Government hails Tullow, communities breakthrough
08 November 2013, 10:31
Nairobi - Energy and Petroleum Cabinet Secretary, Davis Chichir, is confident the arrangement reached between locals and oil firm, Tullow Oil, would be in the best interests of both parties.
The company was expected to resume operations after making a commitment under a Memorandum of Understanding it jointly signed with Turkana leaders earlier this week.
Tullow immediately set aside KES 340 million and will be allocating that amount annually along the provision of more training scholarships that would enable locals take up high cadre jobs.
Under the deal brokered by government officials on Thursday, the company promised double its social budget, train locals and further open up tenders for women and youth from the areas.
The government on the other hand made a commitment to beef up security for the firm to enable it to conduct its activities in a safe environment.
Government officials welcomed the arrangement.
“This is a working formula and a way forward to ensure that the community does not disrupt Tullow’s operations again in future,” said Chirchir.
He further added that the increased social budget would be added to the Equalization Fund to boost the capacity of Turkana people to benefit from the oil resources in their area.
Tullow had earlier suspended its operations in both Central and Southern Turkana following mass protests by locals over a number of grievances.
It is alleged community leaders had incited the protests.
More than 800 of the firm’s 1 400 employees are locals.
- CAJ News