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The transparency, transformation agenda

Elison Karuhanga

What you need to know:

“Govt’s role extends beyond publication; it must illustrate how these resources will be leveraged”  

This week marked a significant milestone for Uganda as it unveiled its second the Extractive Industries Transparency Initiative (EITI) report. 
EITI  traces its roots back to around 2003 when the UK government, in collaboration with numerous civil society organisations, issued the initial statement of the EITI principles. 

These principles were solidified during the Lancaster House Conference in June 2003. Over time, EITI has grown into a universally recognised benchmark for promoting transparency within the oil, gas, and mining sectors. 
Uganda became a proud member in 2019, and upon their accession, Ms Helen Clark, the chairperson of the EITI board, extended a warm welcome to Uganda, underlining how EITI implementation can establish the groundwork for managing the country’s natural resource wealth with transparency and accountability.
 
Her words resonate: “We welcome Uganda as an implementing country and look forward to EITI promoting inclusive public debate.”
The EITI standard mandates that governments not only disclose all payments they receive, but also provide detailed information about the companies engaged in the extractive industries. 
This mandate seeks to eradicate clandestine dealings and covert payments, casting a bright light on these transactions. Transparency, in this context, paves the way for legitimate dealings that attract the necessary investments. 

The EITI framework empowers civil society organisations, government bodies, and industry stakeholders by granting them access to crucial information. This framework facilitates discussions and agreements on pivotal matters such as the publication of contracts, licenses, and revenue. Uganda’s active participation in EITI is commendable, as it ushers in a multi-stakeholder group that scrutinises the government’s transparency efforts and provides constructive feedback.
It is imperative to emphasise that the scope of the EITI framework isn’t confined solely to the oil and gas sector; it extends its reach to encompass the mineral sector as well. 

As governments around the world endeavour to transition from fossil fuels to renewable energy sources for powering their economies, the role of the mining sector becomes increasingly vital. 
Uganda is blessed with a wealth of critical minerals such as lithium, copper, cobalt, and rare earth elements—resources crucial for the global shift towards cleaner energy solutions. 

Hence, maintaining transparency in the governance of the mining sector assumes paramount significance.
Nevertheless, transparency alone cannot be the sole objective. What truly matters is how these resources can drive transformative change within our nation. It is worth reiterating that in Africa, a staggering 900 million people lack access to clean cooking methods and are reliant on charcoal and firewood. 

Additionally, an estimated 600 million people have no access to electricity. Uganda’s recently unveiled energy policy paints a revealing picture, with just 19 percent of the population connected to the grid and nearly 40 percent having access to off-grid power. 

This sobering reality signifies that more than 40 percent of the country remains without access to electricity. Beyond meeting basic needs, ample power is indispensable for industrial growth. 
Thus, as we embark on the journey of transparency, we must also acknowledge the pressing need for progress. Africans can no longer afford to dwell in perpetual darkness and underdevelopment.

The call for increased openness and transparency is resounding, but we must couple this with active participation in the race for development, which powers our economies and brightens our homes. 
EITI serves as a critical step in this journey, but it is merely one of many steps required. Africa, home to 1.2 billion people, cannot continue to consume less energy than the five million people in Alabama, USA.

The government’s role extends beyond mere publication; it must illustrate how these resources will be leveraged to transform our economies. EITI is one block for the foundation of sustainable development, but we must add more blocks to construct the robust framework necessary for advancing our societies.


The writer is an advocate and partner at Kampala Associated Advocates 
[email protected]