Petroleum (Refining, Conversion, Transmission and Midstream Storage) (National Content) Regulations

1. These Regulations may be cited as the Petroleum (Refining, Conversion, Transmission and Midstream Storage) (National Content) Regulations, 2016.
2. 2. Application. (1) These Regulations apply to national content in midstream operations. (2) The licensee, contractor, subcontractor, and other entity involved in midstream operations in Uganda shall consider and incorporate national content as an important element of their overall midstream operations.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (b) to require every licensee, contractor and subcontractor to give priority to the sourcing of goods and services from Ugandan companies, registered entities and Ugandan citizens where the goods and service are competitive in terms of quality and timely availability;
2. (c) to require the provision of goods and services not available in Uganda to be provided by a company that has entered into a joint venture with a Ugandan company, a registered entity or Ugandan citizens, where possible;
3. (d) to regulate the provision of goods and services by other companies or registered entities wholly owned by non- Ugandans, in exceptional cases, and with the approval of the Authority;
4. (e) to ensure enterprise development through provision of support to Ugandan companies, registered entities and Ugandan citizens; and
5. (f) to promote cooperation between licensees, contractors, subcontractors and Ugandan universities, research institutions and technical institutions.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. "authorised officer" means an officer or other person acting under the authority of the Minister or the Authority under the Act and these Regulations;
2. "currency point" has the value assigned to a currency point in the Act; "licence" means a licence issued under the Act; "licensee" means a person to whom a licence is granted under the Act; "National content" means- (a) the level of use of Ugandan local expertise, goods and services, Ugandan citizens, businesses and financing in midstream operations; and (b) the substantial combined value added or created in the Ugandan economy through the utilisation of Ugandan human and material resources for the provision of goods and services to the petroleum industry in Uganda;
3. "registered entity" means a business owned by Ugandan citizens registered under the Business Names Registration Act or the Partnership Act, 2010;
4. "technical staff" includes refinery engineers, chemical engineers, electrical and instrumentation engineers, process engineers, chemists, pipeline engineers, health, safety and environment personnel, petroleum economists and cost engineers;
5. "technology transfer" means planned and unplanned activities and mechanisms aimed at maximising knowledge and skills transfer to the Government, registered entities and Ugandan citizens and the establishment in Uganda of management and technical capabilities and facilities for technical work by the licensees, operators, contractors and subcontractors;
6. "Ugandan company" for purposes of section 53 (4) of the Act and these Regulations, means a company incorporated under the Companies Act, 2012 and which-

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (a) supervise, coordinate and monitor the development of national content in midstream operations;
2. (b) appraise and evaluate national content programmes and reports submitted to the Authority in compliance with these Regulations;
3. (c) develop and operate the national content evaluation system for licensees, operators, contractors and subcontractors;
4. (d) assist Ugandan companies and registered entities to develop their capabilities and capacities to further the development of national content in midstream operations;
5. (e) develop guidelines for the implementation of national content;
6. (f) monitor and evaluate the national content performance of licensees, in accordance with these Regulations;
7. (g) develop auditing procedures and conduct regular audits for the purposes of monitoring compliance with these Regulations;
8. (h) provide definitions and indicators for the measurement of national content;

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The Minister shall consider national content when evaluating any licence application under the Act.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall, within twelve months after the grant of a licence, submit to the Authority for approval, a detailed national content programme stating proposals for-
2. (a) the employment and training of Ugandans;
3. (b) the required quality, health, safety and environment standards for goods and services to be procured; (c) the transfer of technology, knowledge and skills to Ugandans companies, Ugandan citizens and registered entities;
4. (d) research and development in Uganda;
5. (e) procurement of goods and services obtainable in Uganda;
6. (f) local supplier development;
7. (g) partnership with Ugandan companies, Ugandan citizens and registered entities;
8. (h) the succession of expatriates by Ugandans;

9 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (a) contain a detailed plan on how the licensee shall give preference to goods that are locally manufactured or available in Uganda, where the goods meet the required quality and timeline for delivery; and
2. (b) contain a detailed plan, setting out the manner in which the licensee and their contractors and subcontractors shall give preference to services offered by Ugandan companies, registered entities and Ugandan citizens and how the licensee shall ensure that Ugandan companies, registered entities and Ugandan citizens are given preference during the evaluation of bids for the required services.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Every licensee, contractor and subcontractor shall submit to the Authority, thirty days prior to the first day of each quarter, a list of all anticipated contracts and subcontracts which will be bidded for or executed in the upcoming quarter.
2. (2) For each contract and subcontract submitted under subregulation (1) exceeding $100,000, the list shall contain-
3. (a) a description of the goods and services to be purchased or contracted;
4. (b) material and equipment specifications, if any;
5. (c) the estimated value of the contract or subcontract;
6. (d) the expected date of invitation to tender; and
7. (e) any other information requested for by the Authority for the purposes of implementing the provisions of the Act and these Regulations.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Licensees, contractors and subcontractors shall give preference to goods and services which are produced and are available in Uganda and services which are rendered by Ugandan companies, registered entities and Ugandan citizens.
2. (2) Where goods and services required by the licensee, contractor or subcontractor are not available in Uganda, the goods and services, shall, where possible, as determined by the Authority, be provided by a company which has entered into a joint venture with a Ugandan Company.
3. (3) A Ugandan company shall, before entering a joint venture under subregulation (2), be approved by the Authority and shall-
4. (a) have technical and financial competence and be able to deliver the goods and services in a timely manner;
5. (b) demonstrate capacity to transfer knowledge and technology to Ugandan citizens; and
6. (c) have experience in provision of the required goods or services.
7. (4) Where a Ugandan company, registered entity or Ugandan citizen is unable to provide the required quality of goods and services due to lack of technical capacity or financial competence, the licensee may, with the approval of the Authority, procure the goods and services from any other company within a period specified by the Authority.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (2) Subregulation (1) does not preclude Ugandan companies, registered entities and Ugandan citizens from providing goods and services that are not listed under the Schedule.
2. (3) Every licensee, contractor and subcontractor shall, where possible and feasible, provide additional and timely information, reduce the size and complexity of the scope of works by unbundling of contracts and formulate work packages which are affordable to Ugandan companies, registered entities and Ugandan citizens.
3. (4) Where a Ugandan company, registered entity or Ugandan citizen is unable to provide the required quality of goods and services specified in the Schedule due to lack of technical capacity or financial competence, the licensee may, with the approval of the Authority, procure the goods and services from any other company within a period specified by the Authority.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Every licensee, contractor and subcontractor shall ensure that the bidding process includes national content as one of the requirements for qualification.
2. (2) Prior to the bidding process for acquiring works, goods and services, the licensee, contractors and subcontractors shall advertise in at least two newspapers of wide national circulation all the upcoming contracts at least one month before the procurement process starts.
3. (3) Every licensee, contractor and subcontractor shall provide feedback to the unsuccessful bidders, indicating reasons why the bid was unsuccessful.
4. (4) The licensee, contractor and subcontractor may hold tender workshops to educate prospective bidders on the procurement process, requirements and performance standards.
5. (5) Whenever possible, the licensee, contractor or subcontractor shall provide contract periods that shall permit other Ugandan companies, registered entities and Ugandan citizens to join the petroleum sector as follows-
6. (a) for capital intensive contracts, a maximum duration of five years; and
7. (b) for low cost contracts, a maximum duration of three years.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (a) employment and training of Ugandans;
2. (b) utilisation of local goods and services; and
3. (c) the proposals for technology transfer.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) Where applicable, before carrying out any work or activity in Uganda, a licensee, contractor and subcontractor shall establish in Uganda, a tender office where the information regarding the operations and procurement can be obtained.
2. (2) The Authority may, in addition to the requirements under subregulation (1), require a licensee, contractor or subcontractor to maintain a tender information office in a community in Uganda, where the licensee has significant operations.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee, contractor or subcontractor shall submit to the Authority, within thirty days after the end of each quarter, a list of all contracts and subcontracts exceeding $100,000 or such other limit as the Authority may determine, awarded in the previous quarter.
2. (2) The list referred to in subregulation (1) shall state-
3. (a) all items and services procured;
4. (b) the aggregate value of all contracts and purchase orders;
5. (c) the name of successful contractors or vendors;
6. (d) the primary location of work;
7. (e) the estimates of national content;
8. (f) the commencement and completion date; and

1 further item remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. All contracts whose total budget exceeds US$1,000,000 and which are to be executed in Uganda shall contain a labour clause mandating the use of a minimum percentage of Ugandan labour in specific categories as may be stipulated under the national content programme approved by the Authority under regulation 7.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall develop and submit to the Authority for approval a policy and plan on employment of Ugandans, specifying the required minimum qualifications.
2. (2) The policy referred to in subregulation (1) shall- (a) ensure that Ugandan citizens are given priority for employment in any midstream operation executed by a licensee; and (b) take into consideration the promotion of participation of specific groups including women, persons with disabilities and persons from different geographical areas or ethnic backgrounds.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall, within twelve months after the grant of a licence and on each subsequent anniversary of that grant, submit to the Authority for approval, a detailed plan for recruitment and training of Ugandans in midstream operations. (2) The recruitment and training plan shall provide for the training of Ugandans in all phases of midstream operations.
2. (3) The plan submitted by the licensee under subregulation (1) shall include- (a) an outline of- (i) the hiring and training needs of the licensee and the licensee's major contractors with a breakdown of the skills required;
3. (ii) the activity-specific training requirements; and
4. (iii) the anticipated expenditure to be made directly by the licensee in implementing the employment and training plan;
5. (b) a time frame for employment opportunities for Ugandans for each phase of the midstream operations; and
6. (c) any other relevant information that the Authority may require.
7. (4) The licensee shall ensure that the annual recruitment and training plan takes into consideration-
8. (a) upon grant of a licence to construct a facility, the targets approved by the Authority in the recruitment and training plan under subregulation (1); and

10 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (2) Where Ugandans are not employed due to lack of required qualifications, the licensee shall ensure that effort is made within a period specified by the Authority to supply the training locally or elsewhere through attachment or other means approved by the Authority and the procedure for its execution shall be contained in the licensee requirement and training plan.
2. (3) The licensee shall provide training and knowledge transfer through different means including-
3. (a) internships and attachment of Ugandan citizens in midstream operations; (b) support of the industry enhancement centre including in health, safety, environment and quality standards for goods and services; (c) support of existing institutions in Uganda by providing knowledge and technologies;
4. (d) mentorship programmes; (e) scholarships; (f) sending resource persons to training institutions to transfer knowledge and technology; or
5. (g) where possible, establishing training institutions.
6. (4) The training referred to in subregulation (2) shall be related to the core operations of the licensee.
7. (5) Subregulation (4) does not preclude the licensee from training Ugandans in other aspects of midstream operations.
8. (6) The licensee shall, upon request by the Authority, provide industrial training for students and other support to education institutions.

8 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall submit to the Authority a succession plan for all positions not held by Ugandan citizens until the targets referred to under regulation 18 (4) are attained.
2. (2) All positions held by Ugandans shall attract salaries, wages and benefits commensurate to the job description.
3. (3) All conditions of service and staff demography for all licensees shall be made available to the Authority.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee, contractor and subcontractor shall, apply for recommendation from the Authority prior to making any application for work permits for expatriates to the Government ministry, department or agency responsible for immigration.
2. (2) The application referred to under subregulation (1) shall include-
3. (a) job titles of the requirements;
4. (b) certified or notarised academic transcripts and curriculum vitae accompanied by recommendations certifying the experience and job history referenced;
5. (c) a description of responsibilities; (d) the duration of the proposed employment in Uganda; (e) evidence that Ugandan nationals are not qualified for the job; (f) a training plan for the replacement of the expatriates with Ugandan citizens; and
6. (g) any other information required by the Authority for purposes of implementing the provisions of the Act and these Regulations.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A licensee, contractor or subcontractor shall not employ a person whom the licensee, contractor or subcontractor knows to be unlawfully present in Uganda.
2. (2) A licensee, contractor or subcontractor who contravenes this regulation commits an offence and is liable on conviction to a fine not exceeding two thousand currency points and additional three hundred currency points for each day on which the offence continues.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) A licensee shall submit to the Authority for approval an annual plan, satisfactory to the Authority, setting out details and initiatives aimed at promoting the effective transfer of technology, technical knowhow and skills relating to midstream operations from the licensee to Ugandan companies, registered entities and Ugandan citizens.
2. (2) The plan submitted under subregulation (1) shall include technology transfer initiatives of the licensee's contractors and subcontractors.
3. (3) A licensee shall implement the plan referred to in subregulation (1) and shall not amend or deviate from the plan without the approval of the Authority.
4. (4) The licensee shall support technology transfer by encouraging and facilitating the formation of joint ventures, and partnerships and the development of technology licensing agreements between Ugandan companies, registered entities and Ugandan citizens and foreign contractors and service or supplier companies. (5) Agreements all joint ventures and partnerships referred to in subregulation (4) shall be sustainable and shall meet the requirements of national content development to the satisfaction of the Authority. (6) The licensee may, upon request by the Authority or on its own initiative, with the approval of the Authority, support the establishment and upgrading of any facility in Uganda for technical, vocational and technology transfer. Research and Development

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee may, where necessary, carry out research and development in Uganda or elsewhere as may be approved by the Authority. (2) Where the licensee intends to undertake research and development under subregulation (1), the licensee shall submit to the Authority for approval a proposal for research and development indicating- (a) the objectives of the research and development and how it relates to the licensee's midstream operations; and (b) how Ugandan companies, registered entities and Ugandan citizens and education institutions shall participate in the research and development.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall submit to the Authority a quarterly national content performance report covering all its midstream operations.
2. (2) Notwithstanding subregulation (1), the licensee shall submit to the Authority a consolidated annual national content performance report for the year under review within sixty days of the beginning of each calendar year. (3) The national content performance report shall specify, national content expenditure on both a current and cumulative cost basis and shall set out- (a) the employment achievements in terms of hours or days worked by Ugandan workers and foreign workers and their status; (b) the Ugandan citizens trained and employed indicating particulars by name, job and level of training and employment; (c) the procurement achievements in terms of quantity and tonnage of locally manufactured materials and materials of foreign origin; (d) the names of Ugandan companies, registered entities and Ugandan citizens contracted, the contracts awarded, the value of each contract awarded and duration of the contract; (e) technology transfer initiatives, research and development programs and any training programs provided by the licensee; and
3. (f) any other relevant information required by the Authority.
4. (4) The Authority shall undertake regular assessment and verification of the national content performance report filed by a licensee in compliance with these Regulations as may be considered appropriate by the Authority.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. The licensee, contractor and subcontractor shall, during working hours, for purposes of assessment and verification, allow the Authority or an authorised officer, access to their facilities, documentation or information required for the verification of national content compliance.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (2) The licensee shall ensure that its contractors and subcontractors comply with the licensee's national content policy.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall ensure that, contractors and subcontractors are contractually bound to report national content information to the licensee and, upon request by the Authority, directly to the Authority.
2. (2) The licensee shall report to the Authority, on a quarterly basis, in respect of monitoring and enforcement of compliance by contractors and subcontractors.
3. (3) The licensee shall allow the Authority or an authorised officer access to their records for the purposes of assessment and verification of national content compliance reported to the licensee or the Authority by the contractor or subcontractor.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Authority may, in consultation with the licensee, determine, where possible, the fabrication and welding activities that shall be undertaken in Uganda by the licensee, contractors, subcontractors or any other entity engaged in midstream operations. (2) The Authority shall determine and advise on the capacity of the welding industry in Uganda.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Authority shall develop a national supplier data base.
2. (2) A company shall not provide goods, works and services for midstream operations in Uganda unless it is in the national supplier database.
3. (3) Notwithstanding subregulation (2) and subject to regulation 10, goods, works and services for midstream operations not available in Uganda may be provided by a company not listed on the national supplier database.
4. (4) The national supplier data base shall contain a list of qualified Ugandan companies and registered entities and a list of qualified foreign companies registered in accordance with the Companies Act, 2012 and their qualification, experience and skills for the provision of goods and services for midstream operation.
5. (5) The Authority shall, in consultation with the licensees, develop a criteria that shall be used for purposes of qualification of service providers to the national supplier database.
6. (6) The Authority shall qualify service providers on an annual basis by advertisement in newspapers of national and international circulation and in other electronic and print media.
7. (7) The Authority shall ensure that the companies and registered entities referred to in subregulation (3) have the necessary competence, qualifications, financial and technical capacity to undertake works and provide goods and services for midstream operations by making enquiries and carrying out investigations in any company or registered entity seeking to be registered in the national supplier database.
8. (8) The Authority shall publish the list of companies to provide goods, works and services for midstream operations in the national supplier database by 31st December of each year and make it available to the licensee and the general public in a digital form.

2 further items remain in the statutory text above.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The Authority shall, in consultation with industry stakeholders, establish, maintain and operate a national human capacity register which shall be administered in accordance with these Regulations and guidelines issued by the Authority.
2. (2) The register referred to in subregulation (1) shall constitute a database of available human capabilities and technical skills and may be used for recruitment of personnel by the licensee, contractors and subcontractors.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.

1. (1) The licensee shall ensure that all their contractors and subcontractors comply with the national content requirements under the Act and these Regulations.
2. (2) A licensee, contractor or subcontractor who fails to comply with the requirements of these Regulations commits an offence and is liable on conviction to a fine not exceeding one hundred currency points and an additional fifty currency points for each day on which the offence continues.
3. (3) Where a licensee repeatedly fails to comply with the national content requirements under these Regulations, the licensee commits an offence and is be liable upon conviction to a fine not exceeding five thousand five hundred currency points.
4. (a) Transportation. (b) Security. (c) Foods and beverages. (d) Hotel accommodation and catering. (e) Human resource management. (f) Office supplies. (g) Fuel supply. (h) Land surveying. (i) Clearing and forwarding. (j) Crane hire. (k) Locally available construction materials. (l) Civil works. (m) Environment studies and impact assessments. (n) Communications and information technology services. (o) Waste management, where possible.

No judgment in the current Wakilii corpus expressly cites this section. Bare rule-number references are not assigned where the Order cannot be verified.