of the industry with government, the industry with community, the government with community, communities with communities, and the whole development with global best practices.


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▪ Uganda's oil reserves are modest by global standards and of relatively short duration, perhaps 20-25 years.

▪ The 3 current key players, Tullow, Total and CNOOC are all major, experienced and responsible participants, operating on shareholder return, but equally aware of the importance of being good corporate citizens.

▪ Fears are raised that long-term sustainable industries such as agriculture and tourism will be forgotten in the scramble for short-term unsustainable oil gains.

▪ Managing expectations by both the government and the industry is a major challenge. The perception of wealth for all and the end to all other problems is not realistic, but a widely held expectation.

▪ Speculation and population migration into the key oil areas, such as Hoima, are escalating real estate prices to the detriment of local residents.

▪ Controversy always surrounds the extractive resource industries, and they are carefully watched locally and internationally. Activities such as allowing development within Uganda's National Parks and other protected areas is adding fuel to the fire. Anecdotal reports, and preliminary (unofficial) World Bank survey findings, all point to negative impacts on wildlife and tourism in Murchison Falls NP as one example.

▪ Uganda's oil industry players are experienced in meeting their Corporate Social Responsibility (CSR) roles and expectations. Considerable efforts are being made in this direction, but full government and community participation is needed. Industry lessons learned from past experience point to numerous potential pitfalls if CSR activities are not sustainably targeted. Highly visible capital investments in bricks and mortar often create more liabilities than credits, and the industry is aware of this. Changed approaches to address this are being experimented with.

Economic Development At the macro-level Uganda is just holding its own in the East Africa Community with some warning flags visible.

▪ Agriculture is the foundation, but Uganda's per capita production is falling behind.

▪ High optimism is being attached to the future of oil and gas, but the reserves are small by global standards and only 1/3 of neighbouring Kenya's. Benefits may be limited and relatively short-lived. An "Exit Strategy" is needed.

▪ Uganda ranks poorly regionally and globally in terms of "Ease of Doing Business" according to annual Work Bank reports. Changes are needed if critical foreign investment is to be attracted and retained.


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▪ Tourism is important and has growth potential if its underlying natural resource attractions are sustainably maintained. Opportunities exist to attract more of the traditional Kenyan tourist traffic as conditions in Kenya become less attractive. Standards and infrastructure are key.

▪ Planned major infrastructure developments in transport/connectivity and power, combined with regional integration plans, should make positive contributions to economic growth.

▪ Higher education, particularly at the post-secondary vocational level, will allow greater participation in new industry and support needed economic diversification.

The IEC Programme Information, Education and Communication (IEC) are underlying necessities if the Albertine PDP is to reflect the realities of the region, its needs and aspirations, and see itself translated into on-the-ground reality. IEC remains a key component of the preparation of the PDP and will be established as a backbone of implementation:

▪ Extensive field Working Sessions throughout the Albertine with a full cross-section of stakeholders have and will continue to be held.

▪ Multi-media programmes are proposed (and some have started) including press releases, press conferences, radio shows, drama, social media, questionnaires, etc.

▪ Training commenced at the beginning with hands-on involvement of MLHUD and local government officials. New (apparently for the region) techniques of interactive participation were utilised in analysing local conditions and needs.

▪ The extremely short timeframe for preparation of the PDP is resulting in a loss of opportunity to fully implement the early IEC proposals. A proposed series of regular press releases, press conferences and radio shows have all been delayed by government/client protocols and individuals' busy agendas. Awareness and participation opportunities are being lost.

▪ Community sensitisation and participation have been raised everywhere as critical if plans are to accepted and implementation supported.

▪ Formal Physical Planning Training for MLHUD and Local Government officials forms an important part of this assignment.

▪ An early assessment of the various activities is presented in Chapter 14.


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Next Steps

▪ This Situation Analysis Report was submitted to MLHUD on 16 May 2014 for an agreed 2-week review period.

▪ MLHUD is inviting other stakeholders to also review and contribute to written comments to be provided to the Consultant at the end of the review period.

▪ Subject to receipt of written comments, work will commence 1 June 2014 on a 2-month period to prepare the Draft Albertine Graben Physical Development Plan.

▪ Part of reviewing the Draft PDP will be a serious of presentations/consultations by the Consultants in Kampala and the Albertine to gain additional comments, and ensure that what was communicated has been captured.

▪ MLHUD and Local Government training will be integrated with the Draft PDP consultations.

▪ The Final Albertine Graben Physical Development Plan will be delivered to MLHUD by the end of August 2014.

Conclusion The Albertine Graben has some of Uganda's greatest development potential. The insightful decision of government to prioritise long-term planning for the region to maximise opportunities and minimize negative impacts bodes well for the future. The issues are complex, interwoven and often without clear solutions that will satisfy all. However, the commitment and collaboration of MLHUD and other government agencies, the enthusiasm, bordering in cases on passion, of the many stakeholders encountered highlights the fact that people are concerned about their improved future and want a say in its direction and sustainability. Therein lies the key to the successful realisation of the goals of this exercise.


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1Introduction

Introduction

The Government of the Republic of Uganda is aware of the importance of comprehensive planning for the future of the Albertine Graben as a result, primarily, of the emerging petroleum sector activities and related impacts. Uganda has received financial support from the World Bank to undertake preparation of this Albertine Graben Physical Development Plan through the Ministry of Lands, Housing and Urban Development (MLHUD). In turn, MLHUD engaged the services of CPCS Transcom Ltd. to undertake the work. This Situation Analysis Phase is key to gaining an understanding of the area's issues and prioritised future planning needs.


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1.1 Project Background The Albertine Graben has commercially viable oil deposits, currently estimated at about 3.5 billion barrels. Current activities are revolving around exploration of oil and plans are underway for production. Consequently decisions are being made about locations for facilities such as a refinery, pipelines, processing centres, related industrial establishments, improved road network, airports as well as related settlement growth including residential, commercial, and social and economic amenities. The region is anticipated to experience high growth rates as a result of the oil discovery and production. At the same time, the Albertine contains a diverse range of historic and well established economic activities including agriculture and tourism, as two examples, along with vast protected areas. All of these will be impacted in various ways by oil activities. Consequently, the Government of Uganda recognizes the need for an Albertine Graben Physical Development Plan to provide a development framework for the region covering a 25-year period to 2040.

1.2 Project Goals and Objectives 1.2.1 Project Objectives

The stated primary objective of this assignment is to:

"Provide a physical development planning framework to promote and guide the development process in the Albertine Graben region in a sustainable manner through preparation of a 25 year integrated Physical Development Plan."

The initiative is considered particularly important to maximise positive impacts and minimize negative impacts from recently discovered oil deposits in the Albertine Graben. Specific Objectives of the Assignment include:

▪ Formulation of a Physical Development Plans that is compatible and complementary to the socio-economic aspirations of the people in the region and the development policies and aspirations of this country;

▪ Integration of ecological principles as an important component of the land use planning and environmental management processes within the Albertine Graben;

▪ Adoption of appropriate physical development planning approaches to maintain the ecological integrity of the biophysical environment, and also maintain the integrity of the cultural landscape - including traditional economic activities (such as agriculture, fishing, hunting, etc), significant historical and archaeological sites and the form and social character of the local (indigenous) people;

▪ Plan and safeguard suitable land for affordable housing, viable agriculture and industrial developments et cetera, in future.


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▪ Articulation of strategic actions that are necessary to enhance sustainable productivity of the Albertine Graben using the available resources.

1.3 Strategic Objectives In addition to the project objectives described above, a number of Strategic Objectives have been developed to guide preparation of the Albertine Graben Physical Development Plan (PDP).

▪ Development Control and Institutional Capacity require priority attention as the keys to sustainable planning and development. Planning and Development Control is required to restrict/reverse ad hoc urban sprawl, to halt uncontrolled deforestation and encroachment and related environmental damage, and to provide investors with the confidence to invest.

▪ The Albertine Graben PDP will focus on a comprehensive long-term view of social, economic and environmental sustainability to balance the short and medium-term interest in petroleum benefits.

▪ Oil company CSR investments must be carefully monitored and guided by Government, MLHUD in particular, along with beneficiary communities to ensure maximum locally appropriate and sustainable benefits are achieved. MLHUD is key.

▪ Infrastructure investments will be planned to provide a maximum range of economic and social development benefits integrated with solid environmental management.

▪ The short-term micro-economics/capital cost of an infrastructure project should not take precedence over the macro-economic, long-term national sustainability interests.

▪ Agriculture, as the traditional economic base upon which the vast majority of Albertine do and will continue to rely upon long after the petroleum is gone will be safeguarded and enhanced.

▪ The Albertine's world-class protected areas and biodiversity which contribute to the country's environmental health and support an important tourism industry must be protected and sustainably considered with all other development plans.

▪ Roles of Public and Private Sectors in regional and local development will be clearly defined, communicated and integrated into planning, implementation and management of all development components.


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1.4 Components of an Integrated Physical Development Plan

Figure 1-1: Integrated Physical Planning Components

1.5 Situation Analysis Approach and Methodologies A full description of the overall Approaches and Methodologies utilised in this assignment is presented in the Inception Report. The following is a summary for this Phase. 1.5.1 Team and Roles

A multi-disciplinary Team of national and international specialists, along with a long list of stakeholders, have all contributed to this Situation Analysis work. Table 1-1 presents a summary.

Table 1-1: Consultant Team and Roles

Name Position

Glory Jonga CPCS Project Director Rob Story Project Manager (PM), Team Leader (TL), Sr. Physical Planner Peter Mugenzi Deputy PM, GIS Specialist Giovana Beltrao Sr. Physical Planner, Stakeholder Participation, IEC Specialist Kato Kagga Infrastructure Engineer


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Dr. James Ssengendo (assisted by Amina Kyabangi)

Sociologist

Rebecca Ssabaganzi Agricultural Specialist Juliet Rita Physical Planner Dr. Bruce Thompson Environmental Specialist Dr. Caroline Henderson Natural Resources Specialist Miho Ihara Development Economics Specialist Elizabeth Okwenje Sr. GIS Specialist Jeff Flood Petroleum Industry Specialist

1.5.2 Information Sources

Information for this Report has been derived from a wide range of sources including the documentation listed in Annex 1, formal stakeholder discussions (Annex 2), informal discussions with a wide range of mostly unnamed residents, air photo/satellite image analysis, and the consultants' local knowledge, field observations and previous experience. 1.5.3 Field Work

Participatory field work in the Albertine by Consultant Team members interacting with as many stakeholders as possible is the key to preparing an appropriate Physical Development Plan. Field work forms a major component of the Consultant's approach to the assignment. Travel, formal and informal interviews and formal Working Sessions have been conducted throughout the Albertine. Complete details are presented in Chapter 3, Chapter 14 and Annex 2 but in summary includes: 1. Inception Phase road travel by 4 Team members accompanied by a MLHUD Physical

Planner to: ▪ Murchison Falls NP: interviews, observations ▪ Arua: meetings with Municipal and District officials ▪ Rhino Camp: meeting with District officials ▪ Hoima: formal introductory workshop ▪ Fort Portal: formal introductory workshop ▪ Queen Elizabeth NP: observations ▪ Ishaka-Bushenyi area: observations ▪ Road travel observations between all points

2. Situation Analysis Phase

▪ Individual field work by Infrastructure, Sociology, Agricultural, Natural Resources, Economic Development and Petroleum Industry Specialists to various parts of the Albertine: formal and informal meetings, observations

▪ Formal, highly participatory Working Sessions held in Arua, Adjumani, Hoima, Fort Portal and Ishaka-Bushenyi accompanied by Physical Planners from MLHUD.

In addition to the Albertine Graben field work, extensive meetings were held with a range of government, private sector and NGO stakeholders in Kampala.


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1.5.4 Stakeholder Participation

Stakeholder participation is stressed by both MLHUD and the Consultant Team as the key to a successful and acceptable Albertine PDP. Chapters 3 and 16 describe details of stakeholder participation undertaken so far. 1.5.5 GIS and Air Photo Data

Extensive use is made of GIS mapping complemented by air photo/satellite imagery to analyse and present data and proposals. The major sources of this material are the Uganda Bureau of Statistics (UBOS) and the National Forestry Authority (NFA).

1.6 Structure of this Report This Situation Analysis Report is structured as follows:

Chapter Title

Chapter 1 Introduction Chapter 2 National and Regional Context Chapter 3 Stakeholders' Views Chapter 4 Socio-Economic and Cultural Situation Chapter 5 Land Use, Management and Settlement Patterns Chapter 6 Infrastructure and Services Chapter 7 Municipalities, Towns and the Albertine Chapter 8 Environmental Situation Chapter 9 Natural Resource Management Chapter 10 Agriculture - The Economic Base Chapter 11 The Petroleum Industry in the Albertine Chapter 12 Economic Development Chapter 13 On-going and Planned Projects Chapter 14 IEC Programme Chapter 15 Issues, Opportunities and Constraints Chapter 16 Next Steps Annexes


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2National & Regional Context

Introduction

This Chapter summarises the physical and institutional contexts within which the Albertine Graben Physical Development Plan is set. Planning and activities in an area of this size must consider the two-way influences of conditions and decisions on the rest of Uganda and its neighbouring countries. .


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2.1 Project Location & Physical Description As illustrated in Map 2-1 the Albertine Graben occupies the entire western quarter of Uganda, a large and diverse region. The total Planning Area is 67,886 km2 stretching from South Sudan south to Rwanda, and bounded on the west by the Democratic Republic of Congo. The Albertine Graben forms the northern most part of the East African Rift System covering an area 500km long and ranging from 30 km to 100 km wide. The region is anchored around Lakes Albert and Edward, the Nile River in the north, and the impressive Rwenzori Mountains in the centre. Large expanses of traditional, subsistence agricultural lands, forest reserves, and several national parks of world-class stature with prolific wildlife resources all contribute to the region's geographic diversity, ecological importance and socio-economic opportunities. Many of these assets are shared with neighbouring countries and must be looked at within the regional context.

2.2 Socio-Economic Context Uganda's total population in 2014 is estimated at about 36 million based on extrapolations from the last official census in 2002. The Albertine's portion of that is about 25% (9.1 milion) closely corresponding to the Albertine's land area proportion. Chapter 4 presents details and source references. The urban portion of the population of stands at about 26% of the total with over 81% of the population involved in agriculture of some sort. Despite a general growth in the economy the national per capita income is only US$ 334 leaving a large proportion of the population in poverty. Continued rural-urban migration will pose an on-going challenge for governments at all levels to keep pace with the demand for planned land and infrastructure. The Albertine Graben's geo-political location also has major impacts. On-going political instability and related conflicts in neighbouring South Sudan and the Democratic Republic of Congo result in large numbers of refugees fleeing into the area putting pressure on local resources and generate inevitable resentments. UNHCR and numerous NGOs maintain a strong presence in the area. Rebel groups of various factions from neighbouring countries always pose a threat to local security. The relative prosperousness and security of Uganda also draws a large number of economic refugees. At the same time, the Albertine's ethnic groups are not defined by political borders and incoming refugees may well share a common ethnicity with their new hosts.


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Map 2-1: Study Area Location

Source: UBOS


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Map 2-2: Albertine Physical Description


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2.3 Institutional Context 2.3.1 Government Structure

In summary, government in Uganda is structured as follows:

▪ National Government: Ministries and Agencies ▪ District Local Government ▪ County and Sub-County ▪ Municipality ▪ Town Council

Below Town Councils are a variety of smaller Trading Centres, In addition, there is the traditional leadership providing clan governance, and a variety of locally-based Community Organisations providing informal, non-statutory guidance to communities. The interface between contemporary and traditional government causes some conflicts, particularly with respect to land ownership, planning and management. 2.3.2 Institutional Context - Physical Planning

Figure 2-1 illustrates the Governance/Institutional context within which preparation of a regional Physical Development Plan sits. The structure will be assessed for its capacity at each level to carry out the responsibilities officially assigned to it. Building this capacity is the reason for the Training component of this assignment and will likely emerge as the key to long-term sustainable development in the Albertine. In the absence of institutional capacity the largely ad hoc form of development prevalent today will continue, driven by the priorities of various individual interest groups rather than a concern for the national good. At National level the Physical Planning Department in the Ministry of Land Housing and Urban Development is responsible for carrying out National land-use plans and policies with contributions from other related ministries and departments. Currently the Minister in charge of the Ministry of Lands, Housing and Urban Development approves recommended plans by the National Physical Planning Board. The Directorate of Physical Planning and Urban Development comprises of these departments: the Office of Director, the Department of Physical Planning; the Department of Urban Development and the Department of Land Use Regulations and Compliance. The major aim of this directorate is to attain an orderly, progressive and sustainable urban and rural development as a framework for industrialization, provision of social and physical infrastructure, agricultural modernization and poverty eradication. National Physical Planning Board

▪ Formulate draft planning policies, standards, guidelines and manuals for consideration by the Minister;

▪ to approve regional, urban or district physical development plans and recommend to the Minister national plans for approval;


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▪ to study and give guidance and recommendations on issues relating to physical planning which transcend more than one local government for purposes of co-ordination and integration of physical development;

Secretary to the National Physical Planning Department The key roles of the secretary to the National Physical Planning Department are as follows:

▪ initiate draft national and regional physical development policies, guidelines and strategies for consideration by the Board;

▪ be responsible for the preparation of all national, district and local physical development plans; and

▪ assist districts and lower local governments to prepare district and local physical development plans. Etc.

District Physical Planning Committee

▪ to cause to be prepared local physical development plans, through its officers, agents or any qualified physical planners;

▪ to ensure the integration of physical planning into the three year integrated development plan of the district;

▪ to exercise supervisory powers over all lower planning committees; ▪ to ensure integration of social, economic and environmental plans into the physical

development plans.

Urban Physical Planning Committees ▪ to cause to be prepared urban and local physical development plans and detailed

plans; ▪ to recommend development applications to the Board for change of land use;

Local Physical Planning Committees ▪ initiating the preparation of local physical development plans; ▪ recommending local physical development plans to the district physical planning

committee for consideration; ▪ recommending to the district physical planning committee the approval of local

physical development plans; ▪ implementing structure plans, in close consultation with the district physical planner;

and ▪ implementing, in close consultation with the district physical planner, detailed plans

and area action plans which shall address the matters specified in the Third Schedule. While in the past the Physical Planning Department was responsible for preparation of structure and detailed plans at all planning levels, with decentralization policy, local authorities are mandated to prepare structure and detailed plans in their areas of jurisdiction. However approval of these plans is a sole responsibility of the line Minister with technical advice from the National Physical Planning Board. The role of the Department and the Board however remains in preparation of national and regional plans. The figure below summarizes the planning hierarchy:


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Figure 2-1: Planning Institutional Hierarchy

2.3.3 Local Government in the Albertine

The Albertine Graben consists of 25 Districts within which are County and Sub-County divisions Map 2-3: Albertine Adminstrative Boundaries


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Officially designated urban areas include 7 Municipalities and 52 Town Councils as illustrated in. There is no regional local government, so planning and management of the Albertine Graben relies on the integrated coordination and collaboration of these smaller local government authorities under the guidance of the national government. This PDP will provide a tool to strengthen that cooperation. District level local government officials are employees of the national government and provide local representation. The Albertine Graben is the first of series of Regional Development Plans and the concept of Regional Coordination Councils, or some such entity may be worth considering as an implementation and monitoring coordination body.


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Map 2-3: Albertine Adminstrative Boundaries


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2.4 Legal and Institutional Framework There are several legislations or Acts of Parliament that have being put in place over the years to guide planning in Uganda. Among the key legislations that relate to spatial planning include: The Constitution of the Republic of Uganda, The Physical Planning Act, The Local Government Act, The Land Act, The Public Health Act, The Environment Act also key to the preparation of the Albertine Graben Plan will be the Petroleum Supply Act, The Petroleum (Exploration and Production) (Conduct of Exploration Operations) Regulations, 1993 among others that will be discussed herein. 2.4.1 The Constitution of the Republic of Uganda, 1995

The constitution is the prime law on which all others are based, it is also the fundamental legal basis of land management in Uganda. According to this 1995 constitution, Article 237 clause (1), Land in Uganda belongs to the citizens of Uganda and shall vest in them in accordance with the land tenure systems provided for in the Constitution. The constitution also recognizes that Government or a local government may, subject to article 26 of this Constitution, acquire land in the public interest; and the conditions governing such acquisition shall be as prescribed by Parliament. The Government or a local government as determined by Parliament by law, holds in trust for the people and protect, natural lakes, rivers, wetlands, forest reserves, game reserves, national parks and any land to be reserved for ecological and tourist purposes for the common good of all citizens. In clause 3 of Article 237, Land in Uganda is owned in accordance with the customary, freehold, ‘Mailo’ and leasehold land tenure systems. This legal framework is useful for further stressing the roles of the Town Council in land management and conservation of environmentally sensitive areas. 2.4.2 The Physical Planning Act, 2010

This is among the principle Act that has being prepared to guide the planning process. The Regional Physical Development Plan shall be prepared by the National Physical Planning Board as per S.19 of the Act. This also states that: “In the preparation of the national and regional physical development plan, the Board shall take into account the securing of suitable provision for agricultural development, infrastructure, industrial development, environmental protection, natural resource management, urbanisation, human settlements conservation, tourism, the matters specified in the Fourth Schedule and other relevant matters”. The Act further stipulates matters to be dealt with in the Regional Physical Development Plans in the Fourth Schedule: PART I—ANALYSIS

1. Population growth, distribution and movement.

2. Land potential, including distribution of agricultural land potential, the relative values, population and land imbalance, land tenure, land use and other natural resource endowments.


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3. Employment and incomes, including characteristics of employment, income distribution, the labour force, potential of the informal sector and their locations.

4. Human settlements, including distribution of existing services, growth and pattern of urbanization cause of rural-urban migration.

5. Matters affecting more than one district which require central government co-ordination.

PART II—PLAN PROPOSALS 6. Alternative development patterns, including rural development, urban

development and interrelations between urban and rural development.

7. Strategies for human settlements in the area, including development of service centres, growth centres, transport and communication networks and rural development.

PART III—IMPLEMENTATION 8. The sector approach to development and measures for implementation and co-

ordination in these sectors, namely industrial development, housing, transportation, health services, education, water supply, sewerage, electricity supply and environment.

A national or regional physical development plan, in relation to an area, shall consist of— 1. A technical report on the conditions, resources and facilities in the area;

2. A statement and proposals with regard to the allocation of resources and locations for development within the area;

3. A description and analysis of the conditions of development in the area as may be necessary to explain and justify the statement of policies and proposals;

4. Relevant studies and reports concerning physical development of the area.

The Act also empowers the Minister on recommendations by the National Physical Planning Board to declare Special Planning Areas. The Albertine Graben was declared and gazetted as a Special Planning Area. This will be the planning area for this regional physical development plan. 2.4.3 The Local Government Act

The Local Government Act 1995 is the legal framework that mandates Local Governments to prepare or cause to prepare planning schemes for the lower local government. This Act also outlines the mandate of town councils in respect of the services they are supposed to deliver to the population including roads opening and maintenance, street lighting, and other services. This Act is the basis on which local authorities carry out planning on their area of jurisdiction. Part IV of the local Government Act sections 31(3) and 36(1,3) gives Urban Councils planning autonomy and further defines the planning authority in the district as the district council and


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how it shall carry out planning in relation to guide lines of The National Planning Authority which provides:

▪ 31 (3) Urban councils shall have autonomy over their planning and financial management when carrying out the functions and services specified under part 3 of the second schedule.

▪ 36(1) the district council shall be the planning authority of a district.

▪ 36(3) the district council shall prepare comprehensive and integrated development plans incorporating plans for lower local governments for submission to the national planning authority, and lower local governments shall prepare plans incorporating plans of lower councils in their respective areas of jurisdiction.

Part 3 of the Local Governments Act provides for the Functions and services, for which urban councils are responsible to include but not limited to: 1. Establish, acquire, erect, maintain, promote, assist or control with participation of the

citizens: ▪ Lighting of streets and public places; ▪ Clinics, dispensaries, health and inoculation centers; ▪ Sanitary services for the removal and disposal of night soil, rubbish and carcasses of dead animals and all kinds of refuse.

2. Establish, maintain or control public parks, gardens and recreation grounds on any land vested in connection with or for purposes of that public park, garden, or recreation ground to: - Reserve any portion of the Public Park, garden, or recreation ground for any specific purposes, exclude the public from those portions and provide for the renting and hiring to the public, clubs or other organizations.

2.4.4 The Land Act, 1998

This Act provides the framework for the various land tenure systems in Uganda and provides for the management of land. According to section 42, the government or local government may acquire land in accordance with articles 26 and 237 (2) of the constitution. This section is especially relevant to compulsory acquisition of land as spelt out in the 1995 constitution of the Republic of Uganda. Section 43 provides for a person who owns or occupies land to manage and utilize the land in accordance with the Forest Act, the mining Act, the National Environment Act, the Water act, the Uganda wildlife Act and any other law. As regards section 44, the government or local government shall hold in trust for the people and protect natural lakes, rivers, ground water, natural ponds, natural streams, forest reserves, national park sand any other land reserved for ecological and touristic purposes for the common good of the citizens of Uganda. Physical planning is one of the preliminary steps through which this mandate can be exercised.


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2.4.5 The Land Acquisition Act, 1965

This Act provides the compulsory acquisition of land by government if it is deemed essential for a public good such as a major piece of infrastructure. This Act is of particular interest in the Albertine with the significant amounts of petroleum industry infrastructure planned. A detailed description of this Act is presented in Section 5.3. 2.4.6 The Public Health Act

This Act consolidates and provides a framework with regards to conservation and preservation of public health in particular; it deals with building regulations, sanitation and the control of nuisances. The Act empowers the local authorities to ensure that the general health standards stipulated by the Act are adhered to through specific regulations. The Act empowers the minister of health to prohibit erection of premises, which do not meet the minimum standards stipulated in the Act and other regulations. The Act is of relevance to Planning because it spells out minimum standards and ensures proper public health through the various sections. 2.4.7 The National Environment Act, Cap 153

The National Environment Act provides tools for environmental management that hitherto had not been deployed, including EIAs. The National Environment Act (NEA), Cap. 153, stipulates the Mandate of NEMA as “the principal Agency in Uganda responsible for the management of the environment by coordinating, monitoring, regulating, and supervising all activities in the field of environment”. According to this statute, part VII sections 34 to 55 outlines all the relevant environmental management mandates of NEMA in collaboration with the Government and Local Governments. More specifically sections 49 and 46 concern land use planning and forest resource management, in particular section 7 (b) under part III specifies that NEMA; “Ensures the integration of environmental concerns in overall national planning through co-ordination with the relevant ministries, departments and agencies of Government”. Section 35 of the Environment Act prohibits any activity not being a traditional activity, in a wetland without the prior written approval of the Authority given in consultation with the lead agency responsible. The National Environment (Wetlands, River Banks and Lake Shores Management) Regulations, 2000 stipulates in regulation 34 that a developer who desires to conduct a project which may have adverse impacts on a wetland, river bank or lake shore shall carry out an environmental impact assessment in accordance with the provisions of the Environment Act. Such developer is required in terms of regulation 34(2) to carry out annual audits and monitoring on such activities. A permit must be obtained before any of the activities listed in the Second Schedule to the Regulations can be undertaken (regulation 12). Cultivation, drainage, commercial exploitation of wetland resources and sewerage filtration are some of the activities listed in the second schedule. River banks and lake shores are held in trust by Government for the common good of the citizens of Uganda (regulation 18). Government is prohibited from leasing or otherwise alienating any river bank or lake shore.


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According to regulation 19, the provisions of these regulations seek to give effect to Article 237(2) of the Constitution. 2.4.8 The Wildlife Act, 1996

This Act provides for sustainable management of wildlife and consolidates all efforts to conserve wildlife in the country by establishing a monitoring and supervisory body- Uganda Wildlife Authority. This Act is important in the preparation of the Albertine Graben Regional Physical Development Plan as the region is rich in wildlife and conservation areas such as the Murchison Falls National Part, and Queen Elizabeth National Park among others. 2.4.9 The Forest Act, 1999

This Act provides for the protection, management and proper utilization of forest resources. Section 3 of the Act empowers the minister by statutory order to declare any area to be a central forest reserve or a local forest reserve or to have an adequate forest estate after instituting such inquiries, as he or she may deem fit. Section 9(2) empowers the local authority with the approval of the minister to make rules for protection, management and utilization of any village forest reserve within its area of jurisdiction. 2.4.10 The Petroleum Supply Act, 2003

The Albertine Graben has rich deposits of commercially viable oil and the country has enacted various laws on petroleum and gas, the Petroleum Supply Act is one of them and it provides for the supervision and monitoring, the importation, exportation, transportation, processing, supply, storage, distribution and marketing of petroleum products. The Act mandates the Minister in charge of the petroleum sector to provide the licensing and control of activities and installations, for the safety and protection of public health and the environment in petroleum supply operations and installations so as to encourage and protect fair competition in the petroleum supply market. The Act provides for the establishment of the National Petroleum Information System which shall consist of an integrated and centralized database and information system covering all petroleum supply operations and installations, the principal market activities and statistics of Uganda as well as international reference data. The Commissioner is in charge of this and he is required to publish the data contained in the system in aggregate form with exception to data considered confidential. The Commissioner is also to establish and maintain a Central Petroleum Registry for the purpose of monitoring the supply chain. 2.4.11 The Petroleum (Exploration, Development and Production) Bill, 2012

The main objective of this Bill is to realize the National Oil and Gas policy for Uganda. It seeks to regulate petroleum exploration, development and production, and to establish the Petroleum Authority of Uganda and the National Oil Company as well as regulate the licensing and participation of commercial entities in petroleum activities, to provide for an open, transparent and competitive process of licensing, to create a conducive environment for the promotion and exploration of Uganda’s petroleum potential, to provide for efficient and safe petroleum potential, to provide for efficient and safe petroleum activities, to


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provide for the cessation of petroleum activities and decommissioning of infrastructure , to provide for the payment arising from petroleum activities, to provide for the conditions for the restoration of derelict lands and any other related matter. The Bill provides for the establishment of the Petroleum Authority of Uganda 2.4.12 The Petroleum (Refining, Gas Processing and Conversion, Transportation and Storage) Bill, 2012

This is the second Bill that was passed to realize the National Oil and Gas Policy for Uganda as well as effect article 244 of the Constitution. The Bill seeks to: regulate petroleum refining, gas processing and conversion, transportation and storage of petroleum, to promote policy formulation, coordination and management of petroleum refining, gas processing and conversion, transportation and storage, to provide for third party access to infrastructure, to provide for an open transparent and competitive process of licensing by the Minister responsible for petroleum, to provide for health and safety environment, to provide for cessation of petroleum activities and decommissioning of petroleum facilities and infrastructure and to provide for related matters.

2.5 The Planning Context and Hierarchy Figure 2-2 illustrates the hierarchy of plans that are officially required to manage land use and development in Uganda. The Albertine Graben Physical Development Plan should fall directly under the National Physical Development Plan, but with that umbrella plan not yet in place, the Albertine is designated a Special Planning Area to be later integrated. For the purposes of this exercise we will be focused on the Regional level, with reference to available District Plans and individual Municipal Structure Plans. Samples of the smaller Town Council Structure Plans must also be evaluated, as will unique protected area/National Park plans and special economic development plans (e.g. petroleum sector developments) where these are available. Planning in Uganda is done at three levels: national, regional and local level. Figure 2-2 illustrates the types of plans prepared in Uganda as per the Physical Planning Act, 2010.

Figure 2-2: Physical Development Plan Hierarchy


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2.6 Sub-Regions Overview For the purposes of this planning exercise, the Albertine Graben is being analysed in three Study Areas, or sub-regions, to enable more detailed attention to locally relevant factors. These divisions have no administrative basis and serve only the needs of this PDP preparation, although each does have unique characteristics. Map 2-3. 2.6.1 North Study Area

In many respects this is a somewhat isolated part of Uganda being located in the far northwest of the country with limited access across the Nile River; one bridge and one ferry. For years it was further isolated by rebel activity, and is now heavily influenced by insecurity across its borders in neighbouring South Sudan and the Congo. At the same time, proximity to these two countries is driving a strong trading economy. Subsistence agriculture is the mainstay, but with a growing interest in developing a stronger agricultural processing industry. There is only one good road connection to facilitate trade with the rest of Uganda, but only one at present. A rail line is being upgraded to Pakwach on the Albert Nile, with plans to extend that to Arua. A shortage of adequate and reliable power supply is also hampering industrial development. The municipality of Arua is the commercial hub and is home to Uganda's second busiest airport. Oil exploration is underway, particularly in the Murchison Falls National Park and further north along the Albert Nile. 2.6.2 Central Study Area

This part of the Albertine borders Lake Albert and centres around Hoima and the oil and gas industry. Hoima, with a population of 242,000 is only 3 hours from Kampala on a good road. Major oil activities are located along Lake Albert at Kaiso, Tonya and Kingfisher with a refinery to be built at the top of the rift escarpment. Agriculture is the traditional mainstay as elsewhere in the country but increasing affects of the oil industry are being felt. The Central Area is experiencing the highest level of inward migration by those seeking new employment, and speculators are buying of land in expectation of oil-driven development. Development is taking place, but local residents are feeling the impacts of re-location and escalating land prices. As elsewhere in the Albertine, a lack of water supply is an issue for domestic, agricultural and industrial uses. 2.6.3 South Study Area

The south part of the Albertine is the most densely populated and most urbanised with a number of significant Municipalities and Town Councils. Fort Portal is a major centre with a population of about 53,000. The area is a major agricultural production zone including 60% of Uganda's tea, and food crops for local consumption as well as Kampala and beyond. The area is also the main tourism destination in Uganda attracted by the Rwenzori Mountains, Queen Elizabeth National Park, Bwindi Forest and other eco-locations. Oil production, mining and numerous proposed mini-hydro projects also add to the area's importance. Two good quality roads connect Fort Portal, the tourism centre, and Bushenyi/Mbarara with Kampala at distances of 5-7 hours. Table 2-1 provides further overview of the three Study Areas.

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Table 2-1: Study Area - Key Features Study Area Popul.

2002 Popul. 2014

Physical Description Major Economic Activities

1. North- Sub-Study Area 1 Adjumani, Amuru , Arua, ,Nebbi, Nwoya, Moyo,Yumbe

2,094,873

2,983,514

This sub-study area is located at the northeastern part of Uganda and borders the South Sudan and DRC Congo. It includes 7 districts. Moyo and Yumbe districts are located at the north most end bordering South Sudan. Moyo town is approximately 455km from Kampala. Nebbi town is accessible by road, rail and by air. Arua district headquarters is one of the biggest town in the sub-study region. Arua is served by the 2nd busiest airport in Uganda after Entebbe. Arua also serves as a base for relief and aid efforts to DRC Congo and South Sudan.

Main economic activity in this sub-study region is agriculture with the main cash crops being: tobacco, coffee, tea, sunflower, cashew nut and maize. Animal husbandly is also predominate as well as fishing especially for those communities living along the Nile River. The planned Nile Eco-City on the Barifa Forest is expected to boost the economy of this region by attracting investors. This area is predominately low income and economic development was adversely affected by insecurity caused by the Lords Resistance Army. The area still holds the major refugee camps mainly for those fleeing DRC Congo and South Sudan.

2. Central/Sub-Study Area Buliisa, Hoima, Kibaale, Kamwenge, Kiryandongo, Masindi, Ntoroko

1,523,789

2,625,439

This Sub-Study Area or Central comprises of 7 districts around the Lake Albertine. Most of the districts are approximately 200-300km from Kampala town. The new districts include Buliisa which was created in 2006 and Kiryandongo created in 2010 both from Masindi District; and Ntoroko which was created from Bundibudgyo district. Access is mostly by road and to some extent water transport for those residing around the Lake Albertine. The area is also endowed by numerous wetlands and water bodies such as: River Mpanga and Rushango, and parts of Lake George.

The area has huge amounts of oil deposits and exploration efforts are ongoing. The oil refinery is planned somewhere in Hoima and this has attracted a lot of economic activity in the area and led to an influx in population. Industries are mainly small scale milling industries with the major industry in the area being the Kiyara Sugar Works Ltd. The other economic activity is fishing mainly at the Lake Albertine and there are also numerous fish ponds in the area. Subsistence farming is primarily the source of livelihood for majority of the rural population with crops including: coffee, tea, cotton, sunflower, maize, sorghum, banana etc. This study area is well endowed with tourism


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attraction sites such as: the Murchison Falls National Park, Bugungu Wildlife Reserve, Budongo Forest Reserve, Lake Albertine, Omukama’s Palace, Masindi National Park, parts of Queen Elizabeth National Park, Rwenshama Falls in Kyambura Game Reserve among others.

3. South/ Sub-Study Area Buhweju, Bundibugyo, Bushenyi, Ibanda,Kabarole, Kanungu, Kasese, Kyenjojo, Mitooma, Rubirizi, Rukungiri

2,986,753

3,496,793

This sub-study area lies around Lake Edward and borders the DRC Congo. It comprises of 11 districts. Some of the new districts include the Buhweju District and Rubirizi which were created in 2010 from the Bushenyi District, Ibanda District created in 2005 from Mbarara District. Major geographical and ecologival sites include: the Queen Elizabeth National Park, The Bwindi Impenetrable Forest National Park, the Kyambura Gorge and Rwenzori Mountains. Accesibility to the area is mainly by road, the existing railway network is hardly used. There are airstrips in the area mainly for tourism in national parks.

Main economic activity like in the rest of Uganda is agriculture. The area has fertile soils and good climatic conditions that favours cash crops such as tea and coffee other subsistence crops grown include: cassava, bananas, groundnuts and various fruits. Animal husbandly mainly comprises of cattle and some parts of this area such as Rukungiri are knows for supplying the bulk of milk for national consumption. Fishing is carried out on the numerous crater lakes in the area and residents are also embracing fish ponds. Tourism is a major in this area which has many national parks and many places of attraction such as: The Queen Elizabeth National Park, Kibale National Park, The Semliki Wildlife Reserve and the Rwenzori Mountain National Park among others. Industrial activities are mainly small scale with only large scale industries on tea processing like the Kanyonza Tea Factory. There are a few places in the area which have being earmarked for oil and gas exploration.


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3Stakeholders' Views

Introduction

This Chapter presents the findings of the key piece of stakeholder participation work conducted in five centres throughout the Albertine in a series of full day interactive Working Sessions. The incorporation of Stakeholders' perceptions and local knowledge of key planning issues, opportunities and constraints is fundamental to establishing ownership as the basis for sustainable implementation.


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3.1 Introduction Stakeholder participation in the preparation of the Albertine Physical Development Plans is paramount. We understand the importance of engaging multi-stakeholders in the planning process so to achieve best results while creating ownership. This understanding is also shared with the MLHUD who is directly involved in and supporting our participatory approach. The MLHUD made very clear the importance of approaching the preparation of the Albertine Physical Development Plan from an integrated planning and participatory approach. Nevertheless, the MLHUD’s previous experiences with practices such as large workshops have proved ineffective with very limited results achieved. This is a situation that can be rectified through the use of appropriate methods to achiever specific results. “…participation is a key prerequisite to successful implementation of Physical Development Plans in Uganda.”(Project ToR) The Albertine Graben is a diverse, dynamic and vast (25,000 km2) region that encompasses 7 Municipalities (Arua, Masindi, Hoima, Fort Portal, Kasese, Rukungiri and Bushenyi-Isaka) and 52 Town Councils. Promoting participation during the preparation of the Albertine Physical Development Plan is a challenge we are embracing with serious but realistic expectations. We must well plan and execute participatory events in close collaboration with all levels of stakeholders. The Stakeholders Working Session (SWS) method falls under the Information, Education and Communication Strategy (IEC) that is based on four criteria: relevancy, efficacy, effectiveness and sustainability. It follows the IEC guidelines for information dissemination, creating awareness and educating government officials and the society in general regarding the Plan. Moreover, the SWS significantly contributes to training and capacity building – a key component of this Project. The overall goal of the SWSs was to promote participation through information sharing while engaging in a true participatory, hands-on and interactive process. Previous application of this method suggests immediate results that positively impact the on-going planning process and future ones. The learning curve from SWSs is steep and should impact the implementation of the various phases of this Project and thereafter, the short, medium and long term sustainability of the Albertine Graben. This chapter presents an overview of Stakeholders Working Session (SWS) to understand the methodology in preparation for implementing 5 SWSs in 5 Municipalities, Arua, Adjumani, Hoima, Fort Portal and Ishaka-Bushenyi. The selection of these towns was based on diversity, regional economic strength/importance and geographic cover in the Graben.


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3.2 Stakeholders Working Sessions - Planning Participation Process Stakeholder participation is key to locally appropriate, accepted and implementable planning. A series of highly participatory, hands-on Working Sessions were held in 5 Albertine centres with a cross-section of public sector, NGO and private sector attendees invited. These sessions aimed at identifying key planning and development topics, issues, recommendations and priorities. The team of participants explored the multitude of social-cultural, economic, infrastructure, environmental, physical, financial and institutional issues affecting their areas and the Albertine as a whole. Methodologies utilised, in addition to open-ended discussions included Mind-Mapping exercises and connotated Spatial Mapping. This section presents and illustrates the methodologies used, a summary of key topics identified, and identified planning and development issues, recommendations and prioritisation all structured around Figure 3-1 which is accepted as the summary structure of an Integrated Physical Development Plan.

Figure 3-1: Integrated Planning Approach

3.2.1 Summary of Key Topics Identified

Table 3-1 summarises key topics of discussion that arose during each of the Working Sessions. Many of these were then developed into planning and development recommendations. Following that a summary of the participation processes, work produced and Albertine Graben PDP inputs derived from the five participatory Stakeholders Working Sessions held in Arua, Adjumani, Hoima, Fort Portal and Ishaka-Bushenyi.


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Table 3-1: Summary - Key Topics Identified

Arua Adjumani Hoima Fort Portal Ishaka-Bushenyi Kampala MLHUD

- Community sensitization - Community-based planning -Bottom-up bylaw development - Research/Educ. facilities - Cultural recognition of land ownership/use - Sacred hilltops - Institutional challenges key - Rural consolidation to afford services - Refugee influx challenges - No planning for facilities - Decentralise health research and treatment - Urban sanitation systems - Urban water shortage - Drying boreholes - Border town squatters - S. Sudan trade - DRC trade - Rail access - Power shortages - Tourism - nature,

- Poor road/connection conditions - Ferry schedules - Refugee influx - diverting resources - Power shortage - Urban sanitation - Urban water supply - Link to central and south Albertine - Better housing - modern, gov't roles - New land ownership needed - Central markets to boost farmer returns - Sudan trade - key - Watershed worries - Fast-track new road, rail connections - River steamer transport - European linkage - Bottom-up consultation needed on all issues - Best cassava in country - Lower land productivity - Renewable energy - Refugee led cost

- Security/War conflicts - Refugees - Human rights - Behaviour/attitude - Migration - Population increase - Community split - Cross border trade - Health and education - Livelihood - Urban agriculture - Governance - Capacity building - Community participation - Oil wells , pipelines, refinery and processing facilities - Resettlement (oil industry related) - Infrastructure - Land information system - Physical planning - Land and use - Densification - Protected areas and encroachments - Climate change - Natural resources management - Fishing industry

- Refugee camp - Over populated areas - Mixed ethnic groups - Rural-urban migration - Cross border South Sudan and Congo - Uganda - National parks - Wildlife/Biodiversity - Carbon sinking - Service industry - Transport - Social amenities (hospitals, schools, churches) - Infrastructure (water and sanitation, roads) - Land speculation - Land conflicts - Rivers - Cultural institutions/ values - Migration - Employment - Tourism - Resettlement - Governance - Indigenous people -Communication/Public Media - Rwensori Mountains - Pastoralism

- Oil industry people displacement - Migration - Housing - Education - Families - Gender - Savings - Standards of living - Recreation - Religion - Youth issues - Security - Oil industry (resources and policies) - Global warming - Wildlife preservation - Biodiversity (aquatic and terrestrial) - Water bodies/ground water - Local income generation - Tourism - Rwenzori Glaciers/Park - Cultural sites and values - Wetlands - Refugees (overcrowding) - Food security

- Community compensation (gender issues) - Conservation/ Land conflicts - Create coherent communities - Land tenure system (challenge) - Development Vision - Plan and implementation connection - Dev’t. control - Politicians approaches - Lack of continuity from government to government - Ghana good practice for land compensation - Livelihood - “Not only the oil industry” - Road connectivity - CSR - National Content Policy - Plan enforcement


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culture - Post secondary schools - Wetlands - Deforestation - Financial literacy - Commercialise resources - FTZ - Gov't. $$$ support - Political will - Climate change - Credit - capital access - District Centres - Legal framework - Cultural heritage mgmt. - Immigration control - O&G reserve fund - Bank support - PPP - Solid waste management - Mini hydro - Agricultural future - Industrial parks - Alternative energies

increases - NGO employment - Vocational schools - Wetlands - Tourism - Nile - Nile bridge - Air connection - Border markets - Hydro - FTZ - Building standards - Gov't $$$ support - Planning resources - Political will - Aquifers - Climate change - District Centres - others

- Hunting - Deforestation - Wildlife - Historical/cultural assets - Agriculture - Industrial development - Financial institutions and credit - CSR - Drug abuse - Connectivity/Transport - Petro chemical industry - Industrial development - Roles of NGOs - Entertainment - International interest in our oil - Awareness & Ownership - RAMSAR sites encroachments - Biodiversity - Hydro power

- Agriculture - Industrialisation - Safety - Rebels activities - Leisure and hospitality - Waste management - Green/Beatification - Deforestation - Plans - Natural resources - Climate change - HIV/AIDS - Commercial sex - Rainforests/Water bodies - EIS & SEA (Strategic) - Legal Framework - Food processing - others

- Agriculture - Investments - Infrastructure - Industries - Financial institutions - Governance - Regional integration - Training/CB - Development controls and planning - National parks - Natural resources - Pollutions - Waste management - Reforestation - others


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3.2.2 Arua Planning Participation Working Session

Arua – Planning Participation Process

Mind Mapping

Team Discussions / Map Details


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Table 3-2: Arua SWS - Issues, Recommendation & Prioritization

Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Social Development Education: need employment-

targeted tech education

- oil company scholarships for the region - develop Tech Schools targeting support to local economic development - needs based and applied training - branch University needed

Community sensitisation and participation is lacking.

- more bottom-up required for all planning and development activities - community-level needs assessments required

Health: lack of facilities and resources

- District hospitals needed - decentralise Medical Research and Treatment faciities

Refugees: influx putting pressure on local resources. - crisis management rather than pre-planning - growing issue

- pre-planning required for settlement, schools, health, markets, etc.

Resettlement: a difficult Clan issue when forced from traditional lands

- integrated RAPs (Resettlement Action Plan) needed

Disaster Preparedness lacking - need Resilience strategies for all sectors

Cultural Heritage Management

Customary Land ownership impedes development. - outsiders not welcome - land is sacred for past and future generations

- need new ownership forms especially for urban areas - better compensation - better participation and bottom-up approach - outsiders need greater


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term

sensitization re: local cultural traditions

Tourism development - promote cultural tourism - villages, customs, traditional technologies, etc.

Traditional Leader consultation - need greater local community leader sensitization, involvement in all activities - key to local development - make use of traditional institutional structures rather than developing new

Managing external influences - need to address external O&G and refugee cultural influences - positive and negative

Economic Development Strengthen local employment - targeted Tech. schools to provide to local industry

Strengthen regional trade - border markets - rail linkage from Pakwach - improved roads to Sudan, DRC - develop Free Trade Zone in Arua

Sharing of resource, development benefits

- need mechanisms for better sharing between clans, county, District and Region

Sustainable resource management - detailed analysis of all wetlands, forests, etc. for individual cost-benefit development decisions

Oil & Gas development and revenue

- delay O&G development until gov't and communities are prepared to manage, participate and benefit - establish a Reserve Fund for long-term benefits


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- re-invest revenue into agriculture which supports 90% of population - use Reserve Fund to diversify economy for future - need an "Exit Strategy" when O&G ends - quote "So far the northern areas have been blessed by dry wells!"

Agricultural sustainability - the traditional and future economic base that cannot be lost to short-term O&G interests - invest O&G revenue into modernizing agric. - provide market information - develop market linkages: local - regional - promote specialized products -

Remember that agriculture was, is and will be the base of the economy

- protect agric. lands - invest in agric education, infrastructure and technologies - remember economy before and after O&G

Develop Industrial Parks in all major centres

- provide planning, land, infrastructure, investment support - rail link needed

Tourism - develop high potentials - better infrastructure and access - Info Centres - museum - promote cultural heritage - Nile activities - flora, fauna


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- Historic sites - protect and add value - active leisure - golf, etc.

Fishing - in decline on Nile - construct more fish cages/farms - develop other Nile opportunities - tourism, recreation

Cooperatives - develop for greater marketing power

Private Sector - not participating in conferences but complaining about results

Infrastructure Development

Improved connectivity is needed - fast-track road improvements and border connections - fast-track rail linkage from Pakwach to Arua, on north and into DRC - improve airstrip(s) to promote tourism - airport upgrade

Drainage and wetlands - urban drainage can use wetlands, but may destroy - important to protect and preserve

Solid Waste Management - develop compost, landfill and liquid disposal sites for all urban centres

Water supply - needed especially for urban centres

Compulsory land acquisition - legal for public works but requires good consultation and adequate compensation - Gov't valuer has role but rates and capacity inadequate - strengthen

Dispersed population and - rural populations should be re-


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infrastructure/service costs located and concentrated for ease of providing services - Rwanda example - issue of customary land ownership, ancestral settlement patterns, resistance to re-location and access to fields will be constraints

Refugees and resettlement overloading existing infrastructure

- pre-planning and provision of services in advanc- border post development

Waste water & sewerage systems needed for all urban centres

Power supplies - inadequate - improve network and generation to provide for new industrial as well as domestic needs - develop mini-hydro resources

Weather stations - needed for farmer support

Financial Management Financial literacy needed. Compensation recipients wasting money and leaving families landless without livelihood

- have Gov't, NGOs and financial institutions support for local residents to make best use of O&G compensation funds - tie to community-based needs assessment

Community, resident sensitisation - improve Financial Literacy Establish O&G Reserve Fund - long-term sustainable

development, diversify economy

Lack of bank financing - improve loan access - tie to Reserve Fund?

PPP - make better use of for infrastructure development- needs community participation


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Institutional Development

Institutional challenges are major development constraint

- build capacity in all - improve bottom-up processes - need immigration controls for refugees - Institutions need to know their roles - need to build community trust in government - bottom-up communication

Legal Framework - need up/down participation in law preparation for enforcement - popularize so general public can understand

Police preparedness - address O&G influences - manage refugee issues

Agricultural extension services - need to be improved - improve access to markets and improve markets

Environmental laws - not being implemented included Nile buffer zones - Develop Community Environment/Beach management committees - Parish Envir. Committees on-the-ground

Border posts & immigration control

- better facilities and institutional capacities needed

Physical Planning Need community-based approach - implement full participation form bottom-up to ensure all needs incorporated - supports sustainability

Development control - lacking Concentrate rural settlement - for better service provision and

land use


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Wetland Buffer zones - need to plan and enforce

- need micro-level planning for real detailed control

Cultural land use management - tricky for development

- needs sensitization, participation

Land ownership - traditional system hard to find real owners for transactions

Environmental Management

Community sensitisation - need to localize responsibility, awareness - bottom-up participation - key to local control

Wetlands - important for rural and urban and need protection and management - conservation important for the entire environment - not all are important for saving - need micro assessment - categorize - gov't removing people already settled in wetlands - needs pre-planning instead

Planning control - very weak everywhere Disaster management - need "resilience planning" for

disaster preparedness

Community-Based - environmental management has to start with community - need to bottom-up laws and regulations

Alternative energy - to replace charcoal Deforestation - Afforestation - develop tree nurseries

- develop alternative energies to replace charcoal

In-migration impacts - need to control refugee and internal displacement to protect environment


CPCS Ref: 12243

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3.2.3 Adjumani Planning Participation Working Session

Adjumani – Planning Participation Process

Mind Mapping

Mind Map Details & Team Discussion


CPCS Ref: 12243

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Mapping & Prioritising

Issues Prioritisation


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Table 3-3: Adjumani SWS - Issues, Recommendation & Prioritization

Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Social Development Health and Regional Referral

Hospitals - needed along with sub-regional hospital in Madi sub-region

Refugee issues - overloading services - bringing increased costs to locals - but bringing economic development - generating local NGO employment

Education - university - develop branch university perhaps in Moyo

Vocational Schools - needed to address local employment opportunities - planned/exist for Moyo, Adjumani, Yumbe - need strengthening

Housing stock inadequate - short in all centres - should promote PPP - suggestion that gov't. should develop - need to encourage "better" housing (away from traditional) - tied to economic development and affordability - an Institutional problem - gov't should bring policy and housing support to smaller centres


Traditional land ownership and settlement patterns

- need to recognize in planning and development - cultures evolve over time leading to change in housing technologies - communal land ownership "tangles" development and should


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be revised Traditional housing - see above

- "push factors" - thatch becoming scarce and will force tech change

Economic Development Sudan trade - a key component of the region and should be supported with better infrastructure

Mineral development - gold - limestone but limited development - cement factory

Tourism - take advantage of Nile potential - historic colonial sites, colonial routes, Emin Pasha history

O&G benefits - expecting O&G benefits to be distributed for better regional infrastructure

Central markets - agriculture - need to construct central markets to help agricultural benefits - value added - need central storage facilities - need more abattoirs - build border markets to take advantage of regional trade

Agric. Value added - develop ag-processing industries Free Trade Zone - should develop a local one to

attract investors and traders with no taxes - Industrial parks

Regional trade - develop border markets Commercialise Resources - need to make better commercial

use of land that is often constrained by traditional


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ownership and settlement patterns Infrastructure Development

Connectivity - need air connection in sub-region - Moyo - consider a bridge over the Nile - expect a rail line to connect from Kampala thru Pakwach, along Nile or thru Gulu to S. Sudan - need tarmac road loop desired through north linking Gulu, Pakwach through Adjumani, Moyo, Yumbe, Kobolo, Arua - improve ferry times and frequency - need to "fast-track" road and rail but see institutional conflicts since decision makers also control road transport competition

Lack of power throughout region - develop mini-hydro capacity - 10 sites - promote alternative energies, solar, biomass

Market and Storage Facilities - see also Economic Development - need central storage facilities for agric products - lots of physical market infrastructure developed by gov't or NGOs, but not used due to poor location, high fees, no consultation, etc.

Water Supply - should invest in pumping from the Nile to major centres - only real source and more cost effective than multitude of small boreholes


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- need data on aquifer re-charge rates - boreholes - wetlands important for aquifer re-charge - lack of institutional management - need to think long term

Lack of Sewerage systems - should develop in all major centres for improved health and environment

Solid waste management - poor systems and facilities need improvement

Financial Management Security of tenure for banks - traditional/communal land without titles is of low value as collateral limiting development finance

Institutional Development

Service providers need updating to meet current supply and demand needs

- old census stats are used for funding instead of updating a needs change - e.g. refugee influx has greatly increased population with no increase in service provision

Land registration costs too high Physical planning capacities - planners have skills and capacity

but no supporting funding provided by gov't. - lack capacity to do adequate detailed planning

Political will needed to support smaller PPP investments

Building and planning standards are too high

- need to be revised to reflect local conditions - should be developed with local inputs

Policy and by-law enforcement - capacities to enforce need


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strengthening - emphasise development of locally appropriate bottom-up by-laws

Gov't and Housing - gov't divested itself of housing responsibilities but a role is needed

Too many gov't committees - need consolidating for better integration and human resource use - many non-functional as members lack training

Inadequate local staff - only Phys Planners

- need to integrate other sector expertise

Physical Planning Infrastructure planning - not adequately considered in Structure Planning - prepare Phys. Dev. Plan

Planning standards too high - see note above Customary land problems - difficult to implement plans

because of customary land ownership constraints - maybe needs more participatory planning

Current planning approaches not comprehensive enough

- need to include drainage, utilities - develop urban design schemes - plans need to extend beyond town/municipal planning

Urban Renewal and sprawl control - towns/government too slow in taking up urban renewal projects to increase density and limit sprawl

Development Control - lack of public development control awareness - lack of institutional capacity - ad hoc development is a major problem that needs control - need gazetted zoning


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Lack of planning and development

coordination - need to coordinate between planners, engineers, politicians, and environment concerns


Wetlands & watersheds - are being damaged in the region by human encroachment and affecting drainage, aquifer re-charge - need to look at whole watershed management - need to involve local communities and respect traditional authority

Climate change and desertification

- aware these global facts are going to hit this region hard - already seeing dramatic changes in rainfall. No longer predictable for farmers

Nile - levels seem to be dropping - fear of proposed Sudan dams to create flooding

Alternative energies - such as bio-mass should be introduced - good solar potential but capital costs high


CPCS Ref: 12243

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3.2.4 Hoima Planning Participation Working Session

Hoima – Planning Participation Process

Mind Mapping

Hands-on Mapping


CPCS Ref: 12243

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Regional Mapping



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Table 3-4: Hoima SWS - Issues, Recommendation & Prioritization Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Social Development War conflicts (northern area) Migration (from South Sudan)–

employment pushed out; People from neighbouring countries

Control to reduce depletion

Population increase – encroachment of arable lands

Densification Resettlement Define proper areas Refugees Refugee camps Community split – impacts on

animals movement

Education development More schools (primary/secondary – Masindi, Hoima and Kibaale), technical vocational institutions and universities in all districts; Provide housing for teachers; Plan schools for disable people;

Urban agriculture Gazetting areas for urban agriculture; incentives, promotion and capacity building

Drug abuse Rehabilitation Centres to deal with youth and others involved in drug abuse and other acts

Communication Regional media centre in urban centres for data base; Media Engagement Plan

Cemeteries Security Need more army and police

barracks for security of resources Health Provide housing for staff;


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Resources (staff, building, ambulances); Plan for hospitals (Regional hospital (Hoima) and health facilities in general);

Entertainment Regional leaders framework to ensure leadership

International interest in our oil Participation Community awareness Cultural Heritage Management

Scattered cultural sites Identification and demarcation, mapping

Historical sites and cultural heritage

Sites protection and preservations of cultural heritage - make funding available; identification and demarcation; potential source of tourism and revenue; plan for eco-friendly activities that do not harm cultural aspects; patenting of rare cultural norms; awareness creation

Cultural values Preserve values, norms and beliefs; prevent them from extinction

Community mobilization Economic Development Cross border trade Livelihood Sustainability Refinery Waste management facilities;

Compensation to the affected people in the form of physical assets

Fishing industry Establishment of fish processing factory; protect fishing areas (200 m buffer) for economic gains;


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Adopt appropriate fishing methods Business Creation of business associations

like farmers and entrepreneurs; Plan for business centres

Industrial development Provision of industrial parks to be located near the refinery; processing centres; energy development; food processing; boosting oil industry by products (i.e. plastic)

Petro chemical industry Establish for attracting workers and investment

Rural agriculture Entire Graben – promote incentives bigger and better – Government investments; Post-harvest: tea growing, employment;

Tourism industry Information centres; Cable cars (Mountain RWenzori –Fort Portal-Kasese-Bundibujyo)

Agro industry Agro processing industries; promotion of commercial farming (Masindi, Hoima, Kibaale – almost all sub-counties)


Roads More access roads from the existing centres for easy accessibility; widening; demarcation; standard roads; By pass road connecting Kaiso Tonya to Kapala Rd – divert heavy trucks from the centre of town

Airport Kasese, Saaka and Kamwenge


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Well planned pipeline

infrastructure Underground; avoid settlement areas; avoid conservation areas

Oil central process facilities Hydro power Incorporation of the existing on-

going developmental project like hydro-power project in Karuma

Connectivity Railway line connecting the Graben Transport Water transport (ferries, boats) for

cross border Waste management Gazette areas for waste

management facilities – central location; transportation, treatment and disposal

Water & Sanitation Improve/provide systems and supply;

Energy Extend the grid; provide for power corridors

Financial Management Financial institutions Distribution of institutions: banks; FOREX; SACCOS & Cooperatives – mainly in the City Centres;

Financial management capacity building

Affordable services & finance Relevant financial products; Reduce

interest rates; access to affordable financial services; micro finance, SAGE (Elderlies); insurance costs


Universities Few regional universities; vocational training; establish courses relevant to industries

NGOs Strength the role of LGOs in service delivery

Capacity building Training local human resource in


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related oil industry; Management of oil resources – skill dev’t, transparency and accountability

Train physical planners in the region with skills of GIS; hardware and software components

Physical Planning Compatible land use Define specific locations; coordinated planning (Hoima, Masindi and Kibaale; plan for buildings

Plan implementation Comprehensive monitoring and evaluation plan that will guide and govern proper plan implementation

?

Legal framework Land Tenure: harmonization;

sensitization; Availability: Increase space/ densify: vertical/underground development; Land information system: Development; systematic demarcation; Allocation and ownership; Allocation of land use: approval of building plans

Plans Provision of physical dev’t plans for upcoming trading centres (i.e parish level)

Infrastructure development Roads; sewer system Integration Physical Development Plan should

consider the on-going big projects


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(e.g. hydro-power in Karuma affecting Kiryandongo district; Ayago power project affecting Nwoya district; planned satellite city in Karuma)

Integrate the Albertine PDP with the National Dev’t Plan and district local dev’t plans to avoid antagonism at plan implementation

Awareness & Ownership Engage key stakeholders Environmental Management

National Parks Murchison Falls National Park – need for planning to preserve, conserve and protect through buffering for tourism – increase to GDP

Game Reserves Demarcation and preservation of game reserves

Forests Protection of Central Forest Reserve

Biodiversity Corridor/Extinction of wildlife

Protect animals corridors – sensitisation of communities - $ county incentives; Biodiversity buffer corridor cross cutting from Bugungu GR near Budongo CFR through Kabwoga GR near Bugoma CFR towards Kibaale MP

RAMSAR Site encroachment Fisheries resources (overfishing) Ongoing hunting More control Deforestation


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Animal movements Solid waste Lagoons and landfills Green belts Map and develop Forests Tropical high forest – need for

protection & conservation to promote tourism and bio-diversity conservation

Climate change Adoptive policies: solar, biogas, charcoal briguettes

Natural resource management Awareness rising - youth involvement; learn to conserve: radio programmes, facilitate community dialogues, puppet driven illustrations

Governance Legal framework: env. Policies; human rights; Collaborative partnerships between governments, private sector and the local people that are neighboring natural resources

Industry pollution, over pollutions and employment


CPCS Ref: 12243

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3.2.5 Fort Portal Planning Participation Working Session

Fort Portal – Planning Participation Process

Mind Mapping

Hands-on Mapping


CPCS Ref: 12243

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Regional Mapping



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Table 3-5: Fort Portal SWS - Issues, Recommendation & Prioritization

Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Social Development Refugee comp Resettlement (Rwamwanja) Areas too populated Population increase – human

wildlife conflicts

Mixed ethnic groups (6) Rural-urban migrations – crime

increase rate Improve security

Cross border issues – conflicts, business and crimes

Health facilities Resources: financial, human Education Teachers; teachers’ housing

teaching materials; Institutions: schools, universities, polytechnics, vocational training and FAL (Functional Adult Literacy)

Leisure and hospitality Stadiums; entertainment places Resettlement areas Deal with migratory movement Governance Public relating Media centres Security Army barracks, police stations

posts, prisons, training facilities Indigenous people’s rights Social development; protect them

from alienation and exploitation (i.g. Batwa)

Rebels activities Enforcement of security HIV/AIDS commercial sex


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Cultural Heritage Management

Cultural institutions struggle to repossess lost property (Tooro Vs Bukonjo Vs Bundibujojo Vs Ntoroko. From Bumyojo – Tooro-Bukonjo are cultural isntitutions – maintenance, power issues, resource sharing questions

Cultural Site Protect; Restore Barrolo sites Economic Development Employment Skilled and semi-skilled

employment; Formal and informal sector opportunities; improve working conditions

Business associations Crafts Service provision constrains Agriculture Mechanize; commercial cultivation

(tea planting); Cocoa farmers access to markets – set up village factories); Kasese irrigation farming

Pastoralism Industrialization (Cement Factory) Econ. Dev’t: Restore the quarry stone industry; Mining of salt; fishing; sand mining Tourism Sempaya hot water spring; hotel,

recreations services development; Cable cart (Rwezori Mountains) Business parks Open BP in the urban centres


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Industrial parks Establish Food processing Develop food processing plants for

value addition Infrastructure Development

Water transport communication poor

Improve water transport cross border (help trading); increase water ferries and boat rides

Airport Support to international trade; airstrip (Saaka); international airport in Kasese

Poor provision of hospitals, schools, churches, water, sewer and road

Communication Industrial Dev’t. Refinery: Infrastructure –

employment – taxes Wates treatment facilities –

employment - taxes Central processing facilities Petro chemical industries Roads Open road in the Graben and to the

border with DRC Pipelines Railway Propose a railway network through

the entire Graben for the increased population and increased trade movement

Transport Develop an electrical rail system to link the entire Graben; plan alternative routes avoiding human settlements


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Power line Create buffer for high power

voltage through Kasese, Beni, Bundibugyo and Kabarole

Financial Management Banks & MFI Credit cards – tourism – infrastructure – hotels; Loans – investing;

SACCOS & Cooperatives – saving - investment

FOREX Bureaus – exchange currency – promote local business

Capital markets – shares – joint venture investments


Governance Effective leadership Legal Framework Land tenure – land tattling – loan

access - investments Laws and by laws Resources Human, financial;

Capacity building Rwensori Mountains Leaders forum Administrative offices Effective offices located in the

urban centres Physical Planning Land speculation (price rising) Land conflicts Buildings Ware houses; refinery hotels –

industrial related dev’t.; Gazzeted Parking Humanization Street furniture – street lights and

chairs Green/Beatification Trees/ornamentals in streets


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Waste management Industrial and domestic waste –

composting plants; re-use/recycling plants for industrial waste

Cemeteries Mortuaries Land Compatible uses;

Tenure system – ownership vs planning: compensations; ref to Physical Plan Act 2010: whole; sensitization; Customary Certificates; systematic demarcations and development; Land Information Systems

Plans Propose and enforce Environmental Management

River Semuliki – shifting boundary due to human activities

Control human activities along river banks

National Parks/Forest Reserves/Game Reserves/Environmental Conservation

Preserve; create buffers (gazzeted); Wildlife protection, trenches; physically demarcated; Conserving NP and game reserves protecting river banks of Mpanga River; Restoration of wetlands and natural vegetation; Enforcement of legislations; more patrolling (finance); more political will

Carbon sinking CSR Natural resources Preservation and conservation Rainforests/Water bodies Treatment


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Implement green belts Sewage and Waste management

facilities Collection, transportation, treatment and disposal – license & gazette – employment of community

EIS & SEA (Strategic) – monitoring and evaluation/audits – review and conduct assessments

ESMP (Env. Social Mgt. Plan) Oil contingency plans – oil spill

plans – provide equipment & capacity building

Review Sensitive Atlas for fragile ecosystems – continuous monitoring

Deforestation (by locals) Control human activities Mining activities Climate change: floods, landslides,

pollution, droughts in the mountains areas

Rwenzori Mountains Create a Leaders Forum Industrial sites Impacts should be mitigated on

industrial sites – protect livelihood


CPCS Ref: 12243

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3.2.6 Ishaka-Bushenyi Planning Participation Working Session

Ishaka-Bushenyi – Planning Participation Process

Mind Mapping

Hands-on Mapping


CPCS Ref: 12243

| 65

Regional Mapping



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Table 3-6: Ishaka-Bushenyi SWS - Issues, Recommendation & Prioritization

Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Social Development Displacement of people who live

in the oil industry planned areas

Social services Plan for them Housing Plan for housing for oil industry

workers (Buliisa) Migration Resourceful person my migrate Security Plan for security at the border; lack

of security scares away investors; provision of police and security organizations; provide security for all citizens at all levels

Refugees - Overcrowding Food security Encourage growing enough food;

storage facilities for dry food Health Disease prevention system;

hygiene; provision of ambulances; all time medicines; installing hospitals; programmes like HIV and immunization; train personnel; provision of first aid; upgrade facilities in the Graben

HIV/AIDS control programs through community sensitization across the Graben

Education Train teachers; build technical schools at secondary levels; building standards schools both levels up to university; upgrade facilities in the Graben


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Community sensitization about the

project Families breakdown Sensitization/awareness

programmes; Gender Gender mainstreaming and

empowerment; equal opportunities and specific plans

Wasted working hours Create policy strategies that make it mandatory for people to work and revive graduated tax to avoid a situation where people engage in playing cards, pool table and gambling during working hours

Resettlement Plan for resettlement areas for people that will be affected by the project (oil) in the entire region

Standards of living Improve by creating income generation activities

Recreational centres Planning/create open spaces to beautify the places

Religion Construct worship centres Youth issues Build a remand/reformatory home Cultural Heritage Management

Distraction of herbs and hot springs

Stop it “People believe in trees and

rocks” Preserve cultural values; plan for cultural preservation

Cultural site Preserve cultural sites in Fort Portal Religious/Cultures Believes and centres – promote

culture through construction of cultural centres and promoting competition between different cultures


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Facilities Museums for conserving and

protecting heritage sites/culture Economic Development Tourism will disappear if we do

not plan properly Plan effectively

Plan for tourism sites in Rubirizi, Kasese, Kanungu and Fort Portal (e.g. hotels, recreation centres, security and road infrastructure

Local income will be affected if forest are cut down

Encroachment on our

oil/smuggling Security for oil reserves

Agriculture – areas will be affected by the oil industry

Plan effectively; create new opportunities; access to loan facilities; plan for commercial agriculture and promoting specialization industries

Land in big chunks owned by individuals not using it should be taxed or gov’t. should acquire it to engage in large scale agriculture

Put in place agro-processing plants (matooke, tea, cotton, dairy, rice, coffee)

Popularize irrigation at household and commercial levels to increase food production on all year basis

Markets Plan for them Industries Set up small and large scale

industries to add value to products


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Fertilised production – food

industry Develop mineral industry; by

formally tapping other mineral resources other than oil (cobalt, lime stone in Kases) and gold (Kanungu and Buhneju Districts)

Create a regional industrial zone Infrastructure Development

Water for: Consumption, food production- irrigation, industries, livestock, environment and tourism + service industry

Integrate water resources management; develop water supply and sanitation system; construct water system for multipurpose uses; construct waste water treatment systems for rural+urban/sewage lagoons; develop irrigation system sustainable agriculture development; put in place gravity flow & schemes which are more affordable

Policy measure to control use of water bodies

Electricity Construct renewable electricity systems: solar (all households), wind, biogas; Construct local dams (e.g River Chwera)

Power grid Roads Upgrade and widen existing main

roads; and open up more to a reasonable size; protect road reserves; construct all weather


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roads to reach Local Council I All regional roads to be upgraded

(murrum) Repair road from Bushenyi to

Katunguro Local roads need to be tarmarc Transport Water transport development Overtrading infrastructure Parks Plan for big vehicles/trucks

loading/offloading Financial Management Projects implementation Prepare proper/realistic budgets

and work plans Savings Encourage the saving culture

through community sensitization Income Encourage income generation

projects Banking Provide reliable and sustainable

banks; institutions providing knowledge on banking

Human resources Engage appropriate HR for both projects and banks

Managers Train financial managers: accountants, statistician and auditors

Community financial management Set up specific programmes for rural communities (SACCOS)

Financial institutions Encourage and strengthening Institutional Development

Legislations Revise the country constitution mainly on issues regarding physical planning (land management/ownership )


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Policies Cross border policies (oil industry) Governance Good governance in decision

making at all levels Security Regional integration Training Train bodies for all professions;

training institution focus on the tourism industry; capacity building through workshops

Institutions Plan for churches, schools Physical Planning Housing Plan for housing under land use

planning in all towns to support rural-urban migration

Integration Encourage regional integration Population growth Physical Plans; provision of social

sustainable services (protect springs, gravity flow, shallow wells); planning for new dev’t centres

Development control Development permission – seek it from owners

Zoning Land uses Plans Prepare structure and detailed

plans Compensation Environmental Management

Rwenzori Glaciers will disappear if we do not plan properly

Plans effectively Rwenzori Park Stop encroachment


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term National Parks Protect (protection agencies);

buffers, make boundaries Ground water/Water bodies

poisons It should not be depleted; formation of beach mgt. units; specific policies for protection

Wildlife Preservation; protection of gorillas in Bwindi National Park

Protection of Kibale Forest chimpanzees and other wildlife by providing buffers and wildlife reserves; Empower UWA

Global warming Wetland resources Protection; sustainable use Biodiversity Resettlement Plan for resettlement Rivers River Nile planning Forests Re-forestation; EIAs; restrict cutting

trees; conserve natural forests; reforestation in technical forms; Protection of Kibale Forest

Oil exploration Seismology effects included in planning

Nudation (around oil wells) Plan shrubs; re-forestation Lakes/Sensitive areas Preservation/Buffer zones Bare hills Forest plating on all Construction roles Back filling Buffer zones Plan for buffer zone around lakes,

swamps,


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Planning Component Issue Recommendation Prioritisation Short Term Medium Term Long Term Pollution Creation of barriers to control

pollution Reforestation Reforestation of areas where

plants will be affected during escalations (oil) – entire region

Waste management By segregating waste: incineration and recycling

Hima cement factory – manage cement dust (filters)

Cobalt and coffee-construct specific waste plants

Provide urban and regional waste disposal centres (Kanungo/HIma)

Rain Water Harvest At each household


CPCS Ref: 12243

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3.2.7 MLHUD Planning Participation Working Session

Ministry of Lands Housing & Urban Development – Planning Participation Process

Mind Mapping

Hands-on Mapping


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Table 3-7: MLHUD SWS - Issues, Recommendation & Prioritization Planning Component

Issue Recommendation Prioritisation

Short Term Medium Term Long Term Social Development Social structures and settlement

patterns must change as development evolves

- on-going sensitisation, education, pariticipation needed at all community levels

Poor use of O&G compensation leading to social/family unrest, displacement

- more bottom-up financial literacy needed and participation in resettlement/compensation planning

Women lack land tenure - strengthened institutional structures and cultural change needed for more joint decision making, gender equality

Scattered rural settlement and newly displaced create servicing problems

- proposing new communities be planned and implemented for resettlement

O&G CSR presents good opportunities but communities lack trust and willingness to cooperate

- integrated RAPs (Resettlement Action Plan) needed - better communication, participation and clear programmes -timely payments essential

Poor housing is a major health issue

- provide more gov't support to housing policy and related urban development


Customary Land ownership and perceptions of right to use regardless of plans impedes development.

- need new ownership forms especially for urban areas - better compensation - better participation and bottom-


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Planning Component


Short Term Medium Term Long Term up approach

Gender traditions regarding land

ownership create conflicts as development progresses

- need greater local community leader sensitization, participation, education - need mechanisms for better sharing of family resources

Economic Development Vision 2040: Agriculture is paramount

- new planning must ensure long-term sustainability and not lose to short-term O&G

Integrate livelihood development with resettlement programmes

- RAPS must be fully integrated, multi-sectoral programmes - new training an essential part

Sharing of resource, development benefits

- need mechanisms for better sharing between clans, county, District and Region

Agriculture and Tourism are two sustainable long-term economic activities

- planning must safeguard the natural resources that are the basis of these sectors - develop improved infrastructure for both

Proposed consolidated settlements may provide for more efficient, profitable agriculture & economic diversification

- prepare integrated and sustainable new settlement strategies and plans


Improved connectivity is needed - road - rail - L. Albert water - O&G relying on rail to Pakwach and water to Butiaba or other L. Albert ports


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Planning Component


Short Term Medium Term Long Term - air for business and tourism - pipelines for petro & products

Integrated Infrastructure Development Corridors

- establish to consolidate services in one ROW to minimize disruption to land and communities - service/road corridors must be of adequate width

Northern Corridor Link - connecting Rwanda through the Albertine and northern Uganda to Kenya

Water - becoming an increasingly critical supply issue

Compulsory land acquisition - legal for public works but requires good consultation and adequate compensation - Gov't valuer has role but rates and capacity inadequate - strengthen - need timely compensation payments

Dispersed population and infrastructure/service costs. Consolidation

- rural populations should be re-located and concentrated for ease of providing services - Rwanda example

Financial Management Financial literacy needed. Compensation recipients wasting money and leaving families landless without livelihood

- have Gov't, NGOs and financial institutions support for local residents to make best use of O&G compensation funds - tie to community-based needs assessment


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Planning Component


Short Term Medium Term Long Term Better compensation needed - policies need review

- rates need to be updated - payments need to be timely once agreed


Gov't is responsible to lead all development processes

- define appropriate roles for gov't and private sector - ensure adequate capacity in gov't agencies to undertake work in timely manner

Politicians raise local expectations that technical staff have trouble meeting

- need for stronger coordination between political and tech - improved planning and development awareness at decision maker level

Local Phys Planning offices lack capacity

- human resource may be OK, but financial and logistical support inadequate to carry out duties - development control in particular

Need to integrate O&G field development plans with Albertine PDP

- integration is essential to avoid planning contradictions and conflicts - maximum communication and transparency needed

Government must guide O&G CSR to ensure sustainability

- jointly plan CSR investments to ensure they provide maximum sustainable benefit to intended communities and do not become another gov't liability

Communal land ownership challenges, competing interests. Overlappinng claims cause conflict and impede

- need better LIS to identify and record legitimate interests


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Planning Component


Short Term Medium Term Long Term development

Physical Planning Need community-based approach

- implement full participation form bottom-up to ensure all needs incorporated - supports sustainability

Competing land use interests: - industry - settlement - protected areas

- needs highly integrated, multi-stakeholder participation and good communication - involve Community Associations

Create new consolidated settlements

- use O&G revenue - improve service provision - improve agricultural land use efficiency - issue: need to address cultural values regarding location, settlement forms, etc. - develop several as "Models" - recognize as a long process, not just a project


Community sensitisation - need to localize responsibility, awareness - bottom-up participation - key to local control

O&G involvement - directly involve O&G in long-term planning and management

Planning control - very weak everywhere Disaster management - need "resilience planning" for

disaster preparedness

Community-Based - environmental management has to start with community - need to bottom-up laws and regulations


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4Socio-Economic & Cultural Situation

Introduction

This Chapter presents a synoptic socio-economic analysis of the Albertine Graben in terms of its physical, demographic, social, economic and cultural characteristics. This information is aimed at contributing to informed planning and decision making, and in addition to environmental considerations is really the basis of what development is all about. It should be noted that while the Chapter addressed all Districts, some are administratively new and disaggregated data is not yet readily available for these.


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4.1 Demographics

In order to form a clear picture of the socio-economic conditions in the Albertine Region, it is vital to analyze the size, spatial distribution, and composition and growth patterns of the population, along with changes in these magnitudes and possible future trends and tendencies despite the lack of current population statistics. According to the most current 2002 UPHC, Uganda’s population was 24,442,084 and the growth rate estimated at 3.3% per annum between the periods of 1991 to 2002. This growth rate place Uganda as one of the fastest growing populations in the world then. By mid 2012, Uganda’s population was projected at 34.1 million1. The Uganda Bureau of Statistics (UBOS) currently estimates the population Uganda at approximately 37.9 million. Table 4-1 below shows that, the total population in the Albertine Graben is estimated at approximately 9.138.203 million2 people based on projecting the 2002 Census number of 6.4 million. This represents approximately 25% of Uganda's total population in 2012 of approximately 36 million (depending on source). This represents an average annual growth rate of 4% which is higher than the national average of 3.3%3. This puts the average settlement density in the Albertine at 4 p/ha which is considerably higher than the national average of 1.4 p/ha. The region in general had more females estimated at 3,105,462 than male estimated at 2,962,780 males in 2002. The table also indicates that, study area north had the highest estimated average growth rate at 5.7%, central 4.3% and South 2.8% higher than the average growth rate estimated at 3.3%. However, the 2014 estimated population projections indicate that, the study area south is more populated with about 3,440,000 people, followed by the north at (2,938,000 million people) and central at (2,760,203 million people). This could be attributed to the fact that, the study area south has more districts compared to the others as categorised in this assessment. Consultations with various key stakeholders confirm that, there has been rapid increase in population in the AG region over the last five year including foreigners. Map 4-1 indicates that, the southern region of the Albertine Graben has the highest population density or settlements and the central has the least in the region. Uganda's ethnic diversity is well known at the political level, but also plays a significant role in development as a result of traditional governance systems, differing values, and customary land ownership structures and uses. Planning and development initiatives must all be sure to integrate these important national baseline considerations. Map 4-3 illustrates the ethnic diversity of the Albertine.

1 UBOS STATISTICAL ABSTRACT 2014 2 UBOS INDICATIVE PLANNING FIGURES FY 2014/15 3 2002 UGANDA POPULATION AND HOUSING CENSUS


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Table 4-1: Demographic Information of the Albertine Graben

No.

District Area sq

km 1980 Popn

Density 19804

1991 2002 HH 2002 Male 2002 Female 2002

Growth Rate %

Projected 2014

Pop.

Projected. Pop.

Density 2014

Poverty Count

(%)2005

Northern Study Area

1 Adjumani 3,128 48,789 16 96,264 202,290 31,857 100,081 102,209 6.4 425,000 135.9 68.2

2 Amuru 4,852 - - - 188,600 38.9 76.5

3 Arua 3,209 394,303 123 538,147 833,928 74,027 401,596 432,332 3.8 826,900 257.7 54.2

4 Nebbi 2,917 23,300 8 316,866 435,360 90,040 208,056 227,304 2.7 324,900 111.4 65.1

5 Nwoya 4,171 - - 56,900 13.6 65.3

6 Moyo 2,069 57,703 28 79,381 194,778 38,922 99,265 95,513 7.7 479,200 231.6 62.2

7 Yumbe 2,403 77,980 32 - 99,794 42,576 126,226 558 7.9 636,500 264.9 62.9

Totals 22,748 602,075 26 1,030,658 1,766,150 277,422 935,224 982,916 5.7 2,938,000 150.6 64.9 Central Study Area

8 Buliisa 2,166.0 - 63,363 12,578 86,900 40.1 33.8 9 Hoima 5,932.8 142,247 24.0 197,851 343,618 70,286 172,046 171,572 4.7 602,500 101.6 35.2 10 Kibaale 4,246.0 152,054 35.8 220,261 405,882 85,038 200,131 205,751 5.2 887,003 208.9 35.8 11 Kamwenge 2,411.2 129,022 53.5 201,654 263,730 57,138 126,819 136,911 2.3 347,100 144.0 37.7

12 Kiryandongo 3,629.3 - -

352,600

97.2 24.9

13 Masindi 7,277.1

223,230

30.7

260,796

459,490

79,221

229,572

229,918

4.9

391,300

53.8

42.3

14 Ntoroko

1,413.2

- 92,800

65.7

27.7

4 Population Density=Population/Area sqkm


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No.

District Area sq km

1980 Popn Density 19804

1991 2002 HH 2002 Male 2002 Female 2002

Growth Rate %

Projected 2014

Pop.

Projected. Pop.

Density 2014

Poverty Count

(%)2005

Total

27,075.6

646,553

24.0

880,562

1,536,083

304,261

728,568

744,152

4.3

2,760,203

101.6

33.9

Southern Study Area

15 Buhweju

688.5

0

0.0

-

-

-

-

105,300

153

20.6

16 Bundibugyo 2,261.70

112,216

49.6

116,566

209,978

45,130

101,326

108,652

5

289,100

128

43.6

17 Bushenyi

4,293

405,663

94.5

579,137

731,392

142,970

351,266

380,126

2

261,300

61

30.2

18 Ibanda

965.9

- 0.0

-

268,300

278

17.1

20 Kabarole

1,814.40

328,757

181.2

299,573

356,914

76,853

178,354

178,560

1.5

427,700

236

28.8

21 Kanungu

2,292.10

118,658

51.8 160,708

204,732 43,466

98,627 106,105 2.1 224,300

98

33.2

22 Kasese

3,390

277,697

81.9 343,601

522,033 98,839

252,792 270,241 3.6 802,300

237

48.4

23 Kyenjojo

4,054.40

166,161

41.0 245,573

245,573 80,401

186,571 190,600 3.7 412,100

102

18.0

Mitooma

545.3

0

0.0

204,200

374

18.1

Rubirizi

1,472.70

0

0.0

115,200

78

20.5

Rukungiri

1566.8

177901

113.5

230072

275165

56222

131052

144110

0

330,600

211

28.1

Total

23,345

1,587,053

55.8

1,975,230

2,545,787

543,881

1,299,988

1,378,394

2.8

3,440,400

178

27.9

Source: 2002 UPHC, Higher Local Government Report 2009, UBOS Population Projection 2014 Projections of demographic trends 2007-2017, Volume 1 UBOS.


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Map 4-1: Population Density


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4.2 Migration and Urbanisation Trends

Urbanization is defined as the increase in the proportion of the population living in urban areas5. However, it was noted that, the definition of urban areas has been changing over time. The 2002 Census defined urban areas as only the gazetted ones while the earlier censuses included non gazetted trading centres with more than 1,000 people as part of the urban areas. For the purpose of this study the latter was considered. National Studies indicate that the urban population in Uganda has increased rapidly from less than 0.8 million persons in 1980 to 5.0 million persons in 2012, representing an increase of more than six times. This 525% increase is mainly attributed to the creation of new urban administrative units, natural growth, demographic factors such as (excess of fertility over mortality) and Rural - Urban Migration. See also Section 5.7. The current total population of urban centres in the Albertine Graben is estimated at approximately 1,318,300 million6 as shown in Table 4-2 of municipalities and Table 4-3 town councils. This represents approximately 26% of Uganda's total urban population in 2014 of the estimated 5.0 million (depending on source).

Table 4-2: Projected 2014 Municipal Population within the Albertine Region

Area of Study

Municipality No. of HH

(2002)

Male (2002)

Female (2002)

Total Population

(2002)

2014 Population Projections

Northern Arua 7,443 21,588 22,341 43,929 65,000

Central Hoima 7,177 12,944 14,990 27,934 106,000

Masindi 6,409 14,224 14,076 28,300 119,400

Total 13,586 27,168 29,066 56,234 336,500

Southern Rukungiri 2,921 6,217 6,548 12,765 33,700

Bushenyi 4,704 11,179 11,243 22,422 48,000

Kasese 11,589 26,627 27,280 53,907 131,500

Fort portal 10,275 10,275 20,442 30,717 46,100

Total 29,489 54,298 65,513 119,811 213,200

Source: UHPC 2002, Indicative Planning Figures FY 2014/15

Table 4-3: Projected 2014 Town Councils in the Albertine Region

Area of Study

District Town Council No. of HH

(2002)

Male (2002)

Female (2002)

Total Popul. (2002)

Projected 2014

Popul. Northern Adjumani Adjumani 4,244 9,543 10,333 19,876 41,800

Amuru Amuru - - - 0 10,900

5 UBOS STATISTICAL ABSTRACT 2012 6 UBOS INDICATIVIE PLANNING FIGURES FY2014/15


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Nebbi Nebbi 4,715 10,512 12,588 23,100 27,900 Pakwach - - 0 21,800

Nwoya Anaka - - - 0 11,400 Moyo Moyo 2,143 5,919 6,155 12,074 29,800 Yumbe Yumbe 2,515 - - - 38,900 Total 13,617 25,974 29,076 55,050 182,300

Central Buliisa Buliisa - - - - 15,100 Hoima Kigorobya - - - - 6,800 Kibaale Kibaale 1,136 5,842 6,114 11,956 8,800

Kagadi - - - - 29,900 Kakumiro - - - - 15,600 Muhoro - - - - 24,700

Kiryandongo Kiryandongo - - - - 27,500 Bweyale 24,600 Kigumba - - - - 14,600

Ntoroko Rwebisengo - - - - 4,100 Kanara - - - - 7,400 Karugutu - - - - 17,300 Kibuku - - - - 8,600

Total 1,136 5,842 6,114 11,956 205,000 Southern Ibanda Ibanda 4,969 10,882 11,846 22,728 30,900

Ishongororo - - - - 6,100 Rushango - - - - 7,700 Igorora - - - - 6,300

Kabarole

Kibiito - - - - 16,700 Rwimi - - - - 13,300 Kijura - - - - 11,700 Rubona - - - - 6,600 Kiko - - - - 11,800 Karago - - - - 11,200

Kamwenge Kamwenge 3,116 6,592 6,108 12,700 17,600 Kanungu Kanungu 2,657 6,251 6,632 12,883 13,800

Kihihi - - - - 16,900 Butogota - - - - 6,900 Kambuga - - - - 2,000

Kasese Hima - - - - 10,800 Katwe-Kabatoro

1,616 3,016 2,805 5,821 9,000

Mpondwe-Lhubiriha

- - - - 48,400

Kyenjojo Kyenjojo 3,346 7,540 7,498 15,038 23,300 Katooke - - - - 14,300 Butunduzi - - - - 10,600 Kyarusozi -- -- -- -- 16,300

Mitooma Mitooma - - - - 5,000 Kashensero - - - - 7,100

Rubirizi Rubirizi - - - - 6,000 Katerera - - - - 7,800

Total 15,704 34,281 34,889 69,170 338,100 Source: UHPC 2002, Indicative Planning Figures FY 2014/15


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It is anticipated that, the Albertine Graben will see increased population growth in the next 25 years and beyond. Based on a current estimate of 9,138,203 million and assuming a continuation of current growth rates, the population could reach 27,305,668 million people by 20407 assuming a constant growth rate. However, global trends are towards lower population growth rates, and particularly as populations urbanise, gain higher education, and realise the cost implications of large families. Alternative growth scenarios will be explored in the PDP. Demands for services such as water, electricity, health, education, transport, sanitation, recreation, markets etc. will pose a tremendous challenge to fulfil with water already becoming a limited resource. Due to the 525% increase of urban population in Uganda, it will be the urban areas that face the real challenges.

4.3 Local Economy & Employment

Agriculture is the backbone of the economy in the entire Albertine Graben region. The major activities in the area are: crop farming, livestock husbandry, fishing, hunting, lumbering and commerce (mainly dominated by trans-boundary trading) with crop farming being the main source of local revenue. See Chapter 10 for a full discussion. Fishing is another prime source of livelihood for people in the Albertine Graben. Previous studies have shown that the region contributes 18.7% of the total national fish catch. About 15% is contributed by Lake Albert alone, which is the richest of the region’s lakes in terms of fish biodiversity. Other fishing areas include the Lake Edward, George, and along the Nile. Therefore fishing and fish processing is an important source of employment for people8. Consultations with key stakeholders such as CNOOC operating in the Kingfisher area highlighted the need for promoting sustainable fishing in the region and value adding technologies to ensure that the communities within the Albertine Graben benefit from fishing sustainably along with the upcoming oil and gas changes in the region. However, despite the general growth of the Country’s economy at a real per capita income of US$ 334 (UNDP,2007), controlled inflation, and Government and donor interventions in the form of infrastructural development, over 42% of the region’s population is still living below the poverty line. Therefore, due to the majority 83% population within the Albertine Graben being dependant on crop farming and basing on the objectives and functions of the NAADS, Agro processing facilities coupled with a good connective transport network at national and community levels will be needed to improve farmers' access to markets and also improve farmers’ incomes by raising farm gate prices, creating on-farm and off-farm employment. The distribution of agro processing facilities will need to be based on the major crops grown in

7 Assuming growth rate is constant. Source: Ben Jarabi, Geometric Extrapolation Method of Population Projections, Population Studies & Research Institute, University of Nairobi. 8 Uganda Alert Governance and Livelihood in Uganda’s Oil rich Albertine Graben 2013


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the different regions of the Albertine Graben. Marketing points will also need to be gazetted to avoid congestion especially within the urban centres. 4.3.1 Formal Sector

District officials in Hoima and Kabarole district noted that, since start of oil exploration, the region has attracted a number of formal businesses such as banks, hotels (Protea, Kolping etc), private schools and telecom business. These businesses were indicated to have increased employment opportunities in the region. It is however, anticipated that between 100,000 and 150,000 jobs are still to be generated as the oil sector transitions from exploration and appraisal to development and eventual production, according to a study conducted by three joint venture partners. Total, Tullow Oil Plc and China National Offshore Oil Corporation (Cnooc) sponsored the survey which was conducted between March and July last year9 . It also indicated that, the demand for direct jobs rising towards the second year of development and peaking at 13,000 direct jobs in the third year, before gradually falling to 3,000 jobs in the fifth year. Clearly, the vast majority of the projected jobs are the result of generous multiplier effects being used to calculate in-direct spin-off employment. With 83% of the population in the Albertine being farmers, it is likely that the majority of the estimated jobs will be taken by new comers from different walks of life hence boosting the formal sector. However, despite boosting the region’s economy, this influx implies that, the existing social amenities such as schools, hospital, recreation centres, etc will be significantly affected. This influx will also result in negative social impacts such as prostitution which could also contribute to the increase of crime and HIV/AIDs in the region. Community policing will therefore be required in region to promote morals and safety.

4.4 Education

4.4.1 Enrolment

There is a general national improvement in the number of persons joining education institutions at all levels, and significantly higher for higher education levels. This suggests that there is demand for educational infrastructure in Uganda. National GER is 120%. Table 4-4 shows that, the GER of the north is 83%, central at 86% and south at 91% meaning that the GER of the Albertine Graben is lower than the national GER, and the north study area is the lowest.

9http://www.monitor.co.ug/News/National/More-than-100-000-jobs-to-be-created-in-Uganda-s-oil/-/688334/2299512/-/cb5tku/-/index.html

http://www.monitor.co.ug/News/National/More-than-100-000-jobs-to-be-created-in-Uganda-s-oil/-/688334/2299512/-/cb5tku/-/index.html

http://www.monitor.co.ug/News/National/More-than-100-000-jobs-to-be-created-in-Uganda-s-oil/-/688334/2299512/-/cb5tku/-/index.html


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Table 4-4: Education Enrolment Information - Albertine Graben

No. District GER10 NER11 No. PSE No. SSE

North Study Area 1 Adjumani 63 47 41,406 6,690 3 Amuru 2 Nwoya 116 94 55,353 3,726 3 Arua 166 137 184,421 19,099 4 Nebbi 136 110 159,121 9,775 6 Moyo 17 12 41,406 6,690 7 Yumbe 100.9 82 82,994 6,140

Average 100 80.3 94,117 8,687 Central Study Area

8 Buliisa 107.3 0.9 18,046 1,079 9 Hoima 96 76 95,008 14,412

10 Kibaale 108.9 90 134,467 12,699 11 Kamwenge 108.9 84 75,810 6,239 12 Masindi 96.5 74 12 4,422 13 Kiryandongo 0 0 0 0

Average 104 65 64669 7770.2 South Study Area

13 Bushenyi 118 0.96 196,131 33,998 14 Bundibugyo 86 67 7,537,971 954,328 15 Ibanda 121 95 63,805 9,231 16 Kabarole 108.9 82 99,522 13,801 17 Kanungu 116.9 89 62,601 6,379 18 Kasese 109.6 91 158,852 18,749 19 Kyenjojo 103.8 80 108,836 6,619 20 Buhweju 0 0 0 0 21 Mitooma 0 0 0 0 22 Ntoroko 0 0 0 0 23 Rukungiri 118.5 91 83,583 14,310

Average 110 74.5 1,038,913 132,177 Source: Ministry of Education

As presented in the Table 4-4 above, there is a general reduction in the number of students enrolling for secondary school as compared, to those enrolling for primary school. The reduced number is mainly attributed to increased dropout rates, inadequate secondary schools, poor performance at secondary level that most primary leavers travel to better performing schools in different districts and increased poverty levels.

4.4.2 Distance to Nearest School Facility

Table 4-5 shows that over 70% walk less than 3 km to school. There are no significant differences between 2005/6 and 2009/10 data in the project regions. However, in the

10 The ratio of pupils in primary school (regardless of age) to the country total population aged 6-12 years. 11 The ratio of pupils in primary school aged 6 – 12 years to the country total population aged 6 -12 years


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Northern region, a relatively bigger proportion of 8.3% more than 5km to reach school compared to central region of 4.9%.

Table 4-5:Distances to Educational Facility

2005-06 2009/2010

Region < 3 km 3-5 km >5 km < 3 km 3-5 km > 5 km

Central 73.0 20.2 6.7 73.9 21.2 4.9 North 74.8 19.5 5.6 73.4 20.0 6.6 South 71.8 23.0 5.2 70.5 21.3 8.3

Uganda 71.1 20.5 5.4 72.8 20.8 6.5 Source: UNHS 2009_2010 Socio-Economic Report Hoima and Kabarole district official noted that, closure and moving of schools near oil fields, has increased drop out cases, poor and inadequate transportation facilities for hard to reach areas, few secondary schools. The above education situation indicates that priority of education infrastructure should be focused in the northern region of the Albertine to promote balanced regional development. The north will or can accommodate spacious higher leaning institutions such as a university or vocational institution due to the availability of land. There is also need to focus on the distribution of secondary education schools. Map 4-2.Hs

4.5 Health and Sanitation

4.5.1 Health Infrastructure

Over the years, the government of Uganda has developed several policies and programmes with the aim of improving the health status and lives of its people majorly through reducing morbidity and mortality in order to attain good standards of health among Ugandans through the National Health Policy (NHP) and Health Sector Strategic Plan (HSSP). Public health services in Uganda are delivered through HC IIs, HC IIIs, HC IVs, general hospitals, RRHs and NRHs. The range of health services delivered varies with the level of care and in all public health facilities curative, preventive, rehabilitative and promotive health services are free. The HSSP II (2005-2010) objective for the health infrastructure development was to ensure that 85% of the population lies within 5km walking distance to access a well equipped health facility regardless of level. In 2004 only 49% of households had access to health care facilities in Uganda. Currently the national average of health facility access within 5km is 73.2% with 69.6% for the rural population and 95.8% for the urban population12.

12 UBOS, UNHS 2009/10, NSDS 2008


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However the review of the HSSP II in preparation for HSSP III revealed that, although 72% of the households in Uganda live within 5km from a health facility, utilization is limited due to poor infrastructure such as roads, lack of medicines and other health supplies, shortage of human resource in the public sector, low salaries, lack of accommodation at health facilities and other factors that further constrain access to quality service delivery. The National Hospital Policy also stresses that, limited management capacity in most hospitals, inadequate transport and communication systems, inadequate basic emergency infrastructure, supplies, equipment and finance; and the shortage of human resources affect the efficiency and effectiveness of the existing hospital operations. Table 4-6 shows that, south study area has most health facilities in the region and the central register the lowest. However, analysing Map 4-2, the distribution of Major hospitals with the study area south and north is uneven. The central which is anticipated to attract the most immigrants has the least Hospitals.

Table 4-6:Health Facilities in the Albertine Graben

Study Area District HOSPITAL HC-IV HC-III HC-II % of Pop’n within 5km

North

Adjumani 1 1 9 22 90 Amuru 1 1 7 19 Arua 1 0 0 4 Nebbi 3 1 26 27 Amuru 1 1 7 19 Nwoya - - - - -

Moyo 1 1 12 23 Yumbe 1 1 10 11 Total 9 6 71 125

Central

Buliisa 0 1 1 6 Hoima 1 1 21 27 80 Kibaale 1 4 19 22 60 Kamwenge 3 2 18 31 Kiryandongo - - - - - Masindi 2 1 15 33 Total 7 9 74 119

South

Bushenyi 3 5 34 62 70 Buhweju - - - - Mitooma - - - - Bundibugyo 1 3 6 18 Ntoroko Ibanda 1 3 16 50 Kabarole 1 6 16 61


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Study Area District HOSPITAL HC-IV HC-III HC-II % of Pop’n within 5km

Kanungu 1 1 10 34 Kasese 3 3 28 63 Kyenjojo 0 3 18 19 Rukungiri 2 3 17 38 Total 12 27 145 345

Source: Ministry of Health 2006 as quartered in the Profiles of the Higher Local Governments 2009. Consultations with the district officials in Kabarole and Hoima however, revealed that although the districts have referral hospitals, there is still a high need for HC IIs. Approximately 35% and 55% in Hoima and Kabarole respectively do not have access to health facilities. The challenges below were also raised during the consultations.

▪ Inadequate access to safe water provisions, most of the HCII and some HCIII depend on boreholes.

▪ Poor waste management ▪ Loose soils that cannot support and sustain the latrines. ▪ Poor sanitation systems in rural areas leading to outbreak of diseases like the recent

cholera outbreak. ▪ High staff turn over ▪ Inadequate access to HCII

4.5.2 HIV/AIDs

According to the Global Aids Response Progress Report 2012, there has been a general decline in trend of HIV prevalence in the country from a high of between 22.0% and 27.5% in early 1990’s to a low of between 5.2% and 7% in the population. The report also noted that, there is an urban-rural disparity in HIV prevalence in Uganda with prevalence in major urban areas being higher than that in areas outside major urban locations. Consultations with the district health officers of in Hoima and Kabarole revealed that the HIV trends have sky rocketed in the recent 3 years due to increased influx of people. Hoima HIV rate is currently estimated at 6.7% and Kabarole at 8.3%. With the national HIV rate at 6.7%, this is an indication that HIV is still a threat in the region and most likely to increase with the growth of urban centres and population influx in the Albertine Graben region.


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Map 4-2: Social Facilities


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With the above in sight (projected population increment, increased urbanisation, migration, employment opportunities, challenges and HSSP goals). Due to an almost 300% projected population increase during the planning period, over 18 million people additional people will require access to HCIIs as a minimum. Based on a planning standard of 1 HCII per parish, an estimated total of 506 new HCIIs will be required over the planning period. These should be distributed with approximately 242 in the South Planning Area, 132 in the Central, and 154 in the North. Upgrading of the existing health infrastructure to the required standards will be necessary and in line with the HSSP to avoid duplication. The upgrading the transport network within the region will be required to enable communities to easily access the facilities. Designation of waste disposal sites and draining will also be required attention to promote public health.

4.6 Gender Equality Gender is a social construct of the different roles, responsibilities and benefits of males and females, varying from place to place and these roles, responsibilities, access and benefits changes over time. Achieving gender equality and equity depends on the extent to which the various sectors and development agencies in the region, engage both women and men as providers and or producers and beneficiaries of services and development programmes. The National Gender Policy, adopted in 1997 and revised in 2007, has institutionalized gender as a key concept in development work in all sectors and line ministries. This commitment is supported by the Constitution and the National Development Plan (NDP) of April 2010. In regional and international commitments such as CEDAW, Uganda has also been a leader in Sub-Saharan Africa in recognizing the linkages between economic growth and gender. However, despite government commitment and effort to mainstreaming gender in all the various sectors, programmes and efforts from development partners such as the World Bank. Like other regions in Uganda, the Albertine Graben region is still dominated by the male gender against local government gender indicators such as;

▪ Leadership roles of both sexes ▪ Participation of both male and female ▪ Equal ownership of resources ▪ Participation in decision ▪ Equal opportunities to access services

According to Amuru DDP the district is continuing to experience an improved participation of both women and men in leadership roles. There are 424 registered CBOs in the district. Women occupy 42% of the executive positions and the men 58%. This marked an increase from 28% for women and 72% for men in the previous years. While at lower local council, there is also an improvement and Women now occupy 34% of the executive positions while the men occupy 66%.leadership roles. Noting that, there is a general improvement of


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women taking up leadership roles mainly due to increased awareness on women rights and other gender issues. The report also indicated that ownership and control of properties is still largely in the hands of men, e.g. women have no control and ownership of land yet land remains the biggest factor of production. The men largely control most house properties which contribute to increased violence at house hold levels. However, the district has registered improvement in equal opportunity in the education sector as manifested in the increased in gross enrolment by 5.6%. Girls registered a high percentage increase of 3.6% compared to boys at 3.0%.This implies the Gender Gap has reduced. Consultations with Hoima district officials indicated that, despite the local government efforts in mainstreaming gender, there still exists gender disparity in decision making, ownership, access to and control over productive resources and assets, for example land and household assets, access to education, roles at household levels, in gainful employment, level of participation in development activities and rights to association. And the major causative factors noted included; socially constructed cultural roles, special cultural norms that limit women participation in some activities, inequality in the level of education, economic disparity, and ignorance about equal rights and religious discrimination. The review and consultation finding concur with the Governance and livelihoods in Uganda’s oil-rich Albertine Graben study, which reported that, there were significant gender differences. More women (41%) than men (25%) did not own land. At the same time, more men (23%) than women (13%) owned dwelling units alone. The study also revealed that 59% of the respondents owned livestock. Also, significant gender differences were noted in respect to ownership of livestock. Regarding transport, more than half (54%) of the respondents did not own any means of transport. However, more men (24%) than women (7%) were the sole owners of their transport means. The results indicated significant gender differences in access to and control and ownership of productive resources. These results implied that, if such gender imbalances remain unchanged, women are likely to benefit less from the proceeds of oil exploration and exploitation. Therefore, all actors in the Albertine Graben region need to take appropriate actions to address gender inequity and inequalities within their areas of mandate which will require women as well as men to play an active role in shaping their own development and choices through Economic Participation and Opportunity, Educational Attainment, Health and Survival and Political Empowerment13.

4.7 Poverty The Government has made significant progress in reducing poverty through various policies and programmes such as the National Development Plan (NDP) that stresses the need to uplift the welfare of all Ugandans through the “Prosperity for All” policy that focuses on

13 Global Gender Gap Report 2013


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increasing production and wealth accumulation. These efforts have seen the poverty trends move from 56% in 1992 to 24.5% in 2009 meaning that approximately 7.5 million Ugandans living in 1.2 million households were considered poor14 in 2009/10. The report also indicated that, the incidence of poverty remains higher in rural areas than in urban areas. The poor in the rural areas represent 27.2 percent of the population and only 9.1 percent in the urban areas. The rural areas with 85 percent of the population constitute 94.4 percent of national poverty. On the other hand, the urban areas represent 15 percent of the population and constitute 5.6 percent of national poverty. These results suggest that the majority of the poor are in rural areas, about 7.1 million out of the 7.5 million poor Ugandan. According to UBOS (2010), the average poverty headcount in the Albertine Graben northern area of study is 65%, Central area of study 34% and Southern area of study at 28% compared to the poverty headcount ratio at national poverty line (% of population) is 24.5%. This shows that the percentage of individuals estimated to be living in households with real private consumption per adult equivalent below the poverty line for these districts exceeds the national average. Thus poverty is still high in the region, however, significantly higher in the northern region of the Albertine Graben.

Table 4-7: % Poverty Headcount by Districts - Albertine Graben

No. Study Area Poverty

Headcount (%)2005

Northern Study Area

1 Adjumani 68.2

2 Amuru 76.5

3 Arua 54.2

4 Nebbi 65.1

5 Nwoya 65.3

6 Moyo 62.2

7 Yumbe 62.9

Totals 65

Central Study Area Buliisa 33.8

Hoima 35.2

Kibaale 35.8

14 A household is said to be poor if its consumption expenditure per adult equivalent is below the minimum income required to meet the basic needs (food and non-‐foods)


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No. Study Area Poverty

Headcount (%)2005

Kamwenge 37.7

Kamwenge 37.7

Kiryandongo 24.9 Masindi 42.3 Ntoroko 27.7 Total 34

Southern Study Area

Buhweju 20.6 Bundibugyo 43.6 Bushenyi 30.2 Ibanda 17.1 Kabarole 28.8 Kanungu 33.2 Kasese 48.4 Kyenjojo 18 Mitooma 18.1 Rubirizi 20.5 Rukungiri 28.1 Total 28

Source:UBOS Indicative Planning Figures FY2014/15 This implies that access to resources and various important facilities by communities in the Albertine region is difficult and often expensive. Therefore, affordability of service such as water and electricity will need to be assessed to ensure appropriated infrastructure technologies are adopted.

4.8 Cultural Heritage

4.8.1 Ethnic Groups

The Albertine region has a diversity of various ethnic groups. The North study area is a home of 7 tribes, 1 in the central and 6 in the south. Map 4-3. These include Acholi, Madi, Alur, Lendu, Lugbara, Alinga and Kakwa in the north, Banyoro in central and Basongola, Batoro, Bamba, Bakonjo, Bankyankole and Bakiga and in the south. One may urge that this ethnic diversity shows tolerance of the local community to amicably coexist with people of different origins. However, the studies conducted in the region revealed that, there are longstanding tribal conflicts between the Banyoro and the Bakiga, and between the Balaalo and Bagungu in Buliisa). These conflicts are also related to land ownership and land use and


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oil exploration is said to have escalated already existing conflicts. Such ethnic conflicts are likely to pose land use challengs in the central and south areas of the Albertine. The region also holds a number of important cultural and historical sites. These traditional sites comprise palaces and living culture (traditional beliefs and practices, cultural trees and shrines) as shown in table 1-9 below. They are relatively rich archaeological historic and cultural sites likely to be significantly affected by petroleum exploration and development activities15. These sites with close collaboration with local leadership can therefore, be developed into tourist attraction, recreation, historical and cultural educational centres though improved accessibility.

Table 4-8: Cultural Sites within the Albertine Graben Region

Site Location Description

Amaberega Nyinamwiru

Nyakasuranear Fort Portal

Grayish watery substances slowly trickle from the hanging pillars (breasts) in a space of every 30 seconds.Locally named Amaberega Nyinamwiru. The site is of cultural importance whereby the local tribe of Batooro still believe that the place has the powers of the Bachwezi, the rulers of the past Empire of Kitara.

Katasiha Fort 3 km from Hoima along Hoima-Butiaba Road

It is surrounded by a defensive trench established in 1894 by a British Colonel Colvile, when the British led an expedition against Kabalega, the then Omukama of Bunyoro; while the cave was used by Kabalega to fight off the colonial invasion of the kingdom.

Fort Kitana Kigorobya-Kibiroroad A former British Fort. Kibiro traditional sites and a salt processing village

9km from Kigorobya town council or; 22km from Hoima Municipal town.

This is a stone-age site, situated along the Eastern shore of Lake Albert.

Mparo tombs 2km from Hoima town on Hoima-Masindi road

Tombs for former Bunyoro Kings.

Karambi tombs 6km on Fort Portal-Kasese road

Tombs for former Tooro Kings.

Karuzika (Hoima Palace)

Hoima Municipal town Palace for Bunyoro Kitara Kings.

Kabarole Palace Kabarole hill within Fort Portal Municipal Town

Palace for the King of Tooro.

4.8.2

Source: Environmental Sensitivity Atlas 2009

15 Hoima district consultations


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Map 4-3: Albertine's Ethnic Composition


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4.9 Issues Relevant to the PDP It is anticipated that, the Albertine Graben will see increased population grow in the next 25 years and beyond, with the current forecast of 9,138,203 in 2014 and 27,305,668 people in 204016. There will be a significant increase in demand for social services such as water, electricity, health, education, transport, sanitation, recreation, markets etc. Due to the 525% increase of urban population in Uganda, current urban and upcoming centres will however be affected unlike the rural areas. Due to the majority 83% population within the Albertine Graben being dependant on crop farming and basing on the objectives and functions of the NAADS, Agro processing facilities coupled with a good connective transport network at national and community level will be need to improve farmers access to markets and also improving farmers’ incomes by raising farm gate prices, creating on-farm and off-farm employment. The distribution of agro processing facilities will need to be based on the major crops grown in the different regions of the Albertine Graben. Marketing points will also need to be gazetted to avoid congestion especially within the urban centres. With 83% of the population in the Albertine being farmers, it is likely that majority of the estimated jobs will be taken by new comers from different walks of life hence boosting the formal sector. However, despite boosting the region’s economy, this influx of implies that, the existing social amenities such as schools, hospital, and recreation centres etc will be significantly affected. This influx will also result in to social evils such as prostitution which could also contribute to the increase of HIV/AIDs in the region and crime. Community policing will therefore be required in region to promote morals and safety. Priority of education infrastructure should be focused in the northern region of the Albertine to promote balanced regional development. The north will or can accommodate spacious higher leaning institutions such as a university or vocational institution due to the availability of land. There is also need to focus on the distribution of secondary education schools. With the above in sight (projected population increment, increased urbanisation, migration, employment opportunities, challenges and HSSP goals). Due to a projected 36% population increase during the planning period, over 3.6 million people will require access to HCIIs as a minimum. Based on a planning standard of 1 HCII per parish, an estimated total of 506 new HCIIs will be required over the planning period. These should be distributed with approximately 242 in the South Planning Area, 132 in the Central, and 154 in the North. Upgrading of the existing health infrastructure to the required standards will be necessary and in line with the HSSP to avoid duplication. 16 Assuming growth rate is constant. Source: Ben Jarabi, Geometric Extrapolation Method of Population Projections, Population Studies & Research Institute, University of Nairobi.


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The upgrading the transport network within the region will be required to enable communities to easily access the facilities. Designation of waste disposal sites and draining will also be required attention to promote public health. All actors in the Albertine Graben region need to take appropriate actions to address gender inequity and inequalities within their areas of mandate which will require women as well as men to play an active role in shaping their development and choices through Economic Participation and Opportunity, Educational Attainment, Health and Survival and Political Empowerment in order to reduce gender imbalances in the region. Due to the high of poverty, access to resources and various important facilities by communities in the Albertine region is difficult and often expensive especially the in the north. Therefore, affordability of service such as water and electricity will need to be assessed to ensure appropriated infrastructure technologies are adopted. With the anticipated Oil production related infrastructure developments such as the building of an oil refinery, oil pipelines, roads etc in the region, it is likely that land use will greatly be affected as well as the livelihoods of the communities especially in the central area of the Albertine. On the other hand, government is likely to spend heavily towards land acquisition, individual projects will face challenges associated to land ownership and land use conflicts will increase if land for infrastructural development is not integrated. Also due to the high levels of poverty in the region, communities are likely loose land to speculators and basing on majority being communal land, there is likely increase in communal conflicts. Conflicts related to land ownership, land use and oil exploration are likely to escalate, posing land use challenges especially in the central and south areas of the Albertine. Tourism is likely to increase in the region if diverse existing cultural and historical sites developed into tourist attraction, recreation andeducational centres though improved accessibility.


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5Land Use, Management and Settlement Patterns

Introduction

This Chapter presents discussions on the fundamental starting point for all development - land. Legal, physical and settlement aspects of the Albertine's land base are presented. Managing land tenure, registration and transfers are an essential element of all economic development, and particularly so in urbanising centres. At the same time, the patterns in which land is settled also plays a key role in determining how infrastructure and other serviced can be provided.


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5.1 Introduction - Land Land tenure refers to the manner in which land is owned, occupied, used and disposed of within a community. A properly defined and managed land tenure system is essential to ensure balanced and sustainable development. Until 1975, there were four types of land tenure systems in Uganda: customary, mailo, freehold and leasehold. Following the land reform decree of 1975, all land was declared as belonging to government, people being allowed to settle wherever they wished for as long as they could manage the land effectively. However, the tenure systems were restored by 1995 Constitution. Land is a contentious issue in Uganda especially in resourceful are areas like the Albertine region, as well as being a very important one to the region and the whole of Uganda. Uganda on the whole has various land tenure systems constitutionally recognised. They include Customary, Freehold, Leasehold and Mailo tenure. According to the review of various district development plans (Nwoya, Amuru,Hoima etc) and the consultations with key stakeholders, Land in Albertine Graben is predominantly communal with very few free hold and leaseholders. The review findings of the DDPs coincide with the ULA report17 which concluded that, on the whole customary land holding pervades all the three districts although most prominent in Amuru district. It also indicated that, the means of acquisition expectedly showed a related pattern with inheritance of land being the commonest means of land acquisition at 41% followed by land purchase at 35%. Consultations with key sector and district stakeholder of the region however, revealed that, the region especially Hoima district has attracted a number of land speculators, despite the President giving a directive to stop land titling in the region. Hence inflated costs of land in the region despite and high costs of business operation. Also Information extracted from the District Land Boards shows an increasing trend in conversion of land from customary tenure to formal tenures-leasehold and more recently freehold18. The Governance and livelihoods in Uganda’s oil-rich Albertine Graben report established that 56% of the sold land was to individuals who are indigenous and from the region, while 36% sold to individuals who are indigenous but living outside the region. This implies that the land speculators are indigenous persons within Albertine Graben region. Therefore, with challenges such as escalating speculation on land and property values and unclear land holdings especially where they are multiple in nature (complex to assess), It is paramount that there should be coordinated infrastructural development in the region especially roads, electricity, health, water and sanitation to minimize government finances and social impacts associated to land issues. 5.1.1 General Problems in Uganda’s Land Acquisition System

▪ Lack of a proper computerised Land Information System. This process is currently going on but is not complete for all the Districts within the Albertine Graben.

▪ Plenty of Survey errors on ground

17 LAND GRABBING AND ITS EFFECTS ON COMMUNITIES IN THE OIL RICH ALBERTINE REGION OF UGANDA 18 Ibid


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▪ Poor survey Methods and Instruments ▪ Small percentage of titled / surveyed and Demarcated Land. ▪ Some of the Land Tenure systems are not solving the Land Use problem in Uganda

and hence are quickly becoming obsolete to the Ugandan Land Situation.

5.1.2 Recommendations to Solve the General Land Acquisition Problems

▪ The Government should allow tenure regimes to evolve and develop appropriate incidents, in response to changes in social structures, technologies of land use and market demands in response to time, circumstance, durability and more specifically the presence of Oil in the region which according to the Land Act, belongs to the state.

▪ The Government should re-affirm and strengthen the legitimacy of socially and culturally acceptable tenure systems as a means of preserving access rights to common property resources by the Locals leaving within the Albertine Region;

▪ The Government should ensure recognition, strengthening and education on rights of women, children and other vulnerable groups in all existing and emerging land tenure regimes.

▪ The Survey Regulations of Uganda should be strictly followed and un-qualified surveyors should quickly be removed from the Market;

▪ The Government should provide a continuously updated computerised Land Information System for Uganda.

5.2 Land Tenure Regimes in Uganda The Constitution of the Republic of Uganda and the Land Act (Cap 227) provide that land in Uganda may be held in four tenure categories only, namely customary, freehold, mailo and leasehold tenure. The incidents of these tenure regimes (other than leasehold) are defined in terms of generalities which establish no particular frontiers. The apparent finality with which the incidents of each tenure category is defined in the Land Act (Cap 227) leaves little room for transitional or progressive adaptation in response among other things, to changing demands exerted by population growth, technological development and rapid urbanization. The result is likely to be the growth and expansion of informal or secondary land rights regimes in both urban and rural areas. 5.2.1 Customary Land Tenure

This is the system whereby land is owned and disposed of in accordance with customary regulations. Specific rules of customary tenure vary according to ethnic groups and regions. Often customary tenure is superimposed on other systems like mailo and freehold. This tenure system also exists on its own as communal land ownership. The majority of Ugandans hold their land in this complex system of land relations. This system of Land Tenure is most common in the Northern and Eastern parts of Uganda. This land tenure system will be encountered along most of the Albertine Graben. It is very dominant North of the Albertine (West Nile) because living in communities and clans is still deeply rooted into their culture. In this area, the customary land is owned by communities as opposed to the other parts of


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Uganda where the land is owned by individuals. This form of Land tenure then evolves abit Southwards where we have the Customary land owners being turned to squatters because other individuals have some how gotten titles to the land on which they and there fore fathers have lived for centuries. One advantage of this tenurial system is that people have lived with it for a long time and therefore understand it. Customary Tenure is usually associated with the following problems.

▪ It does not provide security of tenure for land owners; ▪ It impedes development because it does not allow the advancement of land markets,

through which, those who need land for development can acquire it ▪ It discriminates against women, and does not accord them land rights. ▪ It does not encourage record keeping, often making it difficult to resolve land use

conflicts. ▪ Environmentally, the main disadvantage is that it generates little personal interest in

the status of land resources ("the tragedy of the commons"), leading to mismanagement and degradation.

The Land Act (Cap. 227) and the Constitution 1995 have been criticized for their attempts to formalize customary tenure thus destabilizing and undermining its progressive evolution. Despite these attempts, it continues to be:

▪ regarded and treated as inferior in practice, to other forms of registered property rights, denying it opportunity for greater and deeper transformation.

▪ assessed as lesser to other tenures that have titles for proof of ownership in courts of law in the administration of justice;

▪ converted to freehold before it attains the totality of the bundle of rights inherent in all other registered tenures that are held in perpetuity;

▪ disparaged and sabotaged in preference for other forms of registered tenures, denying it the opportunity to progressively evolve.

Recommendations to help solve problems in Customary Land Tenure Government should take measures to:

▪ design and implement a land registry system to support the registration of land rights under customary tenure;

▪ issue Certificates of Title of Customary Ownership, based on a customary land registry that confer rights equivalent to freehold tenure;

▪ facilitate conversion of customary land which is already privatized and individualized into freehold tenure.

▪ document customary land tenure rules applicable to specific communities at the district or sub-county levels;

▪ make an inventory of common property resources owned by communities and vest these resources in the communities to be managed under customary law.

To facilitate the design and evolution of a legislative framework for customary tenure, Government should:


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▪ amend the Constitution and the Land Act (Cap 227) to permit only individually owned customary land to be converted to freehold;

▪ amend the Registration of Titles Act (Cap 230) to place customary tenure at par with other tenure systems;

▪ modify the rules of transmission of land rights under customary land tenure to guarantee gender equality and equity;

▪ make provision for joint ownership of family land by spouses; ▪ recognize the role of customary institutions in making rules governing land, resolving

disputes and protecting land rights; ▪ define family and individual land rights, from communal rights under customary land

tenure and distinguish the rights and obligations of customary institutions vis-à-vis those of the community and individuals;

▪ make provision for issue of titles in the names of trustees in areas with customary land trusteeship.

To strengthen traditional land management and administration institutions, Government should:

▪ recognize and enforce decisions of traditional land management by local government and State institutions;

▪ ensure full judicial backing for traditional institutions as mechanisms of first instance in respect of land rights allocation, use regulation and dispute processing for land under customary tenure;

▪ ensure that the decisions of traditional land management institutions uphold constitutional rights and obligations with regard to gender equality;

▪ develop procedures in conformity with customary land law for the allocation and redistribution of land with consideration for inequalities and injustices.

5.2.2 Mailo Tenure and Native Freehold Tenure

Mailo tenure was introduced as a result of the 1900 Buganda Agreement. Under this agreement, land was divided between the Kabaka (King) of Buganda, other notables and the Protectorate Government. The basic unit of sub-division was a square mile (hence the name mailo). Originally, there were two categories of ownership under the mailo system (private and official mailo). Official mailo land was transformed into public land in 1967. Under this system, land is held in perpetuity and a certificate of title is issued. This land tenure is common in the Central Region of Uganda and comprises about 70% of the Land in this region. This is the least form of Land Tenure in the Albertine Graben. It will be encountered in areas of Kabarole and Kasese. These are square miles of land that were given out by the King of Tooro to his Children and subjects. This land is however full of squatters because of absenteeism of the Land Lords. This has caused quite a stand off between the Title Holders (Land Lords) and the squatters and the latest solution that has been fronted by the Government is that Government purchases the rights of the Land lord hence leaving the tenants / squatters to stay on the land. This exercise is currently ongoing.


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The principal advantage of this system is that it provides security of tenure, thus allowing long-term investments including those related to conservation. However, the Mailo Land Tenure system is plagued with the following problems:

▪ Absentee landlordism and lack of access by regulatory agencies are disadvantages that limit sound environmental management. Absentee landlordism encourages squatters on mailo land. These squatters have no incentives for the sustainable management of a land resource they do not own, however, Mailo tenure and “native” freeholds, separate the ownership of land from occupancy or ownership of developments by “lawful or “bonafide” occupants. This creates conflicting interests and overlaps in rights in the same piece of land.

▪ The definition of rights accorded to bonafide occupants in the Land Act (Cap 227) and all the subsequent amendments, lack legitimacy on part of the land owners. The Land (Amendment) Act 2010 grants statutory protection to the bonafide and lawful holder and his or her successors against any arbitrary eviction as long as the prescribed nominal ground rent is paid. However, the nominal ground rent provided for, as opposed to economic rent is largely ignored, creating a land use deadlock between the tenants and the registered land owner, leading to conflicts and many times evictions. The landlord tenant relationship as legally regulated is not amicable or harmonious and is non-operational.

▪ The fact that mailo land is private has led to resource management regulatory agencies having limited authority over what happens on it. For instance, much of the deforestation occurring in the districts of Buganda is on mailo land. There are no clear mechanisms which allow the Uganda Forest Department to regulate the private forests on these lands.

▪ The survey process is prone to many errors since one can use any arbitrary system of measurement. This has caused a lot of overlaps in areas and a lot of confusion on the ground.

Recommendations to help solve problems in Mailo Land Tenure The State should resolve and disentangle the multiple, overlapping and conflicting interests and rights on mailo tenure and “native” freehold tenure. To resolve the land use impasse between the lawful and bonafide occupants and the registered land owners, Government shall take measures to:

▪ institutionalize and promote the principle and practice of land sharing and land re-adjustment between the registered land owner and lawful or bonafide occupant;

▪ promote free negotiations between the two parties for one party to surrender his/her land rights and interests at an agreed price;

▪ facilitate either party upon ascertainment (tenant or registered land owner) to access the Land Fund to purchase the interest of the other party on a loan basis;


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▪ make provision in the land law for fair and just compensation adjudicated by courts of law/land tribunals to be paid to the occupant in the case where the land owner wants to resume his/her land;

▪ purchase the interest of the registered land owner in the land occupied by the lawful/bonafide occupants using the Land Fund and sell the interest to the said occupants, based on social justice and equity considerations.

To ensure a just, equitable and amicable landlord-tenant relationship, Government, through legislative measures, should:

▪ re-define bonafide occupant and the rights accorded to such occupants, taking into account adverse possession principles and disability principle;

▪ ensure the right of the registered land owner to rent commensurate with the value of the land;

▪ restore the right of the registered land owner to negotiate fair tenancy terms with the lawful or bonafide occupant;

▪ fix rent by a competent court/tribunal, in the event of amicable negotiations failing, based on: ▪ the right of the registered land owner to rent commensurate with the value of

the land; ▪ the circumstances of initial occupancy or entry on the land; and ▪ size of the land occupied by the tenant.

5.2.3 Freehold Tenure

In the freehold tenure system, ownership is also in perpetuity, and a certificate of title is issued. The system was originally established to address limited and quite specific requirements or requests, say by religious organisations. Freehold tenure was also granted as a result of the Toro Agreement of 1900, Ankole Agreement of 1901 and Bunyoro Agreement of 1933. The Crown Lands Ordinance of 1903 gave the British colonial authorities power to alienate land in freehold. This system is mainly found in parts of eastern and western Uganda. Apart from parcels of land under the freehold system being smaller, it has a lot of similarities with mailo tenure and shares the same environmental management problems. It is clear that public policy regards freehold as the property regime of the future, to the extent that current law provides for conversion from leasehold tenure or customary tenure to freehold. The free hold tenure system will be encountered within the Southern Districts of the Albertine from Hoima stretching down to Kanungu. Freehold Tenure is usually associated with the following problems:

▪ Due to heavier population pressures in parts of Uganda where freehold land tenures exist, land fragmentation is a common occurrence. Land fragmentation has


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contributed to significant environmental degradation, although concrete data is lacking.

▪ The conversion from Leasehold and customary tenure to freehold is contentious in some areas of the country. Where it has been tested, it has been expensive, as it requires substantial resources for adjudication, consolidation, and registration. In some instances, freehold poses challenges to public regulation since its covenants are not conditional.

Recommendations to help solve the problems in Free Hold Land Tenure The State, through its agencies, should exercise regulatory power on freehold tenure in accordance with land use planning and sustainability principles. To ensure freehold tenure drives future development, Government should:

▪ impose, through an Act of Parliament, conditional covenants on freehold land tenure to regulate its use and development and develop concepts and principles indigenous to Uganda for owning land under freehold;

▪ promote systematic demarcation as a measure to reduce the cost of land registration. 5.2.4 Leasehold Tenure

Leasehold tenure is a system whereby land is held based on an agreement between the lessor and the lessee. There are two types of leasehold tenure arrangements, namely, private leases given to individual landlords and official or statutory leases given to individuals and/or corporate groups under public act terms. The 1995 Constitution (under Article 237 (5)) provides that any lease, which was granted to a Uganda citizen out of former public land, may be converted into freehold. Since customary tenure is now legally recognized with rights in perpetuity, the conversion needs to be reviewed so that (i) leaseholds issued to individuals who held land under customary tenure before the 1995 Constitution and (ii) those accidentally granted to customary owners in respect of their holdings after the 1995 Constitution, automatically convert to freehold. However, leaseholds granted out of former public land without any customary rights should not be converted to freehold, since the land was not customarily owned at the time of grant of the lease and should continue to run as leaseholds with the citizens of Uganda keeping the reversionary interest. The advantage of the leasehold system is that the lessor can attach conditions to the leases and has the right to revoke ownership in case of abuse. Another advantage is that Leaseholds promote sophisticated forms of concurrent ownership such as condominiums and time-share arrangements, thus open land to a much larger range of users and use functions. Another technical advantage is that the survey process is more accurate due to the rigorous procedures that have been put in place in order to declare a lease hold survey correct. The Lease hold tenure system will be encountered within most of the municipal and Town Councils within the Albertine Region. Most of these titles are now being converted to Free Hold land titles making land ownership within the towns more stable.


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Leasehold Tenure is usually associated with the following problems

▪ Leases are costly and cumbersome to obtain, and hither to, the leases awarded have not addressed environmental concerns.

▪ The Survey process for the leasehold land tenure system is more expensive and cumbersome to carry out due to the need for using the official UTM Arc 1960 system only.

Recommendations to help solve the problems in Lease Hold Land Tenure To maximize the potential of leaseholds, Government should take measures to:

▪ convert all leaseholds, issued to customary tenants over their personal land holdings before the 1995 Constitution, to freehold;

▪ convert all leaseholds, issued to customary owners over their personal land holdings after the 1995 Constitution to freehold;

▪ discontinue the conversion of leaseholds issued out of public land which was not owned under customary tenure at the time of the grant to freehold except for degazetted lands;

▪ encourage the utilization of leasehold in respect of all land tenure categories through the provision of simplified standard format;

▪ limit the duration of leasehold over public land not to exceed 99 years for citizens of Uganda and 49 years for non-citizens, or periods consistent with specific development requirements whichever is lesser;

▪ provide standards for exercise of reversionary rights to comply with firstoption- of- renewal to the current lessee on public land;

▪ protect the rights of any lawful or bonafide occupants on leaseholds out of public land.19

5.3 Compulsory Land Acquisition The process for compulsory acquisition of land for public purposes by Government is as follows:20

Sources: The National Land Use Policy (2007), The Constitution of the Republic of Uganda (1995), The Land

Act 199820 The Land Acquisition Act of Uganda 1965 consolidated and reprinted (2000)


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1. Declaration that land is needed for a public purpose. Whenever the Minister in charge of the project (in this case the Minister of Energy and Mineral Development) is satisfied that any land is required by the Government for a public purpose, he or she may, by statutory instrument, make a declaration to that effect. The statutory instrument shall specify;

▪ The location of the required land. ▪ The approximate area of the land. ▪ If a plan of the land has been made, a place and time at which the plan may be

inspected. ▪ The Minister shall have a copy of the declaration served to the registered proprietor

of the land specified in the declaration or, as the case may be, on the controlling authority and, if the proprietor is not the occupier of the land, on the occupier.

2. Land is Surveyed and marked out. On the publication of the declaration by the Minister, the assessment officer (Government Land Valuer) shall cause the land to be marked out and measured and a plan of the land to be made if a plan of the land has not already been made. 3. Notice to persons having an interest. As soon as the publication of a declaration in respect of any land has been made, the assessment officer shall have a notice published in the News Papers (Uganda Gazette) and exhibited at convenient places on or near the land, stating that the Government intends to take possession of the land and that claims to compensation for all interests in the land may be made to him or her. The notice published shall give the particulars of the land to which the notice relates and shall require all persons having an interest in the land to appear personally or by agent before the assessment officer on a day and at a time (not earlier than fifteen days and, unless the Minister otherwise directs, not later than thirty days after the publication of the notice in which it is specified) and place specified in the notice in order to state:

▪ The nature of their respective interests in the land. ▪ The amount and particulars of their claims to compensation for those interests; and ▪ Their objections, if any, to any plan of the land made under section 4 or otherwise.

The assessment officer may, whenever he or she thinks it convenient or desirable to do so, publish and exhibit two or more notices in respect of the land, each notice relating to a separate part of the land. 4. Inquiry

▪ The assessment officer shall, on the day specified in the notice, proceed to hold an inquiry into claims and objections made in respect of the land and shall make an award specifying: ▪ The true area of the land. ▪ The compensation which in his or her opinion should be allowed for the land; and ▪ The apportionment of that compensation among all the persons known or believed

by him or her to have an interest in the land, whether or not they have appeared before him or her.


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The District Land Boards where required could aid this process if standard rates have been proposed by the District Land Boards. For the purposes of the inquiry the assessment officer shall have the same power to summon and enforce the attendance of witnesses and to compel the production of documents as is vested in a magistrate’s court in its civil jurisdiction. 5. Award

▪ Where an assessment officer makes an award in respect of any land he or she shall give a copy of the award to the Minister and to those persons having an interest in the land.

▪ The Government shall then pay compensation in accordance with the award. 6. Taking possession

▪ The assessment officer shall take possession of the land as soon as he or she has made his or her award except if the Minister certifies that it is in the public interest for him or her to take possession later.

▪ Where the assessment officer takes possession of land.

▪ the land shall immediately, by the operation of the Land acquisition Act, vest in the Uganda Land Commission free from all encumbrances; and

▪ the estate and interest of every person having an interest in the land immediately before the land so vested shall be deemed to have been converted into a claim for compensation under this Act.

▪ As soon as after taking possession of land, the assessment officer shall forward to the registrar of titles a copy of the declaration relating to the land endorsed with a certificate signed by the assessment officer, which shall state that the assessment officer has taken possession of the land and specify the date when he or she did so.

▪ On receipt of the endorsed declaration, the registrar of titles shall, notwithstanding any inconsistency with the Registration of Titles Act, take such steps as may be necessary to give effect in the Register Book that the Land now belongs to the Uganda Land Commission and there after effect the transfer of the title of the Land to the Uganda Land Commission.

5.4 Land Values An in-depth analysis of land values has not been conducted. However, couple of indicative examples are presented here. In 2008, 1acre of land was costing between 200,000/= and 300,000/= but now it is above 2m and 5m along the oil roads. Urban plots (50x100m) are at 8m/= and above while and an acre in the vicinity goes for over 6m UGX. There is looming


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land scarcity in the core Albertine Graben since those prices are affordable only to the middle and high class citizens and investors. Generally there is increased value of land, livestock and crops.

5.5 Land-Use Guidelines Land-use guidelines are critical in the preparation of any plan; they give guidance not only in the preparation of the plans for land use zoning, but also their implementation and subsequent development control. The land-use guidelines in Uganda are contained in the National Planning Standards and Guidelines, 2011 by the Ministry of Lands Housing and Urban Development. To ensure ease of service provision the guidelines require that all plots be rectangular in shape with the shorter side being the frontage. This guideline is particularly important in urban areas where land is scare and services such as water, sewerage and electricity (where formally supplied) are mostly accessed from the roads. Basic infrastructure economics rely on providing the most households with the minimum lengths of services. The rampant, uncontrolled ribbon development found around all urban centres is in complete contradiction to this principle and makes servicing difficult or impossible and extremely costly. Ribbon development also compromises the road capacity as it can’t be used as it was designed for due to the high level of human traffic crossing and working along the road. To promote privacy especially in high density urban areas it is required that building lines be observed. Allowance should be observed of not less than 1m between buildings with no windows and not less than 4m if there are windows. Building separations also help prevent the spread of fires. Adherence to the regulations is often over looked in higher densityurban areas. Building materials should be permanent. Uganda is mainly known for using soil bricks in construction as well as mud in most of the peri-urban and rural areas. This directive fails to define the exact materials that are permanent. It is restrictive as the easily accessible and affordable building material in the Graben is soil, failing to address the socio-economic aspects of the people. Parking required for low and medium density areas not required for high density. The economic status of the Graben is changing very fast with prospects of commercial production of oil and conducive environment for investors the number of car ownership is likely to raise very fast by the end of the planning period. The structure plans examined during this exercise followed provisions made by the guidelines failing to properly plan for increased car ownership in the future. On-street parking provided in towns compromises the safety and congestion as witnessed in a town like Arua whereby there was also competition between the motorcycles and cars. Existing Land-Use Zoning regulations do not embrace mixed-use. Town centres in particular are perceived as areas of commercial and industrial use complimented by services from both


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public and private sectors. Residential uses surround the centre. However, the reality on ground is quite different reflecting the socio-economic realities of urban Uganda. There is a high level of informal mixed-use with people living behind or above their shops, or conducting business from their residences. This will continue to be a reality and a necessity and should be reflected in the regulations. Some level of mixed-use is expected to meet development needs in the future especially in big towns in the Graben. The guidelines provide for specific standards for a variety of urban land use designations. For example, all urban areas should have a designated market place with an enclosed area for selling, car parking and service delivery yard with minimum land sizes. The guidelines also recommend that some land-uses be located outside of urban areas such as sanitary land-fills, prisons and rehabilitation centres. This however is not always followed in practice. A considerable part of central Masindi is occupied by a prison and an army barracks. The guidelines also set specific standards for roads, railway and airports. Most notable are the designated land-uses around the airport. However, the common lack of Development Control results in these standards not being observed with encroachments frequently interfering with transport facilities. The National Planning Standards and Guidelines provide some level of guidance for land-use zoning and development control in the country. However, some of these are perceived to be overly restrictive as they fail to compliment the socio-economic realities. For example, the requirement for use of ‘permanent’ building materials as well as overly generous road sizes in many locations result in either unaffordable costs, or simple disregard for the regulations. Of particular note to the Albertine PDP is that the guidelines do not address land-use zoning at the higher regional and national planning levels; they are urban area specific. This leaves the planners at the discretion of how to go about designation of higher level of land-uses such as conservation areas and agricultural lands. It also fails to give guidance as to how certain land-uses should be integrated at a regional level to serve a wide catchment of people. These issues will be addressed in the PDP.

5.6 Land Uses Land uses of particular interest in preparation of the Albertine PDP fall into the general categories of: 1. Protected Areas: National Parks, Wildlife Reserves, Ramsar protected wetland areas,

etc. 2. Forest: Designated Forest Reserves and other government and private forested areas 3. Agriculture: for crop production both formal commercial and informal subsistence 4. Grazing: private and communal


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5. Built-Up: Urbanising areas including Municipalities, Town Councils and smaller towns, trading centres and villages. Smaller villages are simply integrated into surrounding agricultural lands and do not necessarily require separate land use designation as both occupy the same communal lands. Within built-up areas there are, of course, a number of detailed land use zoning categories that are not of particular interest to the Albertine PDP except in how they may have regional impacts.

6. Special Industry or Major Facility: rural industrial developments, large government

institutional developments, military zones, etc. 7. Infrastructure: roads, airports, ports These are not necessarily officially designated categories, but cover the general range of interest. Map 5-1 illustrates an official series of land uses as prepared by the National Forestry Authority. These may be too detailed for the purposes of an overall PDP and consolidations will be recommended in the Plan. A summary of land uses is presented in Table 5-1.

Table 5-1: Albertine Graben Land Uses

Source: NFA

Land Use Class Hectares (Ha) Sq km %

Broad Leaved Plantations 6,040 60 0.1Built Up Area 12,155 122 0.2Bush 786,950 7,869 11.1Commercial Farmland 44,680 447 0.6Coniferous Plantation 8,349 83 0.1Depleted Tropical High Forest 142,597 1,426 2.0Grass Land 1,112,702 11,127 15.7Impediments 12,744 127 0.2Open Water 471,697 4,717 6.7Tropical High Forest - Well Stocked 410,895 4,109 5.8Wet Land 253,324 2,533 3.6Wood Land 1,132,463 11,325 16.0Subsistence Farm Land 2,686,096 26,861 37.9

Total Area 7,080,693 70,807 100.0

Protected Areas Hectares (Ha) Sq km %

Central Forest Reserves 421,918 4,219 6.0Local Forest Reserves 1,194 12 0.0National Parks 790,195 7,902 11.2Wild Life Reserves 324,868 3,249 4.6Managed by both UWA and NFA 35,080 351 0.5

Total Protected Areas 1,573,255 15,733 22.2


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Map 5-1: Albertine Graben Land Uses


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Table 5-1 indicates that just over 22% of the Albertine consists of protected areas, the highest of any area in Uganda. It is therefore not surprising that the Albertine also accounts for over 70% of tourism revenue and clearly shows that this category of natural resource has long-term importance. The most predominant land use if for subsistence agriculture (37.9%) which is also not surprising given the high level of reliance on farming for survival. Combined with grass lands and bush that may serve for grazing, the total is almost 65%. Commercial agriculture accounts for less than 1% suggesting scope for increase as the economy matures. Open water and wetlands account for over 10% of the Albertine, while the tropical forest that used to cover most of the country, now accounts for less than 8% in various states of healthiness. Designated built-up areas barely register (0.2%) and yet are the centres of economic activity and governance. Note that the total area of 70,000 sq km varies slightly from other data sources placing the Albertine at 68,000 sq km. The differences are insignificant for this exercise.

5.7 Settlement Patterns 5.7.1 Settlement Patterns & Growth Trends

An important component of urban or rural contexts is the pattern of settlement, a landscape feature that contributes to the character of a place. Settlements can be dispersed, clustered, orderly, organic, dense or sparsely populated depending on numerous social-cultural, economic, environmental and political factors. Settlement patterns are often a reflection of cultural traditions each presenting its own set of challenges in providing access to appropriate housing and services, and developing healthy and sustainable communities. Internal population growth and migration are important factors in changes to settlement patterns. Demographic movements, either rural-urban or urban-rural are often a result of emerging or moving economic activities. As the cities may attract people from the rural areas, the green natural environment of the country side may appeal to others. Nevertheless, global indicators suggest that urbanization is an un-reversible trend that must be dealt with. Villages are turning into towns; towns into cities and cities into mega-cities with settlement patterns transforming at an unprecedented rate. Figure 5-1 compares global urban and rural population trends since 1950 to 2050.


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Figure 5-1: Global Urban-Rural Population Trends

Source: World Bank (www.worldbank.org )

Urban sprawl from the urban centre is the main form of urbanization experienced by the centres in the Albertine Graben. The centres are expanding in an uncontrolled, dispersed fashion to absorb population growth. High density is not an issue in the urban centres considering the cultural pattern for single family dwellings. Rapid urbanization can be considered a relatively recent phenomenon in the Graben but presenting significant progressive impacts including loss of agricultural land, encroachment on protected and environmentally sensitive areas, limited or no access to proper infrastructure; and more impacts are expected in the years ahead. The average annual urban population growth rate in the Graben is estimated at 4.5% (2010, World Bank). As mentioned above, internal population growth combined with migration significantly affects settlement patterns. In the Graben, this trend is common with centres absorbing migrants from South Sudan, Congo, Tanzania, Rwanda and Burundi. This population migration includes both temporary and permanent. In both cases, the centres must be prepared to absorb the large demand for housing, services, jobs and so on. Unprepared, the centres scramble and expansion takes place in an ad hoc manner. The existing land tenure system Uganda has posed serious constraints for efficient planning and development (See Section 5.2). In the Albertine Graben this situation is clearly noticed analysing the existing pattern of growth in various centres. The land tenure system has influenced the shape of development patterns and spatial extent. The urban areas have developed organically over time with limited visible evidence of attempts to intervene with a planned urban structure, such as a grid development. The result is centres without a strongly articulated urban core. Some centres urbanise faster and further depending on their role as district or regional service centre, proximity to some key economic opportunity, or selection as a major local government centre. Other centres remain static and some may never urbanize. In the case

http://www.worldbank.org/

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of the 7 Municipalities (MCs) in the Graben, they present a fast growth rate due to their importance as regional centres with strong economy and national and international connectivity. The surrounding towns/villages however generally have a limited subsistence economy, dependent on the MCs and consequently growing at a much slower pace. The transformation from being a rural to an urban settlement can happen fast and leave the population’s expectations behind. The incremental and slow process is much healthier allowing for planned interventions that sustain social, economic and environmental development. The false impression that the cities can do ‘magic’ by themselves to improve lives is mainly caused by poor governance and limited planning. The population is left lacking the understanding that they are part of the process. Moreover, they are left lacking the understanding that this ‘magic’ has high costs that people must be prepared to pay. Two main settlement patterns are considered for analysing the situation in the Albertine Graben:

▪ Formal/Planned growth as new developments take place in a formally planned and supposedly regulated fashion. These low-density developments offer houses, streets and street lights. Infill development can also fall into this category. Nevertheless, infill development does not happen to a high degree leaving existing infrastructure underutilised in many areas. This pattern is not commonly found in the Graben.

▪ Informal/Organic/Uncontrolled (urban sprawl) growth is the main trend found in the

Graben Municipalities. This growth happens in a very organic and uncontrolled fashion with a tendency of outwards growth pushing the city built-up area to any direction and in most cases causing unrepairable environmental impacts.

The following presents specific examples of settlement forms, density and growth trends analysis of various centres/towns within the Albertine Graben, and addressing both formal and informal patterns within the urban, peri-urban and rural contexts.

▪ Urban – urban areas consolidated within the city boundaries normally presenting higher levels of infrastructure and services. The settlement patterns encountered in the Graben urban centres are a mix of formal/planned and informal/organic.

▪ Peri-urban - areas in consolidation or transition from rural to urban, beyond the limits of the municipality, the surrounding areas or out-skirts. In the case of the Graben, the encountered settlement patterns in these areas are informal, uncontrolled and organic mainly following the roads.

▪ Rural – areas associated with agriculture and settlements scattered on the landscape or clustered together in small groups or larger villages. Density in the rural settlement varies depending on the physical environment, socio-cultural and economic dynamics.

Settlement patterns are largely influenced by development policies. An example is the Umudugudu community development policy from Rwanda21 where scattered settlements

21 www.minaloc.gov.rw/fileadmin/.../Community_development.pdf

http://www.minaloc.gov.rw/fileadmin/.../Community_development.pdf


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are being grouped to minimize settlement footprints and maximize availability of agricultural land and infrastructure. 5.7.2 Settlement Analysis

Examples of formal settlement patterns within the Graben are limited to the urban core of some of the 7 MCs that were originally planned. In most cases the original formal plan eventually eroded through uncontrolled subsequent development or lack of infrastructure maintenance. The latter pattern of development continues to take place around the core not following the original pattern creating pockets of development that segregates even further the urban fabric. In general, formal developments are pushed to the outskirts normally to avoid the cumbersome land system and high costs leading to urban sprawl. In the urban context there are examples of formal developments as illustrated on Figure 5-2, an example of a formal pattern in Fort Portal of large lots with single family structures.

Figure 5-2: Fort Portal Formal Pattern

Source: Google The Graben centres are urbanizing fast and present mostly informal/organic/uncontrolled patterns of development with low density throughout. This pattern intensifies the expansion of peri-urban areas lacking proper infrastructure and connectivity to the urban core. Urban sprawl is an expensive form of development particularly for low-income people who cannot afford high costs of transport nor living far away from the centre of economic activities. Local governments’ limited technical capacity and financial resources for planning and servicing land in advance are major issues contributing to sprawling informal/organic developments. Numerous Area Structure Plans and Local Development Plans (LDP) are prepared, but few reflect real physical developmental needs and virtually none are


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implemented effectively. This situation allows for informal/uncontrolled development to take place within and outside the urban core in empty public and private lands leading to land ownership conflicts, unhealthy living environment lacking basic infrastructure such as access, water, sanitation, and drainage. Figure 5-3, Figure 5-4 and Figure 5-5 illustrate Arua, Fort Portal and Hoima urban and peri-urban areas respectively. Analysis suggests similar spatial forms particularly to the urban core. Currently these cores are mainly commercial/business centres. Figure 5-6 illustrates the settlement pattern in the rural context of Rhino Camp, a sub-county of Arua. There is a significant presence of traditional settlement with indigenous architecture integrated in the core.

Figure 5-3: Arua Settlement Pattern Analysis


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Figure 5-4: Hoima Settlement Pattern Analysis

Figure 5-5: Fort Portal Settlement Pattern Analysis


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Figure 5-6: Rhino Camp Settlement Pattern Analysis

2.2 Density Samples

Density is the relationship between people and area. Density analysis allows for determining how efficiently and economically land and infrastructure are utilized. Low densities reduce land use potential with infrastructure often remaining underutilised or uneconomical to provide. Low densities are not ideal for urban centres. On the other side, high densities may lead to unhealthy environments when not properly planned, serviced or managed. Figure 5-7 to Figure 5-10 present formal and informal density examples in the urban, peri-urban and rural contexts within the Albertine Graben in 1ha (100m x100m) samples. The density analysis considers the average household size of 5 persons.


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Figure 5-7: Urban Formal Settlement - Density Sample

Figure 5-8: Informal Urban Settlement - Density Sample


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Figure 5-9: Peri-Urban Settlement - Density Sample

Figure 5-10: Rural Settlement - Density Sample

Sources: Google with CPCS analyis


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Table 5-2: Density Samples

Settlement Context

Formal Sett. Density (person/ha)

Informal Sett. Density (person/ha)

Urban 40 150 Peri-Urban 85 Rural 30

Source: Consultant estimates The density situation varies with centres presenting relatively low densities in general for both formal and informal in all three contexts. The low density in the formal urban settlement compared to the informal suggests opportunities, in some cases, to densify and make better economical use of land and infrastructure in the urban centres. Various factors may contribute to such a situation: traditional land tenure system/cumbersome acquisition process; land speculation; limited economic/financial ability; lack of infrastructure; cool housing market; limited demand; etc. This may also confirm that the larger centres continue to attract migrants that are commonly forced to live informally due to limited housing supply alternatives, and lack of personal resources. The higher density rate in the urban context is expected due to the fact that the bright lights of the cities continue to be very attractive. The point of concern is that the existing urbanization trend may push urban population much further apart from the rural. Are the cities prepared for absorbing this trend in the very near future?


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6Infrastructure and Services

Introduction

This Chapter addresses the key infrastructure components that make up the physical development framework of the Albertine. The Chapter looks at the existing physical conditions, institutional structures, planned projects, and future needs regarding Transport (road, rail, air, water), Water Supply, Sanitation, Energy (power and alternatives), SolidWaste Management and ITC. More detailed and expanded recommendations for future infrastructure development will be presented in the subsequent Albertine Graben Physical Development Plan.


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6.1 Transportation 6.1.1 Road Transport

Roads are of vital importance to the growth and development of a nation. In developing countries such as Uganda, good maintained roads enhance poverty reduction by improving access between regional and rural communities and ultimately, enhancing socio-economic growth and development. Roads in Uganda are managed by the Uganda National Roads Authority (UNRA) for National Roads and Bridges, Ministry of Works & Transport for District, Urban Roads and Community Access Roads (DUCAR).District and urban roads are the responsibility of district and urban councils, while local councils are responsible for community roads. Ministry of Works & Transport, however, assist by providing a range of technical services including planning and assistance in procurement. The total road length and related traffic is shown in Table 6-1 and Table 6-2 respectively.

Table 6-1: Length of Uganda's Road Network Road Network

National District Municipality Town Council

CAR (Community Access Roads)

Total

Paved 3,543 - 996 263 - 4,802 Gravel 17,009 26,445 2,474 1,045 5,151 52,123 Earth - 1,175 745 1,695 70,599 74,214 Total 20,551 27,620 4,215 3,004 75,750 131,139 Source: UNRA database 2013, URF database and AH consulting report 2012.

Table 6-2: Average 2013 Daily Traffic on the Uganda Road Network (in vehicles/day) Road Network National District Municipality Town

Council CAR (Community Access Roads) Total

Paved 5,116 - 4,794 1,920 0 11,831 Gravel 724 105 102 86 24 1,041 Earth 0 11 41 33 6 91 Total 5,840 116 4,937 2,039 31 13,901 Source: UNRA database 2013 and AH consulting report 2012. Although paved roads account for only 3.6% of the entire network, they carry 85% of the Traffic. Map 6-1 presents an overview of Uganda's road network.


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Map 6-1: Uganda's Major Road Links

Source: Uganda Vision 2040 with CPCS Analysis


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Status of Road Infrastructure in the Albertine Graben

There are four primary road links from the capital city Kampala to the Albertine region; ▪ Kampala to Arua, via Kigumbalinking Kampala to the Northern region; ▪ Kampala to Hoima linking Kampala to the Central region ▪ Kampala to Bushenyi and Ibanda via Mbarara, and ▪ Kampala to Fort Portal and Kyenjojo via Mubende linking the Kampala to the Southern

region of study, as shown in the Map 6-2 below. Within the region, there are paved and unpaved national roads linking main towns and district roads, and unpaved roads connecting minor towns and villages. Furthermore, oil companies have constructed temporary roads to access their drilling areas. Bridges and Culverts Bridges along the road links from Kampala into the Albertine are in fair state to handle traffic as long as proper distribution of loads is carried out, and axle load limits are observed. However, the bridges within the roads in the Albertine region are in poor state to handle large anticipated cargo and as such will have to be strengthened or replaced. Current / Prospective Road Development Projects Table 6-3 presents the status of National roads in the Abertine region that are being / planned for upgrading:

Table 6-3: Ongoing and Prospective Road Projects

Project Name Progress as of Feb 2014

Fort Portal - Bundibugyo (104km) Cumulative 99.3% Kazo –Kamwenge (75km) Cumulative 100%. Mbarara – Kikagati – Murongo Bridge (74km) Cumulative 76% Hoima – Kaiso – Tonya (92km) Cumulative 64% Vurra – Arua – Koboko – Oraba (92km) Cumulative 60% Gulu – Atiak (74km) Cumulative 57% Ishaka-Kagamba (35.4km) Cumulative 31% Atiak – Nimule (35km) Cumulative 6% Kamwenge – Fort Portal (65km) Cumulative 10% Ntungamo – Mirama Hills (37km) Tender award stage Mbarara Bypass (40km) Works commenced Kigumba – Masindi – Hoima – Kabwoya (135km) Bids evaluation Mubende – Kakumiro – Kibale – Kagadi (104km) Bids evaluation Kyenjojo – Kabwoya (105km) Bid evaluation Mbarara (Buteraniro)– Ntungamo (Rwentobo) (59km) Cumulative 74.2% Ntungamo(Rwentobo) – Katuna (74km) Cumulative 52.9% Kyenjojo - Fort Portal (50km) Procuring contractor Ishaka - Rugazi - Katunguru (55km) Procuring contractor Pakwach - Nebbi (30km) Contractor mobilizing Rukungiri – Kihihi – Ishasha – Kambuga/ Kihihi – Kanungu – Kambuga (112km)

Procurement of design review consultant ongoing

Hoima – Wanseko (111km) Designs Completed


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Kayunga – Galiraya (88km) Design ongoing Kabwohe - Bwizibwera/ Nsika - Ibanda-Kabujogera-Masyoro-Rwenjaza/Kyambura (85km), Design ongoing

Kashozi-Buremba-Kariro (53km) Procuring design consultant Kashwa-Kashongi-Ruhumba (33km) Procuring design consultant Muhanga - Kisiizi –Rwashamaire. Procuring design consultant According to vision 2040, a Ring Road is proposed around the country. The road will connect through towns of Ntungamo, Kabale, Kasese, Kyenjojo, Hoima, Masindi and Atura. This will lead to development of a highly interconnected transport network from the Abertine region to the rest of the country. Map 6-1. Movement of Goods within the Albertine Movement of goods and persons within the Albertine is mainly through road transport. The oil companies move most of their cargo using road transport and locally, water transport along L. Albert. Apart from entry into Hoima from Kampala, all the movement of goods is by 100% use of gravel roads. The major transport companies that move goods for the oil companies include Threeways Shipping Group, Transtrac, TransEast, Bemuga Fowarders etc. however, there will be low capacity when field developments commence. Public Transport Road transport is the main form of public transport system in the Albertine region. There is no public ownership of road public transport, and 100% is privately owned. Buses and mini-buses are the main means to connect the Albertine region to the major towns, especially Kampala. The bus coverage is at approximately 70%, and the mini bus coverage is at approximately 80% of the major towns. The main buses plying routes in the Albertine region are shown below:

Table 6-4: Major Buses from Kamapala to the Albertine region

Region Northern Central Southern

Buses Gaaga, KK Travellers, California, White Nile and Nile Coach etc.

Hoima Coach, Link, Junior, Bismarkan, and Otada etc.

Kaliita, Popoko and Link etc.

Mini-Buses and Boda-bodas

Privately and Individually Owned.

Average Costs (Ugx. 000)

40 - 50 25 - 30 25 - 30

Peak Season Costs (Ugx. 000)

60 - 100 40 - 80 40 - 80

Trips Once a Day; return trip to the region.

Connectivity between the Northern, Central and Southern regions using buses is very poor; however, this is compensated by use of mini buses which have the ability to navigate the poor road network. However, with the improvement of the road network and high demand, there will be improvement of connectivity.


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Map 6-2: Major Road Links to and Within the Albertine Graben

Source: UBOS


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Existing and Ongoing/Future Works on the Project Roads within each of the Region Figure 6-1 presents a description of the existing road network and ongoing / future works to be carried out.

Figure 6-1: Road Networks - Existing and Future Works

Source: Five year Priority transport Projects 2013/14 – 2017/18, UNRA

Road Network in the Northern Region of study.

The roads into the northern area of the Albertine mainly originate from Kampala through Gulu to Arua. This section of the road is a paved and in good condition. At Karuma junction, the road branches off to Pakwach and finally to Arua town. This is the only section of the road in the northern region that is paved. However, there are ongoing works on the Vurra – Arua – Koboko – Oraba (92km) thereby linking the northern region with a paved section to Congo at Koboko and Vurra, and the Gulu – Atiak – Nimule (102km) thereby linking Northern region with a paved road to South Sudan. The rest of the roads in northern are Gravel and Earth standards. It is planned that upgrading of the Anaka – Gulu – Kitgum road will be paved in the FY 2013 /14. It is also proposed that the Koboko – Yumbe – Moyo, and the Atiak – Adjuman – Moyo Road be upgraded thereby creating a circular road round the northern region. The only interconnection between the Northern region and the Central region is through the paved road section of the Gulu – Kampala highway at Kigumba. A direct route would affect the Murchison Falls National Park.


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Road Network in the Central Region The roads into the central region of the Albertine mainly originate from Kampala through the Kampala to Hoima Highway and the Kampala – Kafu – Masindi Road. This section of the road is paved and in good condition. There is ongoing works on the Hoima – Kaiso – Tonya Road thereby linking the Central region to the area around Lake Albert with a paved road. It is planned that upgrading of the Kigumba – Masindi – Hoima – Kabwoya (135km) and the Kabwoya to Kyenjojo Road (105km) will be paved in the FY 2013 /14, thereby creating interconnectivity between the Northern through the Central to the Southern Region. The designs for Hoima-Biso-Wanseko have been completed and it is envisaged that the road will be developed shortly. The rest of the roads in Central region are Gravel and Earth standards.


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Road Network in the southern Region The roads into the southern area of the Albertine are the most developed in the Albertineregion. They mainly originate from Kampala through the Kampala-Kyenjojo- FortPortal-Kasese Highway and the Kampala-Masaka-Mbarara Road. At Mbarara, there is a branch off to Ntugamo-Kabale–Kisoro Road and Mbarara–Busheyi-Rubirizi-Kasese Road. This road forms a round loop with the Kampala-Kasese Road. This section of the road is paved and in good condition, except for the Kyenjojo-Fort Portal road section and the Bushenyi-Katunguru road section which are in poor condition. Rehabilitation of these sections will is scheduled to be commenced in FY 2013 / 2014. The other paved sections in the southern region are Mbarara–Ibanda Road, and Nyakahita-Kamwenge Road. There is significant amount of ongoing works in the southern region including the Fort Portal-Bundibujjo Road (104km), Ishaka-KagambaRoad, (35km), Mbarara–Kikagati–Murongo Bridge (74km),Mbarara Bypass (40km), Ntungamo(Rwentobo)–Katuna (74km) and the Ntugamo-Kakitumba Road. Contractor facilitated financing will be used to construct the Rukingiri-Kihihi-Kanungu-Ishaha Road and the Katunguru-Ishasha Road. Interconnectivity between Central region of the Albertine and the Southern region is achieved through the Kyenjojo -Fortportal Road, thereby effectively connecting the southern region to both Congo through the Kasese-Mpondwe Road and the Katuguru-Ishasha Road and Rwanda through the Kyenjojo–Fort Portal–Kasese-Ishaka-Kagamba-Ntugamo-Kakitumba Road.


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Transport Challenges and Recommendations

Table 6-5: Challenges and Recommendations by Road Transport Stakeholders Consulted

Challenges Implication Recommendations

Under funding of operational activities. Detoriation of infrastructure

Increase funding meant for operational expense.

High cost of operations due to the lack of raw materials or long haulage distance of materials. The Game Parks under Uganda Wildlife Authority (UWA) further make the acquisition of raw materials difficult.

Higher costs of road construction.

Study should be commissioned for alternative raw materials and protocols for maintenance of roads.

Scarcity of Water as the further away from Lake Albert, the more difficult it is to acquire water, hence long haulage distance.

Higher costs of road construction.

Exploration of other sources of water like bore holes and springs.

Lack of raw material extraction licenses for the local community who provide raw materials to the oil companies.

Environmental degradation

Research alternative raw material for road construction and maintenance as opposed to the traditional materials

Lack of vehicle operations outside the operational areas of the oil companies

Low economic activity Construction of roads will attract vehicle operations to these areas

High cost of acquiring land. Increased cost of construction and social and community issues.

Develop an integrated method of acquiring land where all the land required for infrastructure is acquired at the same time. Further, a proper infrastructure physical plan should be established, where infrastructure land encroachment is well managed.

Failure to adequately prepare for the oil exploration in the Albertine region. The transport systems in place are not able to take on the mass cargo that will come from the oil production in the region. There will be immediate destruction of real systems in place due to the mass cargo/traffic.

The oil will be extracted at a very high cost to the economy and companies due to lack of enabling infrastructure in the region.

There is need for alternative transportation such as rail and pipeline infrastructure to relieve the roads from the bulk cargo.

Lack of an organization in place to cater forthe challenges that are likely to accrue from the mining of oil in from the region.

Slow progress in decision making.

Organised and coordinated Institutional structures should be strongly put in place to avoid planning gaps.

Commissioning of the Physical Planning study before final approval by GoU of the Field Development Plans (FDPs) and completion of the Front End Engineering Designs (FEED) Consultants for all the oil companies.

Poor planning and the production of an incomprehensive study.

Ensure harmonization of the Physical Plans after the approval of the FDPs and completion of the FEED.

Unstable fuel prices, yet transport fares to the regions are fairly constant.

High costs of doing business.

With the development of oil, it is hoped that lower fuel prices will be adopted.


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6.1.2 Railway Transport

One of the critical transportation modes for bulk cargo within the Albertine Graben will greatly depend on rail infrastructure due to the potential economic development within this oil region. In the past, Uganda had a rail network of 1,266 km, extending with branches from the Kenyan border at Malaba to Kasese in the west and to Pakwach in the north. However, services were temporarily withdrawn from the Pakwach and Kasese extensions, and the ‘Busoga Loop’ north and east of Jinja, in the late 1990s, and the currently operating network is of some 330 km only, including the main line from Malaba to Kampala, the lines from Tororo to Mbale and from Kampala to Port Bell, and some other short branches. A long-term concession for the system was offered to a joint long-term concession to Rift Valley Railways (RVR) to run the two networks for a period of 25 years from 2006. Railway lines currently being operated under the RVR Concession include the Malaba – Jinja – Kampala, the Jinja – Jinja Pier, the Kampala – Port Bell, the Kampala –Nalukolongo and the Tororo – Mbale routes. Map 6-3.

Map 6-3: Railway Transport in Uganda

Source: East African Railway Master Plan Study, Final Report, CPCS, January 2009 Condition of the Railway Infrastructure in the Albertine Region

Presently, the railway infrastructure to the AlbertineGrabenRegion (i.e. Kampala to Kasese and Tororo-Pakwach) is dilapidated, vandalized and has been non-functional for a very long time. After years of deterioration, the condition of the existing railway line cannot serve the AlbertineGrabenregion.


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Kampala – Kasese Line Constructed during 1952-1956 to transport copper ore from the Kilembe mines to the refinery at Jinja, this line is almost none existent due to vandalism of the line. Studies to restore this line are ongoing.

Table 6-6: Existing Condition of Kampala to Kasese Railway Line

Track Component Existing

Formation - Completely overgrown with vegetation - Washed out in sections

Ballast - Packed with dirt Sleepers - Steel Sleepers with wood sleepers on bridges

- Very poor condition - Many missing sleepers and fasteners

Rail - Missing Rails - Jointed 40lb to 50lb

Source: East African Railway Master Plan, Final Report, January 2009. Tororo-Pakwach Line This 500-kilometer line was built in 1926 to Soroti and then extended north to Pakwach in 1964. This railway line is presently being rehabilitated.

Table 6-7:Existing Condition of Tororo - Pakwach Railway Line

Track Component Existing

Formation - Completely overgrown with vegetation - Washed out in sections

Ballast - Gravel Sleepers - Steel Sleepers with wood sleepers on bridges

- Very poor condition - Many missing sleepers and fasteners.

Rail - Missing Rails - Jointed 40lb to 50lb

Source: East African Railway Master Plan, Final Report, January 2009 Planned Railway Infrastructure

The Strategic Planning, for Phase I for the Uganda Railway Corporation (URC) by 2018 is to rehabilitate/construct the trunk lines from Double Gauge to Standard Gauge for the following routes:

▪ Northern Line - Tororo to Pakwach, 500km (currently under rehabilitation); ▪ Western Line – Kampala to Kasese (344km); and the ▪ Proposed Kasese – Pakwach.


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The proposed railway infrastructure to access the oil areas has been proposed to run from Kasese to Kaiso along Lake Albert and via the airstrips Pakuba, Bugungu, Butiaba, Kabwoya and Masika to Pakwach under the Ministry of Works and Transport, the Standard Gauge Kasese-Pawach Line. (Ref: 4th East and Central Africa Roads and Rail Summit, 2013). The Kasese-Pakwach railway line will cover 350 km with an estimated project cost value of USD $ 1 Billion. The planned infrastructure will run along the planned oil pipelines as well as the Refinery area, as indicatedin Figure 1-4, (route 4) on the Map above. Care should be taken to ensure that the rail line does not pass through Murchison Park. Once constructed, this will form a complete railway network for the heavy cargo within the Albertine region and Uganda as a whole. The MoW&T has also proposed the construction of the following lines:

▪ the Bihanga - Kabale - Kigali Railway line linking the network to Rwanda; ▪ the Mityana – Masaka – Bukoba (Tanzania) line off the Kampala to Kasese Railway

line linking the railway line to Northern Tanzania; ▪ Gulu to Nimule linking the railway line to Southern Sudan.


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Map 6-4: Proposed Uganda Rail Projects

Source: 4th East and Central Africa Roads and Rail Summit, 2013


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Railway Transport Challenges and Recommendations

Table 6-8: Challenges in the Railway Transport

Challenges Implications Recommendations

Vandalism and theft of the railway sleepers is high.

Higher costs of rehabilitating vandalised railway lines.

Putin place measures to prevent theft and vandalism of railway sleepers.

Use of old 1920 Railway legislation which is no longer applicable to present situation.

Inefficient regulation of the railway transport sub-sector.

Change the old 1920 railway legislation to better reflect the present times; With the new developments in the rail industry, a new Act is required.

Encroachment on the railway reserves by peasants.

Dangerous to communities living in railway reserves, they are prone to accidents and other health related effects.

Place strict measures in place to minimise encroachment of the URC land. The RoW for URC land should be 60m and clearly demarcated.

The existing rail infrastructure is old and therefore maintenance is a challenge. Ageing and under-powered locomotives, and also weak couplings, that limit train lengths.

Frequent breakdown of the railway infrastructure.

Increase funding to the railway sub-sector to rehabilitate the lines. Increase funding to the railway sector.

Inadequate funding to the transport sub-sector.

Inefficiency in administration; and maintenance of railway infrastructure.

Unsatisfactory performance of the concession under the Rift Valley Railways.

Poor delivery of services. Review the performance of the concessionaire to improve on the efficiency and operation of the railway system.

6.1.3 Air Transport

Air Transport provides the most efficient and quickest transport means. While air transport carries only a small proportion of passengers and cargo, it provides a major specialist service in high-speed carriage of time –conscious businessmen, tourists and emergency services, and perishable products. Uganda’s major air transport is dominated by the international sector with low levels of domestic usage. It is facilitated by one international airport at Entebbe and upcountry airstrips including Gulu, Arua, Kaseseand Pakuba in the Albertineregion and Kidepo, Jinja, Lira, Soroti, Tororo, Kisoro, Mbarara and Moroto in the rest of the country.


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Existing Air transport Infrastructure

The Albertine region has four (4) airstrips namely Arua, Kasese, Kihihi, and Pakuba regulated by the Civil Aviation Authority (CAA) though are more airstrips which are privately owned in tea estates and in National parks by Uganda Wild life Authority (UWA). Below are the major airstrips in the region, their location, runway characteristics and services available. Arua Airfield Arua air field is located in the northern region of the study area, in Arua district, West Nile. It is a designated Entry and Exit Point.

Table 6-9: Features of Arua Airstrip

Location: Arua

Coordinates: 03°03’N30°54’E. ICAO: HUAR IATA Code: RUA Distance from Arua Town: 3 Km Runway Characteristics: Orientation: 18/36 Length: 1800 meters Width: 30 meters Surface: Murram Altitude: 5200 Ft Services: Air Navigational Services: Not Available Navigational Aids: Windsock Fire and Rescue: Available Security: Aviation Police Terminal Services: Available Fuel: On arrangement aviation Available Immigration: On Arrangement Customs: On arrangement Accommodation and Hotels: Available in Arua Town Transport: Available

KaseseAirfield Kasese air field is located in the southern region of the Albertine. It is four (4) Km from Kasese Town. It is a designated Entry and Exit Point.


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Table 6-10: Features of Kasese Airstrip

Location: Kasese

Coordinates: 00°10’N30°04’E. ICAO Code: KSE IATA Code: HUKS Distance from Town: 4 Km Runway Characteristics: Orientation: 01/19 Length: 1750 meters Width: 30 meters Surface: Grass Altitude: 3146 Ft Services: Air Navigational Services: Not Available Navigational Aids: NDB, Windsock Fire and Rescue: Not Available Security: Aviation Security and Aviation Police Terminal Services: Available Fuel: Not Available Meteorology: Available Immigration: On Arrangement Customs: On Arrangement Accommodation and Hotel: Available in Kasese Town Transport: Public

Pakuba Airstrip Pakuba air field is located in the northern regionstudyof the Albertine. The airfield is located in Murchison Falls National Park. It is a designated Entry and Exit point.

Table 6-11: Featues of Pakuba Airstrip

Location: Pakuba

Coordinates: 02°20’N31°30’E. ICAO Code: HUPA IATA Code: PAF Distance from Town: 26 Km Runway Characteristics: Orientation: 07/25 Length: 1760 meters Width: 30 meters Surface: Murram Altitude: 2365 Ft Services: Air Navigational Services: Not Available Navigational Aids: Windsock Fire and Rescue: Not Available


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Security: Aviation Security Terminal Services: Available Fuel: Not Available Meteorology: Not Available Immigration: Not Available Customs: Not Available Accommodation and Hotel: Available in Murchison Falls National Park Transport: Not Available

Stakeholders The main stakeholders in Air Transport in the Albertine region are Civil Aviation Authority (CAA), Uganda Wildlife Authority (UWA) and privately owned Airstrips. Civil Aviation Authority (CAA) Air transport in Uganda is regulated by the Civil Aviation Authority (CAA). CAA was created in 1994 as a state agency of the Ministry of Transport, Housing and Communication. The mandate of the CAA is to coordinate and oversee Uganda's aviation industry, including licensing; regulation; air search and rescue; air traffic control; ownership of airports and aerodromes.

Figure 6-2: Passenger traffic at CAA managed Aerodromes

Source: CAA Uganda (Annual Statistics 2012)


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Table 6-12: Transit Passenger Traffic - CAA Aerodromes in Albertine (2003-2012)

AIRPORT 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Arua 2838 2205 1941 1858 1409 1635 2790 2677 1540 2120 Gulu 2601 1506 995 308 582 505 191 246 62 155 Kasese 30 174 505 241 72 34 24 4 7 1 Pakuba 301 365 663 287 537 652 396 25 13 27 Soroti 109 205 308 181 161 195 110 244 510 74 Moroto 184 240 448 313 383 282 404 102 96 81 Mbarara 10 17 12 19 37 29 56 0 9 0 Masindi 0 4 0 0 0 0 6 31 53 13

Jinja 0 0 0 0 10 59 29 292 478 448 Lira 33 175 100 54 101 99 116 20 209 377 Kisoro 1 0 12 17 37 18 6 0 0 11 Kidepo 8 0 63 67 184 191 186 60 14 19 Tororo 0 0 0 0 4 0 0 10 62 60

TOTAL 6115 4849 5047 3345 3503 3699 4314 3711 3053 3386

Source: CAA Uganda (Annual Statistics 2012) As can be observed, air traffic has been consistently high for Arua, and has been dropping for other airports. The drop for other areas is due to the fact that there has been improved security and improvement in alternative transport infrastructure. Uganda Wildlife Authority The Uganda Wildlife Authority (UWA) is one of the governing bodies that regulate wildlife conservation in Uganda. UWA is in charge of managing10 National Parks, 12 Wildlife Reserves, 14 Wildlife Sanctuaries and provides guidance for 5 Community Wildlife Areas. It is governed by a Board of Trustees appointed by minister responsible for wildlife. To improve the tourism subsector, UWA has a number of airstrips in National parks particularly those in the Albertine region and some of the Airstrips and their respective airstrips include Mweya Airfield in Queen Elizabeth National Park, Bugunga and Chobe Airstrips in Murchison falls and Semliki in Semuliki game reserve. Privately Owned Airstrips There are a number of privately owned and operated airstripsin the region, some of these are located at Nebbi, Fort Portal, Adjumani, Kyamuhunga Tea estate (in Bushenyi) and Masindi. Planned Air Transport Infrastructure The Ministry of Energy and Mineral Development (MEMD) has proposed airstrips in the Albertine region to facilitate transport during exploration activities. Details of their location are illustrated in Map 6-5.


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Map 6-5: Proposed Airstrips

Source: Petroleum Exploration and Production Department


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The government of Uganda through Ministry of Works and Transport has a program to upgrade Kasese and Arua airstrips to international standards (designs for Kasese, have been completed, according to a presentation on Uganda Transport Infrastructure and Public – Private partnerships by Eng. Tony B Kavuma, Ministry of Works and Transport, 2013).

According to Uganda Vision 2040 chapter 14, to effectively facilitate the tourism industry in improving tourism support infrastructure and services, upgrading of identified airstrips including Kasese and Pakuba airstrips is of paramount importance. Map 6-5 indicates the upcountry Aerodromes planned for upgrading based on information contained in the Uganda Vision 2040. Air Transport Challenges and Recommendations

Table 6-13: Challenges Faced in Air Transport Sector


Limited connectivity between airstrips.

Increased travel time because alternative modes of transport.

Develop an integrated Transportation Master Plan.

Limited Human resource in regulatory bodies.

Inefficiency in regulation of air transport.

Setup more institutions to train aeronautic science, there is only one institution in the country i.e. Soroti flying school.

Lack of regulation and government actions.

The GoU through the responsible institutions like CAA should enforce laws and policies to regulate air transport in the country.

High Cost of Air travel Use alternative cheaper modes of transport

Poor infrastructure (runways and terminal buildings) at airstrips

Poor service delivery. Mobilise for funding in order to improve facilities like runways and terminal buildings; and services (meteorology, fuel, air navigation services) at Airstrips.

Lack of adequate airstrips within the Albertine region.

High Passenger traffic on some air strips like Arua.

Setup more air strips as planned in the Albertine region.

6.1.4 Water Transport

Inland water transport offers lower transport unit costs when compared to land-based models, and the mode of transport plays a significant and sometimes indispensable role in a country like Uganda where one sixth of the surface area is covered by water bodies (i.e. lakes, rivers and swamps). Ports and Ferries Ports in the Albertine region are mainly located along the River Nile. There are two (2) ports / ferry crossing points within the Albertine located in the northern and central regions of the Albertine. The ports that used to be located on Lake Albert have since been abandoned and


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are being used by the private sector. Oil companies have set up landing sites and are using the abandoned facilities for their operations, for example the Butiaba port. Map 6-6 illustrates existing and proposed water transport services.

Table 6-14: Status of Water Transport Infrastructure in the AlbertineGraben

Area/ Region of Study

Description

Northern Laropi-Umi ferry crossing ▪ the ferry at this crossing has been recently replaced ▪ It crosses river Nile from Adjumani to Moyo; ▪ It can ferry up to 120passengers ▪ It can carry 115tonnes of cargo ▪ It is scheduled for 12 trips in a day, each taking 15minutes to cross the river.

Obongi-Adjumani ferry

▪ It crosses from Obonji in Adjumani district to Sinyanga in Moyo district. ▪ Can carry 80 passengers, 50tonnes of cargo and makes 6 trips daily.

Central Wanseko-Panyimur ferry

▪ This is an old ferry that is in the process of being replaced. ▪ It crosses from Wanseko in Buliisa district to Panyimur in Pakwach district. ▪ It can carry 100passengers, 90tonnes of cargo for 3hours. It crosses the Nile

and Lake Albert, flows into Lake Albert with the Nile. ▪ Distance would be shorter, however, that shallow sections within the water

require longer routes to be undertaken. ▪ There is no land at the Wanseko side due to the fact that all the land has

been occupied by fishermen. On the Panyimur side, there are facilities (toilets, offices, accommodation, etc.) of the crossing.

Masindi – Kungu Port ferry

▪ From Masindi in Masindi district to Kungu in Apac district. ▪ It can carry up to 60 tonnes, 50pasengers and takes 20 minutes to cross; ▪ There are existing facilities at Kungu side of the port; however, these need

major improvement. Butiaba Port The Butiaba port was abandoned and is not being used by MoWT. It is being used by the private sector as a connection to DRC, trade and fishing and oil companies to carry out their activities. However, there has been a poor safety record during the crossing of the lake with fatalities. Mbegu and Bugoma Ports

▪ This port is located on Lake Albert where a barge used by oil companies is used to transport goods.

Ntoroko Port

▪ This port is located on the southern end of Lake Albert where a barge used by oil companies is used to transport goods.


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Map 6-6: Albertine Ferry Services

Source: UBOS


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Regulation / Stakeholder

Regulation is carried out by the Ministry of Works and Transport (MoWT) through the Transport Licensing Board (TLB). All vessels in commercial service are required to be registered with and regularly inspected by TLB. The board suffers from serious shortages of funding and personnel, therefore limited activities can be carried out. Although, there is also marine police, charged with enforcing regulations such as control of overloading. This force is similarly deficient in capacity and therefore unable to exercise the required level of control.

Table 6-15: Water Transport Challenges Faced by Stakeholders Met


Inadequate funding Failure to carry out services.

Better funding which will improve staffing levels, set up Marine Training school, adequately staff the industry, increase awareness of the marine industry, provide spares in timely manner, an improve the capacity of vessels in use.

Lack of marine spares Poorly Trained Staff

Poor service delivery. Under staffing Lack of a Marine Training School in the country

Limited skilled personnel

Old ferries in use Poor Safety Record Improving of the infrastructure of the Existing Vessels and provision of New Ferries.

Low capacity Vessels in use Low levels of service to the communities

Open up new routes to accommodate increase in traffic

Lack of Inspection by the Transport Licensing Board (TLB)

Lack of regulation of ferry services in the region.

The TLB should ensure adequate regulatory and monitoring framework within the industry, although MoWT is in the process of setting up a Marine Transport Board.

Receding Water Levels at crossing points, especially for the Panyimur – Wanseko ferry.

Longer Crossing times and possibility of damage to the vessels.

Carry out bathymetric surveys of possible alternative routes within the Nile and the Lake Albert.

Under-utilization of L. Albert Build Ports on Lake Albert, especially at Butiaba where the old port was located.

The capacity of search and rescue is poor.

Increased marine death accidents.

Provision of Search and Rescue Facilities and increased training of the human resource.

Navigation routes are archaic and need to be resurveyed.

This may cause accidents since navigators are not able to determine their position or safe course, or to warn them of dangers or obstructions.

Mobilise funding to carry out surveys for Navigation routes.

Navigation aids are often damaged or missing, or if existing may no longer mark the most appropriate channels.

Re-establishment of new navigation aids where they are missing of damaged.


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6.1.5 Pipeline

Due to the discovery of oil in the Albertine Region, the GoU has proposed the construction of infrastructure to support the industry. Map 6-7 shows the proposed infrastructure (pipeline and refinery) in close proximity to the Albertine basin.

Map 6-7: Proposed Location of Oil Infrastructure

Source: MEMD 6.1.6 Transportation Needs

Introduction

The situation analysis has been done based on data from key stakeholders and the field investigations. It is also based on short, medium and long term development objectives. The Albertine region and the country as a whole need an integrated transport infrastructure network to spur its own economic growth entails development of a highly interconnected


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transport network and services optimizing the use of rail, road, water and air transport modes in the three regions.

Table 6-16:Situation Analysis – Transportation Area/ Region of Study

Analysis

Northern Road Transport ▪ The Arua–Yumbe-Moyo Road, the Anaka–Gulu Road, and the Atiak-Moyo Road

should be upgraded to paved standards to improve transport in the northern region of Abertine. Rehabilitation of existing paved roads should continue;

▪ ▪ Funding should be increased for Periodic and Routine maintanance of roads in

the region particularly District roads. This will ensure that the asset value of roads is preserved and alsomatained in a motorised state unlike currently some roads like Paraa – Pakwach road which isimpassable during rainy seasons. Water Transport

▪ Construction of facilities at Adjumani, Obongi, Laropi and Umi ports. Air transport

▪ Upgrade the Arua and Pakuba Airfields as proposed by MoWT to ease transport to oil exploration areas of Lyec, Paara and Bulisa. Railway

▪ Rehabilitate the Tororo to Pakwach Rail Line and extend the Railway line from Packwach to Arua to Koboko (Border with Congo) and Gulu to Nimule (Border with South Sudan).

Central Road Transport ▪ As a matter of urgency, upgrade Kigumba – Hoima – Kyenjojo road and Hoima-

Butiaba-Wansekoroad to facilitate oil exploration activities in the region; ▪ Strengthen Kampala – Hoima road which is the main route linking the central

Abertine region to the country`s Capital city.Heavy cargo is expected to be moved into the region mainly using the route;

▪ Upgrade the Ntoroko - Fortportal – Kajura road. Air Transport

▪ Construction of an airport in Hoima (on the proposed site for the oil refinery)due to an envisaged need for a quick and reliable type transport to the region. Water Transport

▪ Replacement of the Wanseko-Panyimur ferry; ▪ Carry out surveys for Navigation routes especially the route from DRC to

Butiaba Port which has a poor safety record; ▪ Open up new routes to accommodate the increasing traffic in the central

region.


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Railway ▪ Construct therailway line from Kasese through the oil fields to Pakwach.

Southern Railway

▪ Rehabilitate the Kampala to Kasese line and extend the line to Mpondwe (border with DRC).

▪ Construct the Bihanga - Kabale - Kigali Railway line, off the Kampala to Kasese Railway line as planned by MoW&T.

6.1.7 Transport Legal and Regulatory framework

Road Transport The Traffic and Road Safety Act, 1998, is the main law governing road transport in Uganda. A large part of the Act provides for the administration of registration and licensing of motor vehicles and issue of driving permits. It regulates the use of motor vehicles on the road and the control of traffic. The law establishes the Transport Licensing Board (TLB) and the National Road Safety Council (NRSC). TLB regulates the use of public service vehicles, private omnibuses and goods vehicles through issue of licenses. Vehicle registration is performed by the Uganda Revenue Authority (URA). The main functions of the NRSC include the promotion of road safety through sensitization and awareness of the public. The Uganda National Roads Authority Act, 2007, provides for the establishment, functions and operation of a National Roads Authority. The Authority is established as a body corporate and mandated, among other functions, to manage the national road network in an economic, efficient, cost effective and businesslike manner. The Authority is managed by a Board of Directors which is responsible for managing the day to day operations of the Authority. The Uganda Road Fund Act, 2008, establishes a Road Fund for the purpose of financing routine and periodic maintenance of public roads in Uganda, including national, district, and community access roads. The policy law establishes a Road Fund as part of a strategy to commercialize the roads sub-sector. The Fund is to be managed by a Board consisting of persons from both the public and the private sectors, and will have a Secretariat responsible for the day to day operations. Rail Transport The Uganda Railways Corporation Act, 1992, is the main law currently governing the rail sector in Uganda. The law establishes the URC as a body corporate and provides for its management, finances and operations. Air Transport The Civil Aviation Authority Act is the main law governing civil aviation in the country. It establishes the Civil Aviation Authority as a body corporate with the main objective of promoting safe, secure, regular and efficient use and development of civil aviation. The functions of CAA include licensing of air transport, regulation of safety and security, and establishment, operation and ownership of aerodromes. In the long term, Government


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intends to privatize airport operations functions once a minimum air traffic mass has been realized. Until such a time, the current legislation regulating aviation will not be affected. Water Transport Water transport in the Albertine and Uganda at large is governed by the Inland Water Transport Act, the Vessels Registration Act, and the Ferries Act. A key guiding principle is that the operations of water transport should be private sector-driven. The Inland Water Transport (Control) Act, 1964, controls the carriage of goods and passengers by water on the inland waters of Uganda. The law requires owners of ships operating transport business on the waters to be licensed by the Transport Licensing Board. The Vessels Registration Act, 1964, provides for registration of all vessels and requires every vessel used in navigation in any inland waters of Uganda to be registered unless the vessel is exempted by the Minister. The Ferries Act, 1964, regulates market entry of public ferry services through the use of ferry boats. Market entry is regulated through a licensing regime, although the Act is short on detailed procedures on standards, criteria, and licensing procedures.

6.2 Water Supply In the AlbertineGraben, there are three main lakes; Lake Albert, Lake Edward, and Lake George and there are a number of streams. In the oil blocks under consideration, the major water source is Lake Albert (Africa’s seventh largest lake) whose principal affluent streams are the Semliki, which comes from Lake Edward through the western edge of the great Ituri rain forest in DR Congo and the Victoria Nile, which enters in Uganda very close to the northern end. Both rivers have built deltas into the lake, that of the Semliki is the larger and 90% of it is in Uganda. Although the Nile carries more water than the Semliki, it has little influence on the ecology of the lake, other than to maintain water levels. There are other numerous small streams entering the Lake from both Uganda and DR Congo, some of which are highly seasonal and of only minor importance to the hydrology of the lake. Its outlet, at the northernmost tip of the lake, is the Albert Nile, which becomes known as the Mountain Nile when it enters Sudan. Sensitivity of the rivers is in regard to their proximity to the oil wells, the closer the wells are to the river, the more sensitive the river is and vice versa. Several classes are therefore formed based on the proximity of the wells to the rivers. 6.2.1 Existing Infrastructure

Water in the Albertine region is mainly supplied by Lake Albert and River Nile which feed the smaller rivers, springs and wells in the region. To a small extent, glaciers from mountain Rwenzori also provide water that feeds the springs and wells.


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The people in the Albertine region are able to access water from shallow undug wells, boreholes, springs and the piped water that is mainly found in the major towns/trading centers. Harvesting of rain water in the Albertine region is on a small scale and it’s mainly done at institutions like schools and hospitals. Although there are water supply systems in all the districts of the Albertine area, general coverage is quite low. Most of the rural areas in the Albertine are water stressed and the women and children have to travel a distance of more than a kilometre to the nearest water source. 6.2.2 Condition of the Water Sources

Most of the water sources in the region are standalone systems that serve a small portion of the population around them. The areas around the lake get water from the Lake Albert, while major trading centers in the Northern, Central and Southern regions of the AlbertineGrabenfor example, Fortportal in Kabarole district, Hoima town in Hoima district, and Arua town are supplied with piped water.

Table 6-17: Condition of Water Sources in the Northern Region of the Albertine Graben

Water Facilities in Northern Region State/Description of the Facilities

Tap/piped water Only present in major towns/trading centers like Arua municipality.

Boreholes, Protected wells/springs Major water supply in the region, although unsustainable. Rain water Rainwater harvesting is practised at household levels and

institutions such as schools, hospitals, clinics, community halls etc.

Gravity flow schemes Located in some towns, however, the schemes are inadequate especially during dry season when water levels recede.

Open water sources like dams, wells, springs, streams and rivers

These are mostly used in the rural areas and are prone to contamination by animals, aerial sprays and humans etc.

The Central Region of the AlbertineGraben The central region of the Albertine is the center of attraction of this study where oil was first discovered. The water sources in the region include boreholes, springs/streams, open water sources like shallow undug wells and Lake Albert.

Table 6-18: Condition of Water Sources in the Central Region of the Albertine Graben

Water Facilities in the Central Region State/Description of Facilities

Tap/piped water Present in towns/major trading centers but unreliable due to power supply.

Boreholes In use but some have been abandoned due to salinity of the water.


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Protected wells/springs Serve majority of the rural population although people have to travel over longer distances to access water.

Rain water Harvesting is minimal, mainly done at institutions like schools, hospitals.

Gravity flow schemes Present in the region but water sources are unreliable due changing seasons

Open water sources like shallow undug wells, springs, streams and swamps

Are used by a majority of the rural population but very prone to contamination and unreliable in the dry season.

Southern Region of the AlbertineGraben

Table 6-19: Condition of Water Sources in the Southern Region of the Albertine Graben Water Facilities in Southern Region State/Description of the Facilities

Tap/piped water Present in major towns, although unreliable due to unreliable electricity to run the pumps.

Boreholes Minimal as the region is in the rift valley and these would destabilize the earth movements in the region.

Protected wells/springs Present in the region but unreliable and prone to contamination due to limited monitoring and supervision.

Rain water Harvesting is mainly at institutional level and very minimal at house hold level.

Gravity flow schemes Available in the region but with limited water source Open water sources like springs, shallow wells, swamps and streams

The rural population is mainly dependent on these sources although the level recedes during the dry season. Are also at high risk of contamination.

6.2.3 Water Supply Challenges and Recommendations

Tabulated below are the challenges faced within the AlbertineGrabenRegion and the proposed recommendations.

Table 6-20: Water Supply Challenges and Recommendations from Stakeholders


Insufficient funding to the water supply sector

Inadequate water supply Mobilize funds for water supply infrastructure development.

Over dependency on a few water sources.

Seasonal water supply Exploring alternative sources of water such as bore holes, rain water harvest and springs.

High staff turnover in water supply regulatory institutions.

Provision of poor quality technical services due to under staffing.

Improve working conditions in the water supply sector.

Poor Urban planning High costs of implementing water supply projects.

Proper urban planning to incorporate water supply networks.

Limited interconnectivity of water supply schemes

High maintenance costs of individual supply schemes.

Interconnect water supply schemes to minimise operational and


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in the Albertine region. maintenance costs such pumping costs.

Blockages within the existing system

Unreliable water supply. There is need to train the communities in the use of water borne systems to minimise on blockages.

Inadequate electricity supply.

Provide enough and reliable energy supply to the region.

6.2.4 Water Supply Situation Analysis

Figure 6-3 summarised the state of water supply in the Albertine Graben. Note that the central area, about to become the focus of the petroleum industry is the most underserved part of the Albertine. Generally, the Albertine region has safe water coverage between 61-80%with some areas in the northern and southern region over 80% safe water coverage. Although water coverage on average is good for all the regions, piped water coverage in the central region is the least covered followed by the northern region. The Southern region is well covered with piped water systems. Piped water systems in the Central Region of the Albertine would have to be increased with anticipated population increase. Furthermore sustainable sources of water would have to be developed, mainly in the Northern and Central areas. 6.2.5 Water Institutional Framework

Water Policy Committee (WPC) was established under the Water Act in 1998 to assist and advise MWE and to promote inter-ministerial and inter-sectoral coordination. Ministry of Water and Environment (MWE) is mandated to manage all water and environment resources in Uganda. It has three directorates: the Directorate of Water Resources Management (DWRM), the Directorate of Water Development (DWD) and the Directorate of Environmental Affairs (DEA). Directorate of Water Development (DWD) is responsible for the oversight and delivery of urban and rural water and sanitation. DWD comprises three departments: Rural Water Supply and Sanitation; Urban Water Supply and Sanitation; and Water for Production. Local governments (districts, town councils, sub-counties) are empowered by the Local Government A2000) to provide water services and manage the environment and natural resource base. District water offices (DWOs) manage water and sanitation development and oversee the operation and maintenance of existing water supplies in the district. District water and sanitation coordination committees (DWSCCs) consist of administrative and political leaders, technocrats and non-governmental/community-based organisation (NGO/CBO) representatives at district level. The role of the DWSCC is to oversee the implementation of WSS programmes.


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Water and sanitation committees (WSCs)/water user committees (WUCs) are established, ideally, at water point at ‘community level’ for the planning, operating and maintaining of RWSS facilities.

Figure 6-3: Albertine Water Supply Coverage Access to Safe Water Coverage Piped Water Systems

Source: Water Supply Atlas National Report, 2012 (to be replaced)


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6.3 Sanitation

6.3.1 Existing Infrastructure

The NWSC currently has piped sewerage coverage of about 6.4% nationally. This is due to the low network coverage which has stagnated over the years due to lack of finance on one hand, but also due to the low demand and unfavourable terrain which does not enable the installation of piped sewerage. The majority of the communities within the Albertine region use on-site sanitation, mainly due to lack of water supply, infrastructure and the high costs of maintaining the sewerage systems. Sewage within the oil & gas companies is transported by trucks back to Kampala by suppliers appointed by the different oil companies. The Hoima Sewage Plant has insufficient capacity to treat the sewage. It is reported that areas that have no piped sewerage services within the region include Kasese, Bushenyi, and Arua (National Water & Sewerage Corporation, 2012 – 2015 Corporate Plan - Enhancing Financial Sustainability and Infrastructure Growth). 6.3.2 Sanitation in the Albertine region

In summary, the condition of the sewerage infrastructure within the Albertinetowns is old, low capacity and poorly maintained due to the lack of finance. Most of the households use onsite sanitation systems. 6.3.3 Planned Projects /Strategies

Sanitation services have always dragged behind Water service delivery. However there is growing advocacy for raising the Sanitation profile in water and sewerage utilities. Although investment costs in piped sewerage services are enormous, the NWSC has an opportunity to expand sanitation services in the growing urban areas where it operates, which currently rely heavily on on-site sanitation options like Latrines and Septic tanks. There are plans to upgrade the Sanitation systems for Arua and Bushenyi towns, as part of the larger water supply projects. 6.3.4 Sanitation Challenges and Recommendations


Insufficient funding to the sewage sector. Some funding is spent on water supply into the communities, however, very little is spent on the output (sewage) of this water.

Unsatisfactory sanitary conditions which lead to water contamination thus increase of water borne diseases thus increased expenditure on medical bills.

Raise sewerage services profile through uplifting the institutional setup of the departments. Rationalise capital expenditure


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on sewerage services rather than concentrating on water supply services.

Low willingness to pay by the users as they don’t appreciate payment for sanitation systems. They believe in onsite sanitation which ends up polluting the groundwater sources.

Groundwater pollution for poorly engineered sanitation facilities.

Promote well engineered on-site sanitation practices (Ventilated Improved Pit Toilets, Septic Tanks, and Lagoons/Stabilisation Ponds etc.) should be enforced by the Institutions, to avoid ground water pollution.

Failure to quantify sanitation output. It is paid as a percentage on addition of the water bill.

Poor revenue collection, therefore insufficient planning, maintenance and development of piped sewerage systems.

Implement the recommendations of the tariff study in relation to sewerage services.

Poor waste disposal methods, especially at the fishing villages. They tend dispose of sewage into the lake.

Surface and ground water Contamination

Construction of affordable and sustainable communal waste water disposal facilities in densely populated areas.

Failure to construct sanitation systems in densely populated areas like the landing sites and fishing villages along lake Albert.

Poor sanitary conditions Institutions should carry out better planning to ensure that densely populated areas have sections demarcated for sanitary disposal and treatment.

Potential of polluting Lake Albert as it is located at the lowest point of the Albertine basin.

Poor sanitary conditions Wastewater treatment process and facilities should be improved within the region to minimise on water contamination.

Blockages within the existing system.

Unsatisfactory sanitary facilities and an increase in operation and maintenance costs.

There is need to train the communities in the use of water borne systems to minimise on blockages.

Low capacity of the existing sewerage systems. There has been population growth; however, the systems are very old, with most of them having been built over 30 – 50years ago.

The sanitation systems are stressed; they cannot handle the sewerage capacities, thus blockages, spillages.

Funds for the upgrading of the sewerage infrastructure, to cope with the population increase Carry out a well-planned sewer network expansion programmes.

6.3.5 Sanitation Situation Analysis

Sewerage Services continue at a relatively low profile, majorly because of the large sums of investment funds required to address this problem. This is compounded by the fact that most domestic users preference for on-site sanitation as opposed to public sewerage system which is considered expensive by majority of our customers.


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6.3.6 Sanitation Institutional Framework

National Water & Sewerage Corporation (NWSC) The NWSC is a Public Utility Company and state–owned Corporation whose mandate, as defined in the NWSC Act Section 5(1), is to operate and provide water and sewerage services in areas entrusted to it on a sound commercial and viable basis. Directorate of Water Development (DWD) At the National level, is the Directorate of Water Development (DWD) is responsible for providing overall technical oversight for the planning, implementation and supervision of the delivery of urban and rural water and sanitation services across the country, including water for production. DWD is also responsible for regulation of provision of water supply and sanitation and the provision of capacity development and other support services to Local Governments, Private Operators and other service.

6.4 Solid Waste Management 6.4.1 Existing Infrastructure

Domestic Waste

The main source of solid waste in the region is currently household waste and municipal waste from the trading centers. The Albertine region does not have an organized disposal system for solid waste and in most of the trading centers; garbage is collected in sacks from the source and transported by tipper trucks to dumping site, by private owners. Hoima, Masindi and Arua have fairly newly completed compost plants with superior designs (i.e. bigger in size, roof trusses are made of steel, good roof cladding material, bigger administration block, wash rooms and changing rooms that are water borne compared). However, most of the other towns have poor sanitation systems which are old and low capacity. Arua Town Council

Arua has a garbage recycling plant at Ewuata village in Vurra sub-county. It has a capacity of converting up to 70,000 tons of solid waste into manure daily. The Plant is operated and managed by the Municipality, and is experiencing the same challenges as the Hoima Plant. Hoima Town Council

Hoima has a garbage recycling plant at Kibati, about three kilometers away from Hoima town. Nevertheless, it experiences solid waste disposal challenges. Although the municipality owns three dumper trucks, officials say they are often grounded due to lack of fuel. The municipality also cannot afford to hire enough manpower to sort the solid waste and currently employs only 15 casual workers.


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Kasese Municipality

Kasese Municipality has several waste collection points, with 6 waste skips distributed around the Town, and 2 bunkers for handling of waste. To date no sorting of waste takes place thus all the generated solid waste finds its way into the garbage skips and eventually to the open dumping grounds. Kasese Municipality has a landfill site at Kidodo near the Kasese Cobalt. Oil waste

According to Dr. AryamanyaMugisha, a private consultant and the former head of the National Environment Management Authority (NEMA), the biggest concern currently is waste from the Oil and gas exploration activities. Dr. Mugisha explains that waste includes solids from underground, which are removed, as drilling machines bore through the rocks, additives in form of chemicals which are used during drilling and, at a later stage, the residues from the petroleum processing. Over the last three years, the mud cuttings and liquid waste coming from oil wells have been ferried to Kisinja in Hoima, Ngala in Buliisa, Bugungu and Rutangi near Pakwach, as well as Mpundu in Rukungiri, which were reserved as collection centres for the oil waste. NEMA argued that it was easy to monitor the oil waste at collection centers than keeping it scattered. The waste is buried at specific collection centres in plastic lined pits; the waste would be treated with lime or cement to avoid leachate seepage and contamination of underground water 6.4.2 Condition of Solid Waste Disposal

The state of solid waste disposal within the Albertine region is poor due to the poor solid waste disposal practices within the towns. There is no presence of disposal/dust bins and often waste is disposed off in storm water drains during heavy rains. Garbage Plants have been developed but lack proper management due to insufficient funds and institutional management. 6.4.3 Planned Solid Waste Strategies/Projects

NEMA signed co-operation agreement with some of the municipalities in two tranches. The first tranche were signed in 2005 with the nine municipalities of Mukono, Jinja, Mbale, Soroti, Lira, Mbarara, Kasese, Kabale, and Fort Portal. The second tranche were signed in 2010 with eight municipalities of Masindi,Busia, Hoima, Mityana, Entebbe, Arua, Gulu and Tororo. The Cooperation Agreements/ Memoranda of Understanding set out the rights and obligations of each party in terms of the CDM programme activities. 6.4.4 Solid Waste Situation Analysis

Northern Region

In the northern region, there is onlyEwatwala recycling plant in Arua Municipality. It is recommended that a recycling plant is developed at Nebbi and Zombo to improve solid


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waste disposal and collection. Further, solid waste disposal centres developed around the Municipality, to facilitate waste collection. Central Region

The oil and gas activities are concentrated within the central region and therefore there will be vast amounts of solid waste products. Presently, there is only the Kibati recycling plant in HoimaMunicipal. It is recommended that well engineered solid waste landfills are developed for both, domestic solid waste as well as the oil and gas waste products. An additional landfill site is recommended at Hoima and another along Lake Albert, near the refinery at Kigoroba Town Council, Masindi and Kyakwanzi area. It is recommended that the oil companies manage their waste with close monitoring by the government to ensure compliance with the NEMA regulations. It is also recommended that the domestic solid waste is managed by private companies due to the increased economic development around the Lake Albert area. Southern Region In the Southern region, there is only the Kidodo recycling plant in Kasese Municipality. 6.4.5 Solid Waste Legal and Institutional Framework

Ministry of Water Lands and Environment The ministry is the institution responsible for the formulation of policies that govern environmental management in Uganda hence responsible for environmental issues in the country. National Environment Management Authority This is the principal agency in Uganda responsible for the management of environment and is charged with the coordination, supervision and monitoring of all activities related to environmental management. 6.4.6 Solid Waste Challenges and Recommendations

The challenges and recommendations for solid waste management within the region include:

Table 6-21: Challenges and Recommendations


Poor waste management has been found to result into pollution of both surface and ground water through the leachate draining and impairing the permeability of soils as well

Health risks for instance; solid waste at informal disposal sites produces toxic gases, bad odour and creates air pollution. This has led to increased incidences of diseases like cough,

Mass sensitization with emphasis on garbage sorting, re-use, recycling and strengthening of waste collection as a way of conserving the environment for


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as blockage of drainage systems.

diarrhoea, fever among others, hence increasing public expenditure on drugs.

the benefit of the present and future generation.

Lack of capacity by the council or districts to manage waste.

Solid waste management is neglected.

Privatization of solid waste management.

Lack of enough trained man power, weak laws and insufficient funds. Domestic waste is not given priority within the Districts, such that is not poorly budgeted for.

Unsatisfactory solid waste collection and disposal

Institutions should strongly implement solid waste regulations and policies. Motivation of staff through sufficient training (recycling businesses etc.) and good salary remuneration.

Poor technologies like lack of modern collection trucks thus increased staff management and coordination.

Poor solid waste collection and disposal

Planned management, coordination and motivation of staff by institutions.

Inconsistency in waste collection by the responsible firms.

Unsatisfactory solid waste collection and disposal.

Constant monitoring of Private Companies to ensure compliance with basic solid waste collection and disposal.

Insufficient funds to fuel vehicles for transporting solid wastes and salary payments;

Unsatisfactory solid waste collection and disposal

Institutes should root out corruption. Ensure solid waste collection is observed and Budget for solid waste management and disposal.

6.5 Energy

6.5.1 Introduction

Uganda has considerable resources for energy production and the provision of energy services, yet they remain unexploited, largely due to the perceived technical and financial risks. These resources include: biomass, geothermal, large scale hydro, mini/micro/pico hydro, wind and solar energy. However, with the exception of biomass, whose contribution is very significant, the remaining renewable sources (including large hydros) contribute about 5% of the country’s total energy consumption. This limits the scope and productivity of economic activities that can be undertaken in any part of the country. Thus it is imperative that the use of these abundant resources should be enhanced.


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Presently, with the increasing economic activities within the AlbertineGrabenRegion, energy demands are increasing with the proposed or planned infrastructure developments. Within the AlbertineGrabenregion the main sources of electrification include:

▪ Electricity from the main national grid; ▪ Use of diesel to power oil exploration; ▪ Use of Solar energy by local Communities.

Recently completed studies gave the potential as indicated in Table 6-22. However, more site specific data is available for the actual development of the resources.

Table 6-22: The Energy Power Potential in Uganda

Energy Source Estimated Electrical Potential (MW)

Hydro 2,000 Mini-hydro 200 Solar 200 Biomass 1650 Geothermal 450 Peat 800 Wind - Total 5300

6.5.2 Hydropower

The large-scale hydropower potential along the River Nile has been estimated at about 2,000 MW including six potential major hydropower sites: Bujagali - 250 MW, Kalagala 450MW, Karuma (Kamdini) 150MW, Ayago North 300 MW, Ayago South 250 MW andMurchison Falls 600 MW. Bujagali and Karuma sites have been significantly studied and are being developed on a Public Private Partnership (PPP) basis to generate electricity in the medium term. Figure 6-4 summarises the current and planned hydro power situation in the three sub-regions of the Albertine.


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Figure 6-4: Albertine Hydro Situation

Northern Region of AlbertineGraben

Map

Existing and Proposed Hydro Power Stations

Source: Uganda Transmission Grid map, UETCL 2014

Legend Generating Stations- Hydro Proposed Generating stations – Mini Hydro Proposed 400KV Substation Proposed 132KV Substation

Proposed 400KV Transmission line Proposed 132KV Transmission line

The northern region does not have any Transmission Lines from the National grid, although there is an ongoing project to connect Arua to the National Grid. The area has some potential sources of HPP, including the following potential sites: 21- Nyagak HPP The Nyagak 1 has been issued a licence and the project is being developed by the West Nile Rural Electrification Company Limited (WENRECO). The plant is located in Nebbi District and it is expected to produce 3.5 MW. A- Murchsion Fall HPP (Uhuru) The Murchison Fall HPP located in a National Park at Nwoya/Bulisa District. It is expected to produce 642 MW and presently preliminary Studies are in progress.

B- Kiba HPP The Kiba HPP is located in Nwoya/Masindi District. It is expected to produce 295MW and presently preliminary Studies are available with the MEMD.

C- Ayago HPP The Ayago HPP is located in Nwoya/Masindi District. It is expected to produce 600 MW and presently detailed feasibility Studies are being done by the MEMD.

D- Oriang HPP The Oriang HPP is located in Nwoya/Kiryando District. It is expected to produce 395 MW and Preliminary Studies are available with the MEMD.

E- Karuma HPP The Karuma HPP is located in Kiryandonga and Oyamdistricts. It is expected to produce 600 MW and construction activities are in progress. It expected to be completed by 2018.

21


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Central Region of AlbertineGraben


Legend

Generating Stations- Hydro Proposed Generating stations – Mini Hydro Proposed 400KV Substation Proposed 132KV Substation


The area is poorly connected to the National with only major towns like Hoima, Masindi etc. connected Proposed Hydro power stations 16 – Buseruka HPP The Kabalega mini hydropower dam at Buseruka, Hoimadistrict in Western Uganda, is injecting 9MWinto the region. The same developer for Buseruka, Hydromax, is expected to build 5MW mini-hydropower dam at Waki River in the nearby Masindidistrict.The $38.8 million Buseruka project was funded by the African Development Bank and PTA Bank and will generate enough electricity to power over 1,000 households, schools and hospitals in the AlbertineGrabenregion, and feed into the national grid at the Hoima substation. 17 – Waaki HPP The Waaki HPP is located in Hoima District. It is expected to produce 2-8MW and Feasibility Studies are on-going. The permit was issued to Hydromax (Nkusi) Ltd.

21


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Southern Region


Legend

Generating Stations- Hydro Proposed Generating stations – Mini Hydro Existing 132KV Substation Proposed 132KV Substation


The southern region is the most connected area to the National Grid with connections. It is also an area with small rivers with the potential for HPP development. Existing Hydro power stations Three mini Hydro power stations have been identified in the southern area of study, i.e. Ishasha, Mpanga and Maziba. Ishasha It is located on Ishasha river kanungu district and has a capacity of 6.595 MW. It is in operation by ECO Power Uganda Limited. Mpanga Mpanga Power Station is an 18 MW hydroelectric power project located across River Mpanga, in Kamwenge District. It is in operation by Africa EMS Mpanga Ltd. Maziba Maziba Hydroelectric Power Station is a 6.5 MW hydroelectric power station located across River Kiruruma, in Kabale District close to the border with Rwanda. Proposed Hydro power stations 2. Nyamabuye 3. Halsesero 4. Kisisi 5. Nengobridge:The project is under feasibility and estimated to produce 6.5 – 7MW. 6. Bugoye 7. Mubuku 8. Kakaka: The project is under feasibility and estimated to produce 4.8MW. 9.Ngete 10. Sogahi 11.Mizizi 14.Ruizi 18. Kyambura 20. Nyamambwa 23. Sindira 24.Ndugutu 28. Kabale Peat 29. Rwimi 30. Lubilia

21


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6.5.3 Alternative Energy Sources

A part from Hydro power, other potential energy sources in the region are; Solar, Biomass, Wind and Geothermal are also potential sources of Energy in the region. Solar Energy Existing solar data clearly show that the solar energy resource in Uganda is high throughout the year. The mean solar radiation is 5.1 kWh/m2 per day on a horizontal surface; this level is quite favourable, for the application of a number of solar technologies. These include:

▪ Solar water heating; and ▪ Solar photovoltaic systems for supply of basic electricity in rural institutions and

households as well as areas not connected to the grid. Geothermal Geothermal energy is one of the possible alternative renewable energy sources in Uganda, which will supplement other sources of energy. Its major advantages are that it is environmentally friendly and multidisciplinary in uses, since it can support various development activities ranging from production to processing of raw materials, like minerals and agricultural produce. Geothermal investigations in Uganda have so far identified three potential areas for detailed exploration. They are all situated in western Uganda, in the western branch of the East African Rift Valley. The three potential areas are Katwe-Kikorongo, Buranga and Kibiro. Based on recent assessments, they have all been ranked as potential targets for geothermal development. The total geothermal energy potential is estimated at 450 MW. 6.5.4 Energy Challenges and Recommendations

Table 6-23 presents a summary of the challenges facing energy provision in the Albertine with a particular focus on the acceptance and use of alternative energy sources.

Table 6-23: Energy Challenges and Recommendations


High Upfront Costs Unexploited/Underutilisation of energy sources

Implement projects through Public private partnerships to attract more investments in the Energy sector. Lack of Financing Mechanisms Inefficiency in administration

and regulation. Lack of Standards and Quality Assurance

Consumer exploitation and ; Poor service delivery since there are no minimum set standards expected of service providers in the energy sector.

Standards and mechanisms should be put in place to monitor and ensure quality of energy technologies.

Inadequate Legal and Institutional Framework

Standardise procedure and instruments for energy investment in the country.

Unsustainable use of Biomass Environmental degradation Use of alternative energy sources like solar, geothermal while are not harmful to the environment.


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Lack of Sufficient Data on Resource Base

Suppress research in the energy sector; Poor planning.

Creating a database for information collected during Studies conducted on the resource baseespecially for wind, solar and geothermal energy.

Inadequate attention to Research and Development (R&D)

Budget should be allocated to institutions of higher learning to specifically conduct R&D.

Limited Technical Capacity Poor service delivery Underdeveloped Market Underutilisation of energy

sources Developments of alternative unexploited energy sources like solar, geothermal and wind energy.

Limited Stakeholder Involvement Limited market potential There is need for stakeholder involvement in the sector to ensure sustainability of investments.

Lack of public awareness There is a need for considerable public awareness-raising on issues such as tariff setting, investment programmes and introduction of new policies.

Table 6-24: Energy Sources in Uganda Hydroelectric Power

Station Location Status Capacity

(MW) Coverage

Kiira HPP/ Owenfalls Jinja Operational 200 Central, Eastern, Western and South western Uganda.

Nalubale HPP Buikwe Operational 180

Bujagali HPP Jinja Construction completed in 2012

100

Karuma HPP Kiryandongo Under construction, due 2018

600 Adequate to serve the Albertine Region

Isimba HPP Kamuli Under construction

183

Ishasha / Kanungu HPP

Kanungu Operational 6.6 Adequate potential to sufficiently provide energy to the Albertine Region Mubuku 1 HPP Kasese Operational 5.4

Mubuku 2 HPP Kasese Operational 13 Mubuku 3 HPP Kasese Operational 10 Mpanga Kamwenge Operational 18 Buseruka / kabalega HPP

Hoima Under construction

9

Nyagak 1 HPP Zombo Under construction

3.5

Ayago HPP Nwoya Contract a awarded to the contractor in 2013

600-650

Kasiizi Rukungiri Operational 0.3 Bugoye HPP Kasese Operational 13


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With a combination of hydropower (1266MW), solar energy and thermal energy, there is sufficient source of power to provide the Albertine region with the power needs. 6.5.5 Energy Situation Analysis - Summary

Table 6-25 presents a summary of the existing energy situation in the Albertine.

Table 6-25: Situation Analysis– Energy Area/ Region of Study

Analysis

Northern Construction of 600MW Karuma HPP will provide enough Energy for petroleum exploraton activities. The project is expected to be completed by 2018. This will supplement the already existing 3.5MW Nyagak 1 Hydro station in west nile.

Construction of Ayago HPP which is under feasibility stage of development will supplement Energy supply in the region.

Development of Achwa1, Achwa2 and Achwa 3 and Nyangak 3 mini hydro stations should be considered for future Energy generation in the northern region. Development of Kiba, Oriang and Murchison sites on the large R. Nile should be discouraged due to adverse environmental and social impacts.

Central There is need for a reliable energy source in the region to aid in oil exploration activites.

It is envisaged that gas from oil exploration will be used as a source of energy for the oil cmpanies and the communities in the Albertine, however, this may not be sustainable in the long run.

Karuma and Ayago hydro stations are the sustainable energy sources for which these region can benefit.

Geothermal as an alternative energy should be considered since there is a potential site for Geothermal energy generation at Kibiro.

Solar energy should also be evaluated because the region one of the highest solar radiation of 5.6 – 6.8 kWh/m2/day in the country.

Southern The southern region is mainly supplied by the main grid lines from Kiira and Nalubale HPPs.

There are various potential sites for hydro power stations in the southern region such as Bugoye, Mubuku, Kakaka, Ngete, Sindira, Ndugutu, etc which could be utilised for Energy generation.

Geothermal as an alternative energy should be considered since there are

potential sites for Geothermal energy generation at Katwe and Buranga.


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6.5.6 Energy Institutional Framework

In order to achieve the Government of Uganda (GoU)’s policy objectives for renewable energy resources, a number of institutions, each with its own mandate will be involved in the Planning of the Albertine Graben. The responsible bodies governing electrification include: Ministry of Energy and Mineral Development (MEMD) The overall responsibility for energy policy lies with the Ministry of Energy and Mineral Development (MEMD), which is the Government of Uganda lead agency in the energy sector. The mandate of the MEMD is to establish, promote the development, strategically mange and safeguard the rational and sustainable exploitation and utilization exploitation and utilization of energy and mineral resource for social and economic development.

Uganda Electricity Generation Company Limited (UEGCL) Uganda Electricity Generation Company Limited (UEGCL) is the owner of Kiira and Nalubaale Hydropower Stations in Jinja, which were concessioned to ESKOM to manage and operate for (20) twenty years effectively from 2003.

Uganda Electricity Transmission Company Limited (UETCL) The Uganda Electricity Transmission Company Limited (UETCL) is the system Operator and owns transmission lines above 33kV. UETCL is the bulk supplier and single buyer of power for the national grid in Uganda. It is the purchaser of all independently generated power in the country that is fed into the national grid.

Uganda Electricity Distribution Company Limited (UEDCL) Uganda Electricity Distribution Company Limited (UEDCL) is the owner of the electricity distribution network, which was leased to UMEME Ltd for a twenty year period, effectively from 2005.

Electricity Regulatory Authority (ERA) The ERA is established by the Electricity Act, 1999 Cap 145 to regulate the generation, transmission, distribution, sale, export and import of electricity in Uganda.

Rural Electrification Agency(REA) Rural Electrification Agency (REA) is the Secretariat of the Rural Electrification Board (REB), which manages the Rural Electrification Fund (REF). REA is responsible for developing and promoting rural electrification. The Rural Electrification Board (REB), as the governing body of REA, provides subsides to support rural electrification projects.

Directorate of Water Resources Management The Directorate of Water Resources Management under the Ministry of Water and Environment is responsible for managing the water resources of Uganda in an integrated and sustainable manner in order to secure and provide water of adequate quantity and quality for all social and economic needs for the present and the future. It is the agency that issues Surface Water Abstraction and Construction Permits to Project Developers.


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6.6 Information and Communication Technology

6.6.1 Introduction

ICT can be broadly defined as technologies that provide an enabling environment for physical infrastructure and services development of applications for generation, transmission, processing, storing and disseminating information in all forms. These forms include; voice, text, data, graphics and video. There are a number of communication systems in Uganda; including telephones, radio and television broadcasts, internet, mail, and several newspapers. The use of phones and the internet in Uganda has rapidly increased in the last few years. Telecommunication In Uganda there are 7 telecommunication companies i.e. MTN Uganda, Airtel Uganda, Uganda Telecom, Orange Uganda, Smile Telecom, K2 Telecom and Smart Telecom Uganda. The Albertine region in particular, the main telecommunication service providers are MTN Uganda and Airtel Uganda accounting for more than 80% of the users in the region. Radio and Television broadcasts There are a number of radio and TV stations in the region. The Uganda Broadcasting Corporation is the public broadcasting station. Radio and Television Stations in the Abertine as of December 2011

Table 6-26: Radio Stations in the Albertine Graben

Region Radio stations

Northern Radio Paidha, Rainbow Radio, Arua One, Radio Maria, Radio Pacis, Nile FM, British Broadcasting Corporation (BBC), Here is Life (HIL), Radio Koboko, Amani FM, Madada FM, Voice of the Nile FM (VoN)

Central Radio Hoima, Liberty FM, Spice Radio, Radio Maria, Voice of Bunyoro, Top Radio, New Life Church, Bunyoro Broadcasting service (B.B.S) British Broadcasting Corporation (BBC), Uganda Broadcasting Corporation (UBC), Radio Kitara, Uganda Rural Develop. & Training Programme (URDT)

Southern Radio Kamwenge, Endigito FM, Better FM, Rwenzori FM, 10 Counties Radio West, Guide Radio, Kyenjojo FM, Life FM , Kyenjojo Development Radio (KDR), Messiah Radio, Uganda Broadcasting Corporation (UBC), Voice of Toro, Radio Maria, Crane FM, BFM, Grace Radio, Kanungu FM, Way of Life Radio, Voice of Rukungiri, Hunter FM.


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Television stations in the Albertine region

Table 6-27: Television Stations in the Albertine Graben

Region Television

Northern Born Free Technologies Network (BTN) and Wavah Broadcasting Service TV (WBS)

Central Uganda Broadcasting Corporation (UBC) and Bunyoro TV Southern Wavah Broadcasting Service TV (WBS), Hunters TV, NTV, Uganda

Broadcasting Corporation (UBC) Postal Services Structure of Postal services Postal services in Uganda are currently provided by Uganda Post Ltd (UPL), a Major Operator wholly owned by the Government and 22twenty five (25) licensed private courier companies. The activities of the private couriers are mainly centred within and between the major urban centres, while UPL has the obligation of covering the whole country. Currently, UPL has a network of 12 Regional Head Post Offices, 70 Departmental Post Offices, 105 Sub-Post Offices, over 1623 Stamp Vendors and 74,360 installed private post office boxes. Only 5% of UPL mail is delivered to home or office addresses and the rest of the deliveries are made through private letterboxes located at Post Offices scattered throughout the country. Uganda’s domestic letter volumes are decreasing at a faster rate compared to international trends, hence calling for a substantial increment in postal investments. These investments should focus on postal services such as EMS, Parcels, Money Orders, Advertising, Logistics and Online Services which are showing positive growth trends. 6.6.2 ITC Targets / Planned Developments

The following targets are intended to be achieved by 2017 according to the Telecommunications Policy 2012 and these are as follows:

▪ Institutional Data Access Points of speeds not less than 2Mbps: For all Universal Primary Education schools and Post Primary institutions; all Educational Institutions; Government health units at LCIII; Agricultural extension units and other public institutions;

▪ At least one Public Data Access Point of speed not less than 2Mbps within each parish/ (LCII) of the Administrative districts of Uganda;

▪ Public Voice Access Points within each Local Council first Level (LC1)/Village of the Administrative Districts of Uganda;

▪ Interconnection of all Local Government headquarters and Town Councils by broadband links as part of the National Data Backbone;

▪ A universal service access target of 60% of the projected population, up from the current 40%;

22National Postal Policy August 2012


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▪ Internet connection at speeds greater than 512kbps to at least 25% of households ;(include current domestic subscription figures)

▪ A centralized mechanism to plan, build and manage all public communications Infrastructure in a coordinated manner; and

▪ Harmonisation of the Uganda Communications Act, Electronic Media Act and any other relevant laws.

6.6.3 ITC Challenges and Recommendations

While significant success has been achieved in the communication sector, the following challenges remain:

Table 6-28: Challenges and Recommendations in the Communication Sector

Challenges Implication Recommendation

High Cost (Unaffordable) of telecommunications services.

Exploitation of consumers by telecommunication companies.

UCC should monitor and regulate costs of telecommunication services.

Lack of a Competition law Review consumer protection laws and regulations pertaining ICT.

Lack of customized communication devices.

Non user friendly communication devices.

Customize telecom devices to local languages since the majority of devices are in foreign languages that are not easily understood by the majority of the local population.

Non participation in Production Ugandans will remain consumers of technology. Needs of the local population are not addressed.

Invest in research in the ICT sector to enhance development and innovation of new products and services.

Low investment in communication infrastructure.

Inadequate regulation and monitoring by regulatory bodies.

Increase investment in ICT Infrastructure.

Overlapping mandate of the Regulatory bodies.

Review functions of UCC and BC to eliminate any overlap in responsibilities and duties.

Lack of Public ICT Awareness Exploitation of consumers

Public ICT Awareness Campaigns on the vast potential benefits, and dangers, of telecommunications services in order to enable them make informed choices.

Lack of adequate Electricity Limited degree of coverage and access to mobile communications services.

Support energy programmes like Rural Electrification.


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6.6.4 ITC Legal and Institutional framework

Legal Framework These are the legal provisions applicable to the information and communication sector. The Uganda Communications Act The Uganda Communications Act, Cap 106 (Laws of Uganda) provides for;

▪ The restructuring of the Communications industry in Uganda by establishing the Uganda Communications Commission, providing for its functions and administration; providing for the incorporation of Uganda Telecom Limited and Uganda Post Limited, to liberalize and introduce competition in the industry;

▪ Establishment of the rights and duties of the state, enterprises, institutions, organizations and natural persons in the use and management of means of communication, in the establishment and management of communication networks.

The Electronic Media Act The Electronic Media Act, Cap 104 (Laws of Uganda) provides for;

▪ Establishment of the Broadcasting Council to license and regulate radio and television sets, to amend and consolidate the law relating to electronic media and to provide for other related matters.

▪ The minimum broadcasting standards for broadcasters and provides for the functions of the Council.

The National Information Technology Authority-Uganda Act National Information Technology Authority, Uganda Act 2008, provides for;

▪ The establishment of the National Information Technology Authority, Uganda and its objects, functions, composition, management, finances and other related matters.

▪ The Authority to set, monitor and regulate standards for information technology planning, acquisition, implementation, delivery, support, organization, sustenance, risk management, data protection, security.

Institutional Framework Ministry of Information and Communications Technology The Ministry of ICT was established in June 2006 with a mandate of;

▪ Providing strategic and technical leadership, overall coordination support and advocacy on all matters of policy, laws, regulations and strategy for the ICT sector.

▪ Ensuring sustainable, efficient and effective development; harness in the utilization of ICT in all spheres to enable achievement national development goals.

Uganda Communications Commission (UCC) The Uganda Communications Commission was established by the Uganda Communications Act to among other things;

▪ Implement the objectives of the Act; ▪ Monitor, inspect, license and regulate telecommunication services; ▪ Allocate and license the use of radio frequency spectrum and to process applications

for the allocation of satellite orbital locations;


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Broadcasting Council (BC) Broadcasting Council was established by section 10 of the Electronic Media Act to among other things:

▪ Coordinate and exercise control and to supervise broadcasting activities; ▪ Set ethical broadcasting standards; ▪ Arbitrate in consultation with the Media Council on disputes between Operators of

broadcasting stations; and The public and operators of broadcasting stations; ▪ Advice Government on all matters relating to broadcasting;

National Information Technology Authority (NITA-U) The National Information Technology Authority Uganda’s mandate is to coordinate, promote and monitor IT development within the context of national social and economic development. UICT Uganda Institute of Information and Communications Technology is mandated to provide training interventions in the field of Information and Communications Technology so as to support national strategic objective of increasing the use of ICTs throughout the country in order to enhance development. Telecommunications Operators Currently the sector has three major categories of license holders providing Telecommunication services in Uganda;

▪ the National Telecommunication Operator License which has 2 license holders; ▪ The Public Infrastructure Provider with 26 license holders; iii) ▪ Public Service Provider (voice and data) with 37 license holders; and Capacity resale

with 9 license holders.


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7Municipalities, Towns and the Albertine

Introduction

The Albertine's urban centres - Municipalities and Towns in particular - are playing an increasingly important role in the Graben. Rural-urbanmigration is accelerating their sizes, which in turn are creating planning and servicing challenges to government. The urban centres are the economic and governance hubs. This Chapter provides an overview of how these centres are developing, their current and potential roles in the Albertine, and the planning and development challenges they face.


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7.1 Introduction- Urban Development Uganda is at its early stages of urbanization, with a majority of its population still living in rural settings. With the discovery of oil in the Northern and Western parts of Uganda, the rate of urbanization is expected to increase to an average of 5.2%23 which is considered a high urbanization rate. Urban economies are considered to be engines of development, however, with poor planning urban problems such as proliferation of slums, inadequate infrastructure, environmental degradation and insecurity emerge hindering economic growth. Properly planned and managed urban centres enhance access to basic services and stimulates economic growth.

7.2 Urban Areas in the Albertine Graben The Local Government Act Cap 243 empowers the Ministry of Local Government to declare an area urban if it satisfies the following criteria:

▪ A minimum of 25,000 people for a Town Council ▪ A minimum of 100,000 people for a Municipality; and ▪ A minimum of 500,000 people for a City.

Urban areas should have a Master Plan addressing land-uses and infrastructure. Local Governments are empowered by the Local Government Act, 1997 to generate revenue through local taxes, but with consultation and approval from the Ministry of Local Government and/or parliament. However, higher levels of government retain significant expenditure control Further to these criteria all District Headquarters are considered to be Towns under the Act. This has seen small centers with less than 25,000 people declared as Town Councils as new districts were created. Table 7-1 oultines the, urban hierarchy in Uganda. The Albertine Graben has no metropolitan area but has, under the Uganda Vision 2040, designated Regional Cities inlcuding Arua as the northern centre, Hoima as the oil centre, and Fort Portal as the tourism centre.

Table 7-1: Urban Hierachy in Uganda

Hierarchy Urban Growth Centre

Admin. Structure

Remarks Popul. Density

Land Area

Sq Km

Labour Force in

Non-Agriculture

1 National Growth Conurbation

Kampala Metropolitan Area

Metropolitan Development Authority

May consist of several Local Governments

20,000 100+ 100%

2 Regional Growth Conurbation

Regional Cities

Regional City Council

To serve a catchment of several sub-

15,000 80 – 99 90%

23 Draft National Urban Policy, 2013


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regions 3 Sub-Regional

Growth Area Municipality Municipal

Council To serve a catchment of several districts

10,000 40- 79 80%

4 District Growth Area

Town Town Council To serve a catchment of several counties

7,500 20-39 70%

5 County Growth Area

Town Board Town Board Serves a catchment of several sub-counties.

5,000 10-19 60%

6 Sub-County Growth Area

Township/ Growth Centre.

Township Management Committee

To serve as Centre for Agro-processing in each S/County

2,500 6-9 Below 50%

7 Parish Growth Area

Major settlement Centre

Parish Management Committee

These are nucleated settlements for people involved in commercial agriculture.

2,000 3-5 10

8 Village Growth Areas

Minor Settlement Centre

Village Management Committee

1,000 1-2 10

Source: Uganda Draft National Urban Policy, 2013 The distribution of large, medium and small town is overall largely determined by economic activities in the area as well as political will-power. Politically district headquarters are usually selected and government centers and services located therein attracting more people and developing faster. The distribution of small towns in the Graben is linked with the level and distribution of agriculture activity, the more prosperous the agricultural activities in the hinterland the more the demand for urban services and growth of the towns. Medium and Large towns/cities are linked to other economic activities and functions. The hierarchy of economics of scale found in the manufacture of different products along with the agglomeration economies then influences the hierarchy of the size of the towns. In this context each urban center has its own unique function, these functions tend to complement each other and this is evident in the Graben. Table 7-2 presents a list of Municipalities and Town Councils. Map 7-1 highlights key elements of the Albertine's Municipalities.

Table 7-2: Municipalities and Town Councils in the Albertine Graben

District Municipality Town Council

1 Adjumani Adjumani 2 Amuru Amuru 3 Arua Arua 4 Buhweju Nsiika 5 Bulisa Bulisa 6 Bundibugyo Bundibugyo

Nyahuka 7 Bushenyi Bushenyi-Ishaka Bugongi 8 Hoima Hoima Kigorobya 9 Ibanda Ibanda

Ishongoro


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Rushango 10 Kabarole Fort Portal Kibiito

Rwimi Kyaitamba Rubona

11 Kamwenge Kamwenge 12 Kanungu Kanungu

Kihihi Butogota Kambuga

13 Kasese Kasese Hima Lake Katwe-Kabatoro Mpondwe-Lhubiriha

14 Kibaale Kagadi Kibaale

15 Kiryandongo Kiryandogo Bewyale Kigumba

16 Kyenjojo Kyenjojo Katooke Kyarusozi Butunduzi

17 Masindi Masindi 18 Mitooma Kashenshero

Mitooma 19 Moyo Moyo 20 Nebbi Nebbi

Pakwach 21

Ntoroko Kibuuku Rwebisengo Karugutu Kanara

22 Nwoya Anaka 23 Rubirizi Katerera 24 Rukungiri Runkungiri Rubirizi

7.3 Status of Planning of Urban Areas The Government of Uganda through the Ministry of Lands, Housing and Urban Development has taken the initiative to ensure all urban areas are planned as stipulated in the Physical Planning Act, 2010. This Act decentralized planning to local authorities, who are now mandated to prepare Structure Plans and detailed Physical Development Plans for their areas of jurisdiction. The Ministry is responsible for the approval of these local plans with technical advice from the National Physical Planning Board. The major urban centres that are being over-viewed include: Arua, Hoima, Fort Portal, Masindi, Kasese, Rukungiri and Bushenyi-Ishaka Municipalities. Not all of these towns have plans available, some are still under preparation while for some towns, such as Arua, the plans were rejected and the local authorities are yet to prepare new plans.


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Map 7-1: Municipalities in the Albertine

Data Source: UBOS


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Table 7-3: Key Features of the Municipalities in the Albertine Graben Municipality Popul.

2002 Popul. 2014

Major Economic Activities Role in the Albertine

1. Arua

43929 93,529 - NGO base mainly for relief and aid to South Sudan and DRC Congo.

- Planned Nile Eco-City - Agriculture

- Local government centre - Main non-governmental hub serving as the hub for aid

organization offering humanitarian aid to South Sudan and DRC Congo.

- The town is earmarked to be a regional city which will offer high order services to the region

- It serves as a trading center regionally as well as serving the DRC Congo and South Sudan.

2. Hoima

27,934 106,000 - Trade and commerce - Small industries:- grain millers and saw mills - Transport sector - Tourism: Bunyoro Kingdom Palace (Karuziika) - Oil exploration and development of oil refinery are

expected to boost the development of the town in the near future.

- Administrative role- District Headquarters to Hoima District

- Oil hub with planned oil refinery and huge deposits in the Hoima District

- It is envisioned to be one of the strategic cities under the Uganda Vision 2040, it will serve as the main oil city

3. Fort Portal

40,993 52,604 - Market town situated between Rwenzori Mountains, Queen Elizabeth National Park and Kibale National Park.

- Tourism is main source of income for traders, employed people in the parks and hotels

- Administrative hub for Kabarole District - Seat for the Toro Kingdom (Omukama Palace) - Regional referral hospital - Educational Hub with several higher institutions of learning - Currency centre for the region with the Fort Portal

Currency Center operated by Bank of Uganda, Uganda’s Central Bank.

4. Masindi

28,300

89,525 - Trade and Commerce - Small industries- grain milling, processing of hides and

skins. Largest industry is the Kinyara Sugar Ltd located just outside the town24

- Tourism- in neighbouring Masindi National Park and other tourist areas and hotels.

- Administrative hub-Headquarters for Masindi District - Transport Hub-Masindi Airport -

5. Kasese

53,907 131,500 - Trade and Commerce - Tourism. Gateway to Queen Elizabeth National Park and

the Ruwenzori National Park. - Mining- Copper mining that takes place just out of the

- Administrative hub- Kasese District Headquarters. - Transport hub- receives transit passengers and goods to

Kampala as it is connected by a relatively good all weather road and railways. Kasese Airport receives mostly tourists

24 Strategic Criteria for Rural Investment in Productivity (SCRIP) a USAID funded program


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town. - Industrial - Kasese Cobalt Company Ltd being the main

industry that extracts cobalt from the sludge left after copper is extracted. There is also brewing of a variant of the Waragi, an alcoholic spirit. Kilembe Mines Ltd for copper extraction.

- Hydropower plant operated by Kilembe Mines that supplies power to the town and offers employment.

from Entebbe Airport and is set for upgrade into international aviation standards.

6. Rukungiri

12,765 20,568 - Trade and Commerce - Agriculture mainly Daily farming. - Tourism- nearby Bwindi Impenetrable Forest National

Park, Queen Elizabeth National Park, Ilimbo Hot Springs and Minera Hot Springs.

- Administrative hub for Rukungiri District - Food basket town has one of the largest fresh produce

markets in the region.

7. Bushenyi-Ishaka

22,422 38,808 - Trade and Commerce. - Insurance and Banking

- Administrative Hub- Bushenyi District - Educational Hub

Table 7-4: Status of Planning of the Major Towns in the Albertine Graben

Municipality Structure Plan

Major Issues

Plan Proposals, Projections

References to Albertine Linkages

Comments on Plan Status

1. Arua

None

2. Hoima

Available - Land Tenure system in the town include customary land tenure which is a challenge to plan and manage development - Poor waste management which threats the health, safety and pollutes the environment - Poor and/or inadequate infrastructure facilities - Unemployment

- Proposed commercial sub-centres in Kibati and Kyarwabuyamba for lower-order goods. - The plan projected increased population mainly due to oil activities and to this effect proposed to reserve 1024 hectare for residential development

- As the Planned Strategic Oil City Hoima will serve a strategic role in the region. The upgrading of infrastructure and provision of more housing is in line with this vision.


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- Uncoordinated urban development and land speculation

- The plan anticipates the upgrade of Hoima into a municipality and into city. It provides for administrative space in 3 divisions: Kyarwabuyamba, Kibati and Kiganda II - The plan earmarked new industrial sites for heavy industries in Kibati. - A lower level health centre has being proposed to cater for outpatient in the town as currently the referral hospital serves this; - New recreational facilities include: stadium and golf course and rehabilitation of existing open spaces - Upgrade existing infrastructure facilities and open up roads new cemetery also proposed as well as a fire station.

3. Fort Portal

Only Map no report

4. Masindi

Available - Poor solid waste management; - Ground water pollution. Mainly from pit latrines which are dug deep near the water table as well as oil from garages and petrol stations which lack oil interceptors;

- Commercial sub-centres proposed to ease the ribbon development which compromises the main road function - Proposed Health facilities by the government as the town currently relies on private

- Conservation of environmental fragile areas is key in the survival of the nearby Murchison Falls Park. - The town holds one of the major correction facility/prison that serves the region as well. - Upgrade of the airport will


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- Encroachment of public land and environmental fragile areas; - Constrained land resources within the municipality though it occupies a large area, most of it is under institutions which don’t really serve the town such as Masindi Prison; - Unemployment.

facilities - Reclaim wetlands and forests for conservation

open up the area for more tourism and serve as a transport hub for the oil explorers and investors in the region

5. Kasese

Available - The town development is unplanned and uncoordinated characterized by ribbon development along the main road. - Inadequate infrastructure facilities - The town is prone to flooding from water running from the Ruwenzori mountains - High rates of unemployment - Environmental degradation mainly due to deforestation for biofuel - The Kasese airstrip is compromised by unplanned developments that surrounds it posing a challenge for its expansion.

- Proposed mixed-used development in the town - Proposes hierarchy of decentralized commercial sub-centres to take services nearer the people this includes areas outside the town - Proposes additional industrial sites to attract more industries apart from copper and cobalt. - Sets aside land for development of tertiary educational facilities. - Preservation of the natural environment on the mountain and its lower slopes.

- Planned upgrade of the Kasese Airport will further enhance the town’s strategic roles as a transportation hub. - Investment in new industries will create employment for the entire region

6. Rukungiri

Not Available

7. Bushenyi-Ishaka

Map only no report

-


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7.4 Urban Development Issues, Opportunities and Constraints The main cross cutting planning issues in the major urban centres in the Albertine are: inadequate infrastructure, land tenure and land disputes and uncontrolled development. A sample of urbanising centres in the Albertine is presented below with comments on the current plans, planning needs, issues and opportunities. A summary of urban centre issues, opportunities and constraints is provided in Table 7-5 following these sample analyses. 7.4.1 Arua

Arua is set to be a regional city in the Northern Albertine Graben. The city’s strategic location offers a hub from which non-governmental aid agencies operate from to assist war –torn countries: DRC Congo and South Sudan. The Arua Airport is approximately 19km from the Uganda’s border with the Democratic Republic of Congo and about 32km from the border with South Sudan is the one of the five upcountry airports authorized to handle cross-border air traffic. The airport is the currently under redevelopment to upgrade it to an international aviation standards. The municipality upgrade to a regional city status will see its area increase; this will absorb all the development which has sprawled out of the designated municipal boundaries. It will also open Arua town for more economic development. The most significant land-use change in the town is the degazettment of the Barifa Forest for the planned Nile Eco-City. Figure 7-1. The Local Authority noted that due to constrain of getting land for further urban development; it had proved difficult to get in investors in the town. The planned Eco-City is envisioned to attract investors in the town and provide services such a recreational facilities which currently are lacking in the town for instance a modern stadium and a zoo. It will also offer space for industrial and commercial uses as well as housing. Figure 7-2.

Figure 7-1: Proposed "Eco-City, Arua"

Source: Arua Local Government


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Figure 7-2: Arua Planning

Source: image Google 7.4.2 Hoima

Hoima town is located in Hoima district about 230km from Kampala City; it is the headquarters of Hoima district and Bunyoro-Kitara Kingdom. Considerable amounts of commercially viable oil deposits have being discovered in Hoima district and the neighbouring Buliisa District; this has greatly changed the town. The town has experienced higher rate of development with new developments sprouting out in the town and immediate surroundings, the town has also experienced a considerable influx of migrants looking for better economic prospects, the land-uses are changing fast with high-rise buildings coming up to replace previously low-rise development or fill up vacant land. The town has a significant portion of undeveloped land and under-utilized land which can be used for further urban development. The town serves the region by its referral hospital, recreational facilities and will soon become the strategic oil city. Figure 7-3 and Figure 7-4.


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Figure 7-3: Hoima Planning

Source: image Google


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Figure 7-4: Hoima Structure Plan

Source: Structure Plan from MLHUD 7.4.3 Fort Portal Town

Fort Portal is the seat of the Toro Kingdom as well as the headquarters for Kabarole district in Uganda. The town is located approximately 320km from Kampala. The town is known for its beautiful landscape and good cool climate as it lies between the Ruwenzori Mountains, Kibale National Park and the Queen Elizabeth National Park. The town serves as the regional currency center through the Fort Portal Currency Center operated by the Bank of Uganda and Central Bank of Uganda, the town also hosts the seat of the Toro Kingdom (Omukama Palace), it has several educational facilities making it an important education hub, it also has


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a regional referral hospital and is the tourist hub for the Albertine Region. The town is earmarked to be a strategic tourist city by the Uganda Vision 2040. The town is considered to be the cleanest town in Uganda, which is attributed to the culture and attitude of the Batooro. The town is also very organized with minimum urban sprawl and well organized central business district and housing areas, farm land has being fairly conserved in the periphery. The upgrading of the town into a Touristic City will call for conservation of the main conservations areas in the area as well as preservation of cultural heritage such as the Toro Kingdom. Figure 7-5 and Figure 7-6.

Figure 7-5: Fort Portal Planning



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Figure 7-6: Fort Portal Structure Plan

Source: Structure Plan from MLHUD

7.4.4 Kasese Town

Kasese town is located approximately 350km from Kampala and is the headquarters of Kasese District. The King of Rwenzururu palace is situated in Kasese town. The town is known for copper and cobalt mining. Kasese town has developed in an unplanned manner characterized by ribbon development along the Kasese-Fort Portal road; the main problem


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has being provision of infrastructure services and facilities. The town main economic activities are mining, manufacturing and agriculture. The town has the Kasese Cobalt Company and the Kilembe Mines as well as a brewery for well renowned variant of the Waragi, an alcoholic local gin. The town also serves as a gateway to the Queen Elizabeth National Park and the Ruwenzori National Park. The town has a railway terminal which is mainly used for transportation of industrial goods and minerals, and a good all weather road to Kampala that serves the region. The Kasese airport which is set for upgrading into international aviation standards will further enhance the town’s function as a transportation hub in the Albertine region. Kasese town has in place a structure plan for the town and surrounding areas, implementation of this plan will be crucial in ensuring environmental conservation, provision of infrastructure and proper and coordinated development of the town. This will also be integrated into the Albertine Graben regional physical development plan. Figure 7-7.

Figure 7-7: Kasese Planning



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7.4.5 Masindi Town

Masindi town is located approximately 215km from Kampala city. The town lies on the road to Murchison Falls National Park and is the headquarters for Masindi District. The town has several public institutions such as the Masindi Prison and the Army Barracks that serve the region. The town's economic development has being slow, with the main industries being the sugar factory, seed company and a ginnery. The main challenges facing the town include: poor solid waste management, ground water pollution, encroachment of environmentally fragile areas, encroachment on public land and unemployment. The town’s urban development is unplanned and follows ribbon development interfering with the proper use of the main roads. The discovery and ongoing exploration of oil in the nearby areas including the Murchison Falls National Park have created an opportunity for economic growth in the town; this has equally led to the planned upgrading of the Masindi airstrip which is mainly planned to serve the oil companies. The upgrading of the airstrip will open up the area for more tourism opportunities as well. Figure 7-8 and Figure 7-9.

Figure 7-8: Masindi Planning



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Figure 7-9: Masindi Structure Plan

Source: Structure Plan MLHUD 7.4.6 Bushenyi-Ishaka Town

Bushenyi and Ishaka were merged to form the Bushenyi-Ishaka municipality which is the headquarters of Bushenyi District. The municipality has a well-established trading centre which lies along the main road, making it seem like one long corridor. The municipality is home to the Kampala International University which is the fourth medical school in Uganda and includes a 500-bed teaching hospital. There are also other tertiary institutions in the municipality. The town serves a rich agricultural hinterland.


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7.4.7 Pakwach

Pakwach occupies a very strategic location at the point where the Albert Nile flows out of Lake Albert and the main highway and Toroo-Pakwach railway cross the Nile. Pakwach is destined to become a major multi-modal transport hub as well as continuing its current role as a market service centre for the surrounding area. Pakwach is typical of several towns in the Albertine that will need detailed planning and development control in the near future. Figure 7-10.

Figure 7-10: Pakwach Planning



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7.4.8 Butiaba

Butiaba was once an important port on Lake Albert for early "flying boats" coming from Europe as well as trade on and across the lake. Port facilities were allowed to deteriorate, but are now being considered for redevelopment in support of the petroleum industry and general lake transport. In the meantime, Butiaba is an important fishing port. New port infrastructure will require improved linking road infrastructurre and will undoubtedly lead to inward migration, population growth and need for other town infrastructure and services. Figure 7-11.

Figure 7-11: Butiaba Planning


The following Table 7-5 summarises conditions in the 7 Albertine Municipalities to the extent that data is currently available.


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Table 7-5: Municipalities Development Issues, Opportunities and Constraints

Municipality Issues Opportunities Constraints Source 1. Arua

- Poor Road network and connectivity to the rest of the region;

- Inadequate Power Supply in the town as well as most parts of the district;

- Land disputes, hinder development and economic growth;

- Encroachment of environmental fragile areas

- Lack of up-to-date physical development plan for the town/municipality ;

- Influx of refugees, this puts more pressure on the district’s resources ;

- High fertility rates leading to high population growth in the town;

- High rate of immigration into the town, due to improved economic situation.

- New power plant will boost power supply in the town and the district;

- Potential for commercial farming on the huge tracks of underutilized fertile land;

- Planned ‘Nile Eco-City’ will provide more economic opportunities for the district as well as offer recreational facilities;

- Planned railway once developed will open the district and improve its connectivity to the rest of the region and country;

- Upgrading of the Arua Airfield which is the second busiest in the country will improve transportation and improve economic prospects of the district.

- Expansion of the town’s boundaries to pave way for the upgrade into a regional city.

- Space for urban development. The town physical boundary is small

- Arua Municipal Council

- Assistant Chief Administration Officers (CAO)

2. Hoima

- Political Disputes; - Uncontrolled development and urban

sprawl; - Poor solid waste management; - Encroachment on environmental

sensitive areas; - Poor infrastructure facility and services; - Unemployment;

- Planned oil refinery in Kabaale and considerable amounts of oil deposits in the neighbouring areas will create job opportunities and stimulate economic growth in the town;

- Tarmacking of the main road leading to Kyenjojo will open up

- Land tenure system in the town which hosts a kingdom palace as well.

- Hoima Town Structure Plan

- Inception Workshop held in Hoima


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- Poor Housing ; - Land Speculation ; - High immigration rate into the town,

putting pressure on existing infrastructure.

the town for more economic growth;

- It is the centre of the Omukama palace of the Bunyoro;

- The town has a significant amount of undeveloped land, creating an opportunity for planned urban growth.

- Undeveloped and underdevelopment land which can be used for further urban development.

3. Fort Portal

- - Fairly well-structured town with a strong economic base;

- Tourism; natural landscapes and culture

- Commercial Farming. -

- Field Observation - Inception Workshop

held in Fort Portal

4. Masindi

- Poor solid waste management; - Ground water pollution. Mainly from

pit latrines which are dug deep near the water table as well as oil from garages and petrol stations which lack oil interceptors;

- Encroachment of public land and environmental fragile areas;

- Constrained land resources within the municipality though it occupies a large area, most of it is under institutions which don’t really serve the town such as Masindi Prison;

- Unemployment.

- Oil discovery in neighbouring areas will have a positive impact on the economic development of the town;

- Upgrading of the Masindi airstrip will open up the municipality and improve its connectivity to the rest of the region and the country;

- Tourism potential from national parks and rich cultural diversity.

- Masindi Town Structure Plan

- Field Observations


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5. Kasese

- Poor drainage facilities, major challenge is to deal with water flows from the Rwenzori mountain;

- Unplanned development; - Poor infrastructure and un-coordinated

effort in provision of infrastructure ; - Inadequate qualified human resources; - Difficult to access land for development

of public and/or social facilities; - Political interference in the planning

process and development; - Wildlife/human conflicts. Animals

wandering from the parks to the town - Deforestation; and - Unemployment among others.

- Commercial Farming a number of commercial farms were spotted during inception mission;

- Hima Cement Company is a major employer and attracts economic activities in the municipality;

- Availability of minerals: copper, cobalt and limestone among others;

- Tourism, game reserves, rich culture in the town and neighbouring areas;

-

- The town is geographically constrained by the Ruwenzori Mountains and the Queen Elizabeth National Park as well as the Kilembe mines and commercial farm land.

- Kasese Town Structure Plan Field Observations

6. Rukungiri

Not analysed.

7. Bushenyi-Ishaka

- Urban Sprawl - Highly established University – Kampala International University which has attracted major economic activities in the town

- - Field Observations


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7.5 Regional Integration The planning legislation requires all towns to have in place up-to-date structure and detailed plans. Not all are currently prepared or adopted. Sample plans that were examined include: Hoima, Kasese, Fort Portal, Ishaka-Bushenyi and Masindi Structure Plans. The plans tend to look at the towns in isolation without considering linkages to theier surroundings or regional impacts. Planning principles applied in the preparation of the Structure Plans for the towns were mainly based on the Physical Planning Act. Local Physical Development Plans (Structure and Detailed Plans) should consider:

▪ Land-use zoning allocated to ensure compatibility as well as prohibiting specific land-uses in some zones;

▪ Acquiring land for local government or relevant authority for public interest; ▪ The plan can also be for re-planning and/or reconstruction purposes or a town. To this

end the plan will make provisions for: ▪ the pooling of land, streets (amalgamation), as well as for the re-distribution of

land among owners ▪ provide for making of new roads, streets or rights-of-ways; ▪ adjustment of rights between owners or other persons interested in land, streets,

or rights-of-ways. ▪ Determine the type and density of development in general and in particular locality; ▪ Conservation of natural beauty, environmental fragile areas and buildings and objects

of architectural, archaeological, historical and/or scientific interest; and ▪ Delineation of probable routes for railways, canals, bridges, docks, power lines, water

drainage and sewerage among other works of public utility among others. ▪ The analyzed plans provide a detailed account of the existing land-uses and the

gazetted planning area. It was noted that in allocation of new land-uses or re-zoning the plans tend to constrain themselves around the existing land-uses rather than taking a higher-level future vision approach to the urban area. The plans also focus entirely on the land within the boundaries without taking into consideration regional linkages and related development impacts. It is particularly important to look at the regional transport network and how if connects to the town being planned for. This would ensure that regional transport plans and needs are integrated in the town’s plans to ensure connectivity to the wider region.

The Uganda Vision 2040 earmarks three towns in the region for upgrading of status: Arua is earmarked to be a Regional City serving the region, as an economic hub and center of development and service provision; Hoima is earmarked as the Strategic Oil City in the region, it will serve as the main town near the planned oil refinery and various oil fields that are currently under exploration with production underway; and finally Fort Portal is earmarked to be the Strategic Tourism City in the region, with its beautiful landscapes and it equally serves as a gateway to the Queen Elizabeth National Park and the Ruwenzori Mountains. The figure below highlights the three key towns in the Albertine Graben that have being earmarked for upgrade to city status in the Uganda Vision 2030.


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8Environmental Situation

Introduction

This Chapter presents an overview of the numerous environmental conditions, issues, opportunities and constraints facing the Albertine as it moves into a new phase of development. The work unavoidably overlaps significantly with Chapters on Natural Resource Management, Agriculture and Economic Development in particular. It is important that these linkages be recognised and treated in an integrated manner.


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8.1 Introduction This section of the Physical Development Plan document identifies and assesses the potential impacts of existing and projected developments, projects and human activities in the Albertine Graben region, on the natural environment and the use of environmental resources. The section begins with an overview of the legal, administrative and policy framework relevant to regulation and protection of the natural environment and the use of environmental resources. Although the review is intended to deal with broad, national laws and government policies, some emphasis has been put on the assessment and regulation of oil and gas exploration, production and transportation because of the current importance of that industrial sector in this part of Uganda, and the anticipated rapid growth in petroleum upstream production, processing and refining, and transportation this Region. This is followed by an outline of each of the various environmental components, or environmental resources that make up the overall environment in the Albertine Graben region, with a brief analysis of its overall sensitivity. Following that is an assessment of the potential environmental effects resulting from existing and projected projects or activities in the Region. An assessment is then provided of the locations or nodes where the potential effects of oil and gas exploration/production and other human activities and developments, are most likely to occur within the Albertine Graben region. Finally, some key issues for the consideration of Regional planning authorities are set out, along with recommendations for action necessary to avoid significant adverse impacts of existing and projected developments and human activities. The Environmental section of this Plan is intended to be complementary with Section 9, which deals with Natural Resources.

8.2 Legal, Administrative and Policy Framework This section provides a summary of Ugandan environment-related legislation and policies that are relevant to, and/or triggered by, oil and gas developments. It is not intended to be all-inclusive; rather, it outlines some of the more important acts, regulations and policies of Uganda relevant to the environmental planning with particular emphasis on oil and gas developments. 8.2.1 Key Legislation and Policies in Uganda

Environment Related

▪ The National Environment Act (1998) sets up a framework for environmental management in Uganda.


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▪ The Uganda Petroleum (Exploration and Production) (Conduct of Exploration

Operations) Regulations spell out best management practices for: geological and geophysical operations; drilling operations; pollution prevention and control; safety; and health.

▪ The Environmental Impact Assessment Regulations under the National

Environment Act require all projects of the third schedule in the NEA to be subject to an EIA before they are approved for implementation. Petroleum exploration and production is identified as a category III listed activity requiring a full EIA. The Act sets out the administrative, consultation and information requirements of the assessment process.

▪ The National Water Act will be relevant to the proposed project where any facility

such as an oil and gas site or pipeline occurs in or traverses a watercourse or waterbody, where wastes may need to be discharged into a waterbody, or where water must be withdrawn from a waterbody (e.g. for pressure testing of a pipeline).

▪ The National Land Act deals with the acquisition of land by the Government and the

utilisation of land according to various laws, including the control of environmentally sensitive areas. The matters of the claiming of land for public works and measures for expropriation to accommodate the implementation of public works are specified under the Land Act.

▪ The Historical and Monuments Act provides for the preservation and protection of

historical monuments and objectives of archaeological, paleontological, ethnographical and traditional interest. Under this act the minister responsible may cause any of the aforesaid objects to be declared as preserved objects, if there is potential for harm resulting from any project.

▪ The Regulations for Wetlands, Riverbanks and Lakeshore Management require an

environmental impact assessment for all activities likely to have an adverse impact on a wetland(s), rivers and riverbanks. This could include, for example, sites where a oil and gas site or pipeline is to be installed near or across a watercourse or within a wetland area.

▪ Under the National Environment Hilly and Mountainous Areas Regulations, if a

facility such as a proposed oil and gas well or pipeline were to occupy or traverse hilly or mountainous areas, then the proponent would need to consult with government authorities and affected District Councils to determine how to mitigate potential adverse effects.

▪ The Noise Standards and Control Regulations could be applied to any activity during

construction or operation that generates significant noise that might be bothersome to local people. Compressor stations, for example, are a substantial source of noise. Noise will also be generated from terminals, and the effects will depend on their design and the proximity of human communities. Seismic activities may also cause


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intense noise events that could disturb or even harm humans and wildlife, including aquatic biota such as fish and aquatic mammals.

▪ Regulations on Minimum Standards for Management of Soil Quality will have

relevance to the project in terms of ensuring that adverse effects on local soil quality are avoided through good environmental practice and if soil contamination occurs from spills, leaks, etc., the Regulations contain the expected standard for soil remediation. Any discharges (intentional or accidental) that may be part of the activities (e.g., drainage of surface waters around a oil/gas well site, bulk storage or loading facility, refinery) would be covered by the Regulations on the Minimum Standards for Discharge of Effluents in Water or Land.

▪ The proposed oil and gas production activities will result in the production of

hazardous and non-hazardous wastes. These activities will need to be in compliance with the National Waste Management Regulations.

▪ To comply with the National Environment Audit Regulations, and in any event to

demonstrate good environmental practice, proponent(s) should develop an Environmental Management System(s) for their operations, and conduct regular internal and external environmental audits.

▪ The National Environment Management Policy (1997) covers aspects of preventing

and controlling environmental pollution.

▪ The National Fisheries Policy (2003) provides direction on the sustainable management of the fisheries resources in Uganda. The fisheries resource is administered by the Ministry of Agriculture, Animal Industry and Fisheries.

▪ The National Wildlife Act governs the management of wildlife in Uganda (2000). Its

main objective of the Uganda Wildlife Act, Cap 200 is to protect wildlife resources and enable derivation of benefits. Need for sustainable management is recognized within the framework of effective planning and stakeholder participation. The Act allows local community involvement and opens up wildlife management to the non-governmental/private sector by making it possible for the private sector to manage protected areas/wildlife and provide services.

▪ Wetlands in Uganda are protected, managed and enhanced through several acts,

regulations and policies, including the National Wetlands Policy, 1995; the National Environment Management Policy, 1997; the National Environment Management Act, 1995; and the National Environment (Wetlands, River Banks, and Lakeshores management) Regulations, 2000.

Administratively, the responsibility centre for wetlands in Uganda is the Wetlands Management Department of the Ministry of Water and Environment, in coordination with the District Wetland Offices


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Energy Related

Pursuant to the National Energy Policy, the Government of Uganda assures that environmental considerations are given priority by energy suppliers and users to protect the environment, and commits to put in place a monitoring mechanism to evaluate compliance with established environmental protection guidelines. The National Oil and Gas Policy states that the environment, human development and biodiversity should be balanced for mutual benefit and survival; and contributes to and promotes this balance to ensure sustainable development. Under the Policy, it is the responsibility of licensed oil companies to protect the environment where they work or any areas in the country impacted by their operations while Government shall legislate, regulate and monitor compliance. The Oil and Gas Policy, in collaboration with other relevant policies, will support control measures against the release of hazardous gases, chemical wastes and spills into the atmosphere, water bodies, aquifers and soils which will ensure that water remains safe for animals, fish and human consumption. The Policy pledges to support relevant institutions to put in place disaster preparedness and response mechanisms for any oil spills in the Albertine Graben, storage facilities and any transportation corridors. Putting in place these mechanisms together with their implementation shall be the responsibility of the Licensees. The Oil and Gas Policy promotes the setting up of best international practices for prevention and rapid emergency response mechanisms designed to mitigate against air and water pollution; and requires licensees to put in place response mechanisms in all aspects of their operations. Efforts to construct roads in a manner that reduces or prevents dust pollution are to be promoted; and access roads are to be kept at a minimum in wildlife areas and other areas of sensitive biodiversity. In addition, there are a number of environment related plans and policies in Uganda which relate to which will apply directly or indirectly to oil and gas production, including the National Development Plan, the National Environmental Management Policy, the National Water Policy, the National Wetland Conservation and Management Policy and the Uganda Wildlife Policy. Under the NEMA, an EIA will need to be carried out for any proposed oil and gas production projects. A Strategic Environmental Assessment (SEA) for oil and gas exploration and development activities in the Albertine Graben has been prepared by the Ministry of Energy and Mineral Development (MEMD), Petroleum Exploration and Production Department (PEPD), and the National Environment Management Authority (NEMA)(March, 2013). The SEA document presents strategic recommendations for policies, plans and programs that will guide environmental planning and decision making in the Albertine. The present report recognizes the degree of effort and thought that went into producing the SEA, and it is referenced and quoted throughout. An Environmental Sensitivity Atlas (ESA) was prepared in 2010 by a Committee under the Ministry of Environment and Water, to provide environmental planners with tools to identify


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resources at risk, establish protection priorities and identify timely and appropriate response and clean-up strategies. It also provides an overview of such aspects as the occurrence of biological resources, human resource use (fishing and hunting) and archaeological sites that are particularly vulnerable to oil spills or other oil and gas activities in general. An Environmental Monitoring Plan for the Albertine Graben (2012-2017) was prepared by a Committee under NEMA, to serve as a guiding tool in tracking the impact which oil and gas-related developments will have on the environment of the region. It adopted a number of environmental monitoring indicators which will be used to monitor five sets of Valued Ecosystem Components, including aquatic, terrestrial, physical/chemical, societal and business sectors. The indicators were designed to demonstrate progress and changes in the ecosystem components, serving as an early-warning system for emerging problems. 8.2.2 Regulatory and Planning Bodies and their Roles

The NEA established the National Environment Management Authority (NEMA) as the overall body charged with the management of environmental issues and provides for sustainable management of the environment. Among NEMA's responsibilities under the Act is to review and approve environmental impact assessments and environmental impact statements submitted in accordance with the Act. Agencies that will play a role in the environmental aspects of any petroleum related development, including the EIA and EIA review, as well as the licensing process, are shown below.

▪ Ministry of Energy and Mineral Development (MEMD) ▪ Petroleum Exploration and Production Department (PEPD) ▪ Petroleum Authority of Uganda ▪ Uganda National Oil Company ▪ National Environment Management Authority (NEMA) ▪ Ministry of Water and Environment (MWE) ▪ Directorate of Water Development (DWD) ▪ The Ministry of Health (MoH) ▪ Environmental Health Division (EHD) in MoH ▪ Ministry of Lands, Housing & Urban Development ▪ Uganda Wildlife Authority (UWA) ▪ Relevant Local Governments

Ministry of Lands, Housing & Urban Development (MLHUB) is responsible for providing policy direction, national standards and coordination of all matters concerning lands, housing and urban development. The Ministry is responsible for putting in place policies and initiating laws that ensure sustainable land management, promote sustainable housing for all and foster orderly urban development in the country. The Petroleum Exploration and Production Act 1993 gives the responsibility of directing the upstream petroleum sub-sector to the Minister responsible for oil (Minister of Energy and Mineral Development), who receives applications for any petroleum rights, and is charged


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with issuing, renewing, and revoking petroleum exploration and production licenses. Under Regulations of the Act, regulation of the oil and gas sector had been initially undertaken by the Ministry of Energy and Mineral Development through the Petroleum Exploration and Production Department (PEPD). Under the National Oil and Gas Policy, the Ministry will handle the policy aspects, while regulatory and commercial aspects will be handled by Petroleum Authority of Uganda (PAU) and Uganda National Oil Company (NATOIL). Regulations under the Act spell out the best management practices in the onshore and offshore exploration and production sector. They address methods for: geological and geophysical operations; drilling operations; pollution prevention and control; safety; and health. The scope of the regulations deals with upstream production, i.e., exploration and production. 8.2.3 Approvals Process as Applied to Oil & Gas

The project and its various components will need to be subject to an Environmental Impact Assessment (EIA). The National Environment Impact Assessment Regulation (1998) sets out the framework and rules for the environmental impact assessment (EIA) process in Uganda. Key elements include project briefs and environmental impact studies. The Regulation provides for EIA review processes, including invitation of general public comments and public hearings, and the decision of the Executive Director of the National Environment Management Authority in respect of the grant, rejection or cancellation of an EIA certificate. Some key parts of the Regulation which will have a bearing on the form of the EIA and the approval of it, are the preparation of a project brief, mechanism and criteria for approval of the project, terms of reference for EI studies, public participation requirements, contents of the Environmental Impact Statement, auditing, and issues to be considered in producing the EIA. It is notable that the Regulation requires an assessment of project alternatives.

8.3 The Existing Environment

8.3.1 Introduction

This part of the Environment section provides an outline of the various environmental components, or environmental resources, that make up the overall environment in the Albertine Graben region. Much of the following discussion is based on the Environmental Sensitivity Atlas (2010 version), and the Strategic Environmental Assessment (SEA) of Oil and Gas Activities in the Albertine Graben, Uganda, March 2013 (Government of Uganda), as well as other documents.


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8.3.2 Atmospheric Environment

The rainfall in Albertine Rift falls into two quite different regimes, due to extreme variations in the landscape. The rift valley lies in the rain shadow and is thus relatively dry, while the highland areas on the escarpment experience much more rainfall. The northern part of the Graben has two seasons of high rainfall (between April – May and August through to October). This is associated with movements of the Inter-Tropical Convergence Zone (ITCZ) over the region. Wind speeds can be moderate to strong, often leading to turbulent atmospheric conditions. The prevailing winds commonly blow along the floor of the Rift Valley. Wind direction is variable on the escarpment and mountain slopes due extreme topography. At most times of the year there are moderate to strong/turbulent winds in various locations across the region. The Albertine Graben region experiences relatively little annual variation in air temperatures. Its climate is generally hot and humid, with average monthly temperatures varying between 27°C and 31°C, with temperature maxima being consistently above 30°C and sometimes as high as 38°C. The high air temperatures result in high evaporation rates, and in some areas there is a negative hydrological balance. The lowest humidity levels occur in dry seasons with minimum levels occurring in December and January. The average monthly humidity is between 60% and 80%. One of the challenges facing regional land managers is the lack of data on ambient air quality around the Albertine Graben. This will make future detection of any effects on air quality difficult. 8.3.3 Geology and Soils

The Albertine Graben is part of the East African rift system and forms the northernmost part of its western arm, which runs along the western border of Uganda with DRC. The area is seismically active resulting in active faults running NE-SW along Lake Albert. Movements along such active fault zones lead to earthquakes and dislocation but can also trigger landslides and mass movements depending on the location. The soils are mainly yellowish-red clay loams on sedimentary beds. There are highly leached, reddish brown clay loams in the east of the Masindi District; and dark brown, black loams along the axis of the warp. These two types of soil are of low to medium productivity. Soils of more recent origin are found along the escarpment. They are suitable for coffee and maize. Rivers and valley have grayish-black sands, which are generally acidic. These alluvial soils are of low productivity. 8.3.4 Surface Water and Groundwater

Drainage and Water Quality

There are three major lakes in the Albertine Graben: Lake Albert, Lake Edward and Lake George. Most of the surface water draining the highlands surrounding the area drains into


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these lakes which, in turn, drain into the Nile via Lake Albert. The largest of these rivers is the Semliki, which originates from Lake Edward and the Ituri forest in DR Congo. The Victoria Nile drains lands east of the Region, discharging into the north end of Lake Albert. Water drains from Lake Albert at its northern extremity and flows north to Sudan in the Albert Nile (Environmental Sensitivity Atlas, 2010). Lake Albert is approximately 170 km in length, 40 km wide and has a surface area of 6,800 km2. While the mean depth is 25 m, the bottom of the lake along the faults drops sharply to depths of 40 m on the Uganda side and over 50 m on the Congo side of the lake. Geological faulting has created a shelf that stretches along the northeast shoreline between Butiaba and the Kaiso-Tonya spit. Lake Albert is known for its frequent, severe storms and strong currents which displace and destroy fishing gear (SEA, 2013).. The sub-catchments of Lakes Albert-Edward-George are linked via rivers Semliki and Kazinga channel respectively. Many watercourses, most of them seasonal, flow down the escarpment and into Lake Albert. The major rivers, both permanent and semi–permanent, include the Victoria Nile, Semliki, Waaki, Wambabya, Waiga, Wisoke, Sonsio and Hohwa. Most of them have extensive floodplains within the rift valley. Seasonal rivers include Sebigoro, Kabyosi, Warwire and Nyamasoga. These smaller watercourses are flooded by runoff from the catchment areas after heavy rainfall events. The water drains quickly into Lake Albert and the discharge in the run-off channels ceases ((SEA, 2013).). The Nile and the Semliki rivers discharge into Lake Albert at the northern and southern tips, respectively, and both have built up extensive deltas of shallow water possessing dense growth of predominantly submerged aquatic flora. Rivers Waiga and Waisoke drain upper floodplains of permanent and semi-permanent wetland within the rift valley and have an extensive lower zone of swamp forest. The swamp forest fringes Lake Albert and merges the floodplains of the two rivers. Where the escarpment lies close to the lake, rivers draining into Lake Albert have very short floodplains (e.g. River Wambambya and Waki). The Semliki River provides the primary supply of water into the lake system (SEA, 2013).. The floodplains of inflowing rivers of Lake Albert are a vital storage zone for runoff from the catchment, transporting dissolved and particulate nutrients that support aquatic production. The shore and shallow areas of lakes and rivers are associated with rich species diversity and high biological productivity, and these sandy, muddy or rocky habitats are critical for many fish species at various stages in their life history (breeding, nursery and feeding). The shallow deltas of River Nile and River Semliki are key examples, showing a very high diversity of species and life stages including juveniles (SEA, 2013). The Rwenzori Mountains in the southwest of the Region represent an important water catchment area, with numerous rivers descending from high rainfall and snow mountain areas to the Rift Valley and into lakes George and Edward. The key rivers in this area include rivers Mubuku and Nyamwamba. Here too, numerous rivers and streams drain from the escarpment and highland areas, into the valley, and ultimately into the lakes.


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Some of the important issues are the trans-boundary status of Lake Albert and other watercourses in the Albertine Graben; and the paucity of data on Lake hydrodynamics (SEA, 2013). Wetlands

Wetlands in Uganda cover about 13% of the country's total area, and it is estimated that over 5 million people in Uganda depend on wetlands directly for water supply valued at over US$ 25 million per year (MWE, 2007). Wetlands are a critical component of the hydrologic cycle, functioning to recharge ground water, store water and purify water through various biochemical processes. Wetlands are also important for controlling floods, filtering wastes, dry season fishing, livestock grazing, and tourism. Wetlands can also serve as a buffer against extreme weather events ranging from droughts to flooding, and they are therefore an effective ally against some of the effects of global climate change. Aquatic vegetation covers the floodplains of some rivers such as the River Wambabya. They plug deltas of some rivers such as the Nile and River Semliki and form narrow fringes along the banks of most rivers flowing into Lake Albert. They also fringe parts of the shores of Lake Albert. A special case of emergent wetland is the swamp forest reported to cover most of the merged lower floodplains of River Waiga and River Wisoke in Buliisa District (ESA, 2010). Wetland ecosystems occur mainly in the Lake Albert catchment but also in parts of the Albert Nile, Lake Edward, Lake Victoria and Victoria Nile catchments. The wetlands embrace 5 distinct vegetation communities, including papyrus, sedges, grassland, swamp forests and farmland. Some are seasonal (retain water for 2-4 months of the year) and some are permanent (retain water for at least 4 months of the year). Wetland flora is vital to the structure and functioning of floodplain and fringing wetland ecosystems associated with Lake Albert. These wetland systems are believed to offer the principle food web supporting most of the major fisheries of the lake. The biggest historical fish landing beaches on Lake Albert are situated at river mouths (ESA, 2010). Groundwater

Generally, the Graben is poor in groundwater resources due to the paucity of significant aquifers, due in turn to the underlying rocks in most areas being bedrock. Some groundwater, however, occurs in rock fissures and localized aquifers. Local communities utilize groundwater in many areas. Evidence from many boreholes and shallow wells indicate a relatively high water table in many places. The water table elevation varies over the entire Albertine Graben with levels ranging from 1m to over 70m below ground surface. 8.3.5 Flora, Fauna and Biodiversity

Flora and Fauna

There is a wide variety of vegetation communities in ecosystems in the region, including those on the mountain and escarpment slopes and in the valleys and flats below them. The main ecosystems include montane forests, tropical forests (including riverine and swamp forests), savannah woodlands, grassland mosaics, papyrus and grassland swamps. As of


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2007, 5793 plant species have been recorded within the Albertine Rift, comprising 14% of all mainland Africa’s plant species. The rich and varied flora of the region provides habitats for an equally wide diversity of animal communities, and a great abundance of wildlife species. The short and medium grassland savannah is preferred by animals like the Uganda Kob. The grasslands of the Region are capable of supporting an abundance of wildlife. Forest swamp ecosystems are frequented by elephants and buffalos, while the scrub woodland around the lakes utilized by bushbuck, and tall grasses in depressions are preferred by buffalos. The extensive network of riverine forest associated with the rivers that flow from the mountains and highlands provide important habitats for primates such as chimpanzees, baboons and monkeys (ESA, 2010). The Albertine region is rich in bird species whose habitats range from forest and grassland to wetlands and deltas, with over 50% of all Africa's birds found there. The delta area on Lake Albert's shores, for example, is a convergence zone between the River Nile that flows through the lake, and other tributaries that flow through shallow papyrus swamps. The swamps are well known for wide variety of water birds. There are also a number of important Bird Areas (IBAs). Queen Elizabeth National Park has important migratory bird stopover points for birds coming from Europe along the African-Eurasian flyway. Whilst the Albertine rift is species rich, some 35 mammal species are considered highly threatened by extinction (Critically Endangered, Endangered or Vulnerable as classified by IUCN criteria). Some 25 bird species, 16 amphibian species and 40 plant species are also considered highly threatened. Poor environmental management of oilfield or other operations in the rift area would be a threat to survival of some of these species. Kabwoya wildlife reserve, Budongo and Bugoma forest reserves also have very high species richness. In the waters of Lake Albert, the southern part of the lake, the area around Kabwoya wildlife reserve, Kaiso-Tonya community wildlife area and Butyaba area show high fish diversity (ESA, 2010). Biodiversity

The western arm of the East African Rift System is one of the most important locations for the conservation of mammals, birds and freshwater fish in Africa. Comprising a great variety of landforms including escarpments, dissected relief and cliffs, undulating hills, valley flats, rivers and lakes, the Albertine rift area is a transitional zone for three of Africa’s biogeographical regions (Sudano-Sahelian, Guinea-Congolian and Zambezian). The variety in geographical and biological features combines to produce a region of complex ecosystems and high biological diversity, as well as magnificent scenery. The region is a key attraction for ecotourists, and there is great potential to expand this sector. Murchison Falls National Park, which borders the northern end of Lake Albert at the Nile delta is the largest National Park in Uganda and it too is an important tourist


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designation. The park has a high ecological importance for a number of globally and regionally threatened species of mammals and birds, among others 8.3.6 Fishing

Fishing provides an important form of livelihood for the people in the Albertine Graben as discussed in Chapters 9 and 12. The most important sources of fish in the region are Lake Albert, Lake Edward, Lake George and rivers, especially the Albert Nile, Waki, Wambabya, Semliki and Kazinga Channel. Lake Albert is the most productive lake in the Region in terms of the fish biodiversity, having about 53 fish species of which about ten are endemic. Studies conducted in the Lake Albert area have shown that the Angara lagoon in the delta and lower floodplain zone of the Hohwa River Valley supports many species of fish, indicating possible use of the river by fish that spawn upriver. Small scale fishing also occurs at the community level in the numerous streams and wetlands in the area, but there is little in the way of data on fish ecology, reproduction, population dynamics or fishing pressure. 8.3.7 Protected Areas

The Albertine Graben’s unique habitats support a high diversity of species and ecological processes. Of the ten National Parks in Uganda, seven occur within the Albertine Graben. There are also 12 Wildlife Reserves, 13 wildlife sanctuaries and five Community Wildlife Areas. The protected areas system of the Albertine Graben comprises about 70% of all national parks and wildlife reserves in Uganda (Buhanga, 2009). A listing of Conservation Areas is given in Table 8-1 below, including National Parks, Forest Reserves and Wildlife Reserves. An importance ranking exercise for the conservation areas listed above was conducted as part of the Sensitivity Atlas (2010) production. It provided weighted importance ratings to the different forms of conservation area, plus whether it was a Community Wildlife Area, a Biosphere Reserve, a Ramsar site or an Important Bird Area (IBA). The higher the score, the more "important" was the protected area. The results are shown in Table 8-1. "Ramsar" indicates a site recognized under the Ramsar Convention (1971) on the conservation and management of wetlands internationally. It promotes the wise use of wetlands including the maintenance of their ecological character, as achieved through the implementation of ecosystem approaches within the context of sustainable development. The top-ranked four conservation areas were: Mt. Rwenzori National Park; Queen Elizabeth National Park; Bwindi Impenetrable National Park; and Murchison Falls National Park. Following in rank were: Semliki National Park; Kibale National Park; and Mgahinga National Park. There is also a wealth of biodiversity outside protected areas. Unfortunately, the bulk of this is either already disturbed or threatened while some of it is already extinct. Conservation of this biodiversity requires land-use based incentives to land owners and users.


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Table 8-1: Conservation Areas in the Albertine Graben

Conservation Area

National Park

Forest Reserve

Wildlife Reserve

Comm Wildlife Area

World Heritage Site

Bio-diversity Site

Ramsar Site

Import. Bird Area

Total

Mt.RwenzoriNP 9

5

3 1 18 Bwindi NP 9

5 3

1 18

MFNP 9

3 1 13 QENP 9

3 1 13

Semliki NP 9

1 10 Kibale NP 9

1 10

Mgahinga NP 9

1 10 Lake Mburo NP 9

9

Budongo FR

6

1 7 Mt. Otze

6

6

Mt. Kei

6

6 Ajai WR

5

1 6

Semliki WR

5

1 6 Bugoma FR

6

6

Kashoha-Kitomi FR 6

6 Kalinzu FR

6

6

Maramagambo FR 6

6 Bugungu WR

5

5

Karuma WR

5

5 Kabwoya WR

5

5

Katonga WR

5

5 Kigezi WR

5

5

Kaiso-Tonya WCA

3

3 Source: Environmental Sensitivity Atlas for the Albertine Graben, 2010

8.4 Potential Development Impacts

8.4.1 Introduction

This section outlines the potential effects that human activities, including but not limited to the burgeoning oil and gas sector in the Albertine Graben, could have on various components of the environment as described in the previous section. The discussion presents three types of impact, viz., primary effects; secondary effects and cumulative effects. Primary effects are those that result from development projects and other human activities, in the exploration, construction, production or operational phases, and into the decommissioning phases. Secondary effects are those environmental and related socio-economic impacts that could result from the increased populations, infrastructural


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development and commercial activity that would inevitably occur as an ultimate result of development projects such as oil and gas. Cumulative effects are those impacts that result from multiple projects or human activities in the same area of focus. Table 8-2 summarizes the various primary (direct) effects that should be anticipated in the Albertine Graben in future planning for the region, particularly in view of the expansion of oil and gas activity. Table 8-3 summarizes the various secondary (indirect) effects that should be anticipated. The remainder of this section provides a brief description of the main effects that should be addressed in environmental management, planning and monitoring.


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Table 8-2: Primary Potential O&G Effects on Environment

Activity or Occurrence Primary Effects

A. Exploration Phase

Site preparation Loss of vegetation cover, disturbance of wildlife, habitat fragmentation, soil erosion, siltation of waterbodies, affecting fish and food chain.

Access roads Loss of vegetation, disturbance of wildlife, vehicle/wildlife collisions, dust, noise. Erosion and siltation of water bodies.

Camps Noise, disturbance of local community, wastes (solid/sanitary) resulting in soil and water contamination, see also socioeconomics

Traffic Local traffic congestion, traffic risk to surrounding community, dust, rutting of roads

Seismic blasting Disturbance of local wildlife; effects on wildlife distribution, reproduction. Disturbance of fish, aquatic animals by high intensity noise.

Wastes, testing fluids Release or leakage of contaminants to local water bodies, groundwater: toxicity to humans and wildlife

Seismic lines Loss and fragmentation of wildlife habitat, wildlife disturbance. Aesthetic degradation of natural landscape and effects on tourism.

Drilling Contamination of local soils and waterbodies by drilling wastes and produced water (muds, cuttings, chemical additives)

Blowout Discharge of gas, liquids, contamination of local soils, ground water, surface water bodies; danger to local humans and wildlife.

B. Production Phase

Produced water disposal Disposal of produced water, effluents, sewage waste, with contamination of local soils and water bodies.

Leakage of haz materials Contamination of local ground water, surface water bodies or soils; effects on supply of potable water, toxicity to wildife or humans.

Produced water disposal Contamination of local water, surface water bodies or soils; effects on supply of potable water, toxicity to wildife or humans.

Well injection of waste fluid*

Contamination of local ground water, surface water bodies or soils; effects on supply of potable water, toxicity to wildife or humans.

Hydraulic fracturing, well workover*

Contamination of local ground water, surface water bodies or soils; effects on supply of potable water, toxicity to wildife or humans.

Oil spills Contamination of local habitats, waterbodies, ground water, soils; contamination of habitats, mortality of plants and wildlife.


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Flaring of gas Contamination of local airshed (H2S, mercaptans, metals, VOCs, Nox, etc.).

C. Transportation Phase

Pipeline construction Compaction and erosion of soils. Destruction and fragmentation of habitats from vegetation clearing.

Pipeline operations Interference with wildlife migrations, dispersion. Spread of non-native plants for reclamation, weed infestation can disrupt ecological balance.

Storage at bulk terminals Fugitive emissions through valves, vents, with effects on air quality, toxicity to humans or wildlife.

Oil spills Contamination of local habitats, waterbodies, ground water, soils; contamination of habitats, mortality of plants and wildlife.

Leak or pipeline failure Discharge of gas, risk of fire or explosion; danger to local humans and wildlife.

D. Decommissioning

Waste disposal Leakage from disposed wastes, contaminated soil; effects on soils, ground water, surface waters. Effects on human health, wildlife.

Contouring Alteration of surface water flows, if site not adequately re-contoured.

Reclamation Alteration of local vegetation community, introduction on non-native vegetation, weeds.

Table 8-3:Secondary Potential O&G Effects on Environment

Activity or Need Secondary Effects

Land tenure Rise in land prices, speculation, land-grabbing. Competing land uses (residential, agricultural, industrial, commercial, etc.).

Transportation Access roads, pipelines, seismic lines offer Increased access to wilderness areas, exposing wildlife to humans, disturbance. Traffic safety may be compromised due to increased traffic density. Increased demand for roads maintenance due expanding population.

Use of water Industrial water needs could exert pressure on supply of potable water for community use. Ecological in-stream flow needs may be compromised.

Use of forest resources Increased demand for wood, for buildings, other construction, and for energy needs (charcoal) may result in accelerating encroachment and de-forestation. This not only results in loss of habitat but also degrades soil due to increased erosion.

Food and agriculture Local food demand will increase with larger population, while use of land for agricultural versus municipal, industrial and commercial will be in conflict. Wilderness and/or potential tourism opportunities could be compromised.


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Hunting, use of wildlife Increased demand for food could result in increased poaching of wildlife, increases in price for wild meat. In turn, this would threaten stability of local wildlife populations and even result in species extirpation in some cases.

Fishing, aquatic resources Increased food demand will put pressure on local fish populations, raise prices, encourage illegal fishing methods.

Fill and aggregate needs Effects of borrow pits on ground water tables, erosion, siltation, effects on surface water; loss of vegetation permanent unless properly reclaimed. Competition for borrow material will increase due to increased demand; conflicts among users.

Work camps Social problems involving outside workers and local community, e.g., disruption of social mores, use of alcohol/drugs, transmission of disease.

Schools, hospitals, emergency

Demand for municipal infrastructure and services will increase, with growing population. Existing services put under increasing pressure.

Financial Increase in local inflation rates for goods and services, resulting from more employment in the region.

Energy use Fuel, electricity will see a greater demand with growing populations and communities. This could elevate prices and lead to scarcities. New power plants, transmission lines would have environmental effects, e.g., emissions, habitat fragmentation.


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8.4.2 Climate Change

Climate change is a contemporary global phenomenon which is anticipated to have a multitude of impacts on the environment and natural resources. Some of the environmental and related socio-economic effects that have been predicted are changes in average global atmospheric temperatures, changes in weather patterns and oceanic currents, higher evapotranspiration rates, the water cycle and the availability of fresh water, flooding and loss of coastal areas due to higher sea levels, severe weather events such as hurricanes and tornadoes, fires and even the incidence of pests and contaminants. These effects will differ according to different regions of the world. Increased rates of evapotranspiration are predicted to occur, resulting in more drought conditions and reduced flow in surface water systems. There is evidence in various parts of the world, of alteration of weather patterns and increased frequency of extreme weather such as drought and floods. Resulting from these impacts are effects on hydrologic cycles, species biodiversity of plants and animals, stability of ecosystems and natural resources such as forestry, agriculture and fishing. Some climate models have projected an increased risk in the future of growing season conditions conducive to drought in areas of the world that are already drought-prone. Extreme precipitation events and related impacts such as floods are of particular concern for some societies in planning for future climate change given the potential threats to infrastructure, the environment and human life. The levels of some contaminants in surface water systems is projected to rise in some cases. For example, an increasing mercury burden in some species of fish has occurred. There is some evidence that climate warming, leading to increases in algal production in oceans and lakes, has altered the biogeochemical cycling of mercury and increased the amount of bioavailable mercury. As water becomes scarcer due to climate change and human populations continue to grow, the amount of bacteria and other pathogens in the water supply will tend toward becoming more concentrated, leading to greater potential risks to human health. Similarly, without tertiary and other expensive solutions, the concentration of nutrients in surface waters will tend to increase, leading to problems of nutrient over-enrichment, oxygen depletion and further deterioration of water quality and harm to aquatic ecosystems. Nutrient enrichment by nitrogen and phosphorus compounds can result in algal blooms, fouled water, deoxygenation of water and fish kills, among other things. Species migration and species extirpation or extinction threaten to be among the significant adverse effects of climate change, along with threats to food security. Tourism prospects in Uganda could be adversely affected by species loss. It is anticipated that, without significant action by the world community, climate change and the above outcomes will increase with time. While a single nation cannot by itself resolve global climate change, regional and


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national planning need to take into account the potential effects of climate change, particularly when dealing with water management. For Uganda, increased evapotranspiration rates are likely to affect agriculture in terms of water scarcity. Forests are likely to be adversely affected due to increased evapotranspiration rates resulting in reduced tree vigour. Fishing is likely to be affected, due to increased evapotranspiration rates and changing water levels in lakes and streams. As mentioned above, it is possible that the levels of pollutants and micro-organisms in natural waters may increase. Little reliable information is available on air quality at present in the Albertine Graben region. However, increase in air pollutants could result from relatively large releases of air pollutants from various processes in oil and gas production and in the refining operations as well. Fugitive emissions typically occur to some extent from some oil and gas operations, e.g., from tanks, product transfer, transportation and other phases of operation. Substances that could be released include particulates, volatile organic compounds, sulphur compounds and nitrogen oxides. 8.4.3 Land Cover and Soils

Soil erosion is a very significant environmental threat in the Region due to erosion prone soils and steep slopes. Substantial land use changes without the necessary land management planning typically lead to increased intensity of land for agriculture, etc., and hence to soil erosion, nutrient loss, loss in soil structure and fertility, and generally to progressive land degradation. Uganda loses about 11% of its GNP per year due to soil erosion (Moyini et al., 2002). The use of firewood for domestic energy requirements has resulted in the cutting of trees, in some places denuding the landscape and exposing the soil to wind and rain, leading in turn to soil erosion, nutrient loss and loss in soil fertility. These effects are extremely difficult to reverse and eventually they become long-term or permanent losses. The locations of the most serious such effects can be anticipated to be where there is relatively intense use of the land and also soils of high erosion potential and/or steep slopes. An underlying causative factor is the changes in the type of land tenure and overlapping land rights. 8.4.4 Surface Water and Groundwater

Sensitivity of Water and Aquatic Systems

Because of the proximity of oil and gas production activities to the three Lakes and numerous rivers and streams, and the anticipated increased of such activities in the future, surface water sources within the Albertine Graben will be susceptible to contamination if/when releases of pollutants occur. Because of the relatively high water table, the potential for aquifer contamination is also high. Based on data from borehole logs and springs, the relative sensitivities of groundwater resources were ranked as to the risk of contamination in the case of a release(s) of


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contaminants. The analysis showed that 80% of the area has high sensitivity to contamination, based on the height of the water table. On and around Lake Albert and its shores, there are various human activities and resources, primarily fishing sites, fish landing sites, and boat landing sites. There are also numerous markets and trading centres, human settlements, airstrips and hotels. And there are oil and gas off-shore developments near or on the shorelines. Shoreline areas are typically sensitive to disturbance or contamination because there are complex assemblages of plant and animal communities in balance within a continuum of abiotic elements including water, currents, wave action, winds and erodible soils in the banks or littoral zones. Partly because of the unique environment of a major lake and its shore, there are numerous archaeological sites. There are also important wildlife areas, associated with the wetlands and shores of the Lake, particularly in associated marsh or thicket systems. The mouths of the numerous rivers at the Lake represent sensitive and in some places unstable soils and substrates. Superimposed on this complex set of resources and activities, there are many oil and gas exploration and other activities taking place. These activities are expected to grow and expand very substantially in the coming years. The potential for contamination and degradation of water quality and disturbance of associated plants and wildlife is therefore of paramount concern, particularly in the sensitive areas mentioned above. It is of some concern that oil and gas operations are occurring near or on the shoreline of Lake Albert, as was observed during our Team's field work in April 2014. Placing such operations so near to the fragile shoreline systems would increase the probability of occurrence of the impacts outlined above. Water resources country-wide are under increasing threat of degradation, in the forms of both reduced water quality and water quantities and flows in freshwater bodies. Soil erosion, as discussed above, has reduced surface water quality. This occurs as a result of silt particles being introduced when water moves over erosion-prone soils. Silt in the water can lead to many adverse effects including fouling of fish spawning areas, decreased light penetration for photosynthetic activity, impedance of fish feeding, and fouling of the aquatic organisms that are the base of the aquatic food chain. Improved land management practices, maintenance of vegetation cover, and appropriate erosion mitigation measures during new developments are necessary to minimize the effects of erosion on water quality. Contamination of surface water can occur as a result of the spills, leakage, seepage or other forms of release of environmentally hazardous substances into the environment, for example, from oil and gas activities. The contaminants may be in the form of the hydrocarbons being extracted or chemicals that are used in various processes related to oil and gas production, refining and transportation (via pipeline, road, rail or other). If such substances were to be released onto land, not only could the soil become contaminated but underlying groundwater aquifers could become contaminated as well. If these are used for domestic water supply, then it will involve a long-term cost not only for remediation of the groundwater but also to provide an alternative water supply. Once contaminants have


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entered the groundwater, it is typically very technically demanding, expensive and requires a very long time to remediate the groundwater source. The disposal of wastes from oil and gas production/refining is potentially another form of release, depending on the means and location of waste disposal, and the amount of treatment the waste might have received before being disposed. The wastes and releases of human communities or other industries is a critical threat to surface water and groundwater quality. Improper disposal of solid waste can lead to leaching of contaminants from the waste into the surrounding soil, with the potential of contaminating groundwater. The proper treatment of sewage is also a key need and potential concern if it is improperly disposed or if the treatment systems for communities have inadequate capacity to handle the population's needs. Not only will sewage contamination result in levels of pathogenic micro-organisms and associated disease transmission, but nutrients such as nitrogen- and phosphorus-containing compounds. The latter can lead to algal blooms and subsequent de-oxygenation of water bodies, fish mortality and degradation of the aquatic ecosystem. 8.4.5 Flora and Fauna

Flora

Forest, bushlands, shoreline, wetland and slopes vegetation communities in the Region are under considerable threat, from a number of factors. The expansion of settlements due to rising human population directly affects these habitats through encroachment and conversion of the original vegetation to other land uses such as agriculture. The use of firewood (charcoal) for domestic energy source puts particular pressure on wooded areas adjacent to human settlements, i.e., villages or towns. As a result, deforestation is a serious problem in the Region. Coastal/shore vegetation on Lakes Albert, Edward and George is at particular risk because of its sensitive nature as well as the fact that these areas are coincident with much of the existing and anticipated oil and gas exploration and production in the Region. The natural forests in the Region have over time been degraded due to pressure on land. Human activities such as deforestation and wetland degradation have had a great influence on the natural vegetation cover. Causes of land degradation include timber cutting, clearing land for agriculture and settlement, over-grazing and extraction of other resources e.g. honey, rattan and fuel wood (Masindi District Environment Profile, 2005). Expansion of the oil and gas industry and the resulting projected increase in human population in the Region as well as the necessary infrastructure requirements to support it, will place an added threat on the forests of the Region. Fauna

As the vegetation is affected, so too are the habitats of many wildlife species, including some that are rare or endangered. Some species of wildlife require a large area of "core" habitat, and when the vegetation community becomes fragmented due to encroachment, there is a loss of some sensitive species and a general decline in biodiversity of the area. Other aspects


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of ecosystem connectivity include "corridors" which are vegetation polygons that connect core habitat zones. Maintaining core and corridor habitats is an important part of sustaining ecological linkages and therefore ecosystem integrity. In some areas there are relatively high animal populations, which need special consideration and protection in the planning process. For example, the delta region of MFNP is a Ramsar site and has a greater abundance of large and small mammals than other parts of the park. There are other Ramsar sites in the Region as well. Although most large mammals (elephants, lions, buffalos etc) occur in protected areas, a few are found outside the protected areas as well. Other areas e.g., Bwindi Impenetrable NP and the Ishasha sector of QENP may have fewer mammals but these mammals are either of unique character or are highly restricted in habitat range, e.g., the Mountain Gorilla only occurs in Bwindi Impenetrable NP and Mgahinga NP. These areas attract a large number of tourists to the region, and this sector could be adversely affected by fragmentation or degradation of habitat or disturbance of the animals. In terms of disturbance, some mammals are sensitive to noise vibrations from seismic surveys, movement of heavy equipment and drilling activity. In particular, this can adversely affect their breeding behaviours and reproductive success. While there are some data on large animals, many small sized wildlife species that exist in the Region have not been surveyed, and some of these could be very sensitive to such developments. Contamination of water, land or wetland/shoreline areas poses a threat to aquatic fauna life such as fish and birds. The effect of a single oil spill near a shoreline vegetation community or a wetland can be catastrophic for animals that inhabit these ecosystems. However, the ongoing release of contaminants into the environment can result in progressive local loss of species, decline in biodiversity and reduction in ecosystem stability. Some larger rivers, such as the Nile and the Semliki have not only created flood plains but also deltas and associated wetlands, which are features of high ecological value. In general, the land-water interface is rich in species diversity and high biological productivity. The Lake Albert shoreline ecosystems of sandy, clayey or boulder beaches, fringing wetlands and deltas, and rocky cliffs are a prime example of a sensitive environment with a wide diversity of ecological niches (ESA, 2010). 8.4.6 Wetlands

With the expansion of human settlement and industries, wetlands are potentially destroyed or altered through pollution, changes in local drainage, conversion to farm land or other uses including human settlement. It has been estimated that over 7% of Uganda's original wetland area has been converted for other uses (Amaniga Ruhanga et al., 2009). This has resulted in effects on wetlands hydrological role, plus the effects on plants and animal species for which wetlands are critical habitats for various life cycle activities (feeding, nesting, breeding, rearing). Loss of wetlands eventually results in overall decline in plant and animal biodiversity and ecosystem stability. Because many rare or endangered species


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inhabit wetlands, the loss of wetlands potentially results also in species extinctions or extirpation. Part of the problem is a prevalent public attitude that wetlands have little or no function or long-term benefits. Wetland flora is vital to the structure and functioning of floodplain and fringing wetland ecosystems, which are principle food-web systems for the fish resource. Sensitive areas that will be impacted are the River Nile area and in wetlands, especially the spit on Lake Albert. The different wetland classes were ranked for relative sensitivity to disturbance based on hydrological function and ecological response (i.e., water regime and vegetation cover density) and resilience after disturbance (2010 Environmental Sensitivity Atlas). The sensitivity ranking used a numerical rating system shown in Table 8-4, being the sums of 3 forms of sensitivity, and the highest ratings representing the most sensitive classes. Papyrus swamps and swamp forest thickets proved to be the most sensitive ecosystems, with sedges, permanent grassland and palm thickets being intermediate in this respect.

Table 8-4: Wetlands Sensitivity

Wetland Class: Ecological Water Regime Density Sensitivity Description

Papyrus (P) 3 4 2 9 Swamps with Papyrus as dominant species

Swamp forest (P) 3 4 2 9 Thick closed canopy forests and woodlands

Grassland (P) 3 4 1 8 Rangelands, pasture, open savannah may include scattered trees shrubs and thickets

Sedges (P) 3 4 1 8 Rangelands, pasture, open savannah may include scattered trees shrubs and thickets

Subsistence farmland (P)

3 4 1 8 Mixed farmland small holdings in use or recently farmland (p) used with or without trees

Palms and Thickets (S)

3 2 2 7 Thick or sparse palm trees and or scattered trees

Grassland (S) 3 2 1 6 Rangelands, pasture, open savannah may include scattered trees shrubs and thickets

Subsistence farmland (S)

3 2 1 6 Mixed farmland small holdings in use or recently farmland (s) used with or without trees

P = permanent feature; S = seasonal feature. Source: Environmental Sensitivity Atlas, Government of Uganda, 2010) 8.4.7 Protected Areas

The Albertine Graben region possesses a number of National Parks, Forest Reserves, Wildlife Reserves, Important Bird Areas, and two World Heritage Sites. The protected areas system comprises about 70% of all national parks and wildlife reserves in Uganda. These protected


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areas not only function as sources of biodiversity and ecosystem connectivity, but are also critical for tourism potential in the Region (ESA, 2010). Sensitive environments within the study area include deltas and other wetlands, riverine forests, animal breeding areas and forests. However, such areas maybe within or outside protected areas. It has been suggested that wildlife in Uganda is increasingly being found not in the protected areas but outside them, making it all the more important to prohibit or limit industrial activities near these areas. The specific protected areas where petroleum deposits have been found are Murchison Falls National Park (including the Ramsar site), Bugungu Wildlife Reserve, Kabwoya Wildlife Reserve, Kaiso-Tonya Community Wildlife Area and the Ramsar site along River Nile. Budongo and Budoma Forest reserves occur in areas where infrastructural developments that will support the oil industry will occur. Of the whole of MFNP, the area where oil deposits were discovered has the highest mammal biodiversity (NEMA, 2010). The area is also surrounded by water making it an ideal watering point for wildlife during the dry season. The boundary between Kabwoya and Kaiso-Tonya is River Hohwa, which is the major water source for wildlife found in these two protected areas, especially during the dry season. The riverine forest along River Hohwa also serves as a corridor for wildlife that access Lake Albert. The delta area of MFNP is also major destination or resting place for migratory birds (ESA, 2010). 8.4.8 Fish

Water bodies (River Nile, Lake Albert, and the smaller rivers that either feed into Lake Albert or are tributaries of River Nile) and the associated wetlands are specific sensitive areas in terms of fish habitat. They are recognized as breeding, nursery and refugia grounds for almost all fish species in Uganda. The areas are also vital fishing grounds. The intermediate depth zones and deeper open waters are not well researched and significant data gaps exist for the entire lake environment. Three critical areas for fishing have been identified (SEA, 2013).: ▪ The lower floodplains and deltas of major rivers including Victoria Nile, Semliki, Muzizi

and Wassa plus the shallow inshore lake fringe less than 7 m deep. This zone contains high biodiversity and is a recognised breeding, nursery and refugia ground for almost all fish species in Lake Albert. It is also a vital fishing ground.

▪ The intermediate depth zone (7 to 20 m) includes the steeper shoreline sections with

rocky underwater cliffs or in the vicinity of the spits steep sand slopes. No information on representative invertebrates and fish fauna were found in the literature, forming a serious knowledge gap;

▪ The deep open water zone (>20m) covers the largest portion of the lake but it is

perhaps the least known in terms of its ecology and species composition. This water zone is coming under intense exploitation with more efficient but sometimes illegal fishing gear and methods encouraged by the escalating demand for fish. For example,


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due to over fishing, the endemic Lates macrophthalmus species has been placed on the IUCN Red List as “endangered”.

The shallow inshore habitats of Lake Albert support the various life stages of virtually all fish species during their larval and juvenile life. Also inhabiting these zones are the invertebrate organisms that are critical in the aquatic food chain. This increases the potential for impacts of oil and gas development to disrupt the entire food chain upon which the fishery ultimately depends. This could happen through, for example, siltation and sedimentation (fouling) of spawning beds and invertebrate habitat, chemical contamination and buildup of contaminants in fish tissues, and water chemistry impacts from sewage disposal, pesticides in surface water runoff, seepage from wastes, or over-loading with nutrients (nitrogenous and phosphorus compounds from sewage, fertilizers and so forth). Aquaculture is a growing industry in Uganda and in other parts of the world due to both local and international demand. However, aquaculture typically has a number of adverse effects on the surrounding environment, such as the migration of solutes inshore, waste products and the alteration or even destruction of shoreline ecosystems such as wetlands, deltas or mangrove forests. Among the benefits, aside from the economic activity itself, is to potentially relieve pressure on wild fish stocks locally. Dwindling fish stocks due to overfishing and the use of illegal nets, etc., have become a significant problem. This has been fuelled by an increasing human population, as well as growth in regional and international markets. Without remedial steps, the pressure on wild stocks of fish can be expected to become aggravated with further population growth, particularly in the part of the country where there is increased economic activity such as oil and gas production. 8.4.9 Cumulative Effects

A cumulative effect is the combined effects on environmental components (i.e., air, water, land, vegetation) of numerous existing, current, planned or likely industrial or other human activities in a given location. Existing and projected oil and gas exploration, drilling, production and refining/transportation will certainly pose the potential for substantial adverse impacts on air, water, soil, vegetation, wildlife and natural resources unless effective mitigation and monitoring programs are put into place. Other activities that could contribute to cumulative environmental effects include the expansion of human settlements, extraction of fill or aggregate material for building, transportation networks, solid and liquid wastes generated by communities, and if it occurs intensely enough, even from tourism. 8.4.10 Secondary Effects

Secondary environmental effects are defined here as those environmental and related socio-economic impacts that would potentially result from the increased populations and infrastructural development, and commercial activity that would inevitably occur as an ultimate result of the oil and gas, or other, industrial/commercial expansion and the related


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employment opportunities in the region. These secondary, mainly long term impacts could be greater than those resulting directly from the oil and gas activity, i.e., the primary effects. The opening of new areas for exploration and ultimately production, could result in destruction of local habitats, and increased pressure on local flora and fauna populations. These would be primary effects. However, the in-migration, establishment and expansion of new settlements, the associated cultivation of land and development of required infrastructure, could result in the alteration, destruction and/or fragmentation of local habitats. An extended effect of human population expansion would be pressure put on local forest cover for use as energy source (e.g., charcoal for domestic use), and subsequent erosion of soil when trees become uprooted. This erosion of soils could, in turn, lead to degradation of surface water quality and even the flow regimes. The expansion of human settlements and increased population densities could also put increased pressure on local wildlife populations, when hunting and poaching intensify (either subsistence or commercial). This in turn could result in the elimination or decreased populations of local species, possibly leading to extirpation or even extinction of the species. When "keystone species" of wildlife are removed (e.g., major predators), this has implications for the entire assemblage of animals in the ecosystem, and severe imbalances and a disruption of ecosystem stability may occur.

8.5 Location of Environmental Disturbance

8.5.1 Introduction

This section provides a discussion of the locations or nodes where the potential effects of oil and gas exploration/production and other human activities and developments, are most likely to occur within the Albertine Graben region. This has been done by taking into account the above analyses of the environmental resources/components, the sensitivities of these resources as discussed above, and the existing or probable foci of said human activities and developments, as determined from various sources such as the Government of Uganda's Environmental Sensitivity Atlas (2010) and its Strategic Environmental Assessment of Oil and Gas Activities in the Albertine Graben (2013). To accomplish this, maps of the distribution of the environmental resource in question (e.g., National Parks, wetlands, biodiversity nodes, fishing sites, etc.) were overlaid digitally with existing maps of oil and gas leases/allocations, and with other developments/activities. Map __.


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Map 8-1: Environmental Issues - Albertine


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Areas of overlap were then identified, and the significant areas of overlap are marked. An area of impact of approximately 20 km is allowed around the perimeter of the recognized oil and gas lease areas. It should be recognized, however, that the areas of overlap tended to coincide with the pattern of the various Protected Areas, and this may be due to a preoccupation with monitoring programs in the Protected Areas. While the reasons for this are no doubt logical, it may overall have tended to emphasize artificially the environmental sensitivities of the Protected Areas while under-stating the sensitivities and environmental features of other areas in the region. 8.5.2 Protected areas

It is to be noted that there is a high degree of coincidence between the oil and gas licencing areas with the distribution of Protected areas within the Albertine Graben region as shown in Map 8-1 and Map 11-1 in Chapter 11. The area of overlap involves at least partially the following National Parks or Wildlife Reserves.

▪ Ajai Wildlife Reserve ▪ Murchison Falls National Park ▪ Bugungu Wildlife Reserve ▪ Karuma Wildlife Reserve ▪ Kabwoya Wildlife Reserve ▪ Kyambura Wildlife Reserve ▪ Semliki National Park ▪ Semliki Wildlife Reserve ▪ Mt. Rwenzori National Park ▪ Queen Elizabeth National Park ▪ Bwindi Impenetrable National Park ▪ Kigezi Wildlife Reserve

Special mitigation measures are needed to ensure that existing and planned/possible oil and gas activities, including transportation by pipeline, road or other means, do not interfere with the wildlife or its habitat in these protected areas. These could include avoidance of particularly sensitive wildlife or tourist areas, buffer strips, noise restrictions and so forth. 8.5.3 Wetlands

Map 8-1 and Map 11-1 show the area of overlap of oil and gas licence areas with the main concentrations of wetlands or shoreline areas in the Albertine Graben region. Within the area of overlap are two Ramsar sites. The areas of overlap occur widely within the region but are particularly intense along the shoreline of Lake Albert, in the deltaic areas of the Semliki River at its south end, and at its north end at the delta areas of the Victoria Nile and the Albert Nile. Overlap also occurs along the shores of the Albert Nile, the Victoria Nile and the Semliki River. There is dense


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aquatic vegetation in floodplains of some rivers such as the River Wambabya, River Waiga and River Wisoke in Buliisa District. Papyrus swamps and swamp forest thickets have been suggested as being the most sensitive ecosystems, with sedges, permanent grassland and palm thickets being intermediate in this respect. These ecosystems may be expected to be among the most sensitive to oil spills, or releases of other contaminants in the oil and gas regions of the Albertine Graben. This is because of the persistence of hydrocarbons and other contaminants in the wet soils of these systems, plus the extreme technical challenges of remediating such contamination once it gets into the hydric soils of these wetlands. 8.5.4 Wildlife, Species of Special Importance and Biodiversity

Map 8-1, Map 9-1 and Map 11-1 shows the areas of overlap of oil and gas licencing areas with the predominant locations of large mammals and crocodile species in the Albertine Graben. The highlighted areas show medium to very high ratings for habitats of these animals. Overlap occurs largely in Murchison Falls National Park and Queen Elizabeth National Park, but there are some additional areas of overlap within the Albertine Graben. Map 9-1 shows coincidence of oil and gas licencing areas with the occurrence (medium-very high) of species of special importance in the Albertine Graben region. While there is not widespread direct overlap, the prime areas are in relatively close proximity to the oil and gas areas, and may be affected by them via emissions, transportation routes, general activity and other disturbances, direct or indirect. Map 9-1 shows overlap with overall biodiversity sensitivity in Albertine Graben region and areas of potential effects (medium-very high ratings shown in yellow). It can be seen that oil and gas activity areas are broadly spread throughout the region, and involve may of the National Parks and Wildlife Reserves, including the major ones. 8.5.5 Fish Populations

Map 9-1 shows the concentrations of fishing sites of Albertine Graben region which overlap with oil and gas licencing areas in the region. The areas of overlap are extensive along the major stretches of the Victoria Nile, Albert Nile and Semliki Rivers, as well as many other rivers. The shores of Lake Albert, as well as the open water area, are similarly affected. Clearly, strong measures need to be in place in these areas in order to prevent major effects on fish and the fishery, including the most advanced means of directional drilling, capping of wells, managing environmentally hazardous wastes, preventing and responding to oil spills or other releases of pollutants, and site reclamation. Monitoring of fish population dynamics and fishing effort/success over the long term will also be an important priority, in order to evaluate mitigation measures that have been implemented, and to detect any trends in fish populations that would indicate an emerging problem.


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8.5.6 Soil Erosion

Areas of potential soil erosion are extensive throughout the region. This indicates the necessity of incorporating sound soil erosion prevention and control measures during all phases of oil and gas work, including exploration, production, transportation and decommissioning. In particular, well sites and other facilities must utilize reclamation techniques that are based on sound research and specific to the site being decommissioned.

8.6 Conclusions Uganda has produced a number of planning documents, including a Strategic Environmental Assessment (2013), an Environmental Sensitivity Atlas (2010), and an Environmental Monitoring Plan (2012-2017). These plus other regulatory and planning elements will provide a good foundation for land use, sustainable development of oil and gas activities and other planning exercises for the Albertine Graben region over the future. To a high degree, the licencing areas for oil and gas exploration and development in the Albertine Graben overlap with a number of important environmental and ecological components, such as erosion potential, wetlands, species biodiversity, key wildlife species and fishing sites. In particular, there appears to be a high degree of coincidence between the location of oil and gas licencing areas and the locations of Protected areas within the Albertine Graben region. Special mitigation measures are needed to ensure that existing and planned/possible oil and gas activities, including transportation by pipeline, road or other means, do not interfere with the wildlife or its habitat in these protected areas. These could include avoidance of particularly sensitive wildlife or tourist areas, buffer strips, noise restrictions and so forth. High erodibility of soils coincides widely with oil and gas licencing areas in the region. It is important that sound soil erosion prevention and control measures be in place during all phases of oil and gas work, including exploration, production, transportation and decommissioning. In particular, well sites and other facilities must utilize reclamation techniques that are based on sound research and specific to the site being decommissioned. There is a considerable overlap between oil and gas activity and fishing sites. Clearly, strong measures need to be in place in these areas in order to prevent major effects on fish and the fishery, including the most advanced means of directional drilling, capping of wells, managing environmentally hazardous wastes, preventing and responding to oil spills or other releases of pollutants, and site reclamation. As well, over-fishing is already a substantial problem, and sound management plans are needed to ensure the fisheries in the region are sustainable. Monitoring of fish population dynamics and fishing effort/success over the long term will therefore be an important priority, in order to evaluate sustainability and mitigation measures, and to detect any trends in fish populations that warrant strengthened measures.


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Potential cumulative and secondary effects of existing, current, planned or reasonably likely industrial or other human activities in a given location should be fully taken into account in planning exercises for the region, especially in or around development nodes. In addition to existing and projected oil and gas exploration, drilling, production and refining/ transportation, the expansion of human settlements and infrastructure, energy requirements, water requirements, the extraction of fill or aggregate material for building, transportation networks, and solid and liquid wastes generated by communities and other infrastructural and social needs should be factored into both environmental assessments and local planning.


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9Natural Resources Management

Introduction

All of the Albertine's, and Uganda's for that matter, major economic activities are directly tied to the country's natural resources and their sustainable management. Long-term sustainability must have priority over short-term gain. This Chapter reviews the state of the Albertine's natural resources, related issues, opportunities, constraints and challenges. The Chapter should also be read in conjunction with those on Environment, Agriculture and Economic Development in particular.


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9.1 Context / Introduction

9.1.1 Definition

Natural resources are defined as materials and components that can be, and are, used which are found in the natural environment (http://en.wikipedia.org/wiki/Natural_resource). The concept of utility is integral to the term ‘resource’. Natural resources may be biotic or abiotic: Biotic resources are gathered from the biosphere or may be grown. Abiotic resources are non-living, like minerals and metals and geothermal energy (http://examples.yourdictionary.com/examples/natural-resources-examples.html). Every man-made product is composed of natural resources (at its fundamental level). A natural resource may exist as a separate entity such as sunlight, fresh water and air, as well as a living organism such as a fish, or it may exist in an alternate form that must be processed to obtain the resource such as metal ores, oil, and most forms of energy (http://en.wikipedia.org/wiki/Natural_resource). Natural resources comprise both non-renewable and renewable resources. Non-renewable resources are those that are present in the earth’s crust in effectively fixed quantities, and that human technology cannot effectively mimic, reproduce or generate. These resources include minerals and oil and gas. Of course, modern technology allows the conversion of one to the other (eg minerals to hydrocarbons and gas as ‘synfuels’ technology) and may develop means to utilize them more efficiently and thus extend their lifespan; nonetheless, ultimately the supply is limited to what was placed in the earth’s geological strata by natural processes that operate over infinitely long time spans. The other primary resource that is considered non-renewable is soil, since its formation also takes place over time spans of thousands of years. However, the productivity of soils is very amenable to human manipulations that can reduce or increase, and maintain, its productivity. In the case of soil its productivity is closely linked to the renewable components therein, namely micro-organisms, so its sustainable use is tightly linked into renewable resource management. Renewable resources are essentially those that can replenish themselves in natural cycles or after passing through human production systems. Thus plants and animals keep reproducing, while water and air are cleansed then are again available for use in the human economy. Economic sectors that are entirely renewable natural resources based are agriculture, forestry and fisheries. Geothermal, wave and wind energy are examples of abiotic resources that are considered renewable. What has begun to be understood only in the past few decades is the extent to which the sustainable utilization and development of these sectors and of other basic services (water supply, some waste disposal, clean air) are dependent on the health of the natural ecological processes and environmental assets underpinning them. Natural resources thus cannot be addressed separately from the biophysical environment; they are integrally a part of it. Biophysical is specifically used here, since the other ingredient in natural resources exploitation and development is, of course, the socio-economic environment. However, that system operates according to very different drivers and rules, and is described in great detail

http://en.wikipedia.org/wiki/Natural_resource

http://www.yourdictionary.com/biotic

http://www.yourdictionary.com/abiotic

http://examples.yourdictionary.com/examples/natural-resources-examples.html

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elsewhere in this report, so the focus of this chapter is on the biophysical resources that are the object of social and economic activity. 9.1.2 Ecosystem Services: Framework for Natural Resources Management

The concept of ecosystem services has been developed to describe this integral relationship systematically and to give a coherent framework within which to manage both the exploitation and conservation aspects of natural resource and environmental management. Ecosystem services are broadly defined as the benefits provided by ecosystems to humans; they contribute to making human life both possible and worth living25. Some ecosystem processes confer direct benefits on humanity, but many of them confer benefits primarily via indirect interactions. The four fundamental sets of services provided are:

▪ Provisioning services: food, fiber and fuel; genetic resources (for crops and medicines); biochemical; fresh water

▪ Supporting services: primary production; provision of habitat; nutrient cycling, soil formation and retention; water cycling; production of atmospheric oxygen

▪ Regulating services: Climate regulation (through carbon dioxide absorption); pollination and spawning; disease and pest control; water purification and river base flow maintenance; storm protection; erosion control; clean air. Without the maintenance of supporting and regulating services (which are closely related), the supply of provisioning services usually diminishes.

▪ Cultural services: knowledge systems, religious and spiritual values and practices, recreation and aesthetic values (sense of place), science and education systems.

The living component of the environment that can in its entirety be referred to as biodiversity affects numerous ecosystem services, both indirectly and directly. It is worth reminding ourselves that biodiversity’s contribution to human welfare, particularly in a largely subsistence-based economy, includes:

▪ Direct benefits in the form of goods or products such as food, water, timber, clothing materials and medicine

▪ Less tangible benefits, including the ecological services upon which human survival depends, such as watershed regulation, carbon storage, pollination and nutrient recycling

▪ Genetic diversity that helps create new crops or animal varieties and pharmaceuticals ▪ Important cultural, spiritual, psychological and aesthetic benefits26.

25 Millenium Ecosystem Assessment (2003): Chapter 11 Biodiversity Regulation of Ecosystem Services: MEA: pages 297-329. 26 EBI (The Energy and Biodiversity Initiative) (undated) Integrating Biodiversity Conservation into Oil & Gas Development. Powerpoint presentation available on EBI website. BP, ChevronTexaco, Conservation


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9.1.3 Purpose of this Chapter

It is clear that a discussion of natural resources thus involves covering an enormous range of topics, from basic services – water, energy, waste and clean air – to major economic sectors – mining, oil and gas, agriculture, forestry and fisheries – to the characteristics of the environment underpinning them – geology, climate, water, geomorphology, soils, biodiversity and ecosystem processes. Since most of these topics are covered elsewhere in this report and a comprehensive coverage of this field is outside the scope of this assignment, this section will provide an overview of natural resources and summarises interactions between the components that can act in concert to increase potential in some economic sectors, or act in conflict to decrease potentials in others. 9.1.4 The National Context of Natural Resources

Uganda’s economy remains very reliant on natural resources. Uganda’s natural resource base is widely considered to be one of the richest and most diverse in Africa, in which renewable resources remain the dominant component. Agriculture (including forestry and fisheries) accounted for 23% of GDP in 2008/09 (equal to industry)27. [Services, however, contribute 53% to GDP]. Tourism, dependent on wildlife and wild landscapes, ranks third in foreign exchange earnings and the sector drew US$560 million from wildlife tourism in 2008, while recent estimates show that gross returns to the national economy in services and products from biodiversity as a whole could be as high as US$ 63.9 billion per year28. The forestry sector in 2004 contributed an estimated 6% to GDP, though this declined to 3.5% by 2008/09. Fisheries accounted for 2.9% of GDP in 2008/09. Now a revival of limited mining potential and development of the oil and gas resources found in the Albertine region are seen as propelling the transformation of the country from an agrarian, peasant one into a modern, prosperous, industrialised, middle income country by 204029. However, the likelihood is that the vast majority of the country’s population will continue to be dependent on natural resources for their livelihoods. This shows sharply in labour employment statistics: the National Development Plan reports that despite strong growth in the contribution of the manufacturing and services sectors to GDP over the period 2000/01 to 2008/09, their contribution to employment declined from 6.8% and 26.8 % to 4.2% and 20.7% respectively. In fact, despite GDP growth in a number of sectors, their share of employment has generally reduced or remained constant, so unemployment must be growing (though the NDP is silent on this). By contrast, agriculture’s share of the labour force grew in just three years (2002/03 to 2005/06) from 66.4% to 75.1%30; perhaps this is simply unemployed workers growing their own food. International, Flora and Fauna International, IUCN, The Nature Conservancy, Shell, Smithsonian Institution, Statoil. 27 The Republic of Uganda (2009) National Development Plan (2010/11 – 2014/15). National Planning Authority, Kampala 28 Uganda Wildlife Society and UNEP/GRID-Arendal (2010) Uganda’s Environment And Natural Resources: Enhancing Parliament’s Oversight. UNEP/GRID-Arendal, Kampala. 29 SNC-Lavalin (2008) Appendix D: Hydrology of Nile Basin Initiative Regional Power Trade Plan. 30 Japan International Cooperation Agency (JICA) (2010) Project for Master Plan Study on Hydropower Development in The Republic of Uganda (Interim Report). Report prepared for the Ministry of Energy and Mineral Development, Kampala, April 2010.


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At the same time, many reports assert rapid and ongoing environmental degradation linked to ever-increasing population pressure (Uganda’s population trebled over 40 years to 2009) and ineffective management of Uganda’s natural resources. Fish resources in Lake Albert are reported to be declining due to over-fishing, while the loss of forest cover is nothing short of catastrophic, with predictions rife that Uganda will cease to have a natural forestry resource by 2050 (Daily Monitor 21 March 2013). In the face of such alarming statistics the Uganda Handbook31 laments a lack of commitment to fund the management of natural resources as illustrated by a reduction of government and partner investment in this arena, with national budgetary allocations to the environment and natural resources declining from 4.9% in 2004/2005 to 2.4% in 2008/200932.

9.2 National Institutional, Legal and Regulatory Context Few countries have legislation called natural resource management legislation. Some states in Australia and New Zealand national legislation reference this term specifically. In most countries, natural resource management legislation is housed in a wide range of statutes covering almost the full ambit of the legal system. This situation has arisen largely because natural resources cover such a wide range of exploitable resources. Therefore the institutions and laws concerned cover the legal ground covered for ALL the other components of this report: environment, agriculture, mining, oil and gas, socio-economic, trade and investment, forestry, fisheries, wildlife, and water. A brief summary of significant features of the institutional arrangements and legislation of Uganda is provided here. The Uganda Handbook33 provides a comprehensive summary of relevant legislation to which we are heavily indebted. 9.2.1 Institutional Structure

There is a plethora of government departments and authorities concerned with the various aspects of natural resources management, as shown in Table 9-1. A body for the coordination and integration of natural resource management has been created in Uganda with the establishment of the National Environmental Management Authority (NEMA) under the National Environment Act of 1995. However, NEMA has no authority over key departments and ministries, such as the petroleum authorities, since the Oil and Gas Policy declares that this sector is to take precedence over all other sector statutes. Furthermore, there may be critical gaps in the institutional structure. For instance, the National Forestry Authority’s mandate is to control Central Forest Reserves’ resources only, while the District Forest Services control local reserves and issue permits for timber harvesting in those reserves. There is no authority for the country’s forest or wood resources 31 Ministry of Water and Environment: Directorate of Environmental Affairs (2013) The National Forest Plan 2011/12 – 2021/22. Ministry of Water and Environment, Kampala. 32 National Forestry Authority (2009). National Biomass Study: Technical Report 2009. NFA, Kampala, December 2009. 33 WWF Uganda (2012) A Report on National Timber Trade and FLEGT Solutions for Uganda. WWF Uganda, Kampala.


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as a whole, and the land tenure system is such that landowners own and have the right to do as they will with any resources growing on their property. Given that about 70% of national forestry resources are on private land, this represents a highly significant gap. And, while the Forestry Support has been recently established to assist district forestry services in the consistent application of policy, there is simply no authority charged with addressing biomass energy, notably with regulating the charcoal industry.

Table 9-1: Institutional, Policy & Legal Framework - Natural Resources Management

Sector/ Institutions Policy and Legal Framework

Environment (& Pollution)

National Environment Management Authority (NEMA) Ministry of Water and Environment MoWE) Urban City/Town Councils Directorate of Water Development (DWD)

National Environment Management Policy, 1997 National Environment Act, 1995 National Environment Regulations, 2003 Environmental Standards and Preliminary Environmental Impact Assessment for Water Quality and Discharge of Effluent into Water and Land in Uganda, 1998

Land Ministry of Lands, Housing and Urban Development (MLHUD) District Land Boards

Land Policy (draft) Soils Policy (draft) Urban Planning Policy (draft) Land Use Policy, 2008 Land Act, 1998

Water Ministry of Water and Environment (M0WE) Directorate of Water Development (DWD) National Water and Sewerage Corporation (NWSC) Wetlands: Wetlands Management Department (Ministry of Water and Environment) District Wetland Offices

National Water Policy, 1999 National Water and Sewerage Corporation Act, 2000 Water Act, 1997 Water Resources Regulations, 1998 National Wetlands Policy, 1995 National Environment Management Policy, 1997 National Environment Management Act, 1995 National Environment (Wetlands, River Banks, and Lakeshores management) Regulations, 2000

Forestry Ministry of Water and Environment (MoWE) National Forestry Authority (NFA) Uganda Wildlife Authority (UWA) District Forestry Services (DFS) Forestry Support National Environment Management Authority (NEMA)

Forestry Policy, 2001 National Environment Management Policy, 1994 National Environment Act, Cap 153 National Forestry and Tree Planting Act, 2003 Uganda Wildlife Act, Cap 200

Agriculture Ministry of Agriculture, Animal Industry and Fisheries (MAAIF) Ministry of Lands, Housing and Urban Development (MLHUD) National Agricultural Research Organization (NARO) National Agricultural Advisory Services (NAADS) District Land Board District Production Department

Uganda Food and Nutrition Policy, 2003 Plan for Modernization of Agriculture National Agriculture Advisory Services National Land Use Policy, 2008 Constitution of the Republic of Uganda, 1995 Budget Act, 2001 Land Act, Cap 227 National Environment Act, Cap 153 Agricultural and Livestock Development Fund Act,


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Cap 233 Agriculture Seeds and Plants Act, Cap 28 Uganda National Council for Science and Technology Act, Cap 209 Animal Breeding Act, 2001 Control of Agricultural Chemicals Act, Cap 29 Food and Drugs Act, Cap 278 Land Acquisition Act, Cap 226 Local Government Act, Cap 243 Markets Act, Cap 94 Plant Protection Act, Cap 31 Investment Code Act, Cap 92 National Agricultural Research Act, 200

Energy Ministry of Energy and Mineral Development (MEMD) Petroleum Exploration and Production Department (PEPD in MEMD) Electricity Regulatory Authority National Environment Management Authority (NEMA) Petroleum Energy P D National Forestry Authority (NFA) Uganda Wildlife Authority (in national parks)

Oil and Gas Policy, 2008 Energy Policy, 2002 Constitution of the Republic of Uganda, 1995 Electricity Act, 1999 Petroleum (Exploration and Production) (Conduct of Exploration Operations) Regulations, 1993

Fisheries Ministry of Agriculture, Animal Industry and Fisheries (MAAIF) National Environment Management Authority (NEMA)

National Fisheries Policy, 2003 Fish Act, 1964 Draft Fisheries Act, 2004

Wildlife, Biodiversity & Tourism Uganda Wildlife Authority (UWA) Ministry of Tourism, Trade and Industry (MTTI) Uganda Wildlife Education Centre (UWEC) National Forestry Authority National Environment Management Authority (NEMA) Uganda Tourism Board

Uganda Wildlife Policy, 1999 Uganda Tourism Policy, 2003 Wildlife Act Cap 200, 2003 National Environment Act, 1995 National Environment Regulations, 2003 Hotel and Tourism Training Institute Act, 1994

(Source: UNEP-Grid Arendal 2010) 9.2.2 Legislation and Regulation

The above table also indicates the complexity of policy legislation concerned with natural resources management. Moreover, most of this legislation dates from a decade or more ago, while international best practice in natural resources management has changed considerably in recent years. For instance, in the water management legislation of many countries there is now recognition of the primacy of environmental maintenance requirements in the allocation of water resources to different user groups, but there is no such provision in Uganda’s Water Act. Nonetheless, in Uganda there is recognition that revision of some older statutes is necessary. For instance the Wildlife Act of 2003 disallows any industrial scale development in national parks including mining and oil and gas development. Revision of this Act is therefore in progress to accommodate recent developments in the oil and gas sector. Some


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stakeholders do not regard this as a positive development for wildlife and landscape conservation in Uganda, while other players view economic development (and development of all exploitable resources) as of paramount importance in the fight against poverty and under-development. There is widespread reporting of failures in the institutional, policy and legal system to enforce and control the orderly and sustainable development of natural resources. This is attributed to gaps in the policy and legal framework as well as a lack of resources (financial and human capacity) in government agencies to implement and enforce policy and regulations. 9.2.3 International Considerations

Uganda is signatory to a number of international treaties and conventions of relevance, including the International Convention for the Conservation of Biodiversity, the International Convention for Combatting Desertification and the International Convention for the Conservation of Wetlands of International Importance (known as the RAMSAR Convention). There are several RAMSAR wetlands within the Albertine region (the Nile delta and river including its banks from the delta through Murchison Falls being a critical one with respect to future planned developments in that area). The Nile Basin is shared between 10 countries, and its water resources are allocated by means of the Nile Basin Treaty. This means that Uganda, which sits atop the headwaters of one of the two main branches of the river, namely the White Nile, cannot develop the resources of its share of the basin without considering and consulting other Basin partners. The Nile Basin Initiative, a multi-country agency, was set up to coordinate research and management strategies across the basin; indeed it has an office in Kampala and will have to be included as a stakeholder in the physical development plan for the Albertine graben region in as much as it involves water resources in the Nile Basin.

9.3 Natural Resources of the Albertine Graben region 9.3.1 Introduction

The Albertine graben comprises the part of Uganda that is formed largely by the Rift valley, the great depression that arcs along the western boundary of the country from south to north. The Albertine Graben Special Planning Region however includes a number of districts that straddle the escarpment and uplands to the east of the Rift, so the planning region displays an enormous range of biogeographical features, from semi-arid, very hot flat savannas in the north-west, to snowy mountains and isolated patches of rainforest in the south-west. This diverse region is thus richly endowed with natural resources, from hosting the largest remaining forest blocks in the country, to high potential agricultural land and grazing lands, a substantial fishing industry, copper and cobalt mining and gold resources, to oil and gas and a regionally unique biodiversity that, combined with spectacular natural land forms, is the focus of Uganda’s lively tourism sector.


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From a natural resources management point of view then, the Albertine cannot be managed as one unit; it will need biogeographical zone specific interventions. 9.3.2 Non-renewable Resources: Minerals and Oil & Gas

The potential oil and gas resources of the Albertine are discussed in Chapter 12, so will not be covered here except in relation to overlaps and potential interactions with other natural resources. In terms of spatial distribution:

▪ Exploited mineral resources are concentrated at the southern end of the Albertine, largely in the vicinity of Kasese where copper and cobalt resources have been mined for a long time;

▪ Gold is widely distributed through western Uganda, with the most significant areas of potential being in the far north and north-east, and to the east of the Central Study Area (south of Hoima and east of Fort Portal, most of it out of the Albertine graben Special Planning Region. Gold occurs in the far south of the Albertine and along the south-western mountains.

▪ Salt has been mined for centuries at Lake Katwe (close to Lake Edward) in appalling artisanal conditions. An attempt to industrialise production failed and artisanal production continues.

▪ Oil and gas resources have been found on the southern verges of Lake Albert, in the central basin of the lake, along its eastern shores and into the North Nile part of the Murchison Falls National Park (seeMap 11-1 ) in Chapter 11.

Over the past three decades mining has remained a fractional contributor to GDP, its share varying from 0.1% to 0.6%, and was 0.4 per cent in 2008, despite robust apparent growth rates (2004 to 2008 13% average per annum). However, employing only 1% of the national labour force, mining makes little contribution to labour absorption, with employment in the sub-sector remaining almost constant over these periods of growth. 9.3.3 Renewable Resources: Water Supply and the Ecological Reserve

The Albertine graben is well endowed with water and is a key area for national and regional water resources development. Lake Albert receives water from the southern end of the planning region, with its primary water source being the Simliki River, from numerous streams draining the mountains to the west and north-west, and from the Nile River that enters the very northern end of the lake. While the Nile is the largest water resource in the area, its waters flow mostly out of the lake directly into the Albert Nile; however, it plays a crucial role in lake dynamics by acting as a ‘sill’ that maintains the level of the lake. Silt deposited at the mouth of the Semliki River with the lake is increasing the size of that delta, and it is likely that increased silt levels carried by the Victoria Nile are doing the same in the Nile delta with the lake. Certainly, very turbid water was observed by the author entering the lake from the Victoria Nile immediately after recent rains (early May 2014) in the region.


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In terms of water resources management, old data sources about Lake Albert are repeatedly quoted, such that the maximum depth of the lake is reported to be 58 m. For a water body of this size, this means that it is in fact shallow and, given the hot climate in the Rift valley, significant abstractions run the risk of depleting the lake relatively rapidly. Presently, while no figures for the Albertine graben are specifically available, abstraction of water from surface water bodies appears to be minimal and well under system capacity. The author has been unable to access recent, substantive analyses of Lake Albert’s hydrology specifically that would support a coherent strategy for the management of the lake’s water resources. The development of such a strategy is an urgent requirement, given the probably imminent escalation of demands from the oil and gas industry, amongst others, on the lake’s water resources. A summary by SNC-Lavalin in 2008 of the Nile Basin’s hydrological dynamics asserts that Lake Albert’s water level increased by 3.3 m between the early 1960s and 1980s following a 5-year period of extraordinarily elevated rainfall in the Equatorial Lakes region of the basin (due to changes in the E African general wind field). Discharges to the Albert (White) Nile from the Equatorial Lakes remained elevated through the 1990s but Lake Victoria’s level has dropped sharply since 2000. This suggests that data on fluctuations in rainfall and runoff are too recent for any firm conclusions on long-term hydrology to be drawn from them. While the White Nile’s contribution to the Nile’s overall hydrological balance remains small in comparison with Ethiopia’s 85% contribution from the Blue Nile and Atbara River, its share has grown proportionately since this shift in rainfall in the 1960s (Ethiopia’s rainfall over the same period declined). Furthermore, the Equatorial Lakes region makes a much steadier seasonal contribution to Nile flows, with the Blue: White proportion of dry season flows in the Nile downstream of the confluence at Khartoum being reversed, that is, 80% of dry season flow in the main Nile come from the White Nile. So the Equatorial Lakes have a balancing effect on the Nile’s flows even if total flow in the main Nile downstream of Khartoum would be little affected by fluctuations in outflows from the Equatiorial Lakes region. Fluctuations are in any event dampened by the huge storage capacity in the large lakes in the upper part of the White Nile sub-basin. However, in terms of water quality, the White Nile’s until-recently clear, clean water is critical to the water quality balance of the Nile. The Blue Nile’s waters carry extremely high sediment loads (thanks to the total loss of forest cover in the Highlands of Ethiopia), as well as very high nutrient loads. The nutrient loads have caused explosions of exotic invasive water-weeds in many parts of the Nile basin, leading to many problems in the operation of water resources infrastructure (clogging intake structures, fouling turbines etc). On Lake Albert, there are localised areas where eutrophication of water is an issue due to uncontrolled sewage and other waste-water disposal into the lake, as is the case at the fish landing sites and lakeside villages. Eutrophication is also partly a natural phenomenon, with high levels of organic decomposition occurring along the Nile River system and leading to seasonally and annually variable levels of invasive alien water-weeds in the river. Local fishermen report that, consequently, aquatic weeds may be a more or less of a problem in areas such as the fishing grounds at the Nile delta into Lake Albert Figure 9-1. Human population migrations into, and urban development around Lake Albert nonetheless may


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potentially greatly exacerbate the occurrence and persistence of aquatic weed invasions in the system, affecting also the Albert Nile River downstream of the lake.

Figure 9-1: Lake Albert Fishing and Invasive Weeds

It is worth noting that despite the natural component of this eutrophication phenomenon in Uganda’s lakes, human-induced eutrophication is acknowledged to be so high in the much larger Lake Victoria that it has caused parts of the depths of that lake to become anoxic on a regular basis and consequently unable to support life. There can thus be no complacency about the potential for dilution to be a solution to pollution in this densely populated region. An absence of water resources infrastructure (large scale storage and distribution infrastructure) in the region is also noted as a key current constraint in the advancement of a comprehensive approach to water resources development and management. However, considerable smaller scale activity in this arena is reported by Ministry of Water and Environment (MWE). Water for production infrastructure is a shared responsibility between MWE and Ministry of Agriculture Animal Industry and Fisheries (MAAIF), with MWE responsible for “off-farm” or bulk supply activities, while MAAIF is tasked with “on-farm” reticulation and utilization. MWE’s Water for Production department is implementing various projects for multi-purposes across the country, including construction of valley tanks, dams, bulk water supply schemes and rehabilitation of old dams and irrigation schemes. However a minority of this activity is occurring in the Albertine graben Special Planning Area: Ntungamo District has had two valley tanks constructed, while the Andiho dam in Nebbi district is under construction and construction of the Kikasi-Sanga-Kanyabyeru bulk water scheme in Kiruhura District has commenced (MWE unpublished report 2012). In planning large-scale infrastructure and resource development, the needs of the aquatic environment and its productive capacity must be carefully considered and incorporated. In southern Africa, in recent decades it has been established that generally about a third of the annual flow of rivers needs to be allocated for healthy ecosystem maintenance, and allocated in seasonally variable flows notably floods. Below this level ecological integrity and


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productivity are likely to decline and biodiversity resources to be lost from the aquatic system. Furthermore, in tropical and sub-tropical Africa, the creation of relatively non-turbulent water bodies (dams and reservoirs) greatly aggravates invasions by aquatic weeds. Ways to utilize aquatic weeds as productive resources – such as a base for compost/ organic fertilizer? - need to be found to address this aspect of water resources development. The situation regarding ground water resources in the region is equally opaque. In the uplands areas around Hoima and Masindi, large valley bottom wetlands occur, but aquifers are reported to be scarce. On the other hand, boreholes are said to be the main source of water supply in the uplands districts. However, instead of draining valley bottom wetlands to create croplands, some valleys should be dammed to create reservoirs for gravity-fed irrigation downstream. Such dams could also be used for fish-farming. Moreover, dams would provide storage for assuring water supplies to towns and industrial development in the region. The anticipated effects of climate change on rainfall and evaporation rates in the region will, however, have to be accounted for in water storage system design and operation. 9.3.4 Climate Change

The major effects of climate change will be changes in the hydrological cycle, the balance of temperature, evaporation and rainfall. It has become almost a mantra in natural resources management studies that climate change must be taken into account. This, on the other hand, is far more easily said than done, largely because of the still wide variations in climate change predictions when the global circulation models are downscaled to yield regionally specific predictions. This applies to the Nile basin, for which river flow predictions range from a 20% increase to a 61% decrease. Nonetheless, all researchers agree that the Nile’s characteristics indicate a high sensitivity to climate change, because the basin has low runoff efficiency and a high dryness index. Overall the models agree that over 100 years (2001-2100) precipitation initially increases and subsequently decreases, while temperature hence evaporation throughout the basin increase. The result is that although precipitation increases, runoff decreases due to the large hydrological role played by evaporation (source: Intergovernmental Panel on Climate Change 2006)34. For Uganda, the effects are not nearly as severe as downstream more arid countries, with rainfall probably increasing in the Equatorial Lakes region. However, rainfall pattern becomes more variable and temperatures more extreme and river flow is predicted to probably decline slightly due to increased evaporation losses from the large lakes in the sub-basin. 9.3.5 Water and Fisheries

Fishing provides an important form of livelihood for the people in the Albertine Graben. The most important sources of fish in the region are Lake Albert, Lake Edward, Lake George and rivers especially the Albert Nile, Waki, Wambabya, Semliki and Kazinga Channel. The region contributes 18.7% of the total national fish catch, with Lake Albert contributing 15%. Fish

34 NEMA (2012) Uganda State of the Environment Report 2010. NEMA, Kampala


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processing has become an important activity on the lake. At Butiaba landing site, there is a wild catch fish-processing factory handling 40-50 tons of Nile Perch per day and employing a labour force of 150 people. At Wanseko at the lakeshore headland forming the southern boundary of the Nile delta, a substantial number of inhabitants earn their living from a gill net based capenta industry, and from catching other lake fish. (Wanseko is also an important ferry point for transport to Nebbi district across the lake.) Small-scale fishing also occurs at the community level in the numerous streams and wetlands in the area. Lake Albert is the most productive lake in the Region in terms of the fish biodiversity, having about 53 fish species of which about ten are endemic. Of the endemic species of Lake Albert, Lates macropthalmus is threatened. Lake Albert’s fisheries resources are dependent on the consistent lake water levels and the rich ecosystems created by the fringeing wetlands along the lake’s eastern shores. The Nile delta, occupying some 17,000 ha, in particular has been shown to be the richest area for fish species diversity and abundance, and it plays a key role as spawning ground for many species and as juvenile feeding area for others that may spawn in the deeper central waters of the lake. This is reflected in the size of the fishing fleet based at Wanseko, fishing village lying on the southern edge of the delta: at least 200 boats were counted by the author on the shore and in the waters immediately around the delta in May 2014. 9.3.6 Water and Energy: Hydropower

Maps of hydropower sites in Uganda show hundreds of sites along the southern, western and northern Albertine, with most of these being for fairly small power plants for regional distribution. The largest hydropower potential in the country is concentrated along the Victoria Nile, with seven projects planned between Bujagali (under construction) and Lake Albert delivering 3,210 MW of power. Of these, four run-of-river developments are flagged for the Nile within Murchison Falls National Park itself, with the 700 MW Karuma Falls project just upstream of the park. Murchison Falls itself is targeted for a project that will involve a 46 m high reservoir wall a short way upstream of the falls with an installed capacity of 650 MW35. Downstream of Uganda in South Sudan four potential hydropower projects on the main Albert Nile upstream of the Sudd swamp and four more downstream of the Sudd have been identified in the Nile Basin power generation studies of recent years. Ethiopia plans to build at least three massive hydropower dams on the Blue Nile, and several other big dams on other major tributaries of the Nile River. The upper Nile system is thus poised to change from an unregulated river to a highly regulated one. There is ample evidence globally that dam and hydropower developments on rivers result in reduced aquatic ecosystem productivity and loss of natural biodiversity. All these planned developments on the Nile will thus have to be planned and programmed carefully to ensure sustenance of the aquatic ecosystems on which many riparian communities along the Nile River rely for important protein supplements. The effect of the cascade of hydropower projects upstream of the Nile delta on Lake Albert fish resources will also need to be 35 The Republic of Uganda (2009) National Development Plan (2010/11 – 2014/15). National Planning Authority, Kampala


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carefully assessed and mitigation measures developed. The effects of four hydropower schemes within the boundaries of the Murchison Falls National Park, in combination with the fragmentation of the Park habitats, landscape and ‘sense of place’ by oil industry production wells and supporting linear infrastructure (pipeline, roads, powerlines), may well reduce the park’s tourism attractions to unsustainable levels. Given that Murchison Falls itself is possibly Uganda’s most outstanding and unique remaining natural feature – and one that has to a large extent established the Uganda ‘brand’ in international tourism marketing - this report asserts that its impairment by the installation of a hydropower station at the Falls would be a devastating blow to the long-term natural heritage and legacy of the country. 9.3.7 Land, Soils and Agriculture and Forestry

Agriculture and forestry are discussed here in concert because of the intimate relationship between them in Uganda, which has gone from being a country with millions of hectares of hardwood deciduous forest to one in which indigenous forests remain only as isolated patches in an extensive agrarian landscape. Land (as space) is necessary for all economic activities, but no more so than the very space-consuming activities of agriculture and forestry. Land is central to the livelihoods of most Ugandan households, with 85% of the population inhabiting rural areas and 50% of household wealth held in land. Agricultural use of land is discussed at length in Chapter I of this report, hence it too will be addressed here only in relation to its relationship with underlying environmental components and possible interactions with other natural resources. In particular, rapid population growth (see Chapters C and D) over the past 30 years has driven wholescale land cover transformation in Uganda, including the Albertine graben, as subsistence occupants have harvested wood resources for timber and charcoal production, and opened land for agricultural production and domestic stock grazing. Land cover has changed over the bulk of the country from forest and woodland to a mosaic of cultivated, pastoral, grassland and open savannah land covers (Map 5-1). [Of course the demise of forested land means effectively the rise of agricultural potential (between 1990 and 2005, for instance, Kasese district gained the largest increment of agricultural land, from 4000 ha to 18 000 ha), a potential qualified by constraints related to soils management, as discussed in more detail below.] The resulting agricultural and pastoral resources of the region are discussed at length in Chapter 10. It can be observed that the high potential agricultural resources are distributed in the south, southwest and south-eastern parts of the study area, with the north being poorly endowed in this regard. The distribution of poverty in the country reflects this, with the poorest parts of the country being the north-east and north (in the Albertine: Arua, Adjumani)3. Where oil production wellfields are likely in the Rift, agricultural resources are relatively poor due to the lower rainfall and high temperatures. Around the centers earmarked for downstream value-added industries (such as the refinery and linked industries), agricultural potential is good and offers the potential to develop production systems capable of supplying the demands of a larger population (due to in-migration) and


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more sophisticated population as the highly skilled people needed to run the oil and gas industry move into the region and linked urban centers. This will be the case in the Hoima and Masindi districts. However, the Uganda State of the Environment Report 2010 says that some studies indicate that over 90% of the country’s land is now degraded to some degree. Land degradation and declining soil fertility limit crop yields and exacerbate household poverty. By the early 2000s it was estimated that 4-12% of GNP was lost due to environmental degradation, 85% of this from soil erosion, nutrient loss and the forced switching of crops to lower value varieties. The absolute cost of land degradation was conservatively estimated at US$ 129.3 million per year. This loss was primarily caused, it was asserted, by stagnated or declining food and cash crop yields, its having been found that farmer yields were typically a third of potential yields found at research stations36. 9.3.8 Forests and Forestry

Forests and trees contribute to national economic growth in various ways, despite the small contribution of forestry to GDP (3.5% in 2008/09 according to the NDP). Forestry’s contribution to GDP increased in the decade to 2008/09, but the growth rate has been falling. This increase may also be due to the rising value of timber as sources become more scarce. 34.4 million tonnes of roundwood worth UGX 258.4 billion or USD 130 million were used in construction work in 200737, with an estimated 80% used for roofing alone; only about 10% for furniture and 10% for other uses. But forests do far more than merely supply consumer goods. According to Uganda Bureau of Statistics (UBOS), 92% of Uganda’s energy needs are met from woody biomass, with rural households consuming about 97% of the household energy requirements (although the latter statistic is hard to believe, given the huge size and numbers of bags of charcoal for sale along the main roads into Kampala and repeated statements that the charcoal market is being driven by urban need). In 2004, Glenn Bush et al estimated the total economic value of Uganda's forests at UGX 593.24 billion (USD 300 million). Bush also estimated the annual contribution of forests to household cash income at 11-27%, and the contribution to ecosystem services (soil and water management, carbon sequestration, and future uses for Uganda's biodiversity) at UGX 222 billion (USD 110 million). It is well known that tropical soils rapidly lose their fertility once forest cover is eliminated, unless special measures are taken to maintain the humic structure that is an integral part of forest ecosystem function. The National Forest Plan 2011-2012 states that Uganda’s forests cover 3,604,176 ha38, of which 17% consists of Central Forest Reserves (CFRs) managed by the National Forestry Authority (NFA), 18% of national parks and wildlife reserves managed by Uganda Wildlife Authority (UWA), and 0.85% jointly managed by NFA and UWA; 0.03% are local forest reserves (LFRs) managed by respective local governments. The rest of the forests (64%) are

36 NEMA (2012) Uganda State of the Environment Report 2010. NEMA, Kampala 37 WWF Uganda (2012) A Report on National Timber Trade and FLEGT Solutions for Uganda. WWF Uganda, Kampala. 38 National Forestry Authority (2009). National Biomass Study: Technical Report 2009. NFA, Kampala, December 2009


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on private and communal lands, managed by private and local community forest owners, that is, 64% of the nation’s forestry resource is essentially unregulated. The Albertine graben region contains the most significant forestry resources in the country. Districts that have tropical high forests have the highest biomass stocks and six of the seven districts qualifying are in the Albertine region: Masindi, Bushenyi, Kyenjojo, Hoima, Kibaale and Kasese. Masindi has the highest biomass stock, amounting to 24.8 million tons39. A large number of local forest reserves occur throughout the region while CFRs in the region are: Mt. Otze Forest Reserve, Mt. Kei Reserve, Budongo Forest Reserve (one of the largest in the country just south of Murchison Falls National Park, Bugoma Forest Reserve, Kashoha-Kitomi Forest Reserve, Kalinzu Forest Reserve and Maramagambo Forest Reserve. But forestry in Uganda is in a state of crisis. What is not observed in the figure of 3, 6 million ha of forest quoted above is that 27% of national forest cover was lost in 15 years (1990 – 2005). What this national figure disguises however, is the astonishing difference inside protected areas and without: 64% of forests on private land disappeared, while in protected areas the loss was about 14% (still unacceptably high). In the period of 15 years from 1990 for which good statistics are available, the average annual deforestation rate was 1.8%. The statistics are staggering: 1,7 million ha of forest was lost, representing an annual clear-felling of approximately 88,000 ha40. The highest annual rate of deforestation was and is occurring on private and communal lands (2.2%) and the lowest is in national parks and wildlife reserves (0.4%), while an unacceptably high rate of 1.1% in Central Forest Reserves was recorded. The Albertine saw its forest resources stripped: Kibaale lost 46% and Hoima 22%41. Unsatisfactory forest law enforcement and governance and institutional failures have been the major causes for the poor performance of the forestry sector42 43; nevertheless, protected areas are functioning to protect forest resources within them, as intended (despite some losses and depredations). At a district level, forestry officials report that they are poorly resourced both in terms of manpower and funds to undertake remedial and enforcement activities (Forestry Range Officer NFA Masindi, pers comm). The Masindi district has planted just 373.75 ha of pines in the past seven years, this in one of the prime forestry areas of the country. In 2004, with the establishment of the National Forest Authority (NFA) replanting resumed and by 2010 an estimated 40,000 ha had been replanted by NFA in partnership with private sector forestry companies and individuals. Increasingly, the private sector is taking over the 39 National Forestry Authority (2009). National Biomass Study: Technical Report 2009. NFA, Kampala, December 2009. 40 The Republic of Uganda (2009) National Development Plan (2010/11 – 2014/15). National Planning Authority, Kampala 41 National Forestry Authority (2009). National Biomass Study: Technical Report 2009. NFA, Kampala, December 2009. 42 Ministry of Water and Environment: Directorate of Environmental Affairs (2013) The National Forest Plan 2011/12 – 2021/22. Ministry of Water and Environment, Kampala. 43 WWF Uganda (2012) A Report on National Timber Trade and FLEGT Solutions for Uganda. WWF Uganda, Kampala.


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role of plantation timber production, which was traditionally carried out by the Forestry Department and NFA. The plantations established in 2004 will begin to supply the sawlog market from 2025 onwards but until then, Uganda faces a shortage in timber supply44. Furthermore, with 70 – 80,000 ha of forest/ woodland being lost per year, the 10-year replanting achievement falls far short of meeting even one year’s deficit; consequently the country will experience ever growing shortages. The projected timber shortages mean of course that:

▪ illegal harvesting from state forest reserves is likely to increase (prices will continue to rise, providing a ready stimulus);

▪ the proportion of timber imported from neighbouring countries will rise, contributing to accelerating exploitation of indigenous hardwoods in the DRC in particular (and potential over-exploitation there as well);

▪ Uganda will not recover a commercially significant proportion of its natural forests, the rate of loss is far higher than can ever be achieved by replanting, let alone the massive challenges in trying to recreate indigenous, diverse hardwood forests; and

▪ there is great potential for forestry plantation development in the favourable districts of the Albertine region, including virtually all the districts in the south, south-east and central areas to Masindi. (In the bottom of the Rift valley, however, forestry potential is very low.) Small grower programmes have already been implemented and these can be strengthened and expanded through the planting of tree types other than pine (which has been the dominant type in planting programmes to date). Species to address biomass needs (fuelwood and charcoal) are urgently needed. The Masindi NFA Range Office is of the opinion that planting of Combretum species, a generally fast-growing indigenous genus, has potential in this regard.

▪ there is potential to appropriate international funding to assist in preserving the remaining forest reserve blocks that are relatively large and in a relatively good condition, both within the mechanisms created by the Kyoto Protocol for selling carbon credits, and under the UN-FAO’s REDD programme (REDD = Reducing Emissions from Deforestation and forest Degradation), in which payments are made for preserving (ie not exploiting) intact natural forests.

On the basis of good data dating from 2005, the present sawn wood market in Uganda is estimated at 369,000 m3, with a current retail market value of UGX 101 billion (USD 42 million). This is equivalent to 1,440,000 m3 of round sawlogs at the current sawing efficiency of 25%. This is equivalent to sawlog production from clear felling around 7,000 ha of plantation or selective felling in 72,000 ha of natural forest, of which 80% or 57,600 ha comprises illegal felling of natural forest per year45. 44 WWF Uganda (2012) A Report on National Timber Trade and FLEGT Solutions for Uganda. WWF Uganda, Kampala. 45 Ministry of Water and Environment: Directorate of Environmental Affairs (2013) The National Forest Plan 2011/12 – 2021/22. Ministry of Water and Environment, Kampala.


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NFA records indicate that production from Central Forest Reserves has reduced from a high of approximately 180,000 m3 of roundwood sawlogs in 2008, to approximately 40,000 m3 in 2011. Assuming sawing conversion efficiency of 25%, NFA’s roundwood production in 2011 is equivalent to 10,000 m3 sawn wood, which was just 3.5% of the estimated market supply in that year. As domestic production from the forest reserves is reducing, the market is increasingly relying on production from forests outside the reserves supplemented with imports of mahogany and other species from eastern DRC. Prices have been rising in response to growing scarcity of traditional timbers (pines, cypress, mahogany and mvule) and traditional species are being replaced by substitutes. The timber markets in the central and eastern districts (Albertine) are supplied from local resources. The timber resources in northern Uganda are inadequate to meet local demand and the markets there are supplied by timber from Kibaale, Hoima and Masindi46. The trade in timber from trees on private lands outside the forest reserves is poorly regulated. Most timber originating from forests and trees outside the reserves is illegal as official procedures and regulation are rarely followed. The poor level of regulation is due to a combination of factors, including lack of institutional capacity in the District Forest Services. Regulations are interpreted differently and there is no uniformity between districts in the fees and taxes charged. The official tax rate of 30% of the value is widely perceived to be excessive and is rarely charged; it is also a disincentive to investment in the sector. The official forms and marking hammers required as part of the regulatory procedures are not available in most districts. In the past, Forest Sector Support Department provided guidance on sustainable harvesting levels based on resource information but this is no longer provided. In most districts the role of the District Forestry Officer in regulating the timber trade is now limited to collection of taxes and fees. National and local governments are losing revenue through low timber valuations (dating from year 2000) on which taxes are based, and through evasion of taxes and fees. Assuming up-to-date timber valuations are used and assuming 80% of the taxes are currently un-collected, the annual losses in uncollected taxes on domestically produced timber are estimated at UGX 21 billion (USD 8.8 million). In addition, the government also loses an estimated UGX 2.4 bn ($1m) in import duties and taxes due to under-declaration of imported timber and due to outdated timber valuations being used by URA Customs (dating from 2009). Total tax revenue forgone amounts to an estimated UGX 23 bn (USD 9.8 million) per year47. 9.3.9 Wood Resources and Biomass Energy (Charcoal)

Given that 97% of Uganda’s energy needs are supplied from biomass, it is clear that charcoal is produced and used throughout the country, with the supplies being generated in rural areas while the bulk of consumption is in urban areas. In 1994, charcoal production utilized 6 million m3 of round wood increasing to 11 million m3 in 2007. In 2007, 59.4% of the total

46 WWF Uganda (2012) A Report on National Timber Trade and FLEGT Solutions for Uganda. WWF Uganda, Kampala. 47 IBID


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wood production from forests was used as wood fuel, according to the Uganda Bureau of Statistics in 2010. By 2012 the annual national consumption of firewood was estimated at 32.8 million m3 of woody biomass energy48. Household expenditures on charcoal increased from 4.076 billion UGX in 1995/96 to 9.345 billion in 2005/06, approximately 23% per annum on average in nominal terms and 5% per year in real terms (based on changes in the CPI over the decade). More recently changes in energy prices have outpaced overall price changes in Uganda. Quarterly price data from between 2004 and 2008 indicate that charcoal prices increased 69% over this 5-year period, an average nominal rate of increase of approximately 14% per year, compared with the Ugandan inflation rate of 6.4% between 2004 an d2008. During this same period the price of kerosene increased at a lower rate of 12% per annum49. Charcoal is thus a key resource in households as well as being an increasingly valuable commodity. Since most of it is produced from private land’s forest and woodland resources, it falls under the control of district forestry administrations, who are supposed to derive income from charcoal production licensing. Some districts however have abandoned licensing in favour of levying a tax on charcoal volumes sold at roadside depots. In rural areas the consequences of charcoal production to the landscapes are widespread and visible: large scale transformation from woodland or forest to cleared land and shrub land. Woodlands previously constituted roughly 81% of Uganda’s total forested area. But until a recent study on which this discussion draws heavily, very little was known about the Ugandan charcoal market and value chain. It is known that charcoal producers are likely to be the poorest and least resourced of the rural poor, who often turn to charcoal production because they lack the skills or other opportunities. Charcoal consumers, on the other hand, are drawn from all points of the income distribution curve and are primarily, though not exclusively, urban; they usually buy in small quantities and they have little regard for the social and environmental impacts of the production cycle50. The highest levels of production occur in areas with woodland ecosystems that support high-quality vegetation for charcoal production (the main tree types include Combretum; Terminalia; Albizia; Acacia; Allophylus and Grewia species.) and that are well located in relation to Kampala, the biggest demand centre. The study found, however, that distance from Kampala has little effect on the price paid to producers, and that product continues to be sourced from traditional source areas even when rapid large scale deforestation and loss of the best tree species has occurred there, eg Nakasongola District, where past forest loss does not appear to have curbed charcoal extraction51. The major charcoal producing regions include central Uganda and parts of western and northern Uganda, many of them in the Albertine region. Masindi and the districts immediately east of it around Lake Kyoga, Nakasongola, Luwero and Apac, have been major supply centres that account for about 50% of supply to Kampala; now other areas such Hoima district are emerging as suppliers. This is attributed partly to depletion of woodlands in the traditional source areas, but also to

48 NEMA (2012) Uganda State of the Environment Report 2010. NEMA, Kampala 49 IBID 50 Shively G, P Jagger, D Sserunkuuma , A. Arinaitwe and C. Chibwana (2010) Profits and margins along Uganda’s charcoal value chain. International Forestry Review Vol 12 (3), 2010: 270-283 51 IBID


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factors like the completion of an all-season tarmac road to Hoima which has vastly reduced travel time and improved conditions for transporters and traders. These networks will of course be well positioned to develop the local market once oil and gas related developments around and in Hoima get underway. However, this points also to an inevitable natural resource consequence of transport infrastructure development associated with oil and gas industry development: it will allow greater access into previously inaccessible areas, making remaining resources vulnerable to increased exploitation pressure. Deforestation in central and northern areas of the Albertine graben region amongst others may thus see accelerating rates of deforestation and land degradation, unless institutions in the region are strengthened to combat this trend. Charcoal production and trade is a significant activity in Masindi district. Charcoal production is undertaken as a primary activity by households with few other income generating opportunities, or as a compliment to land clearing, which produces large volumes of raw material suitable for conversion to charcoal52. Landless refugees and internally displaced people from northern Uganda reportedly supply much of the labour used in agriculturally marginal areas, especially along the Kafu River, where much of the charcoal production is confined. Central government and Bunyoro kingdom ranches abandoned during the insurgency in the early 1980s underwent significant woodland regeneration, favouring species particularly well-suited to high quality charcoal production. These ranches were ‘taken over’ by small-scale charcoal producers and large-scale charcoal merchants from Kampala, who purchase standing trees on areas as large as a square mile, then bring crews of 100 or more workers to clear the land. This clearance functions to re-establish pastures on the ranches, which are being rehabilitated under public-private partnerships. The economics of converting woodland to pasture in this way are very favourable: an acre of land costs about 300 000 UGX (approximately 166 USD), but a landowner can sell the associated timber to a charcoal producer for as much as 200 000 UgShs (111 USD)53. Trader networks are well established in Masindi and Nakasongola; the bulk of charcoal is transported to Kampala via the Gulu-Kampala highway. There are five players in the charcoal value chain: producers, agents, transports, traders and (endpoint) retailers. In general the ends of the value chain are worst off: producers and retailers are far more numerous and earn less from the trade than transporters and traders. In addition, the research results showed that traders and transporters reap very large monthly profits, largely because they handle much larger volumes. The research report is very subtle in its discussion on one aspect of the trade: it states that a positive correlation exists between “contact with forest officials” and “returns for agents/transporters and retailers”. It goes on: “The nature of these contacts is not known, but their correlation with favourable economic returns for some participant categories points to an opportunity for forest officials to play a larger or more effective role in monitoring and enforcement of existing regulations”. They are thus hinting that there is corruption in the system in favour of traders, but they fall short of actually saying that. Corruption in the operations of district

52 Shively G, P Jagger, D Sserunkuuma , A. Arinaitwe and C. Chibwana (2010) Profits and margins along Uganda’s charcoal value chain. International Forestry Review Vol 12 (3), 2010: 270-283 53 IBID


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forestry administration has in any event been noted in other reports on the national forestry situation. The research findings suggest that a tax on transporters or traders could be used to generate significant revenue for districts. Furthermore such a tax would be progressive and relatively easy to administer, given the small number of participants in the trader and transport roles. By contrast, a tax on producers or retailers is likely to raise less revenue, because tax collection would be more costly and harder to administer, given the large number of widely-dispersed participants at these points in the value chain; and such a tax would be regressive; that is, it would have a disproportionate effect on lower income participants. Qualitative data on trends in charcoal production and trade confirm that the supply of charcoal from traditional charcoal producing areas is diminishing, but currently there is only limited government support for establishing woodlots that would propagate species appropriate for charcoal production in Nakasongola and Masindi districts. Several relatively fast-growing indigenous species could be candidates for woodlot production, notably Combretum and Acacia species, as suggested by the Masindi District Forestry Range Officer. Small and medium enterprise development in the forestry sector is an overarching objective of Uganda’s National Forestry Policy of 2001. Better information about the charcoal value chain will facilitate identifying opportunities for the more efficient organization of charcoal markets, producer cooperatives, and other institutions that could enhance returns in and from the sub-sector. Good information will also be critical to forecasting biomass requirements for charcoal production in the face of increasing deforestation rates. 9.3.10 Wildlife, Biodiversity and Tourism

The share of tourism in GDP measured by the share of hotels and restaurants in GDP was 1.1% in 1988 and 1.9% in 1997, growing at a rate of 13.1% per annum, but rose to 4.1% in 2008, with growth rates varying. The 2010-2015 NDP states that this represents a shift in the economic structure of the economy54. The tourism sector as a whole, however, is estimated to be worth far more than this to the Ugandan economy. The wider contribution of the subsector to GDP (including wider effects from investment, the supply chain and induced income impacts) was expected to be UGX 3,257 billion (about US$1,280 million) in 2011, or 7.6% of GDP55. Tourism, dependent on wildlife and wild landscapes, ranks third in foreign exchange earnings and the sector drew US$560 million from wildlife tourism in 2008, while recent estimates show that gross returns to the national economy in services and products from biodiversity as a whole could be as high as US$ 63.9 billion per year56. Furthermore, despite a drop in total international arrivals to the country following the 2008 global financial crisis, visitor numbers to Uganda’s protected areas (notably national parks) has continued to grow steadily.

54 The Republic of Uganda (2009) National Development Plan (2010/11 – 2014/15). National Planning Authority, Kampala 55 NEMA (2012) Uganda State of the Environment Report 2010. NEMA, Kampala 56 Uganda Wildlife Society and UNEP/GRID-Arendal (2010) Uganda’s Environment And Natural Resources: Enhancing Parliament’s Oversight. UNEP/GRID-Arendal, Kampala.


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The contribution of wildlife and biodiversity in protected areas to local communities should not be underestimated. UWA makes direct payments, from the 20% statutory gate collection fees to national parks and wildlife reserves, to communities adjacent to protected areas, money that is spent on schools, clinics and other social infrastructure. This amounted to UGX 2.435bn for the five years between 2003 and 200857. Even more significant are the resource extraction agreements drawn up with communities, worth more than UGX10 billion per annum, that allow harvesting of wood fuel, medicinal plants, craft materials, thatch, fish and water, etc. And tourism and hospitality are hard to beat in terms of the cost effectiveness of job creation, and in the number of jobs created per dollar spent. This too is a critical contribution to the rural communities surrounding protected areas. Agriculture and industry actively extract resources and raw materials to drive growth. Tourism on the other hand depends on the non-extractive aesthetic contribution of the environment and natural resource base. Its contribution to the sustainability of the Ugandan environment and the supply of natural resources is far more than its contribution to the moneterised economy, given its reliance on the existence of large protected areas, whose ecosystem services are intact and act as the core supply areas for many changing landscapes and ecosystems around them. Biodiversity is a central feature of the aesthetics of the tourism experience. Forest biodiversity-based tourism is a niche market for Uganda, but is in decline, according the Uganda’s 2010 State of the Environment Report (SOER)58. The annual contribution of biodiversity is estimated to have decreased from US $5.1 million in 2005 to US $4.4 million in 2010, largely due to deforestation. According to the NDP, the recommended level of national forest cover to have a stable ecological system is 30%, while current forest cover is only 18%59. The percentage forest cover in the Albertine has not been calculated, but given the number of protected areas within its boundaries, it is probably relatively high. And should be kept that way if governance of the region is to profile sustainable natural resource management. Meanwhile, the Albertine’s biodiversity resources also represent high direct economic value, with the country’s only three economically viable protected areas located in the region: Bwindi Impenetrable Forest, Queen Elizabeth National Park and Murchison Falls National Park receive the most visitors and are the only protected areas to generate a surplus. The revenue generated from them sustains the entire protected area system in Uganda, by cross-subsidising loss-making entities (UWA official, Murchison Falls NP, pers comm). Seven out of Uganda’s ten national parks are located within the Albertine region. This alone signals the importance of this region for the country’s biodiversity resources. What is not apparent from such statements is how unique the Albertine’s biodiversity is, with the highest levels of endemism (distributional uniqueness) in many plant and animal groups being demonstrated for the Albertine flora and fauna. Its biodiversity is thus regarded as being of global conservation significance, hence the designation of Bwindi Impenetrable Forest and Rwenzori Mountains National Park (including part of the Semliki River system) as UNESCO

57 NEMA (2012) Uganda State of the Environment Report 2010. NEMA, Kampala 58 NEMA (2012) Uganda State of the Environment Report 2010. NEMA, Kampala 59 IBID


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world heritage sites. This gives Uganda leverage in appropriating international funding to support such areas, but also confers a broader responsibility and implies international scrutiny of actions that might affect these resources. The Semliki river mouth area on Lake Albert is targeted for oil and gas production. Successive and cumulative deletions from the ecosystem and landscape integrity of Murchison Falls National Park will greatly increase risks to the long-term success of the park as a tourist destination. The Park carries the only viable populations in Ugandan protected areas of Rothchild’s Giraffe (a regional endemic) and, surprisingly, crocodiles. Reports on the effects so far of oil exploration in the North Nile floodplains in the Park are mixed: while receipts to the park have increased due to the large numbers of exploration linked vehicles paying gate fees (albeit at a special rate), some park officials and lodge owners/ managers say that tourist numbers have dropped, that previously repeat tourists have said they will not visit the park again, having objected to the impacts observed in the park and because game is no longer visible in the numbers it previously was on the floodplain. This was the principal game viewing area of the park, the South Nile part hosting very low densities of wildlife. The development of an oil production system in the park will increase the impact by orders of magnitude particularly during the construction phase, despite the mitigation measures that are put in place to limit impacts. It is fully expected that large game will move away from the production area where the infrastructure for tourist viewing (roads) exists. Park officials say that tourist infrastructure in other areas of the North Nile presently does not exist. One viable mitigation measure may be for the oil companies involved to pay for the development of such infrastructure in other areas of the North Nile zone. However, there are also fears that the signature species of the park, elephant, will simply move out of the park in greater numbers than is normal (radio-collar research conducted by Wildlife Conservation Society showed that there was a pronounced increase in migration out of the park along the Nile River and eastwards during 2013, but this cannot necessarily be attributed to the oil seismic exploration campaigns being conducted at the time). Loss of revenues even temporarily from this park may compromise the entire protected areas network of Uganda, due to its contribution to cross-subsidies. It needs to be borne in mind by Uganda’s decision-makers that large, unspoilt, intact and well stocked wildlife parks and areas throughout sub-saharan Africa are now few and far between, given the rapid and ubiquitous environmental transformation that has characterised the continent over the past 40 to 50 years, the catastrophic effects on game populations of bushmeat hunting (resulting in ‘empty’ landscapes) and habitat destruction, and the poor environmental governance that has been the norm in many countries60. Such areas are the backbone of tourism throughout the sub-continent. Now many wild landscapes are threatened by industrial scale development, be it large infrastructure such as hydropower schemes or indeed industrial development: every large river system in Ethiopia is targeted for multiple large hydropower schemes; virtually every gorge in southern and East Africa is targeted for hydropower dams: Stieglers Gorge in Tanzania (set to inundate 250 km2 of the Selous Wildlife Reserve); the Zambezi gorge below the Zambezi Falls in Zimbabwe/ Zambia; the Kafue floodplains of Zambia. Every large swamp area is at risk of oil

60 Wildlife Conservation Society (2009) An Analysis of Bushmeat Hunting at Major Hunting Sites in Uganda. WCS Working Paper No. 38, WCS Kampala, October 2009.


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and gas development, including the great Sudd swamp in South Sudan on the Nile River north of Uganda. These threats will result in an escalation of the value of undisturbed tracts of wild landscape for tourism alone, quite apart from their increasingly critical function as reservoirs of ecosystem services. Furthermore, there is already hard competition for visitors from countries in southern Africa, where road and transport infrastructure has tended to be better than in East Africa, and where pricing is more competitive for the quality of accommodation etc available. What has brought tourists to East Africa has been the uniqueness of the wildlife present there and the spectular, untrammelled nature of some of the landscapes (the Rwenzori mountains; Murchison Falls). Uganda has had until now one of the best reputations for conservation of its parks, but as Uganda has experienced before, perceptions of unacceptable conditions quickly keep tourists away, and it is difficult to attract them back. A precipitous loss of international visitors to the Murchison Falls National Park may remove the park permanently from the international tourism circuit. Wildlife resources are also threatened, on the one hand, by unsustainable levels of bushmeat hunting, while, on the other, bushmeat hunting is an economic opportunity particularly to communities living adjacent to protected areas. Bushmeat use is attributed to increasing human population and rising demand, uncontrolled access to wildlife facilitated by logging, mining and hydroelectric or fossil fuel transport companies, war and civil strife, weak governance, institutional deficiency and civil disobedience, sophistication of hunting techniques, lack of capital or infrastructure for meat production, changes in the cultural environment and discarding of social taboos and traditional hunting embargoes. In Uganda, there are indications that without controls, hunting is not sustainable. In a 2003 review of management options for Uganda’s wildlife reserves and controlled hunting areas, it was noted that rampant killing of wildlife as a result of breakdown of law and order in the country during the mid-1970s to early-1980s reduced large mammal populations by over 90%. Interestingly, bushmeat hunting is rarely linked to removal of crop pests and other problem animals. In Uganda, there has been however mounting pressure to legalize hunting of problem animals: it has been reported that in Kibale up to 17 wildlife species damage crops around the park and primates account for as much as 71% of damage events. Uganda Wildlife Authority eventually declared three species – bush pigs, baboons, and vervet monkeys – vermin, and these are occasionally hunted outside protected area boundaries by farmers with supervision of the Wildlife Authority personnel. Wildlife hunting is banned in Uganda’s national parks and considerable effort goes into enforcing this61. Nonetheless, in common with most tropical African countries, bushmeat hunting and trade in Uganda is believed to be widespread. This was investigated in a Wildlife Conservation Society (WCS) study of the bushmeat trade in three Albertine national parks – Queen Elizabeth (QECA), Rwenzori Moutains (RMNP) and Murchison Falls (MFCA) - and in the Kafu River basin, the Kafu River arising near Hoima in the Albertine. Although the true numbers of people eating bushmeat, and consumption frequency may be slightly higher than reported in the study surveys, it is very likely that the proportion of people regularly eating bushmeat is low, as later shown by interviews with people that had given up hunting. Reformed hunters said that while active hunters they only sold meat to people known to



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them, and that would usually be a small number of the population in their villages. The proportions of households reporting eating bushmeat confirmed this: the highest percentage of 32% was around the savannah dominated MFCA, the lowest of 5% were households adjacent to the forests of RMNP. Fish (and fish “bones” from filleting industries) were by far by the most frequently reported flesh eaten by households around MFCA, QECA, and RMNP, eaten on average in 20-40 days in every 100 days. Beef was the most commonly eaten meat type in the Kafu Basin, eaten on average in 8 out of every 100 days. Livestock meat and fish were reported as eaten in 5-14 of every 100 days overall. Even among the respondents that reported eating bushmeat, it was far less frequently eaten than livestock meat and fish: on average, in 1-12 out of every 100 days. Bush pigs, cane rats, guinea fowl and kob were the main sources of bushmeat around MFCA; bushbucks, duikers, oribi and bush pigs within the Kafu Basin; hippos, buffalos, bush pigs, and kob around QECA; and redtail monkeys, black-and-white colobus monkeys, and bush pigs around RMNP. Households that ate bushmeat also consumed livestock meat as often as households that did not, except those around MFCA for which livestock meat and fish intake was significantly lower62. This may because farming potential in the Rift valley areas around MFNP is lower than elsewhere, while fish is too valuable a commodity to be eaten locally, and it is primarily sold. All in all, bushmeat consumption may be less of a threat in Uganda presently than in its neighbouring countries. Amidst increasingly widespread alarm and laments about the environmental transformations occurring in Uganda, and the need for economic transformation to industrial scale and technologies of production as an alternative, biodiversity outside protected areas appears to be better served in smallholding, subsistence mixed farming-forestry food production systems than in industrial farming systems. In the latter, natural habitat vegetation is removed almost completely over large blocks of land, thereby virtually eliminating habitat for wildlife over large blocks. In the inefficiency of subsistence agriculture, considerable biodiversity is retained, even if some components are removed (large trees, for instance), and the small fields are surrounded by bands of habitat. This contrast is illustrated in the photos below.

9.4 Issues Relevant to the PDP 9.4.1 Synopsis and Best Practice

As indicated throughout this report, the Albertine Graben has a concentration of unique natural features and resources that have put it in the international spotlight, and international players will be scrutinizing plans for its development. The region is rich in forest, montane, savanna and aquatic biodiversity, some of it protected in large reserves and national parks; it has some excellent agricultural soils and water is abundant; it has good grazing in parts, and fisheries resources in others; and it has minerals and oil and gas. The region hosts a diversity of human resources capable of developing its potential but also of destroying it.



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So it would behove all involved to resort to international best practice approaches to integrated resource planning and development, and environmental impact management, to allay fears of improper exploitation of natural resources. The physical development planning process adopted in this project in itself meets integrated resources planning guidelines. The Environmental Sensitivity Atlas drawn up for the Albertine region under NEMA’s auspices is an excellent example of the type of process being advocated by the Global Environment Fund (GEF) and Food and Agriculture Organization (FAO), who are profiling the similar sustainable land management approach in other East African countries in, for example, the Transboundary Agro-ecosystem Management Programme for the Kagera Basin (http://www.fao.org/nr/land/sustainable-land-management/en/). For more detailed planning and development, international best practice benchmarks applicable to natural resources development have been established with the widespread adoption of the World Bank Group’s environmental and social safeguard policies and, even more so, with the adoption of its private sector wing, the International Finance Corporation’s (IFC’s) environmental and social performance standards. Particularly relevant ones amongst the set of eight standards are:

▪ PS1: Assessment And Management Of Environmental And Social Risks And Impacts ▪ PS3: Resource Efficiency and Pollution Prevention ▪ PS6 Biodiversity Conservation and Sustainable Management of Living Natural

Resources ▪ PS8: Cultural Heritage

The irony is that this concentration of natural resources makes for more challenging resource development planning, because the spatial overlaps in resources, as depicted in Map 9-1 makes areas of high overlap or ‘hotspots’ more vulnerable to negative impacts between resource sectors. Such resource ‘hotspots’ are Murchison Falls North Nile to the Nile delta area on Lake Albert, and the southern end of Lake Albert (Semliki River floodplains and delta). The mid-shore area of Lake Albert and refinery site area will also emerge as sensitive zones where renewable resource interests may conflict with oil and gas development modalities. Where a high degree of overlaps occurs, special measures will need to be taken and particular standards imposed to ensure the sustainable management and protection of all resources, to ensure no social groups are disadvantaged by particular resource development activities. Simple measures that will greatly assist in the sustainable future of natural resources in the area are:

▪ Avoidance of bissecting and fragmenting large protected zones, such as wildlife reserves and central forest reserves, with linear infrastructure. Forests in particular are vulnerable to a cascade of changes resulting from cutting corridors through them.

▪ Linear infrastructure should preferably be routed around such reserves, but if that is deemed unfeasible, routing should be on the very periphery of the protected area. There is plenty of space available to do so, and the difficulties of dealing with private

http://www.fao.org/nr/land/sustainable-land-management/en/


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landowners should not be allowed to subvert sustainable land and natural resource management.

▪ Highly productive, sensitive aquatic ecosystems should have NO major disturbances within them (Nile and Semliki deltas in Lake Albert)

▪ No wastes should be disposed of in such highly productive, sensitive aquatic ecosystems

▪ Such systems are to be rigorously protected from industrial pollution ▪ All water bodies in the region should be protected from industrial and urban pollution.


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Map 9-1: Natural Resource ‘Hotspots’ in the Albertine


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9.4.2 Natural Resource Opportunities for the Albertine Graben

▪ There is good potential for agricultural and forestry development in the Hoima and Masindi areas, where demand for food produce to the oil and gas industries will be concentrated. There is ample land, good quality land and water to sustain a vibrant farming-forestry industry. If properly planned and implemented with the appropriate extension services, protection of the ecological processes that underpin productivity can be achieved.

▪ The development of commercial production in mixed farming systems will have desirable social and economic outcomes by enhancing local contracting and expenditure (rather than imports), as well as environmental (hence natural resource) outcomes, by allowing for the persistence of natural biodiversity and landscape heterogeneity in agro-forestry systems. Such systems will also work well for small-holding modes of production.

▪ Commercial scale organic farming methods should be promoted and developed: Some aspects of the green economy model have been implemented in Uganda, including organic farming programmes in parts. Given the presently low levels of artificial fertilizer and pesticide use in the region, and the high prices sophisticated consumers are prepared to pay for organic produce, there is real potential to build a robust value-added agricultural industry based on organic foods at a relatively low cost.

▪ In the Rift, agricultural and pastoral opportunities are limited, so fisheries are critical for food security. Various options for enhancing the fisheries potential of particularly Lake Albert could be implemented.

▪ Likewise, various actions could be taken to strengthen wildlife and protected area resources and potentials in the region for long term, sustainable economic output, as opposed to prioritizing actions that will detract and degrade these resources and compromise their long-term sustainability.

▪ The wealth that is expected to flow from mineral and oil and gas development, combined with that accruing from vibrant agriculture, forestry, fisheries and wildlife sectors could be used to grow human resources for sustainable natural resources management in and beyond the region.

9.4.3 Natural Resource Constraints in the Albertine Graben

▪ As stated earlier, renewable natural resource productivity is dependent on the persistence of healthy ecosystems and the ecosystem services they generate. A proportion of that productivity thus needs to be ‘set aside’ or allocated to maintaining the underlying ecosystem processes. This may effectively impose a limit on the exploitable potential of natural resources even where enhancements are practiced.

▪ Enhancing the productivity of natural systems carries a cost in increased wastes or pollution. Hence fertilizers will cause organic enrichment of natural water bodies, with


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consequences in aquatic weed growth; pesticides will kill natural organisms that play an important role in agricultural systems, notably bees and other pollinators. Industrial manufacture generates pollutants that damage natural systems, impair landscape aesthetics and increase public health problems.

▪ The majority of inhabitants of the region are likely to continue for a long time to be primarily dependent on renewable natural resources for their livelihoods and food security. Any actions or developments that may threaten the food security of significant numbers of people should be considered with caution, and measures imposed to protect the resources on which food security depends. Any other approach will deliver high direct costs to the Ugandan government.

▪ There may be too many inhabitants for the region to provide natural resources to meet all their needs. Incentives to attract people to other areas may be a useful addition to the regional planning approach. Ultimately population growth in Uganda needs to be curbed.

▪ In resource ‘hotspot’ areas competing resource development interests may necessitate that the interests of one sector be prioritised over the interests of others. The number of people dependent on a particular sector and the substitutability of sectors should play a role in these decisions.


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10Agriculture - The Economic Base

Introduction

Agriculture has been, is and will continue to be the mainstay of the Ugandan economy for a significant period to come. This Chapter focuses on the importance of this sector in the Albertine Graben, including the need to sustainably integrate supporting efforts with the economic and environmental changes facing the Graben. This Chapter should be read is close collaboration with those on Natural Resource Management, Environment and Economic Development, and the Socio-Economic Situation.


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10.1 Introduction Agriculture remains the most important sector in Uganda—at least with regard to employment. The sector employs about 77 percent of the rural adult population and accounts for roughly 50 percent of the merchandise exports (Uganda Bureau of Statistics, 2011). Consequently, the organization and performance of the sector is an issue of great policy concern (Bategeka, et al 2013).

For a region with vast land and abundant rainfall giving it a strong comparative advantage in agriculture, the Albertine Graben’s performance is weak. Agricultural productivity per worker, at approximately $200 per year, is among the lowest in the world (Mutebile, 2012)

Uganda’s’ real growth in agriculture has averaged only two percent per annum over the last 10 years, less than a third of the average growth of the rest of the Ugandan economy. Productivity is especially low in the food crop sub-sector, which is dominated by smallholder farmers, because farmers use rudimentary farm technology and produce mainly for subsistence rather than the market. With the youth akin for quick money the oil discovery is hope for employment.

10.1.1 Background

Ugandan has seen important changes in the structure of her economy. Agriculture, which in 1990 accounted for 57.0% of GDP, contributed only 23.0% in 2011. In contrast, industry and services have seen their weight increase from 32.0% and 11.0% respectively in 1990 to 51.0% and 25.0% in 2011. However, these developments have not made any significant change to the employment pattern. The latest estimates for 2009/10 showed that agriculture accounted for 65.0% of jobs, manufacturing 6.0% and retail and wholesale 10.0%. These shares have only changed marginally from the 65.0%, 6.0% and 12.0%, respectively, in 2002/03. Even within agriculture, the move to commercial farming and away from subsistence agricultural activities has also been small. The non-monetised agricultural sector, including subsistence farming, still accounts for 39.0% of agricultural value added in 2011, against 41.6% in 2001. Sector Objectives in the National Development Plan

▪ Enhance agriculture production and productivity ▪ Improve access to and sustainability of Markets ▪ Create an enabling environment for competitive investment in Agriculture ▪ Enhance Institutional development in the agriculture sector

Legal and Policy Context for the Agriculture Sector The Oil and Gas policy on pg 34 states "... in collaboration with other relevant national policies, support significant and positive impact of oil and gas activities on the country’s agricultural sector in line with the objectives of the country’s Plan for Modernization of Agriculture (PMA). "


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▪ Agriculture Sector Development Strategy and Investment Plan 2010/11-2014-15 ▪ Plan for Modernisation of Agriculture under the pillars for agriculture development ▪ Uganda Vision 2040 (pg 29) ▪ Prosperity for All

10.2 Agriculture Sector in the Albertine Graben The Albertine Graben area comprises of different physical landscapes, climatic conditions and soils which in turn, significantly influence land use systems in the area including agriculture. Because of its location in the rain shadow, the Rift Valley zone is mostly dry and hot and hence the area has serious moisture deficiency problems for agricultural activities especially during critical crop growth periods. In addition, the clay soils in the Semliki flats suffer from saline conditions which limit their agricultural potential. The largest proportion of the Rift Valley area therefore is, of low agricultural potential. This partly explains the current major use of the Albertine Graben as a conservation area. However, the rift escarpment region and the foothills of Rwenzori Mountains receive moderate to high rainfall which increases with altitude. As a result of both moderate to high rainfall and moderately productive soils in these areas, rich agricultural activities take place based on both food and cash crops, for example, on the escarpment part of Masindi, Tooro and Ankole regions as on the foothills of the Rwenzoris in Kasese District. Agriculture in the area is both large scale and small scale. The dominant cash crops grown on small scale farms include tobacco and cassava especially in the northern region and Buliisa. There is also coffee growing on both the foothills of the Rwenzori Mountains and on a wide stretch of the rift escarpment particularly in the Ankole and Kigezi region. Tea plantations are found in Bugaambe sub-county in Hoima, Mwenge Tea estates in the Tooro region, Igara Tea estates in the Ankole region and in Kayonza tea estates in Kanungu district. There is only one sugar cane plantation, Kinyara, in Masindi District. The dominant food crops include beans, maize and bananas although these crops are also often sold for cash income. Oil exploration has a direct impact on economic, social and cultural dimensions of the community. These impacts include changes in livelihood patterns, including fishing, agriculture, livestock rearing strategies, tourism, etc. of households. However, regional differences were significant, with higher proportions of households in the southern Graben tending to commercialize within limits. This finding reflects high levels of inequality and poverty in the region. The informants alluded to the fact that oil exploration activities had affected the way communities meet the needs of their families. For example in Hoima there is perceived an increased restriction to fishing activities, an important source of livelihood, in their communities. In general, people were expecting that oil production would contribute positively to increased employment opportunities, higher incomes, improved access to roads and improved access to social amenities. Nevertheless, some community members were skeptical about the benefits that would accrue from oil, because their youth and children are likely to be employed largely for casual jobs due to a lack of necessary qualifications and skills.


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Map 10-1: Agriculture - Northern Albertine Graben

Source: UBOS, Min. of Agric., CPCS field work


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Map 10-2: Agriculture - Central Albertine Graben



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Map 10-3: Agriculture - Southern Albertine Graben



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10.3 Land Uses in the Albertine Graben The region has four main types of land use namely; agriculture, settlements, forest conservation and wild life conservation with the protected areas occupying a significant proportion of the total land area (20.9%), which has important implications on available land for agriculture and other activities. Map 5-1.

10.4 Agriculture Performance 10.4.1 Land

Land pressure and conflicts in Bullisa and Hoima are on the increase. Due to land being sold to business prospectors there is an increase in number of displacements going on as well as court cases over land that was previously communally used for agriculture. Compensation amounts are low for meaningful livelihood options. Family conflicts and splits arise due to compensations finalized in Kampala by the chief government Land Valuer with no consultations for crop values. With the “Gold Rush” by prospectors through balkanization the landscape is changing towards oil city infrastructure, more real estate developments and tree planting as banks in anticipation of prime sales with no agricultural related developments. Increased population contributes to land pressure, grabbing, competition for health and education services, animal-human-crop fights due to reducing land, looming food insecurity yet there is increased demand and higher prices for food with the reduced number of subsistence growers. In 2008, 1 acre of land was costing between 200,000/= and 300,000/= but now it is above 2m and 5m along the oil roads. Urban plots (50x100m) are at 8m/= and above while and an acre in the vicinity goes for over 6m UGX. There is looming land scarcity in the core Albertine Graben since those prices are affordable to the middle and high class citizens and investors. Generally there is increased value of land, livestock and crops. There is no security of tenure on land since it has been dominantly communal. There is more selling of land than growing of crops for the anticipated and present growing demand for food in the Albertine Graben region. Land is customarily owned in the northern region, and allocated through the clan system. On average most households own between 5-6 acres of land which is larger than the average holding in other parts of the country. Although land is readily available, new land laws that encourage the registration and titling of previously customarily owned land may create new ownership challenges. These and the talk doing the rounds have fuelled speculation over land and created tensions even at the intra-family and clan level (Bakema Reint et al., 2007). These and related land related sentiments are negatively affecting the agriculture sector Land for Production: Fertile black soils in the greater southern Albertine Graben but with the population influx to be fed and to be employed production mechanisms need to be revisited. As farmers


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continue with subsistence “business as usual” there are low outcomes from the usual 5acres of maize corn, which is the major regional crop grown, at 450/= per kg while others who sell maize seed earn 1500/= per kg of maize seed. This depicts a need to move away from business as usual to specialisation and commercialisation for improved land productivity. Government has not fulfilled the promise to avail water for production. The districts were promised water for production to be developed sequentially in district categories which are too big for effective coverage, but the plants are availed through "influence peddling" a situation that necessitates prioritisation for sustained agricultural production given the impacts of climate change. Some land in Buliisa is Arid and semi arid hence okay for oil and gas drilling, but arable land is also seen to be drilled. As an example, Ngwendo and Nile sub-counties need to be zoned and implicitly left for agricultural production and ecosystem balancing. There are high levels of soil degradation as indicated by crop and animal yields. No soil tests and analysis are ever done. Some people have been relocated as a result of O&G activity, but not yet compensated. Therefore, they remain on the land but are not active food producers hence already lacking food. Forests and wetlands are encroached for sugarcane plantations for the Kinyara sugar cane factory causing an ecosystem imbalance. Land for crop and livestock farming is reducing which could be a future food security catastrophe if not strategically handled. The high voltage power line passing through productive land has displaced many. The proposed Kabale pipeline area is wide and fertile arable land is being lost for agriculture production. The same is to happen in Kyawangwale. This has caused substantial crop damage while there is no policy to protect arable productive land which is currently put to infrastructure development, urban construction and tree planting. With due reference to other oil drilling countries world over there is local fear of desertification and that agribusiness may not thrive 20 years to come. 10.4.2 Key Agriculture Enterprise Profiles in the Albertine Graben

Fruits and Vegetables Hoima and Kabarole and the western Ankole districts produce a wide variety of vegetables, including: tomato, cabbage, capsicum, carrot, cauliflower, cucumber, eggplants and spring onions. Other new types and varieties of fruits and vegetables like radish, lettuce asparagus, and beetroot have been introduced by Hoima District Farmers Association. Although for the European-type of vegetables the growing conditions are not optimal, there is potential to supply reasonably well the local markets mainly to reduce the import dependency of these goods into the region; and if properly managed, some have potential as off-season crops in foreign markets. Coffee is currently cultivated on relatively small scale due to the coffee bacterial wilt but is a potential cash crop for local market as well as for export. Uganda coffee is of good quality and with proper harvesting and postharvest value adding and price regulation, it can return to a meaningful place in the export market. Livestock: At the regional level, western Uganda accounts for 30 percent of the total cattle herd as well as 73 percent of the total exotic herd. With regard to goats, only 4 percent of the estimated


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eight million goat population is of the hybrid nature. Western and Central Uganda dominate ownership of the pig’s population, accounting for 85 percent of the national population. Export of livestock products in Uganda is limited to raw and semi-processed hides and skins but there is a rapidly growing export of live animals (cattle and goats) to Southern Sudan. Inadequate disease control and absence of the relevant quality and processing infrastructure are some of the major limiting factors for exporting beef and dairy products. Constraints to growth in livestock sector are mainly related to diseases, lack of good breeds and lack of quality pastures and feeds for livestock. The demand for crop products by the livestock and fisheries sub-sectors creates both forward and backward linkages within the entire agricultural sector demonstrating the huge potential for overall sectoral growth. The Peace Recovery and Development Programme has procured 680 heads of cattle for restocking. There are 625 communal grazing lands in Adjumani only hosting 63,000 head of cattle and 157,232 ruminants. Adjumani District has only 1 functional cattle dip, 15 cattle crushes, no livestock market, 2 slaughter slabs and a laboratory that is not stocked. On the contrary the southern region has more dairy cattle and organised milk collecting system with a lot more to waste or turned into ghee. The central region has a mix of the two livestock management systems The physical development gaps for the livestock sector in the north includes, sizeable nitrogen cans which can store semen for over 4 months, communal tsetse control dips, crushes, valley dams to boost the livestock productivity suitable for the market and regional export. The communal management committees if guided can ably manage these facilities in addition to ensuring compliance to developed by-laws including pasture and tree management. Similarly the Southern region and parts of the central Graben require similar physical developments but due to the land tenure system these could be made accessible at affordable rates.

The Poultry industry in the northern region specifically requires feed processing facilities and a hatchery while elsewhere in the region the concern would be more of disease management and market linkages. Overall there is for investment in abattoir facilities for both red meat and poultry in the entire region.

Rice: Low land and the NAADS introduced upland rice varieties have been grown as mixed varieties, broken grain and taints of stone. This is due to poor seed sources, posh harvest handling practices and quality of hulling upheld. The fact that rice in now a non-traditional cash crop, consumed by the urban and regional market, necessitates development of standards and up to the state of art rice hulling centres at county level. Root Crops: The central and northern regions have cassava as a staple food crop which is widely grown. It has had pest and disease setbacks which resulted in the new Nase-4 variety promoted under the NAADS programme. The local bitter varieties too are still grown but the flour is only used by the local and not on demand for the general market. The improved variety and clean processed kilo is sold at 2000Shs compared to 800Shs for the fermented cassava flour.


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The development need is the replica of the Nakasongola value addition plant for the central and northern regions. The banana initiative in Bushenyi could take on components for cassava and or millet in addition to the Tooke flour production lines. Cereals: Masindi has grown to be a hub for maize growing both seed and grain for marketing. The northwest only grows maize for subsistence while the southern region has maize for animal feed and home consumption. The maize is sold off as grain with no value addition coupled with low prices in seasons of abundance. The maize milling industry if not used in the animal feed processing targets school consumption. The quality and packaging for both the grain and meal can be improved by standard moisture testing kits in all the private sector managed mills. Pulses and Legumes: The commercial production of beans and related legumes is basically in the northern plan area. Many varieties are grown in the entire Albertine Graben region but mostly for subsistence. There is no value addition other than rough sorting and bagging. Beans used worldwide can be better agronomically grown, harvested, dried, cleaned, packaged and marketed for better prices.

10.5 Key Issues Shaping Competitiveness in Agriculture The Oil exploration and development sector in Uganda should not be regarded as a sustainable economic boost. It should be considered as a short-medium term economic catalyst to boost an improved and sustainable platform for agriculture development. The revenues from the oil and gas industry can be invested in physical developments for livelihood supporting ventures as detailed below 10.5.1 Increased Production, Productivity and Resilience

Enhanced agricultural production to meet the needs for the anticipated population influx, for export, food security and rural livelihoods is a key priority for the Albertine Graben region. Increasing agricultural production and productivity is the highest overarching priority for MAAIF to meet domestic demand and supply potential export markets. There is a need for improved supply of agricultural inputs and implements specifically planting materials, fertilizer, livestock breeds and feeds at sub county levels. Regarding improved infrastructure, agricultural roads, market and post-harvest facilities including cold chain storage, and for better technology and husbandry practices supported by appropriate research and information/extension services and enabling policy environment should be prioritised in the entire Albertine as described in the infrastructure Chapter 6. The region has expectations to be the suppliers of vegetables, fruits and some food types to the Oil companies for a better price as well as the incoming population. The current extension capacity will need to be further facilitated, skilled and held accountable to both the public and government through parish level “Barazas”63 to be able to fulfill this expectation.

63 Baraza refers to meetings where the public give positive and or negative feedback on service delivery


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10.5.2 Improved Marketing Systems and Access

During consultation identified options included: market access, trade facilitation, processing and adding value. The objective for all is to create increased income earning and employment opportunities through market linkages. There is a lot that can be achieved through such efforts if technical support and related equipment is availed and market linkages established. A critical concern however has to do with the standards and grading that are yet to be attained by the farmers and processors. The government could do well to support skills development , certification and standardisation of these and such products, market them widely as Ugandan and take up regional and international market linkages. The organically grown products would easily fetch a mark up price in the health conscious era. Regional markets in core municipalities like Hoima and Fortportal have been constructed, there is still need for such market infrastructure in Bushenyi, , Arua, Gulu, and improve the one in Masindi. There are two dimensions to this, one being the market structure and related cold storage and management systems development. Secondly, is the establishment of wholesale markets linked to sub county and community market chains for various products. 10.5.3 The Case for “Dutch Disease64” Impetus:

Uganda having no minimum wage and the investors often basing their payment rates on the prevailing public service rates , more so being driven by profit maximisation, renders the “Dutch disease” driven would be agricultural productive age group unsatisfactorily employed and thereby dashing their expectations. On the other hand the land for subsistence agriculture having been sold implies possible food insecurity tendencies for the families and higher levels of unemployment amidst a low skilled yet high population in the Albertine region. Oil exploration and production entails acquiring land which ultimately calls for eviction of people that were formerly in those areas. It becomes worse where the process entails construction of refineries and pipelines. The farmers in the Albertine region who earn their living from the land can testify to how the execution of the oil project compromises their livelihoods. In Kaiso –Tonya road, and in the Kabaale pipeline, farmlands have to be taken over using what would otherwise be agriculturally productive land. The effect is loss of land and access to Lake Albert / wetland resources which Bunyoro and other ethic tribes have over the years enjoyed as sources of livelihood.

The production of oil on a commercial scale will intensify the problems facing the agricultural sector. The spending of the revenues from oil in the domestic economy will inevitably bring about some appreciation of the real exchange rate. As a result food imports will become cheaper in real terms and agricultural exports such as coffee, tea and cotton will lose competitiveness.

64 Dutch disease here refers to shifting from agriculture livehoods to assumed lucrative jobs in the Oil and Gas sectors


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Higher wages paid in the non-traded goods industries such as services will pull labour out of agriculture. All of these effects have been observed in many oil producing countries around the world, including those in Africa such as Gabon and Nigeria; they are features of the phenomenon known as Dutch disease.

Unless there are radical changes in our approach to agriculture, our agricultural performance will weaken further, with very deleterious consequences for rural poverty, employment, inequality, geographically balanced growth and food security.

It is imperative to implement a comprehensive strategy to support smallholder agriculture if we are to avert a long term decline in the agricultural sector; a decline which will be accelerated by the exploitation of our oil resources.

The effects of a “Dutch disease” are not a foregone conclusion. With foresight and careful management of how the oil revenues get injected in the economy, the phenomenon can be avoided. 10.5.4 Information Access and Involvement of Civil Society Organisations

Civil society organisations (CSOs) and other relevant stakeholders in the Oil and Gas sector can effectively engage with government and the oil companies if the most appropriate approach is employed. Government should consider CSOs partners in and support strategic and constructive approaches that strengthen the relevance of CSOs in the Oil debate. Unfortunately, the status quo in Uganda is high secrecy and classified information to the public, media, regarding the Oil and gas processes, available contracts are politically driven, timelines in the development and volumes to be produced let alone supply volumes. This negates the private sector preparedness for competitiveness in the sector. Inadvertently the early birds are losing out as expressed in www.fao.org/fsnforum features- It has taken too long Society craves for information on what government is doing in all development projects, the question is are there alternative means to get out information on oil and gas progress such that private sector, farmers, education institutions, local governments, civil society organisations and donors can position themselves properly within means and area of expertise. Regarding information coverage CSOs often have wider outreach only if packaged with the right information for a patriotic nation. The media centres in various languages can similarly educate and inform while at community or sub county level “barazas” open meetings to discuss development challenges and or issues. Summarily Oil and Gas will become a concern, interest and pride for all Ugandans unlike the current “I do not know” or “I do not care”, “we hear”, “it is so far from us”,” “that is government business” attitude which could breed latent regional or ethnic conflicts. 10.5.5 Human Resource Capacity and Skills Enhancement:

A feasible strategy for agricultural development in Uganda must have at its centre support for smallholder farmers. Smallholders comprise 96% of Uganda’s farmers. It is unrealistic to expect that Uganda’s agricultural performance can be turned around by ignoring

http://www.fao.org/fsnforum


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smallholders and focusing instead on large farms. If we can help the broad mass of farmers in this country to become more productive, raise their yields and sell more of their output on the market, it will be possible to create a more dynamic agricultural sector which is strong enough to survive despite the adverse impacts of oil on the real exchange rate.

Furthermore, by supporting Uganda’s farmers to increase their marketable output, we can boost agro-processing industries and thus promote industrialisation. Strengthening agriculture will not be possible without devoting more public resources to support the sector, but how we spend public resources is critical.

The extension staff who have been demoralised and confused by the repeated changes in structures and guidelines for implementation of extension services via the NAADS and general extension. They equally need to be facilitated and seen to deliver, accountable to the farmers and government for a productive agriculture sector.

10.5.6 Marketing

The high and prevalent tendency to work in isolation can be supported through area cooperatives with emphasis on record keeping and transparency systems for different value chains. This will gap the lack of sufficient quantities and consistency in supplies if the farmer Co-operators have the basic modern farming practices upheld. The Government of Uganda through World bank support under the Community Agriculture Infrastructure Improvement Programme is investing in municipal markets which with demand can include cold storage facilities managed by the Market management committees or a private entrepreneur for sustained business management. They need to be coordinated to concretise supply and demand in the region. 10.5.7 Agricultural Financing

There is no doubt that providing credit to small farmers involves very large transactions costs and high risks for financial institutions, which means that most small farmers are excluded from formal credit markets. Formal financial markets are subject to failures when serving small farmers which, in principle, provide grounds for Government intervention to promote financial inclusion.

Modernising smallholder farming will entail smallholders making greater use of purchased farm inputs. Hence modernisation will require smallholders having better access to finance.

Seed is of low quality yet costly 71,000/= a sachet and farmers are fleeced, 100,000/= per acre of tractor plough, poor quality fertilizers. Bio-fertilizer which is effective costs 400,000/=per litre. Fertilizers like DAP and UREA costs 120,000/= for 50kg bag which is costly for small scale farmers. No subsidy at all for agric inputs. To attain improved competitiveness, the farmers need to access quality inputs including irrigation kits at affordable prices, from trusted sources supported with knowledgeable staff. Table 10-2 summarises major crop production in Uganda and the Albertine in particular.


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Table 10-1: Production of Major Crops (metric tonnes), 2008/09

Plantain Bananas

Finger millet Maize Sorghum Rice Sweet

Potatoes Irish

Potatoes Cassava

Albertine Region 1,398,349 74,718 528,244 71,971 39,321 386,629 52,523 909,152 Study Area North 27,765 26,803 141,493 59,782 22,672 145,965 1,258 497,803 Study Area Central 77,144 5,947 173,568 2,554 14,639 57,700 7,320 176,289 Study Area South 1,293,440 41,968 213,183 9,635 2,010 182,964 43,945 235,060 Uganda's Total Production 4,297,349 276,935 2,361,954 375,794 190,738 1,818,773 154,437 2,894,309

Albertine's Contribution 33% 27% 22% 19% 21% 21% 34% 31%

Beans Field

Peas Cow Peas

Pigeon Peas

Ground Nuts

Soya Beans Sim-Sim Total

Albertine Region 304,535 5,612 1,769 1,726 82,899 2,131 19,654 3,879,233 Study Area North 107,872 4,671 1,641 1,646 42,299 365 19,089 1,101,124 Study Area Central 60,260 404 62 80 24,015 73 565 600,620 Study Area South 136,403 537 66 0 16,585 1,693 0 2,177,489 Uganda's Total Production 929,274 16,454 11,056 11,331 244,688 23,610 101,027 13,707,729

Albertine's Contribution 33% 34% 16% 15% 34% 9% 19% 28%

Source: Estimated based on 2013 Statistical Abstract, UBOS, August 2013.

Table 10-2: Summary of Food Production (Tonnes) - Hoima District 2013

Sub-County Cassava S/pots Rice Maize Beans Bananas G/ Nuts Millet

1 Hoima MC 3,268 12,963 316 866 379 70 72 0 2 Buhanika 9469 2,190 3,434 2,226 876 2,504 417 83 3 Kyabigambire 10036 3,950 3,096 4,182 878 2,258 209 - 4 Kitoba 7,444 3,553 1,113 1,489 1,421 1,219 254 122 5 Kigorobya

(S/C & T/C) 83,892 15,414 5,033 5,872 2,936 3,775 1,311 -

6 Buseruka 3,004 2,104 82 802 263 14 42 13 7 Bugambe 8,029 2,526 3,667 1925 796 961 178 427 8 Buhimba 7,200 2,583 5,267 2,400 1,806 270 525 36 9 Kiziranfumbi 24,232 1,913 6,465 2,016 560 2,000 389 - 10 Kabwoya 13,332 2,333 3,810 1852 534 2,500 208 166 11 Kyangwali 16,164 6,942 8,465 7,054 2,571 5,290 882 53

District total 186,070 56,471 40,748 30,684 13,020 20,861 4,487 900

Source: Homa District Agricultural Office Table 10-2 clearly shows the staple and lead crop being cassava which was grown three times as much as sweet potatoes and four and half times as much as rice. This however differs in Masindi where maize takes the lead much as the two arein the central region. For the PDP inteventions need to be based in Hoima for cassava and in Masindi for maize. Rice, a


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nontradtional cash crop is quite labour intesnive though very marketable which woul give it a priority level for the PDP facilities to be developed. Millet is loosing out though it is a traditional staple for the Banyoro (central area) it’s values including iron for the children need to be supplemented. Kigorobya followed by Kyawangwali are the lead productive sub counties with the mnicipality being the least agriculturally productive. In terms of promoting and positioning PDPs for agriculture Kigorobya be spared for agriculture production.


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11The Petroleum Industry in the Albertine

Introduction

The Petroleum Industry is emerging as a major force of change in Uganda and the Albertine in particular. The reserves are not large by world standards, but interest and expectations are high. Experience throughout the world shows that oil and gas production brings with it numerous social, economic, environmental and other impacts. Both industry, country and local communities need to be ready to address these issues to ensure that the best long-term interests of all are sustainably maintained. This Chapter discusses the petroleum industry's roles, responsibilities and relationships with community, country and region. The Chapter reviews the oil industry's policies and Corporate Social Responsibility activities in light of both global best practices and Uganda's unique context.


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11.1 Introduction Uganda is on the verge of an ambitious period of resource development in the Albertine Graben. The commitment of three global oil companies, the approval for CNOOC Ltd. to proceed with production at its Kingfisher site, and the February 2014 Memorandum of Understanding have set the stage for a period of intense activity. There are multiple challenges to realize the potentially significant benefits for the region and the Ugandan nation. In other countries and regions, the phenomenon known as ‘the resource curse’ has too often compromised the realization of those benefits. The rapid development of non-renewable resources such as oil and minerals can threaten traditional, sustainable livelihoods. The sudden increase in revenues typically available to governments at the national and local levels can foster political in-fighting and corruption. It is Uganda’s challenge – and opportunity – to learn from the lessons of others in Africa and abroad. The creation of a Physical Development Plan for the Albertine Graben is an important tool in addressing the risks of rapid resource development. On the opposite side of the same coin are the oil companies. In the case of the Albertine Graben, the three major players - Tullow, Total and CNOOC -- are global companies. They scour the world for the best opportunities for investment. They have a duty to their investors to turn a profit. Petroleum is a highly technical, expensive industry. Huge capital investments are expended before profits are realized. This reality highlights what some call the ‘time value of money’. The government of Uganda and the responsible Ministries (including MLHUD) quite properly want to take the time to ‘get it right’ in terms of preparing for a successful industry, with maximum national and regional benefits. Industry also feels an intense pressure to ‘get it started’, so they can begin to recoup their significant investment. Fortunately, these same companies are highly motivated to have a clear, stable operating environment. Through decades of experience, they thoroughly understand that negative environmental or social impacts are a detriment to their business goals. Given this context, this Chapter examines the Physical Development Plan (PDP) through the lens of the petroleum industry. It examines the major challenges they face in carrying out successful exploration and production activities, and the implications of those challenges for the PDP. Map 11-1 illustrates the current extent of petroleum licensing agreements. Four overarching challenges that were emphasized during meetings with MLHUD, MEMD and the oil companies, and reviewed during a visit to operations in the Kaiso – Tonya region are reviewed. Those four challenges are:

▪ Managing Expectations (of government, industry and communities) ▪ Land Issues ▪ Institutional Presence and Capacity ▪ Coordinating Company/Community/National Development Plans


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Map 11-1: Petroleum Leases - 2013

Source: MEMD, Uganda


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This Chapter also explores a number of specific challenges that industry faces in balancing production objectives with sustainable social and environmental outcomes. Some are specific to the Ugandan context, others common to the extractive industry globally. For each of these challenges, a number of global best practices and standards are highlighted. It is recommended that a number of these practices can be incorporated the Albertine/Ugandan context. Finally, issues most important to the Physical Development Plan are summarised.

11.2 Overarching Issue: Managing Expectations Throughout the world, when the oil industry enters a new country or a new region, expectations are raised. These expectations can be positive (anticipating the potential benefits) and negative (fearing potential environmental and social consequences). For the petroleum industry to be successful in the Albertine Graben and the country in general, both sets of expectations must be considered and managed. The expectations are different (yet inter-related) among government, industry and the affected communities. 11.2.1 Expectations from Government of Industry

Above all, governments (national and local) expect the companies to follow responsible operating practices and to achieve production goals without compromising the environmental and social integrity. The International Finance Corporation has developed a widely accepted set of Environmental and Social Performance Standards that can be adapted to multiple industries. It has been used successfully in the global petroleum industry and is supported by the three Albertine operators. More information is presented below. In addition to seeking good practice from international standards, the Ugandan government is updating existing national legislation and regulation – and developing new ones – to guide petroleum development in the country. Given the relatively rapid pace of development expected, the government will require a degree of flexibility from industry as these standards are developed and introduced. In addition, the government will look for industry cooperation as it pursues its national content strategy to achieve maximum Ugandan participation as industry operations move into an intense period of activity. Finally, governments will expect a degree of social investment as the companies build goodwill in local communities. One of the main challenges for companies is to avoid becoming the ‘de facto’ local government by providing services that should rightly be delivered by government. This will be discussed further in subsection 1.6 below. It is worth noting that social investment (or philanthropy) is not synonymous with corporate social responsibility. CSR encompasses a broad range of tools and processes that help


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companies strategically manage their relationships with a wide range of stakeholders, for mutual benefit. Social investment is just one dimension of CSR. Social impact assessment, stakeholder consultation and engagement, local content and transparent disclosure of environmental and social performance are other examples of ‘full-spectrum’ CSR. 11.2.2 Expectations from Communities of Industry

Those communities most directly affected by industry operations have significant expectations of industry – some of which may be unrealistic and a source of tension. Quite rightly, communities expect timely, transparent information, delivered by means they can absorb (language, medium, etc.). Communities also have an appropriate expectation to be consulted and involved in decisions that will directly affect their lives, such as land acquisition, anticipated operational impacts, project schedules, etc. Other community expectations may be more difficult to address. For example, affected communities may expect direct employment opportunities. While significant numbers of jobs are expected to result from the more labour-intensive construction phase, when the industry moves into production, there are typically few full-time positions. It is also likely that affected communities will expect to provide goods and services to the companies, such as food products, construction materials, electrical and other services. While these expectations are in line with the government’s goal to maximize Ugandan participation, there may be strict quality and safety industry guidelines to be met. In turn, local suppliers may look to industry to provide programs to help them achieve such standards. Communities will also welcome – and indeed expect – some level of social investment from the companies. The companies operating in the Graben accept this responsibility, but are concerned on two fronts. First, social investments should be sustainable in nature: that is, they should be self-sustaining initiatives with deep community involvement, such that the sponsoring company can avoid ongoing ownership of the project’s operation. Second, these investments should not place the company in the position of delivering key services that are rightly the responsibility of government. It may be acceptable for a company to contribute a helping hand to core services such as health and education, but this should be done in a manner that helps to build long-term government accountability. At the far end of the spectrum, some residents of affected communities may expect literal compensation stemming from ‘the oil under our feet’. It will be important for the government to clearly dispel this notion, emphasizing that mineral rights in Uganda clearly belong to the nation; individuals and communities are only entitled to surface rights. 11.2.3 Expectations of Industry from Government

In conversations with the three industry players, there was a common concern about the wave of activity that is expected, and the capacity of the government and its agencies to provide the necessary oversight in a timely fashion. There are three global players

Quote from stakeholder in the northern part of the Albertine when discussing recent oil exploration: ``So far we`ve been blessed with dry wells.``


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simultaneously developing resources across the Albertine Graben. This breadth of activity would have the potential to overwhelm the capacity of any government – let alone a government with limited experience with the oil industry. As a consequence, industry is very supportive of efforts by the government to invest in the number (and capabilities) of specialists needed to oversee industry activity in an effective and timely way. Industry also looks to government for the following:

▪ regulatory/fiscal certainty ▪ a reasonable pace of review/approvals for proposed developments ▪ clarity on the ground rules for development in sensitive areas (parks/reserves;

shoreline); where will development be considered; what areas will be off-limits ▪ continued upgrades of infrastructure over time (e.g., roads, power, water) ▪ leadership (as well as partnership) in the sensitization of communities ▪ timely, effective leadership on product refining and export

11.2.4 Expectations of Communities from Governments

Affected communities also have high expectations of governments – both local and national. Most importantly, they will expect governments to exercise appropriate controls over the industry. This would include monitoring of industry performance against legislation and regulation. Land management is also crucial for government to manage on behalf of affected communities. As discussed below, land title, resettlement and compensation have significant potential to become flashpoints in the Graben’s development. Affected communities will expect to see a visible enhancement in government services and local infrastructure. They are likely to reason that - since the oil revenues are derived from resources located in their communities - a significant share of the revenues should be invested locally. This will no doubt be a balancing act for the national government, as all Ugandans will expect to benefit from industry activity in the Graben. Note that a significant increase in local services is likely to increase the current influx of Ugandan nationals and East African immigrants/refugees seeking better opportunities. Means of Managing Expectations It is believed that mechanisms for managing the relationships and expectations between industry and government generally exist. It is far more challenging to manage the expectations of affected communities, and of all Ugandans who hear media reports of the oil industry bonanza expected. In 2011, the Brookings Institution published a paper titled, “Africa’s New Oil Economy: Managing Expectations”. This paper considered recent oil discoveries in Ghana, Ethiopia, Sierra Leone, Sao Tome and Principe and Uganda. Their analysis summarized seven


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approaches for managing societal expectations that may be helpful in the Albertine/Ugandan context:

▪ Improve the quality of institutions and insist on accountability and transparency of

resource revenues ▪ Provide reliable and timely information to all stakeholders involved – including local

communities, civil society organizations, the broader public, national and local government, Parliament, oil companies, private sector and the business community

▪ Strengthen the capacity of the legal system, government auditors, parliamentary commissions and civil society to regulate the sector and monitor activities on the ground

▪ Establish a long-term development strategy with broad consensus on spending priorities

▪ Design and implement supporting policies, such as fiscal strategies to smooth the ‘boom and bust’ cycle; consider subsidies/tax relief for non-resource export sectors hurt by a loss of competitiveness

▪ Use natural resource revenues to invest in long-term accumulation of all forms of capital (human, physical and institutional) as opposed to financing current consumption

▪ Consider placing some of the resource revenues into fiscal reserves or sovereign wealth funds to avoid over-use of revenues and safeguard the interests of future generations

11.3 Land 11.3.1 Complex Land Use Traditions

In order for petroleum activities to proceed in an orderly fashion, companies must be able to secure lands under a well-understood process, in a timely fashion, at predictable rates. The land acquisition process has already been a source of some community dissatisfaction, and the anticipated pace of development could see land issues becomes a source of significant conflict. In the Albertine Graben, a complex set of practices – formal and informal – create significant uncertainty surrounding ownership and title of land. In certain parts of the Albertine (e.g., Buliisa), there is significant lack of documentation regarding land title. In some locations the very concept of formal title to land is foreign. It’s been a historic practice for individuals or groups to use ‘vacant’ land for a variety of purposes: agriculture, grazing, dwellings and other structures. With the advent of petroleum activity, some investors have acquired formal title to such lands, at times without the knowledge of the communal users. Some claim these acquisitions have occurred as a result of lack of knowledge by local land officers; others allege that these title transfers are an indication of corruption. Regardless, these title sales have led to confusion and conflict.


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In other cases, individuals and families that have been absent from the region for a number of years have returned to claim what they see as ancestral lands. Despite the government’s efforts to contain land sales in the region, and to set prices formally through the Chief Land Valuer’s office, it appears that exceptions have occurred. The many complexities surrounding land issues in the Albertine Graben will stymie industry progress. It may have an unintended consequence of leading industry to locate its facilities in less-settled areas of the Albertine, with possible consequences for wildlife and biodiversity. 11.3.2 Land Valuation and Speculation

It is clearly the responsibility of the Directorate of Land Management (within the MLHUD) to establish the appropriate value of lands that are targeted for development. Yet some stakeholders have sought inflated compensation from oil companies, believing they will pay these prices so that they might ‘get on with business’. There is an important challenge for the MLHUD to be increasingly visible and active on this file. There is an additional consequence of recent land sales that represents a complex challenge. In a number of cases, some unsophisticated landowners have (freely) sold their properties at marginal value – and have seen their cash evaporate quickly, with no plan for the future. In the meantime, they see ‘new’ buyers re-selling the same lands at inflated values. This creates two potential problems: impoverished local residents and animosity toward the new landowners. On a global basis, it is common for land values to increase with industrial activity. It is understandable that the government wishes to protect the interests of communal land users from speculators and aggregators. It is hoped that a process of educating residents of their land rights and a controlled, transparent processing of titles throughout the Albertine Graben will mitigate possible industry/community conflict. 11.3.3 Involuntary Resettlement

The land requirements of the industry can sometimes be temporary and modest. For example, a drilling operation for a single well may disturb an area of 100 square metres, which might be further reduced to 8 square metres when a well is suspended or abandoned. In such cases, land can often be returned to the original owners/residents, following appropriate remediation by industry. The larger land requirements will come from central processing facilities, camps for staff, equipment and storage, and for pipelines. The planned petroleum refinery is particularly significant, at 29 square kilometres, and will displace an estimated 30,000 people. If improperly handled, resettlement has the potential to create lasting problems for government and industry. As noted on page iv of the November 2013 Final Draft Report of the Resettlement Policy Framework (RPF) for the Albertine Region, “The World Bank’s safeguard policy on


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involuntary resettlement, OP 4.12 is to be complied with where involuntary resettlement, impacts on livelihood, acquisition of land or restrictions to access natural resources, may take place as the result of the project.” Still on page iv, the RPF further states “… the World Bank policy… goes further to highlight the important relationship between property rights, human settlement and the need to maintain people’s source of livelihood. It compliments existing law in Uganda related to property rights and land ownership by recognizing the socio economic value this presents to persons affected. The higher of the two policies will be followed in this policy framework…”. Presuming the Final Draft Report is approved by the World Bank, the RPF provides a solid foundation. As always, the challenge will lie in effective, timely and consistent application of the policy. Key components of the RPF include:

▪ transparent determination of eligibility ▪ developing subproject-specific Resettlement Action Plans ▪ livelihood restoration assistance ▪ establishment of a Compensation Committee and a Grievance Redress Committee, as

well as a Monitoring and Evaluation team

As noted throughout this chapter, the effective implementation of the RPF will require significant resources, in terms of available personnel and their training. Transparency regarding the criteria for eligibility and the criteria used to determine compensation will be crucial. Wherever involuntary settlement occurs, assistance for livelihood restoration has been difficult to achieve. The challenge here cannot be underestimated.

11.4 Institutional Presence/Capacity An active petroleum industry requires a capable set of government officials to succeed. Uganda’s citizens have the right to expect government to provide meaningful oversight of the industry and its impacts – positive and negative. Given the rapid growth in activity – and petroleum’s status as a ‘new’ industry – the companies have expressed concern about the government’s ability to promptly and adequately staff a range of ministries. Some ministries have direct relations with industry, such as MLHUD; MEMD; Water and Environment; Local Government; Transport and Works; and others. Many additional ministries have indirect, but still important, relations with industry, such as Finance; Health; Agriculture, Animal Industry & Fisheries; Security and many more. Put simply, there is an urgent need for an increase in the number of capable Ministry, regulatory and local government officials. In addition, the professional development


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opportunities for these individuals need to be robust. A well-trained, well-staffed bureaucracy would provide assurance to industry regarding their substantial capital investments. Similarly, an advanced institutional presence will give comfort to communities and citizens that industry is operating in a responsible manner, with appropriate oversight and appropriate sanctions for any violations of established policy. Uganda should consider cross-training opportunities for its officials in like-minded countries that have faced or are facing similar challenges. For example, Gabon has recent oil discoveries of a similar quantity to Uganda (2 billion barrels estimated). The fact that Gabon’s discoveries are offshore is a significant difference; still, there may be opportunities for exchange and lessons learned. Some multilateral institutions and foreign governments offer support for nations that are engaging in significant development of natural resources. For example, The Department of Foreign Affairs, Trade and Development Canada has worked with resource-rich developing countries (including Tanzania and Peru) to improve their governance of natural resources; to strengthen national, regional, and local governments and regulatory institutions; and to manage the extractive sector transparently and responsibly. The Petroleum Governance Initiative (PGI), a bilateral collaboration between the Government of Norway and the World Bank, also promotes responsible resource governance. Programs such as these could help Uganda develop its governance capacity.

11.5 Coordinating Company/Community /National Development Plans The oil companies have detailed internal processes for planning future developments. These plans, in turn, are used to make substantial, long-lead-time commitments of capital, equipment and human resources. The companies have a legitimate concern that national/regional/local planning processes -- that may take years to unfold – may overturn years of their effort, and may result in costly modifications and disrupted operations. It has been acknowledged that it would be preferable to approach Physical Development Plans in a series of hierarchical plans. For example, a National Plan would be established to drive various Regional Plans, which in turn would drive Local Plans. Given the immediacy of the development activities planned for the Albertine Graben, the need for a specific Albertine plan was clear, despite the absence (for now) of a National Physical Development Plan. There is concern that plans released subsequent to the Albertine Graben PDP could alter the original plan dramatically. At present, it is not clear what process will be followed to ensure harmonization among the various industry, national, regional and local plans. This represents a significant gap. At a deeper, more historic level, local communities and families have had formal and informal approaches to plan and develop their communities for generations. These traditional approaches could be easily overlooked or overwhelmed by formal processes launched by companies or higher levels of government. A respectful planning process would


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take care to ensure traditional perspectives are heard and reflected in the planning process. In addition, there is a clear need for coordination among the various ministries that have a role to play in the success of the Albertine Graben. While the PDP is clearly under the mandate of the MLHUD, and the oil industry under the MEMD, there are multiple points of connection with other ministries, departments and agencies. Failure to bridge these potential gaps is likely to result in missed opportunities, duplication of effort and confusion for all those with a stake in the success of the Graben.

11.6 Challenges and Related Best Practices This subsection explores several specific challenges facing sustainable development of the Albertine Graben. For each topic, suggested international or industry best practices are highlighted. Given Uganda’s relative newcomer status as an oil-producing nation, global best practices present a significant opportunity for the country to create an industry framework that would be globally respected, and to reduce the country’s ‘learning curve’. 11.6.1 Sustainability Performance Standards

One of the key objectives of oil production in the Albertine Graben is to deliver development benefits to the country without compromising the opportunities for future generations of Ugandans. To complement national legislation, several international sustainability best practices should be considered. The World Bank's environmental and social safeguard policies exist to prevent and mitigate harm to people and their environment as a result of development. In World Bank-supported projects and programs, the development outcomes have substantially increased as a result of attention to these policies. Safeguard policies have provided a platform for the participation of stakeholders in project design, and have been an important instrument for building ownership among local populations. (Source: web.worldbank.org) The three major companies involved in the Albertine Graben have all committed to align their practices with the International Finance Corporation Environmental and Social Performance Standards. Launched in 2006 and updated in 2012, the IFC standards enjoy wide recognition from international financial institutions, civil society and industry. They have been incorporated into a number of national standards world-wide. There is a particular opportunity for the IFC to assume a formal role in implementing and monitoring oil company compliance in the Albertine Graben. It is our opinion that this is a significant opportunity that should not be missed. Best practices:

▪ World Bank Environmental and Social Safeguard Policies (web.worldbank.org) ▪ IFC Environmental and Social Performance Standards (www.ifc.org)

http://www.ifc.org/


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11.6.2 Revenue Transparency

Issues of transparency are central to gaining community and popular support for the planned industry activities in the Albertine Graben. Disclosure of all payments to governments by extractive companies is a fundamental element of transparency. Regulations for companies based in the United Kingdom, the European Union and the United States require robust and detailed disclosure of all payments to governments, including taxes, royalties, payment in kind and others. Tullow Oil has been commended by civil society (including the Publish What You Pay initiative) for breaking down its payments to government on a project-by-project basis. Uganda has publicly stated that it is examining the Extractive Industries Transparency Initiative; the country is not currently a signatory. A number of civil society organizations would applaud such a move. Among African oil producers, Ghana’s Petroleum Revenue Management Act, 2011 would be an important model for Uganda to examine. Transparency efforts should extend to the regional and local level. Anticipated oil revenues would likely see increased funds and budgets flowing through the hands of local officials. Programs such as Anti-corruption in Local Governance, offered by the International Anti-Corruption Academy (www.iaca.int) could be a useful tool. Best practices:

▪ Extractive Industries Transparency Initiative (www.eiti.org) ▪ Ghana’s Petroleum Revenue Management Act, 2011 (www.mofep.gov.gh)

11.6.3 Stakeholder Engagement

Open, transparent and respectful engagement with stakeholders affected by development in the Albertine Graben is essential. This is especially true since the affected communities have no prior experience with the industry. Oil and gas development is complex and technical. It can be challenging for stakeholders to grasp the potential impacts of industry activity. Various government agencies – national and local – have held meetings across the Albertine to sensitize communities about the industry. The oil companies have also invested considerable effort to explain their industry to stakeholders. The accountability for engagement has been – and must continue to be – shared between government and industry. It’s important to emphasize that simply explaining the industry to stakeholders is essentially a one-way communication process. True engagement implies an ability for stakeholders to provide input into how industry activities are conducted.

http://www.iaca.int/

http://www.mofep.gov.gh/


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Capturing and applying stakeholder input is challenging. The oil industry is capital-intensive. Companies invest significant capital in equipment and technology. They frequently conduct in-depth technical studies on the proposed location of specific facilities, the anticipated impacts and mitigation measures to be taken, etc. Stakeholders, meanwhile, typically bring a non-technical perspective to planned industry activities. Issues such as community history and cultural traditions may be more important than detailed technical analyses. Recognizing the unique context of the Albertine Graben, the companies have used a variety of culturally appropriate communication tools and techniques for stakeholder engagement, including:

▪ community dialogues ▪ radio talk shows ▪ posters ▪ dramatizations

It needs to be said that effective stakeholder engagement does not end when government permits are issued or when the intense period of field development gives way to the less-intrusive state of operation. Formal documentation of ongoing interactions with stakeholders is critical. This can help identify trends in community issues and map trouble areas. It would be ideal if the three operating companies shared a common platform – or at least common principles – of capturing stakeholder feedback. One example of leading-edge stakeholder engagement software comes from the Canadian company Borealis (www.borealis-is.com). Stakeholder feedback, complaints and grievances are especially important to document and address. This was a core component of the UN Guiding Principles on Business Human Rights, unanimously endorsed by the UN Human Rights Council in 2011. IPIECA, the global oil and gas industry association for environmental and social issues, has excellent grievance mechanism tools on its website, www.ipieca.org. One can also find a comprehensive overview of stakeholder engagement and the extractive industry in a June 2013 discussion paper by the Shift Project (www.shiftproject.org). Best practices:

▪ IFC Performance Standard 1 (Assessment and Management of Environmental and Social Risks and Impacts); www.ifc.org

▪ IFC Stakeholder Engagement: A Good Practice Handbook for Companies Doing Business in Emerging Markets. www.ifc.org

▪ IPIECA: Operational level grievance mechanisms: good practice survey (www.ipieca.org)

▪ ICMM: Community Development Toolkit

http://www.borealis-is.com/

http://www.ipieca.org/

http://www.ifc.org/

http://www.ifc.org/

http://www.ipieca.org/


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11.6.4 Project-induced In-migration

The Albertine region is already seeing a wave of in-migration of Ugandans seeking opportunities they believe exist -- or will soon be generated -- through oil industry activity. Others Ugandans are arriving in the anticipation that the level of services (e.g., health care, education) will be better than other regions thanks to anticipated oil revenues and social investment by the companies. This in-migration is already placing a severe strain on local government services. New arrivals also complicate the land issue, as migrants may occupy lands with uncertain or no titles. There is a mounting concern that the perception of oil-based prosperity will also increase the influx of individuals from Democratic Republic of Congo and South Sudan – generating further stress on local services. Oil companies expressed a desire to see border controls enhanced. Best practice:

▪ CommDev: Projects and People: A Handbook for Addressing Project-induced In-migration. (www.commdev.org)

The case study on the Chad – Cameroon Pipeline would be of specific relevance to the Ugandan context. 11.6.5 Local Content and Vocational Training

On April 30, 2014, Schlumberger Consulting Group released the results of its Industry Business Survey. The study estimates that the oil sector has the potential to create between 100,000 and 150,000 jobs. Of these, some 15,000 jobs will be directly related to development of the Albertine Graben. Another 25,000 to 30,000 indirect jobs can be generated through businesses such as environmental services, manpower agencies, construction materials, food services, security and more. A further 70,000 to 100,000 ‘induced’ jobs will be generated as oil wealth is redistributed through the economy. (Source: “New Report Outlines Opportunities in Oil”. New Vision, May 1, 2014.) Amid this significant opportunity, government is currently formulating a national content policy. There is a National Content and Capacity Building Office within the Petroleum Exploration and Production Department (PEPD). While the companies broadly support the goal of local content, they are also concerned that local firms often lack the capacity or fail to adhere to industry standards and practices. (See: “Local Content: Uganda’s mixed bag of oil fortune”. The Observer, 29 December 2013). Total E&P Uganda states that 80% of its direct and indirect staff are Ugandan. They currently employ approximately 250 direct staff, out of which about 60 per cent are Ugandans, employed in positions varying from engineers to personal assistants, both in Kampala and in the area of operations. In addition, more than 2,300 personnel were employed by Total as contractors in 2013, mostly in the field, out of whom more than 80 per cent are Ugandans. Total is also working to build the capacity of its national employees. They offer international scholarships and they target students that wish to pursue master’s degree programs in oil

http://www.commdev.org/


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and gas related fields. Students who successfully complete the master’s programme are employed by the company. (Source: “Total E&P confident to beat oil timeline”, The Observer, February 18, 2014.) Vocational training will be key to taking full advantage of the opportunities presented by industry activity. The Industry Business Survey mentioned above identified a series of related businesses where trained workers would be needed, such as environmental services, manpower agencies, construction materials and food services, among others. There will also be an urgent need for qualified candidates for government services such as land valuers, environmental and safety inspectors, etc. In the Albertine Graben Resettlement Policy Framework, the government noted plans to improve the standard of training institutions such as the Uganda Petroleum Institute Kigumba and the Uganda Technical College Kichwamba. These two institutes are expected to receive funding to support better equipped workshops related to oil industry trades as well as upgraded training and certification programs. Worth noting is Tullow providing funding and business support for the opening of an enterprise centre in Hoima. This centre is run by a not-for-profit partner, Traidlinks, and provides training and advisory services for local entrepreneurs and small- to medium-sized enterprises. Best practice:

▪ IPIECA (global oil and gas industry association): Local Content Strategy: a Guidance Document for the Oil and Gas Industry. www.ipieca.org.

Social Investment As discussed earlier in this section, a strategic approach to social investment can help deliver sustainable benefits, build community goodwill, while preserving the proper roles of government vs. industry with respect to community development. It should be noted that a company’s commitment to social investment should not be measured in financial terms alone. Many expensive philanthropic projects can have little to no lasting impact. Tullow’s support for Buliisa Health Centre IV is an interesting case study. With an investment of approximately $2 million, Tullow has sponsored the first and largest health centre in the area, serving a population of over 100,000. However, Tullow has also found it necessary to sponsor supplemental staff for the clinic. They acknowledge that this should be a temporary measure, rather than a permanent arrangement. The decision to locate the clinic 8 kilometres outside of the town centre was negotiated with local officials and is in line with future development plans. Despite the sanction of local officials, establishing the clinic outside Buliisa town raised some complaints. This is an example of why companies are hesitant to become major supporters of highly needed social services such as health and education.


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Total stated that they have ‘completely changed their approach’. With respect to social investment, they don’t want to invest in ‘bricks and mortar’; they prefer to engage in long-term sustainable projects. Their aim is to be ‘an accelerating factor’, without becoming solely responsible for the success of specific initiatives. They are looking to offer support to existing initiatives that have clear community leadership. CNOOC has acknowledged that, as a comparatively new player in the region, they have made only modest social investments to date. Their philosophy is complementary to Tullow and Total: they are looking to support initiatives that are sustainable, that come from the community and that are clearly linked to the development of the community. Best practice:

▪ CommDev. “Strategic Community Investment: A Good Practice Handbook for Companies Doing Business in Emerging Markets”. (www.commdev.org).

11.7 Issues Relevant to the PDP There are several areas of specific relevance to MLHUD, given the information presented in this section.

▪ Land issues are clearly of the greatest significance to the PDP, from the perspective of

the oil companies. The current complexities are generating frustration fir all parties and have the potential to generate significant conflict. The major players in the Albertine Graben have experienced similar issues in other countries. It may be time to start with a ‘blank slate’ in terms of the current approach to title, control of land values and compensation for resettlement. At the least, a survey of the global experiences of the three players in the Albertine would be useful.

▪ MLHUD must highlight and engage with relevant ministries regarding the substantial

social and environmental impacts that will be implicit in the recommendations of the PDP. MLHUD should model the behaviour of sharing information widely and in a timely way – including with local governments and industry.

▪ MLHUD should be a champion for adopting a series of international best practices in

Uganda’s oil industry, especially the IFC Environmental and Social Performance Standards. While there is place for made-in-Uganda solutions to many issues, the pace of development and Uganda’s ‘newcomer’ status call for such standards as a ‘leg up’.

▪ MLHUD must build a strong, data-based case to the central government to increase

staffing/capacity of the officials needed to provide proper oversight of the industry and management of its social and environmental impacts. While MLHUD must advocate for its own resources, it must also advocate for other departments whose own success is clearly tied to the success of the PDP.

http://www.commdev.org/


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12Economic Development

Introduction

This Chapter provides a higher level overview of Economic Development in the Albertine, and puts it in the context of Uganda's overall economy and Uganda's position in the East African Community. The potential significance of the new petroleum sector is put into perspective with respect to the major existing, long-term components of agriculture and tourism.


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12.1 Macro-Economic Overview - Uganda Uganda is a low-income economy65 with a gross domestic product (GDP) of 59,626 billion Ugandan shillings (about US$ 23.1 billion), with a per capita income of 1.6 million Ugandan shillings (US$ 626) as of 201366. In real terms (i.e. at constant prices, removing the inflation), Uganda’s GDP grew at an average of 6.6% per year over the last ten years, while growth rate of real GDP per capita was about 2.7% per year for the same period. Behind this is the high population growth the country has been experiencing – The average population growth rate is estimated to be 3% per year for the period of 2000 to 201267. Thus, over the last ten years, there were a couple of years when the real growth rate of GDP per capita was negative as the population growth rate surpassed the overall GDP growth, as shown with the orange line (dipping in 2009 and 2012) in Figure 12-1 below.

Figure 12-1: Real GDP and GDP Per Capita (2002 constant prices), 2002-2013

Sources: 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013; and World Economic Outlook (WEO) Database April 2014 <<http://www.imf.org/external/pubs/ft/weo/2014/01/weodata/index.aspx>>, International Monetary Fund (IMF), downloaded on May 1, 2014.

Going forward, the IMF forecasts 6.4% to 7.4% of robust annual growths of real GDP for Uganda for the period up to 201968. The population of Uganda is estimated to be 35.4 million for mid-2013, of which 18.1% is considered urban residents69. The country has a fertility rate of 6.0 births per woman, which

65 World Bank classification as of May 1, 2014. 66 Latest GDP figures from World Economic Outlook (WEO) Database April 2014 <<http://www.imf.org/external/pubs/ft/weo/2014/01/weodata/index.aspx>>, International Monetary Fund (IMF), downloaded on May 1, 2014, current prices. 67 World Development Indicators (WDI) database <<http://data.worldbank.org/products/wdi>>, World Bank, downloaded on May 1, 2014. 68 World Economic Outlook (WEO) Database April 2014 <<http://www.imf.org/external/pubs/ft/weo/2014/01/weodata/index.aspx>>, International Monetary Fund (IMF), downloaded on May 1, 2014. 69 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013.


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is among the highest in the East African Community (EAC) Partner States along with Burundi, whose fertility rate is 6.1 births per woman70. The proportion of the younger population is on the rise. In terms of the economic structure, the primary sector remains to be the largest employment provider for Ugandan’s workforce, accounting for 70% of the total employment although the sector’s contribution to the GDP is limited to less than a quarter of the total. The service sector, which employs 22% of working labour force, produces about 50% of the total GDP, as presented in Figure 12-2 below. Of all the employment, about 80% is in the informal sector71.

Figure 12-2: Uganda’s Economic Structure – Employment vs. Contribution to GDP

Note: The employment figure is as of 2009/10, while the GDP figure is as of 2012. It should be noted that the above figures use slightly different classifications and not entirely comparable. “Primary” sector includes, in addition to agriculture, forestry and fishing, mining and extraction of oil and gas. In the above, mining and extraction of oil and gas are included in “primary sector” under employment figure but are included in “industry” under the GDP figure. Regardless, mining and extraction of oil and gas are very small at this stage, and the above provides a reasonable view of Uganda’s economic structure in a comparative manner between employment and GDP contribution. The consultant also compared the sector contribution to the national GDP as of 2008; the sector contributions to GDP as of 2008 are about the same as the 2012 figure presented above.

Source: 2013 Statistical Abstract, UBOS, August 2013.

While the agricultural sector’s contribution to the national GDP is less than a quarter of the total, the agricultural products continue to provide about half of the total exports of Uganda (in terms of value), with coffee, fish and fish products, tobacco, tea and sugar being among the top agricultural export commodities. In particular, coffee is the single most important export commodity, contributing 18% of the total export value earned by Uganda in 201372. The commodity is an important source of cash income for many farmers in Uganda73.

70 World Development Indicators (WDI) database <<http://data.worldbank.org/products/wdi>>, World Bank, downloaded on May 1, 2014. 71 As of 2009/2010. 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013. 72 Data provided by Uganda Bureau of Statistics (UBOS). 73 Uganda Coffee Federation (UCF) estimates that as much as 20% of the entire Ugandan population earn all or large part of their cash income from coffee. Source: UCF website << http://www.ugandacoffeetrade.com/ugandacoffee.asp>>


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While the agricultural sector remains to be a very important sector of employment in Uganda, the country’s agricultural value added per worker has remained more or less at the same level over the last two decades74. The crop production index indicates that the increase in production in Uganda over the last ten years is modest at best compared to its neighbouring counties, Kenya, Uganda, and Rwanda, all of which have doubled crop production in the same period75. Another key industry is tourism. Uganda’s tourism sector has steadily grown over the years, and the number of foreign tourists visiting Uganda more than doubled between 2006 and 2012, from 539,000 persons to almost 1.2 million persons76. According to the World Travel and Tourism Council (WTTC), it is estimated that, as of 2013, the tourism sector of Uganda (both foreign and domestic tourism) contributed US$ 2.1 billion to the GDP in total and employed 451,000 people. With Uganda’s GDP of US$ 21.1 billion in 2013, the tourism sector contribution amounts to almost 10% of the total GDP, and the sector is expected to continue growing at over 5% per year (in terms of value) for the next foreseeable future as presented in Figure 12-3.

Figure 12-3: Tourism Sector’s Contribution to GDP and Employment, 2000-2020

Note: 2014 onward is projections.

Source: World Travel and Tourism Council <<http://www.wttc.org/research/economic-data-search-tool/>>

74 World Development Indicators (WDI) database <<http://data.worldbank.org/products/wdi>>, World Bank, downloaded on May 1, 2014. 75 World Development Indicators (WDI) database <<http://data.worldbank.org/products/wdi>>, World Bank, downloaded on May 1, 2014. 76 World Development Indicators (WDI) database <<http://data.worldbank.org/products/wdi>>, World Bank, downloaded on May 1, 2014.


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12.2 Uganda in the East Africa Community Uganda is the 3rd largest economy77 of the EAC, which consists of five partner states – namely, Uganda, Kenya, Tanzania, Rwanda, and Burundi78 – with the 3rd largest territory and population. In terms of GDP per capita, however, Uganda is, together with Burundi, one of the two EAC countries that are below the region-wide average.

Table 12-1: Uganda and East African Community Partner States

County GDP GDP per

capita Population Surface Area Poverty Rate+

US$ bn* % of EAC US$* Million** % of EAC 000km2** % of EAC %

Uganda 21.2 21% 596 36 24% 242 13% 38% Kenya 40.7 41% 943 43 29% 580 32% 43% Tanzania 28.5 28% 633 48 32% 947 52% 68% Rwanda 7.1 7% 682 11 7% 26 1% 63% Burundi 2.5 3% 286 10 7% 28 2% 81% EAC 100.0 100% 676++ 148 100% 1,823 100% -

* From World Economic Outlook (WEO), International Monetary Fund (IMF). As of 2002.

** From World Development Indicator (WDI) Database, World Bank. As of 2002. + Using the international poverty line of $1.25/day. As of: 2009 for Uganda; 2005 for Kenya; 2007 for Tanzania; 2011 for Rwanda; and 2006 for Burundi. ++ Estimated based on EAC’s total GDP from IMF WEO and total population from World Bank WDI.

Uganda is a landlocked country, and its primary access to sea is via the Port of Mombasa, Kenya (the Northern Corridor). While the country also uses the Central Corridor to access the Port of Dar es Salaam, the use of Dar es Salaam port for transporting goods to/from Uganda is negligible today79. There is currently no crude production in the EAC countries, and Uganda has 100% relied on imported petroleum products to satisfy its petroleum needs. Thus, the country’s single most important import commodity has been petroleum and petroleum products, valued at over US$ 1.3 billion (over 20% of the total import value of US$ 5.8 billion as of 2013). Most of the oil has been imported through the Port of Mombasa, as is the case for other import commodities, and transported to Uganda by trucks or a combination of a pipeline and trucks80. The recent discovery of commercially recoverable oil reserves in the Albertine region, however, can turn Uganda a net producer and exporter of petroleum (both crude and products). The initial refinery capacity of 30,000 bbd is expected to suffice Uganda’s national demand for the first number of years, with a small amount left for exports; when the 77 In terms of GDP. 78 It is understood that South Sudan and Ethiopia have recently applied for a membership of the EAC. 79 Estimated to be less than 1% of total freight, according to Uganda Shippers Council. 80 Trucks can pick up petroleum products at Mombasa, Kunza, Kisumu, and Eldoret, and Nakuru terminals.


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refinery is expanded to produce 60,000 bbd, it is expected that Uganda will serve part of the petroleum demand of the region.

12.3 The Albertine in Uganda This section discusses the roles of the Albertine region in Uganda’s economy, focusing on the main economic sectors. What is presented below is, by any means, not an exhaustive list of all the important economic activities of the region, but provides a high-level overview of the key economic sectors of Albertine region and its role/shares in the overall Ugandan economy. 12.3.1 Agriculture – Crop Production

As is the case for the overall Uganda, the majority of the population of the Albertine region relies their living on agricultural activities. Below provides a brief overview of major agricultural activities relevant to the Albertine region. Major Food Crops

The Albertine region occupies about 23% of the total land area of Uganda and produces about 30% of the total production of Uganda’s major food crops. Of the production of the Albertine region, about a third is produced in the Study Area South.

Figure 12-4: Contribution of Albertine Region in National Food Crop Production, 2008/09

Note: The crops included in the above are: Plantain bananas; finger millet; maize; sorghum; rice; sweet potatoes; Irish potatoes; cassava; beans; field peas; cow peas; pigeon peas; ground nuts; soya beans; and sim-sim.


The largest food crop produced in the Albertine region in terms of volume is plantain bananas, with the Study Area South producing the most. The Albertine region also produces about 30% of the total national production of cassava, of which about half is produced in the Study Area North. For the Study Area Central, cassava and maize are the crops produced in the largest volume, but their production is relatively small as a portion of the total main food


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crops produced in Uganda. Chapter 10 provides a detailed discussion of Agriculture in Uganda.

Figure 12-5: Production of Four Top Food Crops (metric tonnes), 2008/09

Source: Estimated based on 2013 Statistical Abstract, UBOS, August 2013.

Major Export Agricultural Commodities – Coffee, Tobacco, and Tea

As mentioned above, coffee is the largest foreign currency earner of Uganda and is the major cash crop for a large number of farmers of the country. It is estimated that that there are 500,000 coffee farms (mostly smallholders) with 2.8 million coffee workers in Uganda and that as much as 20% of the entire Ugandan population earns all or large part of their cash income from coffee81. The major coffee growing regions are Mount Elgon region at the Kenya border, Lake Victoria region, Mount Rwenzori region, and the West Nile region. Of those, the latter two regions – Mount Rwenzori and West Nile – are located within the Albertine region82, in the Study Area South and the Study Area North, respectively. The coffee produced in the western part of Uganda, i.e. Mount Rwenzori region, is said to be of the highest quality. Tobacco is the 2nd largest agricultural export commodity of Uganda, with its export earnings of US$ 120 million with a volume of about 56,000 tonnes in 2013. Its main production region is West Nile region located within the Study Area North. Tea is the 3rd largest agricultural crop in export value (US$ 86 million). The main producing areas of tea are: Lake Victoria region, the lower slopes of Rwenzori Mountains (Kabarole

81 Uganda Investment Authority (UIA) << http://www.ugandainvest.go.ug/index.php/2013-10-24-13-08-51/coffee>> and Uganda Coffee Federation << http://www.ugandacoffeetrade.com/ugandacoffee.asp>> 82 Uganda Coffee Federation << http://www.ugandacoffeetrade.com/ugandacoffee.asp>>


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district), and above Western Rift Valley (Bushenyi, Kenjojo, Kibale, Hoima, and Kanungu)83. The latter two belong to the Albertine region. Tea processing plants are located throughout the Albertine region, but they are more concentrated in the Study Area South. Other Crops

In addition to the above, the major agricultural crops produced in the Albertine region include: sugar with large sugar plantations and the country’s second largest sugar plant, Kinyara Sugar Factory, near Masindi; and cotton production in the Study Area South (close to DRC). 12.3.2 Agriculture – Fisheries

The volume of fish caught in Ugandan waters has increased by 10% from 2009 to 2012, from 367,000 tonnes to 404,000 tonnes. During the same time period, fish catch in the Lake Albert has tripled, from 56,000 tonnes to 152,000 tonnes. Today, together with the catch from the Lake Edward the Albertine region provides almost 40% of the total fish caught in Uganda.

Figure 12-6: Fish Catch by Water Source, 2009-2012

This increase is suspected to be due to the recent “opening up” of the Albertine region (the Study Area Central) to Kampala, the largest market of Uganda, via a better road (the Kampala-Hoima road). It has been reported that the fish caught in the Lake Albert does not reach the local population, but is mostly transported to Kampala today. The Fishery is further discussed in both Chapters 8 and 9.

83 Cali, Managua, “Future Climate Scenarios for Uganda’s Team Growing Areas: Final Report”, International Center for Tropical Agriculture, July 2011.

During the field consultations, some expressed concern that the fish caught in the region no longer reach the local population because it all gets sent to Kampala for sale in larger and better (and probably more profitable) markets, which can possibly mean poorer nutrition intake for the local population.


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Fish catch from the Lake Victoria decreased by over 15% during the same period. While the Lake Victoria continues to be the largest source of fish supply in Uganda, and today, it provides only 45% of total as compared to over 60% in 2009. 12.3.3 Agriculture – Other

Other important agricultural subsectors in Uganda include forestry and livestock/meat production. It has been reported that commercial forestry is on the rise throughout Uganda, but it is not known exactly how much of that is in the Albertine region. For livestock/meat subsector, based on the available data on the number of livestock by district84 as proxy, it is estimated that the Albertine region’s share is about 24% of the total. 12.3.4 Tourism

Tourism is an important industry sector in Uganda, contributing an estimated US$ 2.1 billion to the country’s GDP in 2013, as mentioned in the Section 12.1 above. There is no concrete data available to estimate the size of the tourism sector of the Albertine region and its contribution to the overall Ugandan economy. However, some (and rough) estimate can be made from the number of visitors to the country’s national parks, which are the major tourism attractions of Uganda. The national parks located in the Albertine region – namely, Murchison Falls, Queen Elizabeth, Kibaale, Semliki, and Rwenzori Mountains National Parks – had a total of 134,600 visitors in 2012.85 This represents 74% of the all visitors to Uganda’s national parks.

Figure 12-7: Number of Visitors to National Parks, 2012


According to the WTTC, of the total GDP contributions by the tourism sector, 36.4% is estimated to be business trip-related. To be conservative, it is assumed that the business-related spending is centred around Kampala, thus outside the Albertine region and is

84 Data from the 2008 Livestock Census, presented in 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013. 85 Estimated based on 2013 Statistical Abstract, UBOS, August 2013.


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excluded from estimating the Albertine region’s tourism contribution. After subtracting the business trip-related spending, and simply based on proportion of the number of visitors to those parks located in the Albertine region as the proxy for the regional share of the national tourism revenue, the contribution of the Albertine region’s tourism sector can be estimated that it is as much as US$ 1 billion, or about the half of the country’s tourism sector contribution to GDP. 12.3.5 Petroleum Industry

The petroleum industry of Uganda is at its inception phase. The recently discovered commercially recoverable oil deposits are estimate to be about 3.5 billion barrels. The oil fields are located in the Albertine region, and with a refinery planned to be built in Hoima (the Study Area Central), it is expected that much of the oil-related activities will take place in the region, particularly centered around Hoima where, besides the planned refinery, oil companies are expected to place their offices. The development directly related to the oil sector in the Albertine region is expected to include, but not necessarily limited to:

▪ A 60,000 bbd-capacity refinery development in Hoima, which will initially be built with a 30,000 bbd capacity and is expected to be operational in 2017/1886;

▪ Oil wells development, which is already underway; ▪ Crude pipeline development for crude export; ▪ Product pipeline development for distribution of petroleum products from the

refinery, with a major distribution terminal near Kampala, the largest demand centre.

There have also been discussions on potential petro-chemical industry cantered around the Hoima refinery, but no concrete plans or detailed studies have been prepared to date to our knowledge. The actual prospects for such an industry may be limited given the relatively small oil reserves and short period of projected production. 12.3.6 Mining

In 2012, Uganda produced 1.7 million tonnes of minerals, of which more than half, 940,000 tonnes, is limestone87. The remainder includes pozzolana, kaolin, vermiculite, cobalt, and iron ore, among a few others. The limestone, the largest mineral produced in Uganda, is mainly mined in Moroto (northeast Uganda), Kaseremi (near Tororo), and Kasese. Of these places, Kasese is located in the Albertine region (the Study Area South). One of the major cement producers of Uganda, Hima Cement (Lafarge), has a plant in Kasese and also operate its own limestone mine. Besides the above, there are number of mines with high potential for production. The most notable ones are:

86 Uganda has a further plan to increase the capacity of the refinery to 120,000 bbd, but no timeframe in place as of today. 87 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013.


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▪ Copper in Kasese (Kilembe Mine); and ▪ Phosphate in Sukulu Hills (near Tororo).

The Kilembe Mine is located in the Study Area South and has recently been concessioned to a Chinese consortium by the Ministry of Finance. However, no details on the expected production levels or timeframe are available. Further, there are a number of other major deposits as follows (not exhaustive):

▪ In Albertine Region: - Diatomite in Pakwach – Diatomite can be used for beer filtering. - Bentonite in the area around Hoima – Bentonite can be used as drilling mad for

petroleum drilling. The Government of Uganda is reportedly trying to encourage the oil companies to use this local bentonite.

- Salt in Kasese – There is a government-owned salt factory, which is not operational today.

- Glass sand in Masaka Area (Diimu and Bukakata) – There used to be East African Glass Works company as the area produces high-quality glass sand. It used to be mined, but not mined today.

- Kaolin in Mbarara – There are high-quality kaolin deposits, but not mined today.

▪ Outside Albertine Region: ▪ Iron ore in Kabale – A Chinese company is test-drilling, but no concrete plan for

mining in place.

There are substantial potentials of mining in Uganda as above. There are reportedly many speculators holding exploration licenses without any activities, and it is not clear at this stage if/when these mines will start commercial productions.

12.4 Opportunities and Limitations/Constrains 12.4.1 Oil Sector Impact on Uganda

The development of the oil sector in Uganda, which will be physically located in the Albertine region, is expected to realize additional employment opportunities and associated economic development in the region and the entire country. The opportunities directly related to the oil sector development include:

▪ Direct employment opportunities in the oil sector (labour for development of oil wells, pipelines, the refinery, etc. and their operation)

▪ Supply of goods and services to the oil sector, including supply of food (i.e. agricultural produce88) to the oil sector workers, supply of construction materials, etc.

88 An Irish aid organization, TraidLinks, is actively working in the region to connect local farmers with the oil sector in order to enable the local farmers to take the opportunity to provide their agricultural produce to the oil companies.


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▪ Then, there will be additional spin-off effects of increased economic activities in the region, where increased employment, thus increased income, will lead to more spending in the region, which would stimulate further economic activities. These impacts will likely be most strongly felt in the Albertine region where the physical development of the oil sector takes place.

▪ It is also expected that, assuming that oil products from the Hoima refinery is to be provided at a lower cost as compared to the current product which are imported through Mombasa, the provision of cheaper petroleum products will help facilitate more economic activities by lowering the costs of transport and inputs throughout Uganda.

▪ The above-mentioned economic opportunities and expected impacts are positive and are expected to contribute to the growth of Uganda’s economy and GDP. The preliminary, working draft of the Macroeconomic Framework being prepared by the National Planning Authority (NPA) in preparation of the 2nd National Development Plan (NDP II) 2015/16-2019/20 forecasts over 50% increase in the oil sector contribution to Uganda’s GDP in the year when the refinery is expected to be commissioned (i.e. 2017)89.

▪ However, those benefits mentioned above have to be taken with a caution. The peak of employment opportunities in the oil sector as well as the peak of the oil sector demand for goods and services will be during the construction period. The oil sector is not a labour-intensive industry, and once construction is complete, there will be a drastic reduction in demand for labour, goods and services.

▪ In addition, the oil sector is a highly sophisticated industry, where development of necessary expertise will not happen overnight. Since the discovery of the commercially viable oil reserves, Uganda has been taking initiatives to prepare itself by developing expertise within the Ministry of Energy and Mineral Development (MEMD), which has included sending selected officials to overseas to study. It has also been working toward developing skills and expertise among its population though providing special oil & gas sector courses and trainings at universities and training institutions. These are necessary and positive developments in order for Uganda to properly manage its oil sector. However, in terms of the overall direct employment during the construction and operation, it is still expected that many skilled workers will have to be brought in from abroad where there are well-developed oil sectors with necessary expertise. Thus, it would be safe to be conservative to estimate that direct employment in the oil sector will be of relatively limited nature.

12.4.2 Oil Sector Development within National Development Plan

Regardless of the expected positive economic development impact mentioned above, however, it has to be noted that oil is not there forever. The commercially recoverable oil 89 Matovu, John Mary, et al, “Macroeconomic Framework – NDP II 2015/16-2019/20”, Version April 6, 2014, National Planning Authority. It is a preliminary working draft, subject to further revisions and refinement.


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deposit of Uganda is small in comparison to those oil-rich countries, such as Saudi Arabia and Venezuela. With the current plan of a 60,000 bbd refinery and planned crude export of over 200,000 bbd90, the 3.5 billion barrels of Uganda’s crude oil reserve will be depleted in 25-35 years. Thus, while the development and proper management of the oil sector is important for Uganda in order to maximize the benefit of the resources it has discovered, it is likely more important that the country continues its efforts for improvement and further development of existing economic sectors and diversification of economic activities for its continued and sustainable growth in the long run and to avoid the Dutch disease. The NPA correctly recognizes this as seen in the statement below: While the discovery of oil resources is expected to avail extra resources to spur investments in physical infrastructure and human capital development, Uganda’s comparative advantage remains in agriculture which is not yet fully exploited to its maximum potential... the sector is not well linked to industry in form of agro-processing... Besides the underdevelopment exhibited in the agriculture sector, the composition of exports in Uganda has not changed significantly between the period 1965 and 2010. Uganda has a significant presence in many of the peripheral products, particularly, tree crops like coffee and flowers, animal products and fish which are not vertically integrated to its industrial sector. Uganda has the potential to diversify into food processing which would have significant impact on production by farmers and thereby enhance the wealth creation process.91 The NPA’s draft Macroeconomic Framework also specifically refers to the needs “to circumvent the “Dutch disease” associated with oil discovery”92. In short, the draft Macroeconomic Framework advocates for value chain development for the agricultural sector to create more value added, development of mining sector to exploit the country’s rich resource endowment, further development manufacturing sector through sector-specific cluster development, and promotion of private sector through human and infrastructure development. Oil sector will provide extra resources to augment Uganda’s efforts for economic development; the oil sector revenue is expected to be invested in development of infrastructure that will support the country’s economic development.

90 Uganda Country Analysis Note, United States Energy Information Administration (USEIA) <<http://www.eia.gov/countries/country-data.cfm?fips=ug>> 91 Matovu, John Mary, et al, “Macroeconomic Framework – NDP II 2015/16-2019/20”, Version April 6, 2014, National Planning Authority. It is a preliminary working draft, subject to further revisions and refinement. 92 Matovu, John Mary, et al, “Macroeconomic Framework – NDP II 2015/16-2019/20”, Version April 6, 2014, National Planning Authority. It is a preliminary working draft, subject to further revisions and refinement.

“The central government is focusing on our region. That itself is an opportunity for us.”

From a stakeholder interview in the Albertine Region


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12.4.3 Specific Opportunities for the Albertine Region

▪ The expected benefits (increased direct and indirect employment/business opportunities) and spin-off effects mentioned in Section 12.4.1 above will be most strongly felt in the Albertine region, and in particular in the Study Area Central, given the physical location of oil deposits and of the planned refinery.

▪ However, the real “opportunity” for the Albertine region lies in the fact that the region has a focused attention from the central government and the private sector, as well as international donor agencies and NGOs, due to the ongoing oil sector development:

▪ The central government is providing this physical development plan in order to properly plan the future development of the region to have necessary infrastructure and land use plans in place. Infrastructure plays an important role in facilitating economic activities, and the current oil sector development is placing more attention to addressing the infrastructure gaps in the region, which in turn will help local industries and businesses.

▪ The increasingly more private sector is coming into the Albertine region and establishing their presence. This includes international banks, hotels, commercial farmers, etc. Increased private sector activities lead to more business opportunities for the local community.

▪ Organizations, such as TraidLinks, funded by the Irish aid, are providing capacity development to local farmers. While TraidLinks acts as an intermediary between the oil companies and the farmers associations to enable farmers to sell agricultural produce to the oil companies, it also provides training to the associations, which then in turn train their member farmers. The trainings are not limited to the areas of agriculture but also include more widely applicable skills such as negotiations and entrepreneurship. As mentioned above, the opportunity to supply the oil sector will be there but only for a limited time period with the peak happening during the construction period. What is more important is that local farmers’ capacity is developed meanwhile so that they have the entrepreneurship and skills to respond to the changing market demand in the longer term.

In summary, it is an opportunity for the Albertine to further develop, building upon and expanding existing sectors, taking advantage of the increased infrastructure investment in the region, more active involvement in various areas by the central government, the private sector, donor agencies as well as international NGOs. 12.4.4 Major Economic Opportunity Constraints in the Albertine

The following have been identified as the key constraints that may prevent the people of the Albertine region from taking full advantage of upcoming opportunities that the oil sector development is expected to bring:

▪ Unrealistic expectations and lower education levels; and


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▪ Weak environment for fostering the private sector businesses.

While others such as physical infrastructure gap, issue of speculators grabbing land in the region raising overall cost of living and pushing local people away, etc. are also considered constraints/problem, these are not discussed here as they are discussed in much more detail in elsewhere in this report. Unrealistic Expectations and Lower Education Levels

It has been repeatedly mentioned during stakeholder consultations that many people in the Albertine region, in particular in the Study Area Central, have unrealistic expectations that the oil sector revenues would be somehow distributed to them without them doing anything. In other words, they do not have an understanding that the oil sector development and other associated developments, investments and activities will create business opportunities for them to benefit from. This is perhaps the single most critical constraint – to benefit from opportunities, they obviously have to first recognize the opportunities. Likely related to the above are the lower education levels of the population of the Albertine region. The national literacy rate of Uganda is 73%93. The entire Albertine Region lies within Northern and Western administrative regions of Uganda, where the literacy rates are estimated to be 64% and 71%94, respectively, lower than the national average. Further, consultations indicate that the literacy rates are particularly lowerin what they call Bunyoro region (within the Study Area Central, including Hoima)95. And the lower education levels are also one of the reasons for weak capacity. These three issues – unrealistic expectations and the lack of awareness of business opportunities, lower education levels, and lack of capacity/skills – are all deeply inter-related. More efforts will be required to properly inform the local residents of what the oil sector development means to them to manage their expectations but also to enable them to see it as something that provides them with opportunities that they can take part in, and help them develop the capacity to be able to participate in economic opportunities directly or indirectly induced by the oil sector development. Weak Environment for Fostering Business

A vibrant private sector is critical for economic development. The private sector is the major contributor of the economy and the national revenue, and the largest employment provider96. To foster active private businesses, the government has an important role to

93 As of 2009/2010. 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013. 94 As of 2009/2010. 2013 Statistical Abstract, Uganda Bureau of Statistics (UBOS), August 2013. 95 No concrete data available. 96 The private sector is estimated to provide 90% of the jobs according to “About Doing Business: Measuring for Impact” <<http://www.doingbusiness.org/~/media/GIAWB/Doing%20Business/Documents/Annual-Reports/English/DB14-Chapters/DB14-About-Doing-Business.pdf>>

“Many here think that the President will one day show up and put cash in their pocket. So, they think they can sit back and do nothing.”

From a stakeholder interview in the Albertine Region


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play; the government needs to create an enabling environment for the private businesses. This is critical not only for general development of Uganda, but also is essential if Uganda hopes to fully benefit from the oil sector development. Currently, Uganda is ranked 132 out of 189 countries for “ease of doing business”97. Within the EAC, Rwanda is the front runner, ranked 32 in the world, well ahead of all the other EAC Partner States, as shown in Table 12-2.

Table 12-2: Ease of Doing Business Ranking, 2014

Country Rank

Rwanda 32 Kenya 129 Uganda 132 Burundi 140 Tanzania 145

Source: World Bank Doing Business Data

The ranking is done based on a number of indicators. Figure 12-8 shows the ranking of Uganda in comparison with the other EAC countries for ten doing business indicators.

Figure 12-8: Doing Business Ranking by Indicator, 2014

Source: World Bank Doing Business Data <<http://www.doingbusiness.org/data>>

97World Bank Doing Business Data <<http://www.doingbusiness.org/data>>


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In particular, the areas that Uganda is weak (or fairs poorly compared to its neighbouring countries in the EAC) are:

▪ Starting business; ▪ Getting electricity; and ▪ Protecting investors.

According to the Doing Business Indicators, starting a business in Uganda takes 15 procedures, taking 32 days on average.98 The number of procedures required is significantly more than other EAC countries, particularly compared to Burundi and Rwanda, both of which have recently made substantial improvements. Concerning the time it takes, Uganda’s situation has worsened for the last couple of years, as shown in Figure 12-9 below.

Figure 12-9: Starting Business Procedures and Time

Number of Procedures

Time (days)

Note: To have a comparative picture, Singapore, which is ranked No. 1 in the ease of doing business, is included in the graphic presentation.

Source: World Bank Doing Business Data <<http://www.doingbusiness.org/data>>

The lack of electricity is known to be one of the key impediments to expanding Uganda’s agro-processing industry. While the number of procedures required to access electricity in Uganda is more or less similar to other EAC countries, it is estimated to takes more than four month to get electricity and cost over 13,000% of income per capita, which would be very expensive for the general population. While Uganda’s ranking is not the worst in the EAC, it is clear that electricity is among the key obstacle to industry/business development in Uganda.

98 World Bank Doing Business Data <<http://www.doingbusiness.org/data>>


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Attracting investment also requires that investors are protected. However, Uganda’s environment is ranked 115, which is the lowest in the EAC, with a low rating for business transaction transparency. In addition to the above, Uganda has a very cumbersome property registration process, requiring 11 procedures (as compared to five in Rwanda). The difficulty in registering property is one of the main reasons for the difficulty in access to credits/financial resources for many because banks in Uganda typically require physical security, such as land, for providing loans. The lack/difficulty of access to financial resources in Uganda is also indicated by the amount of domestic credit to private sector by banks expressed in percent of GDP as follows.

Figure 12-10: Domestic Credit to Private Sector by Banks (in % of GDP), 2012

- Note: No data available for Rwanda.

Source: World Development Indicators (WDI) database <<http://data.worldbank.org/products/wdi>>, World Bank, downloaded on May 1, 2014.

12.5 Issues Relevant to the PDP From the economic development point of view, the issues that would be most critical in relation to the physical development plan are:

▪ Creation of enabling business environment; and ▪ Development of human capital/capacity.

While the government plans to invest oil revenues to address infrastructure gaps, public investment will not be sufficient on its own although it is one of the important enablers of economic development. There is a need for private investment, and to attract more of such investment, there is a need for improving the business environment in general. In particular,


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the issue of access of finance appears problematic, combined with the complex and lengthy land registration process. For the private sector to thrive, in addition to the enabling business environment mentioned above, human capital / capable and innovative human resources is essential, whether be it the agricultural sector or the oil sector. While the degree of sophistication required for these sectors may vary, overall capacity strengthening will needed in order to enable them to see/recognize potential economic opportunities and respond to them. This, in turn, would help the private sector further to thrive, creating the virtuous circle of development.


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13On-going and Planned Projects

Introduction

This Chapter outlines some of the known government-backed projects that are either planned or on-going in the Albertine. These will be incorporated into the Albertine PDP with suggestions made for others in support of long-term regional development.


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13.1 Planned and On-Going Projects in the Albertine Table 13-1 presents the known major projects being planned or undertaken in the Albertine with government involvement. Many of these have physical planning implications and will be taken into consideration. Additional data on proposed private sector initiatives continues to be sought.

Table 13-1: Projects in the Albertine

Hoima District Name of the Project Funder

Preparation of the Physical Development Plan (Hoima Municipality)

Preparation of 8 Physical Dev. Plans in Hoima and Buliisa

Infrastructure development (roads) e.g Hoima- Butyaba, Kaiso tonya road, Hoima- Kyenjojo e.t.c

Preparation of the Physical Development Plan for Sebigoro TC

Construction of the oil refinery at Kabaale

Hydro power Dam Construction on R. Waki & Nkusi

Waste treatment Plants

Develop market and access roads

USMID/ Min. of Lands, Housing & Urban Development GoU World Bank & GoU (Road fund) Sebigoro TC GoU GoU/ Min. of Energy Individual based projects TBD

Kiryandongo District

Hydro power Dam/ SINO Hydro on Karuma falls

Infrastructure development (Roads)

World Bank GoU/ Road fund

Nwoya District Agagu Hydro power project GoU/ Min. of Energy

Buliisa District

Preparation of the Physical Development Plans for Butiaba,

GoU


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Buliisa and Sebigoro

Develop market and access roads

TBD

Kamwengye District

Infrastructure (Roads) e.g Kamwengye- Fortportal Rd, Kamwengye- Ibanda Rd

Hydro power Dam on R. Mpanga

GoU GoU

Kasese District

Hydro power projects on R. Kaka, R. Rwimi, R. Nyamwamba & R. Rubiriha

GoU

Rubirizi District

Hydro power Dam on R. Kyambula GoU Bushenyi District

Titling of all government land (Ishaka-Bushyenyi Municipality)

Ishaka-Bushyenyi Municipality


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14IEC Programme

Introduction

Information, Education and Communication (IEC) are all critical to the sustainable preparation and implementation of the Albertine PDP. This Chapter outlines the strategies being employed during PDP preparation, and those proposed to continue during PDP implementation. Reaching a full cross-section of the population from local farmers to national level decision makers is the goal.


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14.1 Introduction The Albertine Graben is a diverse and dynamic region that encompasses 25 Districts, 7 Municipalities (Arua, Masindi, Hoima, Fort Portal, Kasese, Rukungiri and Bushenyi-Isaka) and 45 Town Councils. Moreover, the Graben has been, and will further be, impacted by the recently discovered oil deposits that will inevitably lead to further exploration and production activities. Considering such a scenario, preparing the Physical Development Plan for the Albertine Graben Region is a complex and multi-dimensional exercise. The Plan aims at addressing social, economic and environmental issues, and providing a framework for future development in a sustainable manner. The preparation of the comprehensive Plan and its implementation is supported by an Information, Education and Communication Strategy (IEC) based on four criteria: relevancy, efficacy, effectiveness and sustainability. The IEC provides the guidelines and tools for information dissemination, creating awareness and educating government officials and the society in general regarding the Plan. A combined (government/society) effort is paramount for effective implementation of the IEC. The Ministry of Lands, Housing and Urban Development (MLHUD) understands the importance of the IEC Strategy for engaging the maximum number of people in a participatory process for an effective implementation of the Plan. The complete IEC Strategy will be presented in the subsequent phase of the Project. The sections below present the proposed structure and an overview of IEC activities completed to date.

14.2 Understanding IEC IEC is a tool for sharing information and ideas while promoting awareness and encouraging changes in attitudes and behaviours. An IEC Strategy must take into consideration cultural aspects and adopt locally accepted messages, viable methods and available channels of communication. The implementation of an IEC Strategy is an active and continuous process that requires multi-stakeholder efforts. IEC is a two-way process where people feed each other information, ideas and thoughts in order to reach a common understanding, increasing the chances of maximum benefits for all. 14.2.1 Information

Carefully defining the information to be disseminated is a critical starting point. The information disseminated through the IEC Strategy must take into consideration the targeted audience's social-cultural aspects, their living environment, needs and aspirations. Moreover, a thorough understanding of the project’s objectives is also fundamental.


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14.2.2 Education

Education implies an increased awareness resulting in changes in attitude and behaviours that may have been entrenched for years. People go from being unaware of an issue, to being concerned and aware, seek information, and learn how to apply this to new behaviours. 14.2.3 Communication

Effective communication is fundamental for the success of an IEC Strategy. Communication is part of our daily lives, but in the case of a specific campaign, specific and effective methods should be considered. Proper communication involves talking and listening. There are different models and types of communication for achieving different results including direct interpersonal (face-to-face) and mass media communication. These are complementary and both are needed.

14.3 The IEC Strategy

14.3.1 Goal & Objectives

The overall goal of the IEC Strategy is to enhance people’s ability to contribute to planning and implementation of the Physical Development Plan for the Albertine Graben by promoting awareness and supporting attitude/behaviour change towards actively participating in effective interventions to their environment. The IEC will focus on social, economic and environmental components. Key objectives of the IEC include to:

▪ disseminate information ▪ enhance public awareness; ▪ enhance people’s social, economic and environmental knowledge of the potentials

resulted from the Plan; ▪ seek people’s participation/contribution regarding sharing opinions and ideas; ▪ encourage people to be responsible for their own actions towards their living

environment

14.3.2 Approach & Methodology

The IEC Strategy recommends an integrated approach focused on the Plan preparation process as well as its implementation. The integration aspect will also emerge from the multi-stakeholder participation approach involving ministries, municipal councils, local governments, individuals, NGOs and CBOs. If the IEC is implemented in its whole, people will demonstrate effective results inlcuding higher levels of knowledge about the Plan's impacts (positive/negatives) on their lives; higher levels of participation; higher levels of education and ownership; and higher levels of decision-making power.


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14.3.3 IEC Materials & Activities

The IEC Strategy materials include: ▪ Printed material (posters, pamphlets) ▪ Mass media (radio programmes, talk shows, newspapers’ articles, newsletters) ▪ Innovative ideas (text messaging (SMS), emailing; Facebook posts/chats) ▪ Local events (workshops, drama sessions, face-to-face discussions)

The variety of materials aims at reaching as many people as possible with varying degrees of media access and literacy. Tangible material should be affixed in public areas such as government offices and community centres. Figure 14-1 illustrates a poster sample. During the Plan preparation phase, posters will be updated and shared with the MLHUD and Municipal Councils for distribution. 14.3.4 Targeted Audience

The effective preparation and implementation of the Physical Development Plan for the Albertine Graben Region is paramount for the sustainable development of the nation. Therefore the IEC will target the whole Ugandan society. The most directly targeted groups, however, are government officials (decision makers) and people residing in the Albertine Graben.

14.4 Monitoring Effectiveness Monitoring the results from the IEC is critical for assessing effectiveness. Apart from the fact that results may emerge in the short, medium and long terms, the MLHUD should monitor changes from the existing behaviour patterns. Determining the effectiveness of the existing campaign is critical for potential re-direction for achieving best results. Monitoring indicators include:

▪ Number of people contacting the consulting team MLHUD and Local Government offices;

▪ Number of people attending the participatory events; ▪ Number of emails, texts and posts through social media; ▪ Number of calls during radio programmes and talk shows; ▪ Relevance of inputs.


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Figure 14-1: Poster 1 (English/Rutooro/Runyoro)

14.5 IEC Progress to Date (Situation Analysis Phase – May 2014) The IEC Strategy has been implemented from the beginning of the Project. The consulting team has worked in close collaboration with the MLHUD and other key stakeholders to maximize information dissemination, education about the project in general, and opening channels of communication for participation. As part of the Strategy for the preparation of the Albertine Graben PDP, the consulting team followed the multi-stakeholder participatory approach and implemented the following:

1. preparation and delivery of posters 1 and 2 (See Figure 14-1 and Figure 14-2) 2. prepared a first newspaper article (pending publication); 3. following and feeding information through email and Facebook accounts; 4. held official meetings with various government agencies; 5. held various meetings with the private sector and NGOs; 6. held local (Albertine) events inlcuding meetings, workshops, working sessions, face-

to-face discussions and conversations;


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7. held field visits to various localities within the Graben; 8. proposed first of a series of multi-media press conferences.

Figure 14-2: Poster 2

Table 14-1 presents in detail all IEC activities engaged in by the consultant to date.

Table 14-1: Activities/Stakeholders

Activity Location Stakeholders

Workshops Kampala MLHUD Hoima Multi-stakeholders Fort Portal Multi-stakeholders Official Meetings (Public Sector/Government)

Kampala MLHUD; MEMD – PEPD; Ministry of Trade, Industry and Cooperatives;

NEMA National Fisheries Research

Institute MoWE National Forest Authority MoWE Uganda Wildlife Authority National Planning Authority Uganda Tourism Board Uganda Chamber of Commerce Uganda Bureau of Statistics Chief Government Valuer

(MLHUD) World Wildlife Fund (WWF)

Uganda (NGO) WACSOF (NGOs) International Alert (NGO) Civil Society Coalition on Oil and

Gas


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Tullow, CNOOC and Total Arua District Local Government Office Municipal Council Rhino Camp Sub-County Local Government officers Hoima Hoima District Council officers Kabarole District Local Government

Officer; Municipal Council officers; Ishaka-Bushenyi District staff; Uganda Export Promotion Board; Uganda National Bureau of

Standards Uganda Industrial Research

Institute; MAAIF- Entebbe

NAADS Commissioner Planning; Commissioner Crop Production; Western Region Officer

Formal/Informal Meetings/Discussions (Private sector, NGOs, individuals)

Ferry Crossing Total employee

Uganda Wildlife Authority WB Official Hotel owner Murchison Falls National Park Hotel employees Murchison Falls National Park Business (small) owner Pakwach Queen Elizabeth National Park Hotel employee Kisenyi (Fishing Village – Lake

Albert) Fishermen

Arua Production staff Musician Airtel Regional Manager Businessman Adjumani Production staff;

Market vendors Kobolo District Physical Planner

Private sector Physical Planner preparing plan for Kuluba border town

Masindi

Political leadership; Technical staff in production directorate; Input dealer; Market vendors/Traders; Masindi District Farmers Association; Hotelier; NFA District Range Officer;

Budongo Central Forest Reserve

Attempted meeting with Forest Officer

Buliisa Fisheries Department office (attempted, office closed)

Butiaba Field observations Port construction workers

Wanseko fishing village Informal interviews with fishermen;


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Boat ride with local fishermen into Nile Delta to observe fishing activities

Kisenye Informal discussions with local fishermen

Murchison River Lodge Informal discussions with lodge manager

Total Camp Bungungu Gate Meeting Camp Manager Vincent, Social Affairs Coordinator David Abang; Informal discussion with Ronald Angutoko, Environmental Field Officer.

Total exploration well Buliisa Total officials Murchison Falls NP south Nile Moses Dhabasadha, Warden: Oil

Monitoring; Uganda Wildlife Authority MF NP; Informal discussion with Red Chilli staff

Hoima Production staff; Hoima district Farmers Association; Farmer s in town; Farmer group out of town; TraidLinks;

Kabarole PRICON area cooperative managers; Farmers association; Market vendors

Hotel manager / staff Bunyoro Business Club Ugandan Bank’s Hoima branch Tradelinks (NGO) Bushenyi Sub county farmers groups;

Presidential Initiative on Banana Industrialisation and development; Bushenyi District Farmers Association; Western Ankole Civil Society Organisations

Stakeholders Working Sessions (SWS)

Arua Public sector and NGOs (20). Private sector also invited

Adjumani Public sector (12). Private sector and NGO also invited

Hoima Public sector and NGOs (20). Private sector also invited

Fort Portal Public sector and NGOs (20). Private sector also invited

Ishaka-Bushenye Public sector and NGOs (12). Private sector also invited

Field Visit/Observation Arua, Rhino Camp, Kobolo, Moyo, Masindi, Pakwatch, Nebbi, Gulu, Hoima, Buliisa, Butiaba, Fort Portal, Ishaka-Bushenye, many other towns, villages and general countryside in the Graben

Kaiso-Tonya Tullow field operations and community investments


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14.5.1 Monitoring and Evaluation

As outline in a previous section, assessing the effectiveness of the methods and materials adopted in the IEC is critical for enhancing the process and achieving best results. The consulting team has been monitoring the progress of each activity and adjusting as needed. The assessment of effectiveness presented below focuses on stakeholders’ engagement and levels of feedback/inputs from the activities implemented during the Inception and Situation Analysis Phases. Table 14-2 presents a scoring/marking assessment.

Table 14-2: Activity Assessment

Workshops High Engagement by Public Sector

Only at Sessions

Stakeholders Working Sessions (SWS)

High engagement by public sector

Very significant level of inputs during sessions. Expressions of appreciation for the process held after the sessions

High engagement by NGOs

Very significant inputs during sessions

Very low engagement by private sector

Significant inputs during sessions

Official Meetings (public sector)

High engagement by public sector

Very significant inputs during meetings

Medium engagement with private sector (oil industry sector mainly) due to the need for government to facilitate

Significant inputs during meetings

Formal/Informal Meetings (Private sector, NGOs, individuals)

High engagement by all we talked to informally

No inputs post-meetings

Questionnaires to Public Sector officials

Sent to approximately 100 WS participants for follow-up inputs. Almost zero response.

Not effective, only 2 or 3 replies. Suggests lack of motivation, or senior guidance

Posters No engagement No inputs

Emails Very low engagement No inputs

Facebook Very low engagement Very low level of inputs

SMS No engagement No inputs

CPCS office visit No engagement

No inputs

High Medium Low None


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The assessment suggests that the higher level of engagement came from activities directly lead by the consulting team and mostly involving the public sector. Any follow-up requiring a level of independent self-initiative is not effective. Appears to reflect a lack of motivation and serious commitment to the work. Social media methods have not been effective. External factors such as limited access to computer and internet as well as weak telephone network may have influenced this result. Self-initiative for seeking information requires an attitude/behaviour change. During various activities the attitude was commonly encountered of “government should provide us information” and never “I should seek information for our common benefit”. Nevertheless, people demonstrated high interests in participating and welcomed future practical interactions through face-to-face working sessions.

14.6 Way Forward The IEC Strategy will continue to adopt the integrated approach and multi-stakeholder processes as these have proved effective. As the preparation of the Albertine PDP progresses, the consulting team will prepare new posters and continue pushing for more interaction highlighting the importance of planning ‘together’ with all citizens of Uganda for the benefit of all. Proposed methodologies of an on-going series of media press releases, press conferences and radio talk shows would reach the largest proportion of the population. These require government intervention and approval. To date the Team has not been successful in having these approved or organised. For the project's next phase, the preparation of Draft Physical Development Plan, the consulting team will link the IEC Strategy with the Training component. Key stakeholders will be invited to join the consulting team to prepare the Draft Plan, expanding their awareness and ownership for the Plan. The Draft Plan will be drawn from all inputs from previous phases.

14.7 IEC for Physical Plan Implementation The implementation of the Physical Development Plan for the development of the Albertine Graben for the next 25 years will require a systematic delivery of various methods of information dissemination. A plan is not a project and the implementation of the IEC should enforce this notion for sustaining short, medium and long term development. Creating

“I now feel prepared for participating. This hands-on approach made me think differently” (Ishaka-Bushenyi SWS participant)

“This was a very interactive session; in Hoima it was unique (Hoima SWS participant) “it was a wonderful exercise” (Hoima Hoima SWS participant)

“I like the mind-mapping tool” (Fort Portal SWS participant) “Looking forward for more interaction” (Fort Portal SWS participant)


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awareness of the possible positive and negative impacts, particularly from the oil industry, is fundamental for people to understand their rights, roles and responsibilities (ownership). The IEC should clearly provide guidelines for communal and individual actions on a daily basis decisions and interventions to manage their physical environment. Messages must be clear, simple and based on local realities and aspirations while enhancing real opportunities for benefiting from potential regional and local economic growth. Local government authorities and leaders must be prepared to support their communities. The IEC Strategy, adopting local languages (and English), should be implemented through:

▪ Billboards ▪ Posters ▪ Talk shows ▪ Drama ▪ Radio programmes ▪ Newspaper articles ▪ Workshops (District and community levels) engaging NGOs/CBOs ▪ Political leaders’ guidance ▪ Church/Cultural leaders’ guidance ▪ Schools leader – involve the children of ‘today’ for a better ‘tomorrow’ ▪ Social media

Figure 14-3: Poster Sample Addopting Visuals

Source: MLHUD


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15Issues, Opportunities, Constraints

Introduction

This Chapter presents a summary of key development Issues, Opportunities and Constraints identified to date. These will form the basis of the Albertine Graben Physical Development Plan to be prepared in the next phase of this assignment. The majority of these items emerged from the intensive stakeholder participation sessions held throughout the Albertine.


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15.1 Albertine Development Issues, Opportunities and Constraints The form and content of the Albertine Graben Physical Development Plan will be the direct result of responding to the Issues, Opportunities and Constraints identified for the future of the region. Table 15-1 presents of summary of the priority ones gathered to date from a combination of field observation, stakeholder inputs and consultant experience. It is clear that significant opportunities exist for future development and improved social and economic conditions in the region. Chapter 3 presents a much more detailed list directly from stakeholders. At the same time, retaining a high level of sustainable environmental and natural resource management will pose challenges to government, the private sector and communities. Map 15-1 suggests some of the growth directions and opportunities to be further explored in the subsequent Albertine Graben Physical Development Plan.


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Table 15-1: Albertine Summary Issues, Opportunities and Constraints

Planning Component Issue Opportunity Constraint

Social Development Population Growth - probably the single largest challenge

to the Albertine as use of finite resources increases. Water shortages are already evident - Cultural traditions continue to support large families

Lack of Health and Regional Referral Hospitals in many areas

- identified as a priority need in many Districts to improve health and productivity

- GoU shortage of funds for both capital costs and recurrent operating costs - shortage of qualified professionals

Shortage of Post Secondary Education Facilities: Branch Universities, Vocational Schools

- desired to help create employment opportunities in a diversified economy - target to market needs - help to keep populations in secondary centres

- GoU shortage of funds for both capital costs and recurrent operating costs

Refugee influx - bringing some economic development with cash inflows - NGO employment opps

- overloading local services and infrastructure - increasing costs to locals as markets are distorted

Housing stock inadequate - gov't could strengthen facilitation through land and infrastructure management, encouragement of lower-income financing mechanisms

- too often perceived as a direct Governemnt responsibility - gov't. should only be facilitator - better housing relies directly on overall better economy

Cultural Heritage Management Traditional land ownership and settlement patterns

- need to recognize in planning and development to ensure locally acceptable integration of tradition with contemporary needs

- communal land ownership "tangles" development with lack of clarity of ownership and limited/no collateral capacity - attitudes to outside investment on


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communal land may restrict development

Economic Development Oil & Gas benefits - expecting O&G benefits to be distributed for better regional and national infrastructure

- managing expectations is a challenge for government and oil industry - Ugandan reserves are small and run risk of creating long-term damage to other sectors for short-term gain

Agriculture - the Base - will remain the foundation of the economy for the foreseeable future - re-invest O&G revenue into modernising the sector - invest in agro-processing industries for value-added - marketing support through central markets and storage facilities

- sustainable and integrated Natural Resource Management is essential, but shows national signs of degradation - transport and power infrastructure essential - requires investment

Tourism - over 70% of Uganda's tourism revenue is from the Albertine with scope for increases

- as with agriculture, sustainable and integrated Natural Resource Management is essential, but shows national signs of degradation - being sacrificed for short-term, limited O&G gain

Regional trade - improved infrastructure will help support significant levels of trade with South Sudan, DRC, Rwanda and flow-throughs to Kenya and Tanzania

- political and security unrest in neighbouring countries both creates and inhibits economic gains - investments needed to improve linking infrastructure

Infrastructure Development Connectivity - improved road, rail, water and air infrastructure throughout the Albertine and linkages to the rest of the country and region would greatly enhance trade and industry opportunities

- significant investment funds required along with supporting institutional capacities to sustainably Plan, Implement and Manage


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- involve the private sector through PPP

Lack of power throughout region - develop significant mini-hydro capacity in the Albertine - promote alternative energies, solar, biomass - power limitations are holding back industry in many areas

- major proposed Nile hydro projects run risk of unsustainable natural resource damage, impacts on tourism and regional Nile Basin concerns

Water supply - improved useage of L. Albert and Nile sources are proposed, but extraction capacities are considered limited

- water supply deficiencies are showing up in many areas. - there are extraction limits to all sources - population growth will exacerbate the problem - Climate Chanage impacts will likely aggrevate the situation

Sewerage systems - should be a priority opportunity to develop in all major centres for improved health, environment and productivity

- centralised water-borne systems with environmentally sustainable treatment require large capital investments and strong institutions

Solid waste management - an opportunity to greatly improve urban environments for both residents and visitors - PPP is quite possible with SWM

- requires community sensitisation - requires some capital commitment and significant operating capital - fee collection is always a difficult concept to introduce

Financial Management Access to investment capital - new industry, commerce and individual home buyers are all looking for improved and affordable long-term financing to develop the Albertine

- traditional/communal land without titles is of low value as collateral limiting development finance - Banking sector currently does not provide adequate long-term financing

Financial literacy - an opportunity to educate population on use of capital including

- limited experience managing finances for a large portion of the population


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compensation from O&G used to day-by-day subsistence

existence Instiutitional Capacity - an opportunity to strengthen

capacity for better management of local government funds

- limited capacity and limited instituitonalisation of management processes impeding development

Institutional Development Government Institutional Capacity - recognized as the key to sustainable planning, implementation and management of regional development - qualified individuals need institutionalised support

- current Local Government capacities considered weak - human and particularly financial - inadequate central government revenue transfers highlighted as problem

Physical planning capacities - detailed local government physical planning is key to implementation of the Albertine PDP

- planners have skills and capacity but no supporting funding provided by gov't. - lack capacity to do adequate detailed planning

Political will and coordination - a need/opportunity to coordinate political and technical agendas for integrated, sustainable development

- political promises/actions too often contradict technical recommendations or local capacities

Building and planning standards are too high

- need to be revised to reflect local conditions - should be developed with local bottom-up inputs to be appropriate and enforceable

- often not reflecting socio-economic realities - impose unaffordable or unimplementable standards leading to by-passing of regulations

Policy and by-law development - should emphasise development of locally appropriate bottom-up by-laws

- most are top-down developed and imposed on local populations resulting in non-implementation/ enforcement

Physical Planning Integrated, Comprehehsive Physical Planning

- Planning should integrate all sectors and include linkages to surrounding areas

- current Structure Planning does not adequately consider infrastructure development - current Municipal and Town planning stops at boundaries without


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regional considerations

Pariticipatory Planning - an opportunity/need to develop all-inclusive, highly participatory planning involving cross-section of stakeholders

- Planning is typically top-down without adequate participation, consultation and therefore goes un-implemented

Planning standards too high - see note above Customary Land Ownership - an opportunity/need to review land

tenure conditions particularly in urban settings where customary attitudes may impede rational, economically sound development

- difficult to implement plans because of customary land ownership constraints - lack of incentives to develop vacant, speculative or customary lands in urban centres

Urban Renewal and sprawl control - the most socially, economically and environmentally sustainable form of urban development is densification - maximise use of existing land and infrastructure - minimise loss of agriculture, enfironment through control of urban sprawl

- towns/government too slow in taking up urban renewal projects to increase density and limit sprawl - land tenure complexities and lack of development incentives drive new develop out to "greenfields"

Development Control - the key to orderly development for long-term sustainability of urban areas - applies equally to rural, protected areas, etc.

- ad hoc development is a major problem that needs control in all urban centres - lack of public development control awareness - lack of institutional capacity and political will to enforce

Environmental Management Environmental degradation and Natural Resource loss

- environmental management is the key to all social and economic development and survival - an opportunity for Uganda to develop and demonstrate a model of

- forests, wetlands, water bodies and their resources all being damaged by human actions, encroachment to support short-term goals without long-term consideration


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integrated, sustainable planning, implementatoin and resource utilisation - the Albertine is one of Uganda's and East Africa's most important biodiversity sites

- lack of institutional capacity, political will to enforce multitude of existing policies, legistaltion and regulations - lack of community sensitisation and involvement in regulation preparation

Climate change and desertification - aware these global facts are going to hit this region hard - already seeing dramatic changes in rainfall. No longer predictable for farmers - opportunity to develop disaster response and resilience strategies

- much is global and beyond the direct control of Uganda - subsistence level of economic development for majority makes big-picture thinking unrealistic

Alternative energies -- good solar, geo-thermal, bio-mass potential

- often high initial capital costs involved to make transition to sustainable, renewable energy sources


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Map 15-1: Albertine Growth Trends


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16Next Steps

Introduction

This Chapter outlines the steps anticipated to complete preparation of the Draft (and Final) Albertine Graben Physical Development Plan.


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16.1 Next Steps Following submission of this Situation Analysis Report to MLHUD on 16 May 2014, the following steps are anticipated: 16.1.1 Client and Stakeholder Review

The client, MLHUD will distribute copies of the Situation Analysis Report to their selection of stakeholders. Written comments will be completed and submitted to the Consultant by 31 May 2014. 16.1.2 Formal Presentation of the Situation Analysis Report

Following the Client and Stakeholder Review period, the Consultant will make a formal presentation of the Situation Analysis to the client and their selection of stakeholders to review the received written comments and other issues that may arise. 16.1.3 Preparation of the Draft Albertine Graben PDP

Immediately following receipt of written comments on the Situation Analysis Report, the Consultant shall commence preparation of the Draft Albertine Graben Physical Development Plan. Any subsequent comments received on the Situation Analysis Report will be incorporated as the work progresses. As with previous phases, this one will be prepared with the maximum amout of stakeholder participation permitted by the limits of time and resources. 16.1.4 Proposed Presentation, Consultation on the Draft PDP

As required in the TOR, the Consultant shall undertake consultations on the Draft PDP through a series of presentations and working sessions in Kampala and the Albertine. Details are yet to be determined. These sessions will be combined with training for MLHUD and local government planning personnel.


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Annexes Annex 1: Document List Annex 2: Contact List


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Annex 1: Document List

Document Author/Organization Year Additional Note

2002 Statistical Abstract Uganda Bureau of Statistics 2002 2002 Uganda Population and Housing Census, Analytical Report. Main Report/Abridged Version

Uganda Bureau of Statistics 2006

A National Water Policy Republic of Uganda; Ministry of Water, Lands and Environment

1999 Scanned Document

About Doing Business: measuring for impact

Doing Business 2014

Africa’s New Oil Economy: Managing Expectations

Brookings Institution 2011

Agricultural sector Development Strategy and Investment Plan (DSIP)

Ministry of Agriculture and Animal Industry

2010 Government of Uganda Planning Document

Albertine Region Sustainable Development Project (ARSDP) Resettlement Policy Framework Volume 1.

Republic of Uganda 2013 Final Draft Report.

Amuru DDP 2010-2015/16 Amuru District Local Government 2010 An Analysis of Bushmeat Hunting at Major Hunting Sites in Uganda. WCS Working Paper No. 38.

Wildlife Conservation Society Oct. 2009

An overview of coffee in Uganda Roni Babigumira Anaka Town Detailed Plan - Draft Anaka Town Council 2012 Soft Copy (Map only) Arua Town Reconstruction and Development Plan 2000

The Reconstruction & Development Corporation

1981 Hardcopy

Buliisa Town Structure Plan 2008-2018

Buliisa Town Council 2008 Soft Copy

Bushenyi-Ishaka Town Structure Plan 2008-2018

Bushenyi-Ishaka Municipal Council 2008 Soft Copy (Maps only)

Bweyale Town Structure Plan 2011-2021

Bweyale Town Council

Canadian RCM projected changes to extreme precipitation characteristics over Canada. Journal of Climate 15 May, 2011, pp2565-2584.

Mladjic, B., L. Sushama, M.N. Khaliq, R. Laprise, D. Caya and R. Roy.

2011

Carbon emission limits required to satisfy future representative concentration pathways of greenhouse gases. Geophysical Research Letters, Vol 38, L05805, doi: 10.1029/2010GL046270

. Arora, V.K., J.F. Scinoca, G.J. Boer, J.R. Christian, K.L. Denman, G.M. Flato, V.V. Kharin, W.G. Lee and W.J. Merryfield

2011

Community Development Toolkit International Council on Mining & Metals

July 2012

Constitution of the Republic of Republic of Uganda 1995 Soft Copy


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Uganda, 1995 Country Pasture/Forage Resource Profiles: UGANDA

Sandra M. N. Mwebaze 1999

Demographic and Health Survey, 1988/1989

Statistics Department; Ministry of Finance and Economic Planning

1989

Demographic and Health Survey, 1995

Statistics Department; Ministry of Finance and Economic Planning

1996

Demographic and Health Survey, 2000-2001


Demographic and Health Survey, 2006


Demographic and Health Survey, 2006. Key Findings


Developmental Regimes in Africa (DRA) Project. ASC-AFCA

African Studies Centre Leiden. Collaborative Research Group: Agro-Food Clusters in Africa (AFCA).

2013 Research Report 2013-ASC-2

Discoveries in the Albertine Graben of Uganda

Petroleum Exploration and Production Department

2013 Map Only

Discoveries in the Albertine Graben of Uganda


2013 Map Only

District Forestry Services Handbook The Forestry Sector Support Department Ministry Of Water And Environment

undated

District Forestry Services Handbook The Forestry Sector Support Department Ministry Of Water And Environment

undated

DOING BUSINESS IN THE EAST AFRICAN COMMUNITY 2013: Smarter Regulations for Small and Medium-Size Enterprises

Doing Business / The World Bank 2013

Drilled Wells in the Albertine Graben


2011

Drilled Wells in the Albertine Graben


2011

Economy World Development Indicators 2014

2014

Energy and Industry section of EPA Handbook on EIA (Chapter 10)

EPA

Enhancing National Participation in the Oil and Gas Industry in Uganda

Ministry of Energy and Mineral Development

2011

ENVIRONMENT AND NATURAL RESOURCES REPORT SERIES: Enhancing Wildlife’s Contribution to Prosperity

UNDP-UNEP Poverty-Environment Initiative Editors: Kaggwa, R., Hogan, R., and Hall, B.

2009

ENVIRONMENT AND NATURAL RESOURCES REPORT SERIES: Highlighting the Assets: Analysis of the integration of environmental issues into Uganda’s National Development Planning Process

UNDP-UNEP Poverty-Environment Initiative

2009


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ENVIRONMENT AND NATURAL RESOURCES REPORT SERIES: Enhancing Wildlife’s Contribution to Prosperity

UNDP-UNEP Poverty-Environment Initiative Editors: Kaggwa, R., Hogan, R., and Hall, B.

2009

ENVIRONMENT AND NATURAL RESOURCES REPORT SERIES: Highlighting the Assets: Analysis of the integration of environmental issues into Uganda’s National Development Planning Process

UNDP-UNEP Poverty-Environment Initiative

2009

Environment, Health and Safety Guidelines for Crude Oil and Petroleum Product Terminals

World Bank / IFC 2007

Environment, Health and Safety Guidelines for Onshore Oil and Gas Development

IFC/World Bank 2007

Environmental and Social Performance Standards

International Finance Corporation 2012

Environmental and Social Safeguard Policies

World Bank 2012

Environmental Management in Uganda's Oil and Gas Sector

Republic of Uganda 2011

Environmental Monitoring Plan for the Albertine Graben (2012-2017)

NEMA 2012

Environmental Sensitivity Atlas for the Albertine Graben (2010 version)

National Environment Management Authority (NEMA)

2010

Environmental, Health and Safety Guidelines for Petroleum Refining

IFC / World Bank

External Trade Statistics Bulletin Vol 4- 2006


Fisheries Act Republic of Uganda Five Year Development Plan FY 2010/11 – FY 2014/15

Bushenyi District Local Government 2010

Five Year Development Plan FY 2010/11 – FY 2014/15

Masindi District Local Government 2010

Five Year Development Plan FY 2010/11 – FY 2014/15

Kabarole District Local Government 2010

Fort Portal Town Structure Plan 2008-2018

Fort Portal Municipal Council 2008 Soft Copy (Maps Only)

Future Climate Scenarios for Uganda’s Tea Growing Areas

Anton Eitzinger, et al. Decision and Policy Analyses Group, International Center for Tropical Agriculture (CIAT)

2011


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Annex 2: Identified Stakeholders The following list should be read in conjunction with Table 14-1 in Chapter 14 outlining stakeholder meetings and other participatory activities.

Name Organization Position

Hon. Daudi Mogereko Ministry of Lands, Housing and Urban Development

Minister

Hon Irene Muloni Ministry Of Energy and Mineral Development Minister Hon. Tress Bucyanayandi Ministry of Agriculture, Animal Industry and

Fisheries Minister

Hon Adolf Mwesige Ministry of Local Government Minister Hon Amelia Kyambadde Ministry of Trade, Industry and Cooperatives Minister Hon Ephraim Kamiuntu Ministry of Water, Environment and Natural

Resources Minister

Hon Abraham Byandala Ministry of Works and Transport Minister Hon Tarsis Kabwegyere Office of the Prime Minister Minister Ministry of Finance, Planning and Economic

Development

Hon. Ruhakana Rugunda Ministry of Health Minister Directorates under Ministry of Lands Mr. Savino Katsigaire Directorate of Physical Planning and Urban

Development Director

Mr. Vincent Byendamira Ateenyi Department of Land Use Regulation and Compliance

Commissioner

Mr. Sam Mabala Department of Physical Planning Department of Urban Development Sarah Kulata Directorate of Land Management Director Kajumbula John Department of Surveys and Mapping Commissioner Ambassador Agnes Kalibala Directorate of Housing William Walaga Department of Human Settlement Department of Housing Development and Estates

Management

Departments Under Ministry of Energy Mr. Banaabe James Department of Energy Resources Department of Geological survey and mines Mr Ernest Rubondo Department of Petroleum Exploration &

Production Commissioner

Reverand Tukwasibwe Department of Petroleum Supply Commissioner Directorates under Ministry of Agriculture,

Animal Industry and Fisheries

Mr. Okaasai Opolot Directorate for Crop Resources Director Dr. Nicholas Kauta Directorate for Animal Resources Director Departments under Ministry of Local Government District Inspection


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Urban Inspection District Administration Local Councils Development Urban Administration Finance and Administration Departments under Ministry of Trade Industry

and Cooperatives

Department of Trade Directorates under Ministry of Water

Environment and Natural Resources

Directorate of Water Development Directorate of Environmental Affairs Directorate of Water Resource Management Directorates under Ministry of Works and

Transport

Uganda National Roads Authority Mr Wandera Directorate of Transport Director Eng Kavuma Department of Transport and Infrastructure Commissioner Civil Aviation Authority Dr. Obyero Mugisa Directorate of Engineering and Works Director Directorates Under Ministry of Finance Planning

and Economic Development

Directorate of Economic Affairs Department of Macroeconomic policy Department of Tax Policy Department of Economic Development Policy and

Research

Departments under Ministry of Health Department of Community Health Department of National Disease Control Department of Planning Directorates under Office of Prime Minister Directorate of Policy Coordination, Monitoring &

Evaluation

Directorate of Management of Special Programmes

Directorate of Disaster Preparedness Management & Refugees

Government Agencies National Environmental Management Authority

(NEMA)

National Forest Authority (NFA) National Planning Authority (NPA) Uganda Bureau of Statistics (UBOS) Uganda Investment Authority (UIA)


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Uganda Wildlife Authority (UWA) Uganda's Security Agencies Members of Parliament - Albertine Graben Local Council 5 Chairmen and Chief Administrative

Officers for all the 25 Districts

All District Planners for the 25 Districts All District Natural Resources Officers for the 25

Districts

All Environmental Officers within the 25 Districts All Senior Staff Surveyors within the 25 Districts All Municipal Council Planners for the 25 Districts All Town Council Planners within the 25 Districts Power Sector Uganda Electricity Transmission Company Limited Uganda Electricity Generation Company Limited Business Sector Uganda Chamber of Commerce Uganda Chamber of Mining Oil companies Tour and Travel Service Operators Hotel, Lodge operators Commercial Agriculture operators Mining Industry companies Private Transport Sector - Goods and People Trading and Wholesale operators Professional Bodies: Planners, Engineers,

Architects, Surveyors, Sociologists, etc.

NGOs, CBOs Cultural Institutions Faith-based organisations International Development/Funding Agencies Academia National, regional and international

CPCS Transcom International 1st Floor, Trident House, Lower Broad Street

Bridgetown, Barbados