TotalEnergies Sued in Uganda Over Unpaid Bill for Toxic Fuel Depot Cleanup in Kampala.
A legal storm is brewing in Uganda, casting a shadow over the operations of oil and gas giant TotalEnergies. The company finds itself in the crosshairs of a high-stakes lawsuit, not over exploration rights, but over an alleged failure to pay for a critical environmental cleanup operation in the heart of Kampala. The case, recently reported by Chimpreports, pits Civtec Africa Limited against TotalEnergies Marketing Uganda Limited in Civil Suit No. 264 of 2025 at Uganda’s Commercial Court. The dispute centres on a massive decommissioning and waste management project at the heavily contaminated former fuel depot on 8th Street in Kampala's Industrial Area. Let's unpack the story behind the headlines. The former fuel depot, a sprawling site that stored vast quantities of petroleum products for over two decades under TotalEnergies' control, was left severely polluted. Soil and groundwater were saturated with hydrocarbons, including oil, gas, and hazardous fumes in underground pipes, creating a significant environmental and public health hazard. The depot sits above Kampala’s aquifer system, potentially allowing contaminants to seep into the water table serving millions, raising risks of cancer, respiratory issues, and strain on water infrastructure. When TotalEnergies decided to demolish and redevelop the site, the responsibility for remediating this legacy pollution fell into its hands. Enter Civtec Africa Limited, a Ugandan company hired to undertake the monumental task of making the site safe again. According to the lawsuit, Civtec was contracted in 2019 to handle the demolition and excavation work. The company claims it executed its duties diligently, treating and disposing of contaminated soil and water in compliance with Uganda’s National Environment Act, 2019, and regulations on waste management, pollution control, and drainage infrastructure. However, upon starting the project, Civtec encountered extensive unforeseen contamination, including flowing groundwater laced with hydrocarbon products, which posed grave environmental, health, and safety risks. The crux of the matter is TotalEnergies' alleged fraudulent concealment of this contamination information before the project began, depriving Civtec of critical details needed for safe and accurate execution. Civtec further alleges breaches including mid-project instructions—like relocating an electrical powerhouse—issued without full compensation, and a failure to secure necessary approvals for drainage works, which led to intervention by the Kampala Capital City Authority on April 12, 2019. The company states it lost 48 working days awaiting instructions after discovering polluted soil and water bodies, and that a contract addendum on December 5, 2019, affected costing without proper adjustments. Despite approving the disposal of contaminated materials, TotalEnergies has not fully documented or compensated for the additional work required. From the contractor's perspective, this is a clear case of a multinational corporation failing to honour its obligations, causing substantial financial strain and exposing workers to dangers that could have been mitigated with upfront transparency. As one would expect, TotalEnergies is not taking the allegations lying down. In a statement dated October 14, 2025 (Ref: U. CA/10/453), the company declined to comment to avoid prejudicing the case but offered to answer questions later. While a formal defence has not yet been detailed in public reports, the suit paints the issue as a profound failure in contractual compliance and environmental stewardship, shifting the onus onto TotalEnergies to prove it met its disclosure and payment duties. This is more than just a corporate payment dispute. The lawsuit touches on several critical issues. At its heart, this was a project to protect people and the environment from dangerous pollution. The case raises questions about who ultimately bears the financial and ethical responsibility for cleaning up the mess left by industrial operations, especially when legacy sites threaten vital resources like Kampala's water supply. The dynamic here is being closely watched by the local business community. Many see it as a test case for whether Ugandan companies can secure fair treatment, transparency, and timely compensation when working with international conglomerates on major projects. It also highlights reputational risk for TotalEnergies, which faces intense global scrutiny over its East African Crude Oil Pipeline (EACOP) and other ventures—allegations of concealing contamination for an environmental cleanup can be a particularly damaging narrative amid prior criticisms and lawsuits worldwide. With Uganda's oil and gas sector ramping up, the outcome of this case could set a precedent for how contractual disputes, environmental disclosures, and supply chain fairness are handled in the industry's complex ecosystem. The matter is now in the hands of the Ugandan judiciary, with pre-trial hearings expected to begin later in 2025. The court will have to sift through contracts, technical reports, and evidence of contamination to determine whether Civtec's claims of concealment and non-payment hold up, and whether TotalEnergies' actions were legally justified. This case serves as a stark reminder that in the complex world of major energy projects, the deals struck in boardrooms must be honoured on the ground with full transparency. The pursuit of progress must not come at the cost of leaving contractors—or contaminated sites—in the lurch. We will be watching this space closely as the case develops. What are your thoughts on this dispute? Is it a simple contractual issue or a sign of a larger problem with transparency in Uganda's energy sector? Share your comments below.
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