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URA Moves to Secure Oil Billions Ahead of First Flow

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URA Moves to Secure Oil Billions Ahead of First Flow

by Walakira John
6 months ago
in NEWS
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By Mulengera Reporters

As Uganda approaches its first oil production, the Uganda Revenue Authority (URA) is intensifying efforts to ensure the nation’s oil wealth translates into tangible benefits for its citizens. With production on the horizon, URA is strengthening coordination with key petroleum players to guarantee transparency in tax administration and consistent enforcement of the law. By acting early, the authority aims to close potential gaps before the first barrel is pumped, placing revenue assurance at the center of national planning.

In high-level engagements, URA has worked closely with TotalEnergies EP Uganda and CNOOC Uganda Limited to harmonize the interpretation of tax laws, reinforce compliance systems, and ensure predictable reporting as the sector transitions into production. The strategy is clear: Uganda’s oil must generate fiscal stability, build investor confidence, and support long-term nation-building.

Beyond the oil fields, URA is reinforcing partnerships with major taxpayers. Commissioner General John Rujoki Musinguzi on Monday hosted a team from Vivo Energy Uganda, led by Managing Director Joanita Menya, at URA Nakawa. The discussions underscored the continued importance of collaboration with large taxpayers, whose compliance culture supports national revenue growth. Musinguzi reaffirmed URA’s commitment to proactive engagement across all sectors, emphasizing the authority’s dedication to nurturing an environment where compliant businesses thrive while advancing national development.

As Uganda prepares to enter its oil era, URA is positioning itself as a vigilant guardian of public revenue, determined to ensure the country’s natural resources drive inclusive growth and lasting prosperity. The nation is on track to achieve first oil production by July 2026, according to updates from the East African Crude Oil Pipeline (EACOP) project. Minister of Energy and Mineral Development Dr. Ruth Nankabirwa Sentamu recently confirmed the timeline during an inspection of Pump Station 1 in Kabaale, Hoima District, assessing progress on the 1,443-kilometre pipeline that will carry Uganda’s crude oil to the Indian Ocean port of Tanga in Tanzania.

Construction progress on EACOP has reached 79 percent, with strong momentum across construction, logistics, and installation activities. The pipeline itself is 62 percent complete, with over 1,400 kilometres welded and more than 500 kilometres already buried and backfilled. Land acquisition along the entire Ugandan route has been fully completed. At Pump Station 1, above-ground installation is advancing steadily, with concrete works largely finished, steel erection well underway, and piping and welding progressing as planned, supported by approximately 750 personnel on site. Line pipe manufacturing was completed in China in September 2025, while insulation works were finalized in Tanzania in December 2025.

EACOP operations in Uganda will be supported by Pumping Stations 1 and 2 in Hoima and Sembabule Districts, with power primarily sourced from the national grid. Construction remains at peak levels, with roughly 3,500 workers mobilized in Uganda and approximately 12,000 across both countries, driving the nation steadily toward its first oil. (For comments on this story, get back to us on 0705579994 [WhatsApp line], 0779411734 & 041 4674611 or email us at mulengeranews@gmail.com).

 

 

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