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R. S. Muhongo
the challenges faced on the African continent, including poverty, famine,
gender inequality just to mention but a few.
2 Most importantly, both
fossil fuels and renewables are key in achieving the United Nations’
Sustainable Energy for All and the associated Sustainable Development
Goal (SDG) 7 which advocates for access to modern energy for all.
3 The
challenge of energy access is anticipated to escalate on the African continent basically due to growing demand for energy fuelled by urbanization,
industrialization and population growth. In this respect, these countries
will still rely on fossil fuels though they should be mindful of SDG 13 on
climate action.
4 Consequently, the issue of local content in the extractive
sector in still relevant in this energy transition era as will be discussed in
this chapter. However, it is imperative for African nascent oil and gas
economies to note that, the discovery of their resources is during the
wake of the clean energy wave and as such the foreign investors will
rush into renewable energy, and this might leave stranded resources in
Kenya, Uganda and Tanzania. Hence, the local content policies must be
adopted not for developing capabilities in the extractive industry but also
the renewable energy industry.
5
Basically, many resource-rich countries have implemented local
content policies in the last decade alone, as a means of reaping
full advantages of the energy industry lifecycle.
6 Local content policies are found in various instruments within a legal framework of a
resource-rich country. These policies are found in primary and secondary
legislation as well as in negotiated instruments.
7 The policy advocates for the creation of employment opportunities, capacity building
2 Nalule, V.R. Energy poverty and access challenges in sub-Saharan Africa: The role of regionalism.
Springer, 2018.
3 United Nations Sustainable Development Goals (SDG), 2015.
4 Olawuyi, D.S. “Can MENA extractive industries support the global energy transition? Current
opportunities and future directions.” The Extractive Industries and Society (2020).
5 For a full discussion on local content in the energy transition era, please watch the video
featuring the author. Local Content in the East African Oil and Gas Sector in the Energy
Transition Era. Link to YouTube video interview by Dr. Victoria Nalule featuring Dr. Rukonge
Muhongo, https://www.youtube.com/watch?v=mAa10UGP-cM&t=395s.
6 Marcel, Valérie, et al. “A local content decision tree for emerging producers.” Chatham House,
The Royal Institute of International Affairs: London, UK (2016).
7 Tordo, Silvana, et al. Local content policies in the oil and gas sector. The World Bank, 2013.
R. S. Muhongo
the challenges faced on the African continent, including poverty, famine,
gender inequality just to mention but a few.
2 Most importantly, both
fossil fuels and renewables are key in achieving the United Nations’
Sustainable Energy for All and the associated Sustainable Development
Goal (SDG) 7 which advocates for access to modern energy for all.
3 The
challenge of energy access is anticipated to escalate on the African continent basically due to growing demand for energy fuelled by urbanization,
industrialization and population growth. In this respect, these countries
will still rely on fossil fuels though they should be mindful of SDG 13 on
climate action.
4 Consequently, the issue of local content in the extractive
sector in still relevant in this energy transition era as will be discussed in
this chapter. However, it is imperative for African nascent oil and gas
economies to note that, the discovery of their resources is during the
wake of the clean energy wave and as such the foreign investors will
rush into renewable energy, and this might leave stranded resources in
Kenya, Uganda and Tanzania. Hence, the local content policies must be
adopted not for developing capabilities in the extractive industry but also
the renewable energy industry.
5
Basically, many resource-rich countries have implemented local
content policies in the last decade alone, as a means of reaping
full advantages of the energy industry lifecycle.
6 Local content policies are found in various instruments within a legal framework of a
resource-rich country. These policies are found in primary and secondary
legislation as well as in negotiated instruments.
7 The policy advocates for the creation of employment opportunities, capacity building
2 Nalule, V.R. Energy poverty and access challenges in sub-Saharan Africa: The role of regionalism.
Springer, 2018.
3 United Nations Sustainable Development Goals (SDG), 2015.
4 Olawuyi, D.S. “Can MENA extractive industries support the global energy transition? Current
opportunities and future directions.” The Extractive Industries and Society (2020).
5 For a full discussion on local content in the energy transition era, please watch the video
featuring the author. Local Content in the East African Oil and Gas Sector in the Energy
Transition Era. Link to YouTube video interview by Dr. Victoria Nalule featuring Dr. Rukonge
Muhongo, https://www.youtube.com/watch?v=mAa10UGP-cM&t=395s.
6 Marcel, Valérie, et al. “A local content decision tree for emerging producers.” Chatham House,
The Royal Institute of International Affairs: London, UK (2016).
7 Tordo, Silvana, et al. Local content policies in the oil and gas sector. The World Bank, 2013.