Request_for_Comments_on_SOW_for_Education_for_Environmentally_Sound_Oil_Management.pdf

U.S. Agency for International Development US Mission Compound – South Wing 1577 Ggaba Road, Nsambya P.O. Box 7856 Kampala, Uganda

Tel: (256 - 414) 306-001 Fax: (256 - 414) 306-661 http://uganda.usaid.gov

International Address:

USAID/Uganda DOS/USAID, 2190 Kampala Place Washington DC 20521-2190 Tel: 202-216-6234

REQUEST FOR COMMENTS

Date Issued: October 03, 2012 Issued By: USAID/Uganda Office of Acquisition and Assistance Issuing Contracting Officer: Tracy J. Miller Closing Date and Time: October 17, 2012, 4pm EDT (Washington, DC) Submission Address: KampalaUSAIDSolicita@usaid.gov Reference: USAID/Uganda Education for Environmentally Sound Oil Management.

The United States Government, represented by the U.S. Agency for International Development (USAID) Uganda, is seeking public comments on the DRAFT Statement of Work for the procurement of services for the USAID/Uganda Education for Environmentally Sound Oil Management activity

Responses to this request for comment are not binding on the U.S. Government and do not obligate USAID to issue a Solicitation, nor does it commit USAID to pay any cost incurred in the preparation and submission of comments.

Brief Project Description:

Through this activity, the U.S. government aims to build the capacity of current and future Ugandan professionals, academic institutions, government, civil society and other key stakeholders in sound environmental management and biodiversity conservation in relation to oil and gas development.

The Implementing Partner of this contract shall work with Makerere University, Uganda’s largest institution of higher learning, to create new advanced degree programs (potentially Post- Graduate, Masters of Science and PhDs) for prospective students, as well as establish programs that will provide short-term training to existing professionals within government agencies, civil society and the private sector. Additionally, the program will support development and implementation of a complementary research program for professors and students to improve the environmental performance of oil and gas operations, minimize harm to biodiversity, and maximize opportunities for conservation where oil and gas resources are developed.

Requested Information:

USAID invites the public to submit comments on the DRAFT Statement of Work (SOW).

Potential offerors are encouraged to point out to USAID any areas of the draft SOW that are unclear or confusing and to request more information about USAID’s intentions for the activity.

They may also make suggestions as to ways the SOW might be changed to improve their ability

DRAFT STATEMENT OF WORK FOR USAID/UGANDA’S EDUCATION FOR

ENVIRONMENTALLY SOUND OIL MANAGEMENT ACTIVITY IN THE

ALBERTINE RIFT.

1. Introduction:

The purpose of this activity is to build the capacity of government agencies, civil society, the private sector, and other key stakeholders to be better prepared to mitigate impacts of oil and gas exploration and production on biodiversity of the Albertine Rift. The Contractor shall work with Makerere University to establish programs that will provide short-term training, as well as full degree programs at the Post-Graduate, Masters and/or PhD level to prospective students.

Additionally, the program will carry out research on issues related to biodiversity conservation and oil development in the Albertine Rift.

The Problem:

Uganda has been described by the oil industry as Africa’s “hottest inland exploration frontier,” with an estimated 2.5 billion barrels of known recoverable reserves, and an estimated potential of six billion barrels. Much of the known oil reserves lie in the Albertine Rift, one of the world’s most biodiverse regions. The Albertine Rift is estimated to contain some 30 percent of Africa’s mammal species, 51 percent of its bird species, 19 percent of its amphibian species and 14 percent of its plant and reptile species. This species richness is manifested in a large number of protected areas that include forest reserves, community wildlife reserves, and fully-protected national parks. Much of the area currently under exploration and presenting the most urgent short-term threat is within the boundaries of Murchison Falls National Park, a popular tourist destination with sensitive habitat important for biodiversity conservation. The Murchison Falls – Albert Delta Wetland System has been designated as a Wetland of International Importance.

The Albertine Rift has economic importance separate from oil extraction. The abundance of wildlife provides a foundation for a growing tourism industry that currently contributes $650m a year to the national economy. The Lonely Planet recently recommended Uganda as the number one travel destination in 2012, largely because of its wildlife attractions. Preserving the rich biodiversity of the Albertine Rift has significant economic implications for the tourism industry that will extend beyond the estimated 25 year timeline of oil extraction.

Ecosystem and environmental degradation from the oil and gas activities is possible at different points along the production chain- exploration surveying and drilling, extraction, processing, transportation, and decommissioning and rehabilitation. Aquatic pollution and water use concerns resulting from oil exploration and extraction are among the most critical issues that have both local and trans-boundary implications. The used water that comes out of wells during the extraction process is often severely polluted, containing dangerous heavy metals that need to be prevented from entering into the groundwater and nearby water bodies. According to the Environmental Sensitivity Atlas for the Albertine Graben, most of the region has a shallow water table, making groundwater especially susceptible to pollution. Many local fishing communities depend on both the Albert Nile and Lake Albert for their livelihoods, and damage to the sensitive but important inshore breeding grounds would be detrimental to fish populations. Finally, pollution will almost certainly have cross border ramifications, potentially fueling tensions with neighboring DRC, South Sudan, Sudan and even Egypt, countries already mired in conflict.

There are also numerous indirect environmental impacts from oil extraction, mainly related to increased population pressures and new infrastructure due to amplified economic activity in the region. Issues such as waste disposal, pollution, increased use of biomass for fuel, intensified demand for fish and bush meat, and an increase in poaching activities could all significantly impact biodiversity conservation.

The ability of Ugandan institutions to effectively manage the environmental effects of oil production is a major concern. According to the Wildlife Conservation Society’s “Wildlife, Landscapes and Development for Conservation” (WILD) Final Report, because the oil industry is new to the country, there is very little understanding and capacity to address its potential negative environmental impacts. Government agencies such as the Petroleum Exploration and Production Department (PEPD), National Environmental Management Authority (NEMA), the Ugandan Wildlife Authority (UWA), civil society organizations, and the relevant oil companies have all expressed their apprehension over the lack of expertise within Uganda to manage environmental concerns related to oil development. Given the complexity of potential environmental impacts from the oil and gas industry, there is a need to provide specialized expertise within these existing government agencies. The majority of government staff is well trained in environment-related disciplines, but there is little focus on oil and gas related issues.

There is a need to increase basic information and knowledge of oil and gas processes in general and relevant best practices in environmental auditing of this sector, including setting of standards and enforcement; monitoring and evaluation specific to oil and gas; reviewing environmental impact assessments related to oil and gas; timely identification and mitigation of oil and gas related environmental impacts and best practices in oil spill contingency planning.

Currently, the country does not have a higher-level educational institution offering a comprehensive degree program to develop professional expertise to effectively manage the environmental impacts of the oil and gas industry. NEMA, with funding from Norway, recently completed the “Capacity Needs Assessment for the Environmental Pillar Institutions in Uganda” and “The Environmental Monitoring Plan for the Albertine Graben (AG EMP),” both of which should guide any type of capacity building intervention. Specific educational and training needs identified by the Capacity Needs Assessment include knowledge on developing standards in oil and gas environment impact mitigation, and water, fisheries, soils, and wetland analyses for baseline assessments and monitoring. This program will work towards addressing the needs identified in the NEMA reports by providing adequately educated and trained professionals to produce practical guidelines, tools and models to improve the environmental performance of oil and gas operations, minimize harm to biodiversity, and maximize opportunities for conservation in the Albertine Rift.

2. Objective:

The overall objective of the activity is to increase the level of professional expertise in Uganda to help meet the challenge of fully integrating protection of the environment and critical biodiversity in the regulatory and business processes that control the exploration and production of oil and gas in the Albertine Rift. This will be achieved by:

I. The development and implementation of comprehensive curricula specific to integrating environmental management and biodiversity conservation into upstream oil and gas development for degree programs at the Post-Graduate, Masters and/or PhD levels at Makerere University;

II. Support for field-based research conducted by professors and students in the degree program at Makerere University in conjunction with NEMA’s Environmental Monitoring Plan for the Albertine Graben on current environmental management and biodiversity conservation issues in Uganda related to oil and gas development; and

III. Tailor-made short-term trainings for government, civil society, and private sector professionals that need orientation training or refresher courses focused on the integration of environmental management and biodiversity conservation specific to the oil and gas industry.

Development Hypothesis: If the capacity for oil and gas-specific environmental management and biodiversity conservation expertise is improved by making high-quality education and training available through local universities and other training programs, Ugandan regulatory institutions, civil society organizations, and relevant private sector companies will be able to meet their staffing needs with professionals who are well-qualified to integrate the conservation of critical biodiversity into their oil development activities.

3. Partner Institution:

Makerere University was established in 1922 and is one of the oldest and most prestigious universities in Africa. The university serves a student body of about 35,000 undergraduates and 3,000 postgraduates (both Ugandan and foreign) and is a very active center for research.

Makerere has over thirty years of institution-wide expertise on natural resources management.

The Department of Geology and Petroleum Studies has introduced courses both at the undergraduate and post-graduate levels that are geared at enhancing and training capacity for the petroleum industry through research and education. Courses include health, safety and environment in the petroleum sector; oil and gas policy; and environmental law. Additionally, within their College of Agriculture and Environmental Sciences, courses on biodiversity have long been taught. While these courses provide a foundation on which to build, a comprehensive program to address the environmental management needs of the oil sector has not been developed. There is also a desire from the university to foster interdisciplinary and multidisciplinary approaches between the two departments. The Contractor will be expected to utilize the existing expertise to the maximum extent possible in the development of this activity.

4. Program Linkages:

This activity will work closely with other USAID, Department of State, donor-funded, and Government of Uganda programs. In order for USAID/Uganda to avoid duplication of efforts and ensure collaboration to the maximum extent possible, it is important to examine other ongoing initiatives and plans for future programs. The following is a very brief synopsis of relevant work financed by USAID and other development partners, including the Government of Uganda.

4.1: Government of Uganda In conjunction with Norway, the Government of Uganda, represented by NEMA, has produced the comprehensive and ambitious Environmental Monitoring Plan for the Albertine Graben (AG EMP). If implemented, this plan will monitor the effects of oil development on aquatic and terrestrial ecosystems, the physical and chemical dangers of extraction, societal effects of oil production, and business and management issues. The implementation of this monitoring plan will be managed by NEMA but will involve a number of governmental authorities, research institutes, private companies and local communities. It is recognized by the government that existing capacity is limited and would need to be increased to complete the monitoring plan.

USAID will partner with NEMA to provide support to these efforts.

4.2: United States Government Initiatives In September 2011, USAID/Washington awarded a three year cooperative agreement to Conservation Strategy Fund (CSF) to support their Biodiversity Understanding in Infrastructure and Landscape Development (BUILD) program. This program aims to create lasting human capacity for infrastructure analysis, and to gather and aggressively share information globally on what countries are doing right. Additionally, CSF will work intensively with the Government of Uganda on policy innovations and will conduct training courses for government staff, civil society organizations, and others on Economic and Policy Tools for Infrastructure Development and Biodiversity Conservation.

USAID/Uganda also plans to directly fund NEMA and UWA to carry out their Environmental Management Plans for the Albertine Rift. These projects will focus on the establishment of decentralized monitoring units that can adequately monitor impacts of oil development on various ecosystems, and the regulation of oil activities to ensure compliance. These initiatives are still in development so the level of support and details on programs are currently not available.

The U.S. State Department is active in building government capacity to manage the hydrocarbon sector in Uganda. Their Energy Governance and Capacity Initiative (EGCI) conducted an initial assessment for its interagency engagement with Uganda in February 2010. Since that time, the program has funded technical training on seismic interpretation through the U.S. Geological Service and several workshops pairing U.S. offshore regulators at the Department of the Interior with their Ugandan counterparts. A planned EGCI event to address environmental risk mitigation for coastal and onshore development will be tied to USAID/Uganda environmental programs.

Additionally, as EGCI works to create partnerships between Ugandan regulators and their U.S.

counterparts, USAID/Uganda will monitor engagement for opportunities to collaborate on training events.

Finally, the USAID/Uganda Democracy and Governance office will soon award their Supporting Access to Justice, Fostering Equity and Peace (SAFE) project, which will strengthen the mechanisms for resolution of conflicts over land, oil, and ethnic diversity. It will further enhance the capacity of local actors to prevent violent conflict and transform them into peaceful outcomes while promoting reconciliation. Through training, technical assistance and the provision of grants to civil society organizations (CSOs), SAFE will focus on the oil-rich Albertine region, the Lord’s Resistance Army (LRA)-affected northern Uganda, and central Uganda as primary entry points.

4.3: Other Donors Among donors, Norway is seen to hold the most expertise in regards to petroleum development and has taken a lead role through their Oil for Development Program (OfDP). Their assistance consists of supporting a strategic environmental assessment, capacity development programs for NEMA, revisions of management plans for the protected areas, an environmental monitoring program for the Albertine Graben, and assistance on environmental regulations and waste management guidelines. More information can be found on the Oil for Development Program at http://www.norway.go.ug/Embassy/Development/Energy-and-Petroleum-Sector/ The MacArthur Foundation is also involved in environmental management of the oil development. Their assistance focuses on grant making to civil society organizations with the objective to advance transparency and meaningful participation by citizens in decision-making about natural resource management in order to reduce the risk for conflict and lead to improved conservation outcomes and greater respect for human rights. The main thematic areas for the MacArthur grants are transparency and accurate information, implementation of laws and policies, and strengthening the private sector’s commitment to considering the social and environmental impacts of their investments. More information on the MacArthur grants can be found at http://www.macfound.org/site/c.lkLXJ8MQKrH/b.1013733/k.9901/International_Grantmaking_ _Conservation_and_Sustainable_Development.htm

5. Relationship to USAID/Uganda’s Country Development Cooperation Strategy (CDCS):

This activity will contribute to USAID/Uganda’s CDCS Development Objective 1: Economic growth from agriculture and the natural resource base increased in selected areas and population groups. Specifically, the project will focus on Intermediate Result (IR) 1.3: Resource base degradation mitigated to protect future value. This activity, in concert with other institutional support provided by the USG, will contribute to achieving the IR. A separate program aimed at increasing the level of ecotourism in Uganda to promote conservation will also contribute to the success of this IR.

6. Outcome/Activities:

The main outcome of this project will be an increase in the capacity of Ugandan professionals to manage the environmental impacts of the oil and gas sector while improving the capacity of the participating institutions to ensure sustainability. The successful offeror will be expected to submit a management plan that demonstrates a substantial long-term commitment to achieving the overall goal of building Uganda’s capacity to develop its nascent oil industry in a manner that carefully considers and protects the country’s wealth of biodiversity.

Given the technical nature of monitoring the oil sector, it is anticipated that outside expertise will be sought to educate both instructors and students. These experts would be embedded into

Makerere University to improve the level of proficiency of environmental management in the petroleum sector for years to come. The Contractor shall demonstrate how their education program results in a greater number of better prepared professionals focused on biodiversity conservation in oil-affected areas. Additionally, the Contractor shall design a research program tasked with producing academic studies of the environmental impact of oil and gas activities in the Albertine Graben, and supporting implementation of NEMA’s Environmental Monitoring Plan for the Albertine Graben to continue learning in this field.

The Contractor is expected to complete the following activities:

Outcome 1: Assessment of Local Institutions’ Current Capacity Conducted Illustrative Activities:

Evaluate the current capacity of Makerere University to adequately educate students focused on environmental management and biodiversity conservation in relation to oil development

Review whether and how existing courses at Makerere may contribute to the degree programs, where gaps exist, and how best to fill them, including identifying at which levels (Post-Graduate, Master’s and/or PhD) is most appropriate

Review faculty available, their experience and research activities, and relevant knowledge related to biodiversity conservation and environmental management of oil and gas activities

Assess existing library resources, classrooms, teaching laboratories, research laboratories, equipment, office, and any other type of space necessary to implement and/or maintain the proposed program

Evaluate training needs of existing professionals within relevant government agencies, civil society organizations and the private sector regarding biodiversity conservation and environmental management in oil and gas-affected areas

Conduct an assessment of the current capacity of Makerere University and other relevant educational institutions or NGOs to offer training that emphasizes biodiversity conservation and sound management of environmental impacts in the context of oil and gas development

Outcome 2: Oil Environmental Management Curricula Established for Degree Programs and Short-Term Trainings Illustrative Activities:

Based on the results of the institutional assessment and input from employers in the oil and gas, environmental management, and biodiversity conservation industries, develop curricula for degree programs at the Post-Graduate, Master’s and/or PhD levels at Makerere University that focus on biodiversity conservation and mitigation and management of environmental impacts in the context of oil and gas development

Establish the curricular framework for the proposed programs, including all majors, concentrations, or areas of emphasis within the proposed program, number of credit hours and composition of required core courses, electives, thesis requirements, and dissertation requirements

Ensure that the proposed programs specifically relate to existing institutional strengths, such as programs of emphasis, other academic programs, and/or institutes and research centers

Describe the admission standards and graduation requirements for the program and specific expected student learning outcomes associated with the proposed program.

Develop training curricula to improve relevant expertise of existing professors on the integration of biodiversity conservation and mitigation and management of environmental impacts in the context of oil and gas development

Design short-term training programs for government, civil society and key stakeholders to fill gaps in knowledge of the oil and gas sector, integration of biodiversity conservation, and mitigation and management of environmental impacts

Ensure all accreditation and administrative activities are completed to allow for the issuance of degrees resulting from the program

Outcome 3: Oil Environmental Management Degree Programs Implemented Illustrative Activities:

Implement a one-year degree Post-Graduate degree program, a two-year Master’s of Science program, and a three-year PhD degree program at Makerere University that focus on biodiversity conservation and mitigation and management of environmental impacts in the context of oil and gas development

Develop opportunities for fellowships, scholarships, and graduate assistantships

Outcome 4: On-the-Job Training Program for Professors Implemented Illustrative Activities:

Conduct intensive continuing education programs for professors who will be responsible for the instruction of environmental management and biodiversity conservation in relation to oil and gas activities to address any existing knowledge gaps

Fill institutional needs to ensure adequate expertise is available to carry out the training program

Outcome 5: Continuing Education Program Implemented Illustrative Activities:

Implement a continuing education program to address immediate needs of existing professionals within relevant government agencies, civil society and the private sector to increase their knowledge and capacity to mitigate and monitor impacts on biodiversity and the overall environment from oil and gas development

Design and deliver short-term training to improve knowledge of oil and gas-specific guidelines and standards for environmental impact assessments and audits

Outcome 6: Environmental Management and Biodiversity Research in the Oil and Gas Sector Conducted

Illustrative Activities Create and carry out a research program to involve students and professors in conjunction with NEMA’s Environmental Monitoring Plan for the Albertine Graben on current environmental management and biodiversity conservation issues in Uganda related to oil and gas development

Support students and professors in implementing the research agenda. Disseminate and/or publish research findings in a manner that effectively builds the capacity and knowledge base of the Ugandan oil sector

Develop and implement an education and outreach plan to share research results with the public as well as with government agencies, civil society and the private sector. This could include a series of both guest lectures and lectures based on university research open to the public to encourage the dissemination of information and debate

Potentially complement NEMA’s own laboratory facilities to handle environmental issues related to the oil and gas sector, which could include mobile laboratory research facilities to allow rapid results sample tests during field investigations

7. Monitoring, Evaluation and Learning:

7.1 Monitoring and Evaluation Plan:

During the life of the activity, the Contractor and USAID/Uganda will monitor the progress of project activities towards achieving expected results and targets related to project objectives and accountability. Measuring specific outputs, outcomes, and impacts will facilitate better understanding of which approaches are working, under which conditions, and which activities need to be refined or strengthened within each of the respective components of the project. While USAID’s evaluation policy calls for evaluative activities that focus on performance and impact, learning can also include activities between monitoring and impact evaluation and can underscore the need for mid-course corrections, while improving the results of project implementation, especially where projects are innovative.

7.2 Collaboration, Learning, and Adapting (CLA):

USAID/Uganda realizes that development efforts yield more positive change more quickly if they are coordinated and collaborative, test promising new approaches in a continuous search for improvement, and build on what works and eliminate what does not. Collaboration focuses on potential partnerships with both Ugandan organizations and institutions and other USAID or donor projects to examine what is already being done in the field and to explore opportunities for collaboration. The Contractor will be expected to innovate and try different approaches, testing what works and what can be eliminated from the project. Adapting will focus on how the project will change as a result of the learning produced by the project and any changing circumstances.

One of the main theories behind the development of educational and training programs within a Ugandan institution is the ability of an institution to continue to evolve and adjust its programs as it progresses with the ultimate goal that the programs will be sustained beyond the life of the project. The research component of the project will not only provide the latest research on biodiversity and oil extraction in the Albertine Rift, but it will also help chart the course for an ever-evolving higher education program and expand the knowledge base for an environmentally sound oil and gas industry in Uganda. This continued research and adaptation will ensure that the activity continues to provide the most high quality education available within the field, while ensuring sustainability after the project is completed.

8. Gender Considerations:

While the activity focuses on education for environmental management, there are numerous gender considerations related to oil and gas development that need to be taken into account. The benefits and risks of the extractive industries impact men and women differently as is documented by the World Bank and their Extractive Industries and Gender Department. In general, there is a gender bias related to the extractive industry, with men enjoying gains in employment and compensation while women often face the negative consequences such as environmental degradation and social/family disruption. Women are most affected by the loss of fertile land, the pollution of water sources, the reduction in fish stocks and other airborne or noise pollution. Women may potentially have to travel farther to collect clean water because of water pollution resulting from the oil and gas extraction. This is a major concern in the Albertine Rift as much of the extraction will occur near major water bodies, and the shallow water table makes it even more susceptible to pollution. As caregivers within the family, women would also be most affected by negative health issues associated with oil pollution. The depletion of fish stocks as a result of pollution or overfishing could reduce an important source of protein for women and children, affecting the nutritional health of families in the Albertine Rift. Women involved directly or indirectly in the tourism industry could also suffer from a disruption in their income generating activities. The Contractor shall take into consideration gender dynamics related to environmental degradation from oil extraction when developing and carrying out their environmental management curriculum and research agenda.

Attachments:

1. Environmental Sensitivity Atlas for the Albertine Graben, second edition, 2010

2. Environmental Monitoring Plan for the Albertine Graben, 2012-2017

3. A Capacity Needs Assessment for the Environmental Pillar Institutions in Uganda, 2012