By Ambrose Gahene,
KAMPALA,
Small and Medium Enterprises’ (SMEs) proprietors have been tipped on various conditions to fulfil if they are to win contracts in the oil and gas sector. This was revealed by oil and gas technocrats during two separate conferences, held at the Industry Enhancement Centre (IEC) in Kampala on Thursday and Friday.
Mr. James Musherure Rujoki, Petroleum Authority of Uganda (PAU) Senior National Content Officer, told SMEs proprietors in a workshop on Thursday to observe pertinent requirements if they are to win contracts in the oil and gas sector.
“These requirements include; having clear company details, be registered by Uganda Registration Services Bureau (URSB), Tax Clearance from Uganda Revenue Authority (URA), possess a trading license and be registered on the National Database, in addition to being financially capable to handle and successfully handle a given contract to its conclusion among others”, he said.
Regarding SMEs engaged in the oil and gas sector that face financial constraints to run their contracts, Mr. Rujoki advised such SMEs to engage in joint ventures with foreign or local companies that are financially capable of running the contracts successfully. He however, warned Uganda SMEs against playing the role of commission agents or “middle men”, while negotiating with foreign multilateral companies for a joint business venture to avoid what he termed as; “exploitation of Ugandans by foreign companies”.
“PAU primary objective is to ensure Ugandan companies benefit from the oil and gas sector to steer Uganda’s economic development, which is why all joint venture in the award of contracts; such as supply of goods and services should be negotiated on fair basis to benefit both Ugandan and foreign companies engaged in joint business venture”, he added.
Mr. Jimmy Mugerwa, the Managing Director, Zoramu Consulting Group and former Managing Director, Tullow Uganda, told the SMEs proprietors in the oil and gas sector to value human lives in the cause of carrying out their businesses.
“Behind Health, Safety and Environment, there is an opportunity. It’s important we all use safety standards to ensure there are zero accidents”, he said.
He said SMEs owners should endeavor to protect peoples’ assets and environment, manage risks but not mitigate risks.
While delivering his speech during the oil and gas suppliers’ conference organized by TotalEnergies at IEC on Friday, Mr. Mugerwa called on successful SMEs bidders in the oil and gas sector to endeavor to participate in training sessions at IEC. He said TotalEnergies has paid for all training sessions at the IEC to empower Ugandan SMEs to participate fully in the oil and gas sector.
“This is the best supplier conference we have had. We have three to four courses paid for by TotalEnergies.Once you win a tender, ensure you join us at the IEC for the training”, he added.
Mr. Stephen Asiimwe, the Executive Director, Private Sector Uganda (PSFU), pledged to support SMEs engaged in the oil and gas sector business for capacity building, market lobbying in the East African Community (EAC) and Common Market for Eastern and Southern Africa (COMESA).
He said PSFU Motto is: “Business growth is our business”.
The Suppliers conference ran under the theme: “Understanding specialized opportunities in the Tilenga Project”. It attracted major companies in the oil and gas sector, namely; ZPEB Uganda Ltd, which offers Supply of goods and services contracts to SMEs and TotalEnergies among many others.
