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Background

Countries across the African continent such as Uganda continue to face the challenge of access to energy as it’s a pivotal driver to growth and development and promotion of human rights especially economic and social rights. Report by the African Development Bank indicate that Over 640 million Africans have no access to energy, corresponding to an electricity access rate for African countries at just over 40 percent, making it the lowest in the world. [1]

The Energy Charter Treaty (ECT) is a multilateral treaty signed in 1994 that aims to promote cooperation in the energy sector and protect foreign investment in the energy industry. There are currently fifty-three (53) signatories to the ECT, including the European Union, and various other states across Africa, Asia, Europe and Africa which among include Yemen, Japan, Jordan among others and major energy producers and consumers. Currently, five of the East African countries have signed this treaty and these include; Kenya, Burundi, Tanzania, Rwanda and Uganda[2].

In December 2019, Uganda Government through the Ministry for Energy and Mineral Development sent an “Accession Intention Letter” to the Secretary General of the International Energy Charter informing the Secretariat of Uganda’s intent to join and ratify the Energy Charter Treaty (ECT).

The ECT has become increasingly controversial in recent years, particularly in the context of climate change, Human and environmental protection and the transition to renewable energy sources. Climate justice groups and organizations have argued that the treaty provides excessive protection for fossil fuel investments, undermines climate action, and exposes states to potentially massive compensation claims from investors. Furthermore, the ECT has been criticized for its lack of provisions on environmental protection and the promotion of sustainable energy as it only includes general obligation to promote sustainable energy, without specifying any concrete measures or targets.

Pursuant to the above, and as Uganda and other African states, await formal invitation to accede to the ECT, on March 23, 2023, Green Deal in partnership with Southern and Eastern Africa Trade Information and Negotiations Institute (SEATINI) – Uganda, and with support from Both Ends, organized a half day dialogue meeting between youth environmental HRDs, climate justice groups and key stakeholders to delve into the challenges associated with Uganda’s joining of the ECT, and why it should unanimously reconsider joining the treaty.

Participants hold placards reading ‘NoECT’ during the dialogue meeting held on March 23, 2023 at Golf Course Hotel- Kampala

 

The dialogue was organized with the aim of heightening the knowledge and capacity of the youth and climate activists on the implications and dangers of acceding to the ECT, the link between climate change and the ECT and lastly to build a strong coalition of activists to question the legitimacy of the ECT and Uganda’s accession.

Participants were enlightened on the concept of the ECT, its link with climate justice, and reasons as to why Uganda should reconsider joining it. At the same meeting, there was collective efforts in raising awareness about the ECT and its dangers and this was through platforms such as social media, where the discussions were held under the hashtag ‘#NoECT.’

The dialogue was fruitful, with participants deepening their knowledge and capacity to appreciate the dangers of Uganda assenting to the treaty. Participants were also urged to continue with the advocacy and lobbying initiatives on the ECT. In addition, SEATINI- Uganda published a policy brief statement[3] scrutinizing the ECT, its dangers and possible recommendations on how Global South countries such as Uganda can promote green investment without necessarily joining the ECT since it has been discovered that the ECT will not address Africa’s numerous energy problems.

Key take-aways from the dialogue

  • Environmental HRD Mr. Robert Turyakira from Environmental Shield, a grass root organization noted that the ECT is a global trap for the poor countries of the global south and as such, the reason why people from these countries continue to rely on fossil fuels like charcoal is because of their inability to afford green alternatives.

  • Ronald Nahurira from Green Deal noted that most of the investment treaties negotiated by Uganda are silent about protecting the environment and this is informed by the model which has been adopted by Uganda this must change. He further recommended that Uganda can benchmark on the different investment codes such as the Pan-African Investment Code which largely upholds the protection of the environment and climate Justice.

Green Deal associate Mr. Ronald Nahurira (center) making remarks during a panel discussion at the dialogue.

  • The Energy Charter Treaty (ECT) blunts environmental Human Rights Defenders and climate movement groups in ensuring climate Justice and environmental protection.
  • Mr. Eron Kiiza, a prominent environmentalist and human rights lawyer, termed the ECT as a ‘legal nonsense’ that has been designed to protect investors in the energy and fossil industry while providing no concrete benefits to countries like Uganda that are already deeply in debt.
  • Ms. Alice Ndagire from Uganda Investment Authority assured the meeting that the government is currently and will continue to study investment regulations to ensure that elements of environmental protection and climate Justice are front-lined.
  • Mr. Jacob Eyeru, Chairperson of National Youth Council emphasized the need to simplify the impact of participation and further hold conversations with government at policy signing level to ensure that processes have a participation approach of always involving relevant stakeholders such as youth.
  • Mr. Charles Batte, Chief Executive Officer of Tree Adoption Uganda while contextualizing the ECT, noted that in the ECT, governments like Uganda cannot sue companies, local investors and individuals cannot sue the State if they harm the environment and hence recommended that there should be a legally binding provision that allows citizens to sue companies and government.

  • According to The Southern and Eastern Africa Trade Information and Negotiations Institute (SEATINI) – Uganda, the ECT lacks provisions on environmental protection and the promotion of sustainable energy. The treaty only includes a general obligation to promote sustainable energy, without specifying any concrete measures or targets. This has led to calls for the treaty to be amended or replaced with a new instrument that is better suited to the challenges of the energy transition.

Overall, the Energy Charter Treaty is a complex and contentious agreement that continues to generate debate among its signatories and the broader international community. While it has the potential to promote energy cooperation and investment, there are also concerns about its impact on environmental and social policies. It will be important for policymakers and stakeholders to carefully consider these issues and their potential implications for sustainable development and climate action and promotion of green investment. Countries like Uganda are urged not to fall prey to the ECT’s expansion process in the Global South.

A group photo of the participants after the dialogue meeting held on March 23, 2023 at Golf Course Hotel –Kampala.Top of Form

Author: Kenneth Kitambula-Communications Associate Green Deal

[1] https://www.afdb.org/en/the-high-5/light-up-and-power-africa-%E2%80%93-a-new-deal-on-energy-for-africa

[2] https://www.eac.int/press-releases/637-1123-978-eac-signs-international-energy-charter

[3] file:///C:/Users/Personal/Downloads/THE%20ENERGY%20CHARTER%20TREATY%20(ECT)%20IS%20A%20DECOY%20East%20African%20Community%20(EAC)%20Countries%20Should%20Desist%20from%20Acceding%20to%20it%20December%202020.pdf

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