Parliament is set to pass the Bill that will kick-start the $3.5b oil pipeline project. The pipeline will help ship crude oil from western Uganda fields to international markets.

Deputy Speaker of Parliament Anita Among deferred the debate on the East African Crude Oil Pipeline (EACOP) Special Provisions Bill, 2021 to December 9, 2021.

On Wednesday, the plenary session presided over by Among considered the Bill clause by clause.

However, when the House failed to agree on some of the clauses, Among directed all parties to the Bill (majority and minority) to harmonise their positions so that the Bill is passed.

The EACOP is a 1,443km, 24-inch diameter heated and buried crude oil pipeline that will start from Kabaale, Hoima in Uganda to Chongoleani, Tanga in Tanzania.

The pipeline will have a manifold in Kabaale, six pumping stations (two of which will be located in Uganda), 27 heating stations and two pressure reduction stations.

The development of this pipeline is being led by the licensed upstream oil companies in Uganda, with participating interests by the Governments of Uganda and Tanzania.

Energy minister Ruth Nankabirwa told the House that whereas there has been some activities carried out in preparation for the project, no land has been acquired in Uganda.

She tabled the renegotiated oil agreements, and parliament passed 24 out of the 46 clauses of the Bill.

Government Chief Whip Thomas Tayebwa said after the plenary session that they hope to pass the Bill on Thursday.

"We have today made good progress on the processing of the EACOP Bill that will enable the kick-starting of the oil pipeline project," he said.

Uganda expects to begin pumping crude oil in 2025, and the petro-dollars it will earn will also be used to help revive the economy hit-hard by the coronavirus pandemic.

Government geologists estimated total crude reserves discovered in the Albertine rift basin at 6 billion barrels.

Uganda, Tanzania and oil firms Total and CNOOC signed agreements in April that will kick-start the construction of the pipeline.