9/12/2014

The Observer - Why Ugandans could miss out on oil jobs

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Why Ugandans could miss out on oil jobs

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TUESDAY, 02 SEPTEMBER 2014 21:59

WRITTEN BY EDWARD SSEKIKA

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Last April, oil companies Tullow,

Cnooc, and Total released the Industry
Baseline Survey (IBS) report, which
revealed that Ugandas oil and gas
sector was to generate thousands of
jobs.

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However, for Ugandans to access such

jobs, they must have their competences
and technical skills certified. In a twopart series, Edward Ssekika finds out
whether Ugandans have the required
competences and certified skills to
compete for these jobs. It is not in doubt

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that the oil and gas industry is expected

to create thousands of jobs.
The industry has created hundreds of
jobs at the exploration phase alone, and
thousands more will be created in
production. The latter is expected to be
punctuated by a web of pipelines
connecting oil fields to the refinery, for
crude oil export, and for refined
petroleum.
Then
there
is
the

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construction of a refinery and processing

facilities,
among
other
key
infrastructures.

Workers at Kigogole 1 oil well in Buliisa

At production peak, the IBS report said,

the oil sector will employ 11,000 to
15,000 people directly, while indirect
jobs will range between 100,000 and
150,000. The figures will shoot up as the

country continues to search for more oil, the survey said.

Technicians and craftsmen will contribute more than 60 per cent of the jobs. Engineers and managers will contribute
only 15 per cent, and the rest shall be either semi-skilled or casual workers. However, technicians and craftsmen, the
report said, require skills certification, experience and on-job training before accessing the jobs.

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Last June, at his farewell party, Loc Laurandel, the former general manager of Total E&P Uganda Ltd, alluded to the
skills gap in the oil sector.

installation

The big challenge I have encountered is finding people with the appropriate skills and knowledge who can work in the
oil industry. There are very few Ugandans with the required skills, he said, urging Ugandans to brush up their technical

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and artisanal knowledge to fully partake in the sector.

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Dr Ben Manyindo, the Uganda National Bureau of Standards executive director, says the issue is not that Uganda lacks
technicians, welders or craftsmen, but their skills are not internationally certified.
But not every job requires certification, though.

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Wei Chai, the corporate affairs manager at Cnooc Uganda Ltd, says only highly-specialised jobs like hoisting and lifting,
welders, civil technicians, craftsmen, machine operators, and heavy duty truck drivers, among others require

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9/12/2014

The Observer - Why Ugandans could miss out on oil jobs

international certification.

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Complex technology
Oil and gas industry involves a lot of specific equipment with complex technologies which requires advanced knowledge
and skill, she says.
Manyindo adds that if Uganda does not wake up to the reality of stringent standards in the sector, the country is likely to
miss out on opportunities. This, he says, has already happened on some projects. For instance, during the construction
of Kabalega hydropower plant, welders and metal fabricators were imported from Pakistan and Sri Lanka.
This was because Ugandan welders lacked certified skills. Welders from Katwe or local vocational institutions have
skills, but cannot be verified since they are not internationally certified, Manyindo explains. To Prof Charles Kwesiga, the
chairperson of Uganda Petroleum Institute, Kigumba, there is no middle ground on the issue of certification.
Without international certifications, Ugandans should forget about oil jobs, he warns.
This means that if Ugandans cant get the jobs due to lack of certified skills, oil firms have a leeway to import.

Left out
Losing out on oil jobs could make locals feel left out. Often, this has triggered conflict in many oil producing countries,
including Nigeria and Angola. In 2011, the government contracted Prof Jackson Mwakali to conduct a study on local
content.
In his report titled Enhancing national participation in the oil and gas industry in Uganda, 2011, he asks government to
prioritise and standardise vocational training.

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The unstructured nature of non-formal training institutions makes coordination of training very difficult. The quality also
suffers from an inadequate certification system, the report said.

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Certification

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UNBS Manyindo says certification is a process designed to measure the knowledge and practical skills of technicians
and craftsmen. It tests ones capability to deliver welds and other technical works at the required standards. Certification

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is not only unique to oil and gas, but even in other professions it is a prerequisite.
For instance, in accounting, having a university degree or diploma doesnt make one an accountant. He or she has to
undergo internationally recognised trainings and examinations such as ACCA, and CPA to be certified.
Welding in the oil sector is not ordinary welding of doors and windows. The standard is too advanced. A welder has to
weld to the required quality so that there is no leak whatsoever, Manyindo says.

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Kevin Hughes, the operations manager in charge of training at OGAS Solutions, agrees.
Oil and gas is an extremely [sensitive] industry and that is why it needs competent personnel. If you have a welder
whose competences are suspicious, he or she exposes his life, that of others and the entire investment at risk, Hughes
says.A small mistake may blow up everything.
OGAS Solutions is registered in Thailand but with a global footprint and is setting up a training institution in Hoima
district.

Who certifies?
Patrick Danaux, the Central and East Africa manager for OGAS Solutions, says there are many certifications from many
countries in the world.
Uganda has to decide which country or model to follow, Danaux says.
For instance, some welders may be certified by the American Welding Society or City and Guilds of London. Both firms
train craftsmen and technicians at various levels. But Wei Chai says certification can even be done here, but must be in
line with international oil and gas standards.
The duration of the training and certification of qualified technicians varies, based on the required level of
qualifications, Wei Chai says. Time is of the essence and the training or certification process will need to start early
2015, to ensure readiness for the project kickoff.
ssekika@observer.ug
This article was published with support from the African Centre for Media Excellence (ACME)
In the second and final part of series, we discuss how lack of a national content policy and absence of a
specialized government body to handle skills competences and certifications is an issue of concern and what is
being done to ensure that Ugandans are trained and their skills certified to take up the jobs.

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