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[dehai-news] (EastAfrican, Kenya) Lamu port deal leaves Khartoum feeling put out

From: Biniam Tekle <biniamt_at_dehai.org_at_dehai.org>
Date: Sat, 17 Mar 2012 12:01:01 -0400

http://www.theeastafrican.co.ke/news/Lamu+port+deal+leaves+Khartoum+feeling+put+out/-/2558/1368050/-/12dd3ra/-/

News
Lamu port deal leaves Khartoum feeling put out [image: (From left) Ethiopia
PM Menez Zinawi, Kenya President Mwai Kibaki and South Sudan President
Salva Kiir at the official launch of the Lamu port. Picture: Gideon Maundu]

(From left) Ethiopia PM Menez Zinawi, Kenya President Mwai Kibaki and South
Sudan President Salva Kiir at the official launch of the Lamu port.
Picture: Gideon Maundu


By STEVE MBOGO and FRED OLUOCH (email the author)

Posted Saturday, March 17 2012 at 11:40

Sudan has voiced concerns that the commissioning of the Lamu Port and
several other key infrastructure projects in the Horn of Africa risk
undermining its economy, a sign that Khartoum is increasingly feeling
isolated from the region.

Sudan’s deputy head of mission in Nairobi said there was a plan to alienate
the country from the regional economy. Ali Mahmoud Abdurrasoul, the
Sudanese Minister for Finance and National Economy, said that out of the
nine infrastructure projects under the Inter-Governmental Authority on
Development (Igad), only two included Khartoum, with the majority involving
Kenya, Ethiopia, Uganda and now Somalia.

Khartoum officials said the country has tabled a complaint of economic
sabotage with the African Union team handling its negotiations with Juba.

The new pipeline deal came only months after the East Africa Community
declined Khartoum’s application to join the bloc, while agreeing to admit
South Sudan as an observer member.

(Read: Why Khartoum failed in its bid to join
EAC)<http://www.theeastafrican.co.ke/news/Why+Khartoum+failed+in+its+bid+to+join+EAC/-/2558/1284056/-/b6rcta/-/index.html>

It is such developments that convince Khartoum of the ill intentions of the
EAC member countries. The commissioning of the Lamu project is realigning
East Africa’s geopolitics. Khartoum views the planned crude oil route as a
plan to sabotage its economy, while a senior Ugandan official said the
pipeline’s route should be extended to connect the country’s new oil fields.

Sudanese officials attending a regional infrastructure conference in
Nairobi last week said the alternative pipeline from Juba to Lamu will make
existing pipelines and refinery in the country redundant.

*Dire situation*

“We are concerned that the pipelines will be a loss for us. It’s a win-lose
situation and not a good way to encourage regional economic integration. It
is not good for regional politics,” said Hassan Elashi, chairman of the
Sudan Chamber of Commerce at the conference on infrastructure and
investment organised by Igad.

Khartoum officials appear to have been caught unawares by the swiftness
with which Kenya, South Sudan and Ethiopia moved to commission the mega
Lamu project.

(Read: South Sudan comes to town shopping for Lamu
pipeline)<http://www.theeastafrican.co.ke/news/South+Sudan+comes+to+town+shopping+for+Lamu+pipeline/-/2558/1324704/-/bltb84z/-/index.html>

With the transfer of most of the undivided country’s oil fields to South
Sudan, Khartoum has been banking on transport and refinery fees to fill up
the revenue void left and to keep its Chinese-built oil infrastructure
working. But, Kenya maintained the project is for the benefit of regional
efforts to develop joint interconnecting infrastructure projects.

“It is important we make it clear that the idea of this port was floated
four decades ago. It was not motivated by the differences between the North
and the South. It should be celebrated as a new trade corridor,” said
Kenya’s Transport Minister Amos Kimunya.
South Sudan officials said differences with Khartoum over crude transport
and refining will take time to resolve and the preference is to have other
alternative routes to transport the crude oil.

(Read: Juba seeks Kibaki’s help to end oil
standoff)<http://www.theeastafrican.co.ke/news/South+Sudan+seeks+Kibaki++help+over+oil+standoff+with+Khartoum/-/2558/1363522/-/xq4ru0/-/index.html>

“South Sudan is very careful now and we cannot trust just anyone. We want
to have as many alternative routes as possible,” said Ngiol Bol, Director
General of Rail and the Ministry of Transport in South Sudan.

*Uganda put out too*

Like Khartoum, Uganda too is seeking explanations from Kenya on why it was
not adequately consulted and involved in the project when it has made oil
discoveries of commercial value.

(Read: Uganda not worried by proposed South Sudan-Lamu
pipeline)<http://www.theeastafrican.co.ke/news/Uganda+not+worried+by+proposed+South+Sudan+Lamu+pipeline/-/2558/1363516/-/u3glelz/-/index.html>

“Kenya was aware of our oil discovery and should have carried out wider
consultations with us,” said Uganda Minister of Energy and Mineral
Development Irene Muloni.

Uganda said it has started engaging Kenyan officials so that the design of
the pipeline also links up the country’s oil fields.

“Discrimination against Sudan will not be tolerated. It is not fair that
Sudan is a member of Igad but most projects leave out Sudan,” said Mr
Abdurrasoul.

Mayom Kuoc Malek, Deputy Transport Minister in South Sudan, was however
insistent that as a landlocked country, it would make sense for Juba to
diversify her routes to the outside world.

“We need to have a pipeline in friendly countries that will not destabilise
the transportation of our products.,” said Mr Malek, who noted that the
resumption of the Northern oil route depends on what happens politically in
the near future, and especially in the on-going negotiations in Addis
Ababa.



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Received on Sat Mar 17 2012 - 14:06:56 EDT
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