[Dehai-WN] Africanarguments.org: Is Uganda's Oil region another northern Uganda in the making? - By Rose Nakayi

From: Berhane Habtemariam <Berhane.Habtemariam_at_gmx.de_at_dehai.org>
Date: Sat, 29 Jun 2013 12:40:49 +0200

Is Uganda’s Oil region another northern Uganda in the making?

– By Rose Nakayi

June 29, 2013

 
<http://africanarguments.org/2013/06/26/is-uganda%e2%80%99s-oil-region-anoth
er-northern-uganda-in-the-making-%e2%80%93-by-rose-nakayi/nakayi_rose/> A
recent workshop on “the politics of oil and gas in East Africa” run by
Makerere (Uganda) and Leeds (UK) universities, following a research visit to
Uganda’s Hoima District, has revealed much that makes me wonder if the oil
discovery in the Albertine region is not a twisted fortune. There is just
so much that makes the region a good candidate to become another northern
Uganda – the country’s most problematic region – in the coming years.

Oil discovery has led to high expectations for many in Uganda. The rhetoric
from many institutions, communities and individuals is chock-full of
references to poverty-eradicating development, but my own observations in
Hoima have revealed a number of key tensions and contradictions.

Among them is the indication that the discovery oil is no guarantee that the
strongly entrenched structures of poverty will be uprooted, or that the
fruits of development will be enjoyed by everybody. Rather, it presents a
skewed platform of risk and reward.

Whilst the most profitable positions in the industry are likely to be
occupied by persons already in positions of power, only in a few cases can
we expect those in the lower rungs to tap into the benefits of the industry
through, for example, opportunities for (petty) business or patronage. The
oil ‘blessing’ is therefore likely to be empowering for already privileged
groups and disempowering to the majority poor.

Indeed, the new industry seems to be producing new forms and dynamics of
poverty. To illustrate this, imagine that a poor land dependent peasant in
Hoima, whose dream was always to get one million shillings, is given five
million in compensation for his land (now part of an oil installation). He
celebrates his new status as a ‘millionaire’. He marries a second wife, and
also purchases a motorcycle (boda boda). He has lost ‘property’ (land and
house) and acquired, among others, a chattel. He has changed from being a
‘rich-poor-man’ to a ‘poor-rich-man’. If the motorcycle is stolen tomorrow,
he will still have to struggle; earn enough to maintain the rented house,
new wife and extended family.

The old form of poverty is replaced by a new form of complex poverty that is
not clearly detectable by the ordinary man. This is more so since he enjoys
the temporary ‘millionaire’ status, which in turn blurs his ability to
project into the future. These, according to a University of Leeds based
scholar (Jörg Wiegratz), are new trajectories of poverty which are
repercussions of the oil boom. They are clearly depicted in various subject
areas including land in the oil region.

Such cases are not obscure or isolated incidences in Hoima – many of them
are reminiscent of the situation in the period during and after the war in
northern Uganda. Land in Hoima is, for many, a source of livelihoods, yet in
order to pave the way for oil-led capitalist development, some people have
been compelled to give-up their land. There are cases where a meager or
questionable compensation was paid to the poor, leaving them economically
worse-off and dissatisfied. Here then, for the good of capital and wealth
creation for some, others have to suffer. This, however, does not rule out
that some poor people in areas of the Albertine are content or even happy
with the compensation given for loss of land.

Increased capital development, evident in a recent construction boom in
Hoima, when analysed reveals that the oil discovery has thus far entrenched
existing asymmetries of power, status and therefore access to opportunities
of wealth. In northern Uganda, similar things happened in the past years;
land was and still is a thorny issue. During displacement it was reported
that some powerful individuals grabbed land left behind by the displaced.
Yet, some of those land owners on which internally displaced peoples’ camps
were established complained of little or no compensation; a significant
parallel to the situation in the Albertine today. The distortion of the
livelihoods of these land-dependent communities and the contestation for
land in post-conflict northern Uganda presented new forms of poverty in that
region, just like in Hoima.

One wonders whether the people in Hoima are free to talk openly about
oil-related political and economic issues? I was personally surprised to
discover the extent to which open discussion is curtailed in the Oil region.
A casual conversation with a public servant that ended up with oil being the
subject evoked the question of whether or not we had permission; or whether
we were researchers in which case we needed permission to research
oil-related matters. One needs no skill at demeanor analysis to tell how
uncomfortable the ‘official’ gets when speaking about oil.

This reminded me of my first visit to northern Uganda in the late 1990s
during active combat. Although there was no formal rule making armed
conflict an illegal subject, people remained reticent talking about it –
many feared being labeled rebel collaborators. In the Albertine, depending
on what they say, those that talk about oil are likely to be labeled
anti-investment or anti-development.

The resulting silence speaks loudly about the value of information and
knowledge. In the Albertine situation, an informed community equipped with
knowledge could use it as its capital to analyze the activities of oil
companies, openly debating the implications of the industry for the
community concerned. One cannot rule out the possibility that such
discourses might lead to activities that may constrain the activities and
benefits of oil companies and government; for the benefit of the people. The
‘information gap’ is therefore detrimental to many community members and
more broad-based, equitable development from the oil industry, whereas it
benefits certain privileged classes.

This structure presents a situation in which those in better positions tend
to devise protectionist means to exploit those opportunities and advance
their material interests. The security presence of men in uniform in some
places in Hoima is therefore not surprising. These are protecting the
interests of the powerful companies and government interests; some places
are no go areas for the general public. Northern Uganda in the early 2000s
was not dissimilar – the presence of men in uniform there was officially
intended for the ‘protection’ of the people. Ironically for Hoima, the
protection is of ‘our’ oil sites, as well as the company premises and staff.
Indeed, this reference to ‘people’, if unpacked, reveals interesting
dichotomies. If oil is to be exploited for the good of the ‘people’ and the
nation at large, why would any reasonable person obstruct an activity
intended for their benefit”?

Forestalling the negative consequence of capitalist development in the
Albertine will require the concerted efforts of many actors, including the
local communities in the region, civil society organizations, scholars, well
intentioned donors and friends of Uganda. Northern Uganda became a region in
the 1990s and 2000s on which donors, civil society and other actors focused
for some time. Many moved there, (boots-on-the-ground), some acted, others
collected data, wrote reports, and for some it was mere ‘crisis tourism’.
Clearly, the impact was sometimes not commensurate to efforts. Also, the
politics around engagement did not at all times and necessarily result into
better lives for the victims of war.

We are seeing civil society today crafting strategic programs on oil,
businessmen trying to cut themselves out as the best in the region, scholars
strategically positioning themselves to study the situation, local and
international students coming in to research diverse issues related to oil
in the Albertine, and so on. This is not unlike the northern Uganda
situation, where the suffering of the people became schemata for western and
local scholarship, often benefiting more the scholars and students than the
studied communities. Granted, some development efforts and studies had a
very positive impact on the ground in northern Uganda. Also, just like in
northern Uganda, prices of basic commodities in Hoima have sky-rocketed to
the joy of some businessmen. This is partly due to the high demand by new
entrants in the region attracted by the oil industry, but many of the poor
can no longer afford basic commodities.

In conclusion, oil discovery in the Albertine region of Uganda can lead to
positive development outcomes if various aspects of oil politics are handled
more progressively. Uganda can reduce the likely negative consequences of
capitalist development. Proclaiming that all is well and everyone wins
(where it is not the case) is not sustainable and might pave the way for yet
another northern Uganda. Rather, we should face the conflict ridden
realities in the oil sector and search for ways through which they can be
negotiated and addressed. Uganda has previously seen positive legal, policy
and other approaches that have yielded some tangible results for the
majority poor. Northern Uganda is one such area where this is to some extent
evident. This positive legacy could be replicated in the Albertine oil-rich
region of Uganda.

Dr. Rose Nakayi is a Lecture at the School of Law, Makerere University &
Director (Ag.) Human Rights and Peace Center (HURIPEC).

 






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Received on Sat Jun 29 2013 - 06:40:57 EDT

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