Ugandans have recently witnessed a lot of public debate about our nascent oil and gas sector, particularly with our Members of Parliament (MPs) making a huge issue out of the Production and Sharing Agreements (PSAs) between Uganda and the oil companies.
The MPs claim that the PSAs have remained a closely guarded secret by the Government of which they are part and that the legislators would like to have the same documents availed to them, and subsequently the general public.
Parliament will convene to discuss issues in the oil and gas sector on 11th October 2011, after the MPs signed a petition requiring the House to re-convene as an emergency.
The MPs are right to demand that legislators should be privy to such important documents as the PSAs precisely because they touch on very key aspects of the economy and development. Oversight is a significant part of their remit.
However, while the discovery of oil in Uganda is an exciting time for all of us, events of the last few months point to the possibility of over-excitement that may not augur well for the country in the short and long term regarding this sector
. We seem to want to begin fighting over the hunt before even the meat has arrived home! Besides, there is a lot of politicisation of things even when the situation does not warrant so.
Let us get to the facts about the alleged secrecy of the PSAs and the role of the government. The PSAs were handed over to the Natural Resources Committee of Parliament in April 2009. Subsequently, a capacity building workshop on agreements in the petroleum industry was held for MPs, again in April 2009.
The Ministry of Energy and Mineral Development handed over the PSAs to the speaker in June 2010. The same PSAs were later tabled before Parliament by the then Minister of Energy and Mineral development, Eng. Hillary Onek, in December 2010.
So, how can MPs claim to be looking for the same PSAs, copies of which are in the custody of the Speaker?
The idea of making public the PSAs is perhaps not as simple as most of us seem to think. I may be wrong, though. In many oil producing countries, PSAs are kept confidential for various reasons, including avoiding malicious intentions of certain groups that may use the information for their own gain against the country's interests.
 Some PSAs also contain invaluable business models for companies that may not ordinarily be shared to safeguard intellectual property rights.
Studies have for instance shown that only a few developing countries such as Azerbaijan, Timor Leste and Congo Brazzaville have recently published their PSAs.
While our MPs have the power to call for information to oversee certain national activities and safeguard the national interest, it is important that they tread carefully and avoid creating situations that can create over-excitement and endanger the national interests that they are trying to protect in the first place.
Even a cursory glance at key characteristics of the oil and gas sector would reveal that this is a sector that is capital intensive, highly risky, high technology and quite international in character. Oil production therefore has inherent issues within it that transcend borders and must be contended with.
Our MPs should be mindful of these dimensions.
Besides, government through the Ministry of Energy and Mineral Development is already doing a good job for the sector. It has put in place a National Oil and Gas Policy (NOGP) even though there are claims by some that Uganda has no policy on oil and gas.
There are also bills at the draft stage to regulate the various stages of the industry value chain including licensing and exploration, refining and processing and marketing and supply.
In addition, new institutions such as the National Oil Company (NATOIL) and the Petroleum Regulatory Authority are being planned to improve management and support to the sector, while educational institutions are being created or engaged to provide manpower training and capacity building to boost national participation. These efforts should be supported by all but most especially by the MPs.
It is a given that the oil industry must be well regulated to ensure the highest value from the resource for Ugandans, But we must not get carried away.