{"id":31088,"date":"2022-05-17T18:22:25","date_gmt":"2022-05-17T18:22:25","guid":{"rendered":"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say"},"modified":"2022-05-17T18:32:06","modified_gmt":"2022-05-17T18:32:06","slug":"oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say","status":"publish","type":"post","link":"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say","title":{"rendered":"Oil and gas laws give leverage to foreigners, lawyers say"},"content":{"rendered":"

Africa-Press – Uganda. <\/strong><\/span>With Uganda expecting its first oil drops by 2025, lawyers have cited a number of loopholes in the laws governing the industry.<\/p>\n

The loopholes mainly rotate around ring-fencing services in oil and gas sector for Ugandans.<\/p>\n

Some of the legislation includes the Petroleum (Exploitation, Development and Production) (National Content) Regulations, SI No. 44\/2016 and the Petroleum (Exploitation, Development and Production) Act.<\/p>\n

Mr Didan Barisigara, an energy oil and gas lawyer from A.L Advocates, said the current laws give leeway for foreigners to access those ring-fenced oil services for Ugandans, which is unfair.<\/p>\n

\u201cLocal content regulations more so regarding the ring-fenced services in the oil and gas sector, are lacking because we found that a foreigner can incorporate as a Ugandan company and participate in providing those ring-fenced services,\u201d Mr Barisigara said yesterday during a discussion on the oil and gas sector in Kampala.<\/p>\n

He added: \u201cInitially, they (oil services) were meant or put aside specifically for Ugandans, Ugandan companies and entities but foreigners can manipulate this loophole in this law which doesn\u2019t protect a Ugandan . This deprives Ugandans of the ability to participate in these ring-fenced companies and taking over jobs meant for Ugandans as intended by the framers of the law.\u201d<\/p>\n

Another lawyer, Mr Francis Karoro, expressed similar reservations, saying the laws are not serving the purpose for which they were enacted.<\/p>\n

\u201cYou have to look at what the purpose of this law was; why these services were ring-fenced and the reason to promote the Ugandan investor, but if you look at the ultimate beneficiaries in most companies are shareholders who are not Ugandans. Employees just wait for salary at the end of the month,\u201d Mr Karoro said.<\/p>\n

He added that the law hoodwinks Ugandan investors because of the existing loopholes, which he said should be re-examined. Mr Jonathan Wandera, the managing partner of A.L advocates, cited another legal loophole being around joint ventures.<\/p>\n

\u201cThe law also provides for joint ventures where Ugandans can partner with foreign companies but the Ugandan company should have a minimum of 48 percent shares and this renders the joint venture law useless,\u201d Mr Wandera said.<\/p>\n

\u201cIf I am a foreign investor, I don\u2019t have to partner with Ugandan companies to operate, all I have to do is incorporate as a Ugandan company and bypass the joint venture requirement,\u201d he added.<\/p>\n

Mr Klaus Mukumbi J, a tax and litigation expert, said the existing oil laws are a \u201csmokescreen\u201d to show that Ugandan investors are being catered for but in reality, they aren\u2019t.<\/p>\n

For More News And Analysis About Uganda<\/a> Follow Africa-Press<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Africa-Press – Uganda. With Uganda expecting its first oil drops by 2025, lawyers have cited a number of loopholes in the laws governing the industry. The loopholes mainly rotate around ring-fencing services in oil and gas sector for Ugandans. Some of the legislation includes the Petroleum (Exploitation, Development and Production) (National Content) Regulations, SI No. […]<\/p>\n","protected":false},"author":84,"featured_media":31087,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,5,8],"tags":[233,240,234],"class_list":["post-31088","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all-news","category-economy","category-homepage-english","tag-africa-press","tag-africa-press-uganda","tag-uganda"],"yoast_head":"\nOil and gas laws give leverage to foreigners, lawyers say - Uganda<\/title>\n<meta name=\"description\" content=\"With Uganda expecting its first oil drops by 2025, lawyers have cited a number of loopholes in the laws governing the in ...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Oil and gas laws give leverage to foreigners, lawyers say\" \/>\n<meta property=\"og:description\" content=\"With Uganda expecting its first oil drops by 2025, lawyers have cited a number of loopholes in the laws governing the in ...\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say\" \/>\n<meta property=\"og:site_name\" content=\"Uganda\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/AfricaPressTunisiaa\" \/>\n<meta property=\"article:published_time\" content=\"2022-05-17T18:22:25+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-05-17T18:32:06+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/static.africa-press.net\/uganda\/sites\/34\/2022\/05\/postQueueImg_15-6283ea135417f.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"720\" \/>\n\t<meta property=\"og:image:height\" content=\"480\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"cfeditoren\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"cfeditoren\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say\"},\"author\":{\"name\":\"cfeditoren\",\"@id\":\"https:\/\/www.africa-press.net\/uganda\/#\/schema\/person\/068c7ab4e9634ae78ec5d54ec46598bb\"},\"headline\":\"Oil and gas laws give leverage to foreigners, lawyers say\",\"datePublished\":\"2022-05-17T18:22:25+00:00\",\"dateModified\":\"2022-05-17T18:32:06+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say\"},\"wordCount\":442,\"commentCount\":0,\"image\":{\"@id\":\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say#primaryimage\"},\"thumbnailUrl\":\"https:\/\/static.africa-press.net\/uganda\/sites\/34\/2022\/05\/postQueueImg_15-6283ea135417f.jpg\",\"keywords\":[\"Africa Press\",\"Africa Press-Uganda\",\"uganda\"],\"articleSection\":[\"all news\",\"economy\",\"homepage-english\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say\",\"url\":\"https:\/\/www.africa-press.net\/uganda\/all-news\/oil-and-gas-laws-give-leverage-to-foreigners-lawyers-say\",\"name\":\"Oil and gas laws give leverage to foreigners, lawyers say - 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