Environment Management in the Oil-Rich Albertine Graben

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    ENVIRONMENT MANAGEMENT IN THE

    OIL/GAS RICH ALBERTINE GRABEN(AG)

    Presentation to journalist at the Africa Center forMedia Excellence (ACME)

    22nd August, 2012

    ByDr Tom .O. Okurut

    Executive Director, NEMA

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    OUTLINE OF THE PRESENTATION

    Background: env mgt and the AG

    Legal and institutional frameworks

    Technical preparednesso Issues and concerns

    Required Actions & Interventions

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    Environment Mgt in UgandaNEMA was mandated by the Uganda constitution (NEA Cap

    153) in 1995 to; coordinate, supervise, monitor and regulate all

    matters of the environment in Uganda.

    Essentially to regulate the interaction between people and the

    environment. This process in Uganda is decentralized, thus the

    need for coordination and supervision of stakeholders

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    Background to the Albertine Graben (AG)

    The AG (Arua-Kanungu) is the most important eco

    region in Africa as it hosts the continent's most

    endemic vertebrate species i.e.;

    14% of all African reptiles

    19% of all African amphibians

    35% of African butterflies

    52% of all African birds 39% of all African mammals

    70% of all Ugandan Protected areas are in theGraben

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    3N

    1N

    EA4B LAKES EDWARD-GEORGE BASIN

    Size 2,021sq.km

    Licensed to Dominion Petroleum Ltd on 27th

    July 2007

    EA4A LAKES EDWARD-GEORGE BASIN

    Size 3,812sq.km

    Not Licensed

    EA3A SEMLIKI BASIN

    Size 1,991sq.km

    First licensed to Heritage Oil and Gas Ltd as

    part of EA3 on 15th January 1997

    Re-licensed to Heritage Oil and Gas Ltd and

    Energy Africa (now Tullow Oil) on 8 th Sept 2004.

    EA2 LAKE ALBERT BASIN

    Size 4,675 sq.km

    Licensed to Hardman Resources Ltd and

    Enegy Africa Ltd (now Tullow Oil) on 8 th

    October 2001.

    EA1 PAKWACH BASIN

    Size 4,285 sq.kmLicensed to Heritage Oil and Gas Ltd and

    Energy Africa (now Tullow Oil) 0n 1st July 2004

    EA5 RHINO CAMP BASIN

    Size 6,040sq.km

    Licensed to Neptune Petroleum (U) Ltd ( Now

    Tower Resources) on 27th Sept 2005

    EA3B SEMLIKI BASIN

    Size 1,786 sq.km

    Includes Turaco Prospect Area

    Not licensed

    East Madi Wildlife Reserve

    Kabwoya Wildlife Reserve

    Semuliki National Park

    Rwenzori Mountains National Park

    Kibale National Park

    Murchison Falls National Park

    Queen Elizabeth NP

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    Some of the tourist attractions

    (vertebrates) in the AG

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    INSTITUTIONAL FRAMEWORK FOR THE

    MANAGEMENT OF ENVIRONMENTAL ASPECTS OFOIL & GAS

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    The Framework

    The current framework for management of oil & gasresource is under a programme called: Strengtheningthe management of oil & gas in Uganda.

    The Framework has 3 pillars: Resource management (PEPD),

    Revenue Management (MFPED, BOU & URA)

    Environment Management (NEMA)

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    Environmental Management PillarThe objective of the Environment Management

    pillar is:

    To contribute towards ensuring that oil/gas activities

    are undertaken in a sustainable manner bystrengthening the capacity of the other stakeholdersand overseeing the activities of other players in thepetroleum industry in accordance with Ugandasenvironmental policies.

    NEMA remains the coordinator of the Pillar by virtue ofits legal mandate as the principal agency forenvironmental management in Uganda

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    Environmental Management Pillar Institutions

    Other partner institutions include: Uganda Wildlife Authority

    Directorate of Water Resources Management

    National Forestry Authority

    Directorate of Environmental Affairs Directorate of Physical Planning and Land use

    The Department of Fisheries Resources

    Districts in the Albertine Graben

    These institutions work with other relevantinstitutions and organisations

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    INSTITUTIONAL AND TECHNICAL PREPAREDNESS FOR

    ENVIRONMENTAL MANAGEMENT IN THE GRABEN

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    Preparatory Studies & Tools in Place

    1. Environmental Sensitivity Atlas for AlbertineGraben

    The sensitivity atlas was prepared to show theenvironmental sensitivity of the Albertine Graben.

    Issues assessed included biological resources, waterresources, cultural sites, forests, wetlands, soils,

    settlements

    The information in the sensitivity atlas is the firstbaseline study undertaken for the Graben & forms thebasis for monitoring.

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    Environmental Sensitivity Atlas cont.

    The sensitivity of biodiversity can be

    categorized in terms of endemism and

    threatened species, or on species

    richness, among other categories

    The sensitivity atlas identified the

    following sensitivities:

    Sensitivity of Mammals to vibrationsfrom seismic survey, movement of

    heavy equipment & the drilling activity

    Sensitivity of fisheries resources to highfrequency noise from petroleumdevelopment activities; oil spills, &

    pollution from hydrocarbon compounds

    and chemicals from mud cuttings.

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    Sensitivity atlas cont

    Sensitivity of plants due to clearingof sites thereby causingdisturbance of vegetation; oil spillsand pollution.

    Sensitivity of wetlands due toexposure to potential threats ofexcessive water abstraction,degradation of water catchmentsand wetland conversions.

    Sensitivity of water resources(surface & groundwater) effectson quantity and quality e.g. thedelta region (richest in diversity withhighest oil prospects)

    Sensitivity of soils soil is prone toerosion due to improper land covermanagement & the erosive factor ofrainfall

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    Sensitivity atlas cont

    Map shows overallbiodiversity sensitivity,based on animal & plantspecies richness &conservation status.

    The delta region, MountRwenzori and Bwindi arethe most sensitive areas;followed by Murchisonfalls, Queen Elizabeth andthe Kibale national Parks.

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    Preparatory Studies & Tools in Place

    2. Environmental Monitoring Plan for the Graben, 2012Purpose of the Monitoring Plan

    This is a monitoring tool developed to be used for continuousmonitoring of changes in the environment of the Graben against

    sensitivities identified in the atlas. It is a tool to be used by all the institutions highlighted earlier.

    The Plan is expected to:

    Improve performance of lead agencies.

    Improve compliance levels.

    Enhance institutional collaboration.

    Encourage stakeholder participation in compliance monitoring.

    Enhance national capacity to assess, predict and mitigate likelyeffects of Oil and Gas activities on environment.

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    Environmental Monitoring Plan cont

    The Monitoring Plan is structured along 5 thematic

    areas:

    a)Aquatic ecological issues

    b)Terrestrial ecological issues

    c)Physical/chemical issues

    d)Society issues

    e)Management and business issues

    For each of these themes, specific institutions arecharged with the responsibility of undertaking the

    monitoring & reporting

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    Environmental Monitoring Plan cont

    The following have been undertaken to date: Data gaps in the sensitivity atlas have been identified for

    each of the themes & data filling initiated for thebaseline.

    Monitoring indicators for each theme have been

    developed, prioritized & tested. Monitoring manuals have been developed & are ready

    for use.

    Capacity needs assessment study was done for each ofthe institutions & both technical & resource (equipment &

    finances) needs were identified. A capacity development plan is being put in place

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    Environmental Compliance and

    Enforcement Activities As required by the

    National Environment ActCap 153, all ongoing oil &gas exploration activitieshave been subjected toEnvironmental Impact

    Assessment and approvalgranted by NEMA;

    Multi-sectoral monitoringteam (executive, technical& field-based) was put inplace to carry out quarterly

    monitoring & hasrepresentation from: NEMA, UWA,PEPD, NFA,

    DWRM, FD, DEA, DOSH

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    Compliance & Enforcement activities cont

    NEMA -

    opened a temporal field Office in the Albertine Graben in

    January 2010 with one staff;

    recruited 2 temporary staff to specifically handle oil & gasactivities, to be based in the field;

    has proposed to establish a regional office in Hoima to

    effectively manage oil and gas issues to cover the entire

    Graben

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    Compliance and Enforcement Activities Cont

    A strategic Environmental Assessment (SEA) is being

    carried out for the Albertine Graben, to be completed by

    December 2012

    Objective of SEA is to ensure that environmental issues are

    broadly considered & integrated into major decisions

    connected to policy, plans & programs associated with the

    oil & gas sector at the earliest stage.

    A framework for compliance monitoring & enforcement has

    been developed & is due for piloting

    An oil spill contingency plan is being developed, to be ready

    by December 2012

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    LEGAL PREPAREDNESS

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    1. Operational Waste Management

    Guidelines for Oil & Gas Operational Waste Management Guidelines have been

    issued to guide on most appropriate waste disposal methods- June 2012.

    The Guidelines are framed on the need to:

    Consider environmental and economic costs & benefits Minimize waste spillage.

    Respond to waste characteristics determined to date.

    Meet the current world practices for managing exploration& production of oil waste

    Monitor any impact to ground water at any of theconsolidation sites

    Apply current National Environment (Waste Management)Regulations

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    2. Review of the existing legislation

    The review and/or update of the following legislation has been initiated,to be completed by March 2013:

    National Environment (EIA) Regulations, Statutory Instrument No.153-1

    National Environment (Waste Management) Regulations, Statutory

    Instrument No. 153-2 National Environment (Standards for Discharge of Effluent into

    Water or on Land) Regulations, Statutory Instrument No. 153-3

    National Environment (Audit) Regulations, Statutory InstrumentNo. 12 of 2006

    National Environment (Noise Standard and Control) Regulations,Statutory Instrument No. 30 of 2003, to incorporate vibration

    pollution

    National Air Quality standards (NAQS)

    draft Oil Spills Regulations and Guidelines

    National Environmental Act Cap. 153

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    Legal Framework Preparedness cont

    NEMA made comments to strengthen environmental

    issues in the draft Petroleum (Exploration,

    Development & Production) Bill, 2012

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    PROGRESS MADE BY OTHER ENVIRONMENT

    PILLAR INSTITUTIONS

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    STATE OF INSTITUTIONAL PREPAREDNESS BY THE KEY LEAD AGENCIES

    (PEPD, UWA, DFR, DWRM,NFA and MLHUD)

    A draft General Management Plan for Queen ElizabethNational Park has been prepared incorporating oil & gas

    issues;

    A draft General Management Plan for Murchison Falls

    National Park is being prepared; A forest Management Plan for Maramagambo Central

    Forest Reserve has been finalized;

    Fisheries frame surveys on Lake Albert & Albert Nile to

    establish fisheries baseline have been carried out

    Physical Planning in areas facing intense pressure from oil

    and gas has been initiated

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    ISSUES AND CONCERNS

    Funding to NEMA - GOU (Vote 150) has been reducingannually - 2011/12 2012/13

    NEMA prepared a specific budget of UGX 4 billion foroil/gas management but it was not factored in the current

    budget; and hence, no budget for oil & gas activitieslisted above

    Funding to the partner institutions for oil & gasenvironment activities was also not factored in the budget

    Low technical capacity within NEMA and Lead Agencies;

    Inadequate integration of oil and gas issues into the currentpolicies & legislation

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    REQUIRED ACTIONS & INTERVENTIONS

    Media should take keen interest in the petroleum sector. Aknowledgeable media is critical in forming a critical massthat is needed to influence policy, legislation and fundingfor the relevant sectors.

    Media whenever possible should invest indeed in trainingmedia to report accurately on the sector and to keep thepublic fully informed accurately.

    The media should pick interest in reporting environmentand science generally. Every Ugandan lives off theenvironment in one way or the other (land, air, water etc). Itis critical that the masses are educated through media onthe matter.

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    THE END

    THANK YOU FOR LISTENING