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11. Financing Options for the Ugandan National Oil Company

Author:
Thomas Lassourd
Publication Date:
09-2015
Content Type:
Policy Brief
Institution:
Natural Resource Governance Institute
Abstract:
This briefing note is an effort to help frame the main tradeoffs and assess four potential funding models for the newly created national oil company of Uganda. It is based on NRGI’s international experience and understanding of the local context. Uganda’s national oil company will have a critical role. It is expected to professionally manage all aspects of state participation in the sector and act as a center of expertise for the government. It is also expected to play a strong role as a minority equity partner in the USD 4.3 billion Hoima refinery project and potentially in a USD 4 billion export pipeline. Under all possible funding options, strong audit and reporting processes should be required, as well as parliamentary oversight. The chosen funding model will also need to balance the needs of the national oil company with national development needs in Uganda. Funding model options can be adapted to meet Uganda’s unique situation. NRGI is at the disposal of Uganda’s government and parliament to discuss these models.
Topic:
Development, Energy Policy, Oil, Natural Resources, and Governance
Political Geography:
Uganda and Africa

12. Electoral Rentierism? The Cross-National and Subnational Effect of Oil on Electoral Competitiveness in Multiparty Autocracies

Author:
Matthias Basedau and Michael Wahman
Publication Date:
04-2015
Content Type:
Working Paper
Institution:
German Institute of Global and Area Studies
Abstract:
Building on theoretical insights from research on the rentier state and the “resource curse,” several studies have supported the argument that oil hinders democracy. However, previous research on the rentier state has neglected the global surge of multiparty autocracies or “electoral authoritarian” regimes since the end of the Cold War. No systematic study has been carried out on the question of whether or not and how oil affects electoral contests in nondemocratic regimes. In this paper we contribute to filling this gap by combing the literature on multiparty autocracy and the political economy of the rentier state. As oil production creates substantial, nontransparent revenue streams to national and subnational governments, we hypothesize that oil production has a negative effect on electoral competitiveness, both cross‐ and subnationally, in multiparty autocracies. Consequently, the democratic “resource curse” emphasized in earlier work on the rentier state is likely to persist even after the introduction of multipartyism in cases where oil production predates democratic institutions. The paper tests the hypothesis cross‐nationally, using data on all multiparty elections held in the world in the period 1975–2010, and subnationally, using a new data set on subnational election results and oil production in Nigeria. Our results confirm that oil impedes electoral competitiveness, both cross‐ and subnationally, in multiparty autocracies.
Topic:
Cold War, Democratization, and Oil
Political Geography:
Africa and Nigeria

13. One Step Forward, Two Steps Back: The Political Culture Of Corruption And Cleanups In Nigeria

Author:
Daniel Agbiboa
Publication Date:
03-2014
Content Type:
Journal Article
Journal:
Central European University Political Science Journal
Institution:
Central European University
Abstract:
In light of its pervasiveness, tackling corruption has become a priority on the Nigerian political agenda at local and national levels. This article critically examines the evolution of corruption in Nigeria, Africa's most populous and oil-rich country. Specifically, the article examines how the corrupt practices of Nigeria's ruling cabal have stunted the growth of a country with huge potential. The article contributes to the existing body of literature on corruption by explaining when, how and why corruption became entrenched in the Nigerian polity. In conclusion the article makes some prospective recommendations that may advance the anti-corruption campaign in Nigeria.
Topic:
Oil
Political Geography:
Africa and Nigeria

14. Foreign investments in Uganda's oil sector: linkages and issues for the local economy

Author:
Anne Mette Kjær
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
The Ugandan economy resembles many other economies in sub-Saharan Africa in that it has a large subsistence sector, relies on a few primary commodities for export and depends on aid to finance its public services. Oil and minerals have so far not been important to the economy. However, this might change as an estimated 3.5 billion barrel oil reservoir has been discovered in Uganda's Western and Northwestern Albertine Graben. Minerals have also been found and are being sold off as concessions. If oil revenues start to be mobilized as currently planned (2016-17), significant changes in not only government finance but also in the governments' relationships with donors and in state–society relations are likely to occur. The consequences for local communities and the environment are also likely to be significant.
Topic:
Development, Economics, Oil, Natural Resources, Foreign Aid, Fragile/Failed State, and Foreign Direct Investment
Political Geography:
Uganda and Africa

15. Journal of Public and International Affairs 2014

Author:
Daphne McCurdy, Chikara Onda, Aaron Aitken, Lucia Adriana Baltazar Vazquez, John Paul Bumpus, John Speed Meyers, Pierina Ana Sanchez, Yolaine Frossard de Saugy, Melanie Harris, Steve Moilanen, Stephen Pritchard, Nicolas Collin dit de Montesson, and Naomi Crowther
Publication Date:
05-2014
Content Type:
Journal Article
Journal:
Woodrow Wilson School Journal of Public and International Affairs
Institution:
Woodrow Wilson School of Public and International Affairs, Princeton University
Abstract:
From pressing foreign policy issues such as territorial disputes in the South China Sea and homicide rates in Honduras to contentious domestic policy debates such as the rights of Mexican immigrants in the United States and the construction of the Keystone pipeline, the topics in this year’s journal are wide-ranging in both functional and geographic focus. However, they all share a strong commitment to seeking solutions to the world’s most serious challenges through sound policy.
Topic:
Crime, Government, Oil, Poverty, Sovereignty, Bilateral Relations, Territorial Disputes, Foreign Aid, Immigration, Governance, Law, Cybersecurity, and Grand Strategy
Political Geography:
Africa, China, Iran, Canada, Philippines, Mexico, Honduras, United States of America, and South China Sea

16. South Sudan's emergency state

Author:
Jort Hemmer
Publication Date:
09-2012
Content Type:
Working Paper
Institution:
Norwegian Centre for Conflict Resolution
Abstract:
Monday July 9th 2012 marked South Sudan's first anniversary as an independent state. But one year down the road, what is there to celebrate for this newborn polity? Faced with political stability and enduring external and domestic threats to its security, the nascent state of South Sudan has evolved into a patronage and crisis management tool for the ruling elite, putting the benefits of governance well beyond the reach of the majority of the population. There is little doubt that continuing conflict with Sudan, extreme underdevelopment and dependence on oil revenues will ensure that South Sudan remains a state in emergency for years to come. In many ways the characteristics and uses of this emergency dominate domestic political calculus. Essential institutional reforms have been postponed, as has any real democratic opening. Until a measure of calm in South Sudan's relations with Sudan is achieved, donors will have to look for areas of engagement where their objectives do not interfere with the short-term interests of a government that subsists on a war footing. In this regard South Sudan's decision to suspend oil production and the subsequent need to generate alternative revenues may offer new opportunities.
Topic:
Conflict Resolution, Security, Development, and Oil
Political Geography:
Africa and South Sudan

17. Who rules Nigeria?

Author:
Inge Amundsen
Publication Date:
11-2012
Content Type:
Working Paper
Institution:
Norwegian Centre for Conflict Resolution
Abstract:
Nigeria has experienced military coups, a civil war and very poor economic development, and its population is more impoverished today than at independence. Behind this lies the “oil curse”. The ruling elite has captured the rents generated from oil for personal enrichment and power purposes. Nigeria's elite formation has three distinct characteristics. It is based on a fusion of elites, with the military dominating. It is consolidated through power diversification (with the conversion of political power into economic power as the most important), and it is enriched through economic extraction (where the usurpation of the country's oil wealth is pivotal).
Topic:
Civil War, Corruption, Democratization, Oil, and Governance
Political Geography:
Africa and Nigeria

18. The State of Public Health in South Sudan

Author:
Richard Downie
Publication Date:
11-2012
Content Type:
Working Paper
Institution:
Center for Strategic and International Studies
Abstract:
Less than 18 months into its life as an independent nation, South Sudan is facing a desperate struggle for survival. Because the terms of its separation from Sudan were not decided before independence, negotiations have dragged on over issues including borders, security arrangements, and the qualifications for citizenship, diverting attention from the urgent task of development. Most damagingly, the two nations have failed to cooperate on oil production, the mainstay of their economies. Anger over the high price Sudan was demanding to use its pipeline prompted the government of the Republic of South Sudan (GRSS) to shut off oil production entirely in January 2012. Although a compromise was reached in August, implementation stalled until a broader agreement was signed by the two countries in late September. The implications for health development in South Sudan are stark. Even before the oil shutdown, international donors had paid for and delivered most health services. However, talks had been ongoing to transfer to a more sustainable system in which the GRSS assumed more responsibility for the health needs of its citizens. Donors spoke of the importance of moving away from a top-down system centered on emergency relief and primary health care delivery, mainly administered by international nongovernmental organizations (NGOs). Instead, the objective was to move to a new phase focused on developing health systems that would increasingly be managed by South Sudanese themselves. These plans were put on hold by the oil shutdown and the calamitous economic crisis it triggered. Donors feel that South Sudan has regressed in the period since independence, and they apportion a lot of the blame for the dire situation on the government of South Sudan.
Topic:
Conflict Resolution, Development, Economics, Health, Oil, Infectious Diseases, Financial Crisis, and Health Care Policy
Political Geography:
Africa and South Sudan

19. China's New Courtship in South Sudan

Publication Date:
04-2012
Content Type:
Working Paper
Institution:
International Crisis Group
Abstract:
In the wake of Sudan's partition, Beijing has accelerated a re-orientation of its engagement in the resulting two states, most significantly through a new courtship in Juba. China's historical support for Khartoum left a sour legacy in the South, but the potential for mutual economic benefit means a new chapter in bilateral relations is now being written. Balancing new friends in Juba with old friends in Khartoum, however, has proven a delicate dance. China has been drawn into a high-stakes oil crisis between the two, the consequences of which may temper an otherwise rapidly expanding relationship with Juba. A sustainable solution to the crisis cannot be achieved in isolation; North-South stability, mutual economic viability and the security of Chinese interests will also depend on answers to other unresolved political and security issues, including in Sudan's marginalised peripheries. The future of Beijing's dual engagement, and the kind of relationship that emerges in the South, will depend in part on how the oil standoff – and this broader reform agenda – are confronted.
Topic:
Security, Foreign Policy, Economics, Oil, and Bilateral Relations
Political Geography:
Africa, China, and South Sudan

20. Black Gold in the Congo: Threat to Stability or Development Opportunity?

Publication Date:
07-2012
Content Type:
Working Paper
Institution:
International Crisis Group
Abstract:
Although it should provide development opportunities, renewed oil interest in the Democratic Republic of the Congo (DRC) represents a real threat to stability in a still vulnerable post-conflict country. Exploration has begun, but oil prospecting is nurturing old resentments among local communities and contributing to border tensions with neighbouring countries. If oil reserves are confirmed in the east, this would exacerbate deep-rooted conflict dynamics in the Kivus. An upsurge in fighting since the start of 2012, including the emergence of a new rebellion in North Kivu and the resumption of armed groups' territorial expansion, has further complicated stability in the east, which is the new focus for oil exploration. New oil reserves could also create new centres of power and question Katanga's (DRC's traditional economic hub) political influence. Preventive action is needed to turn a real threat to stability into a genuine development opportunity.
Topic:
Conflict Resolution, Political Violence, Development, Ethnic Conflict, and Oil
Political Geography:
Africa and Democratic Republic of the Congo