The account by Walter Wafula in the Daily Monitor of August 12 uncovering the financial and share results of Heritage and the firm's partners from their investment in Uganda's oil rekindled and left many unanswered questions in my mind.

Much has already been said about Uganda's oil and the way the deals have been handled with some people citing numerous irregularities while the government continues to reassure the nation how diligently the transactions are being managed. President Museveni himself promised that the revenue from the oil will be invested in development projects and many Ugandans got excited that the country will soon pull out of poverty.

However, some people might lose enthusiasm because it is not yet clear how the revenue from the oil will flow into the country's coffers and eventually how it will be invested so that it flows to the people. The history of oil-rich countries in Africa reveals that the discovery and exploration of oil has not brought much benefit to the people. Oil production has been going on for decades in Nigeria, Gabon, Algeria, Angola and others but surprisingly, the people still languish in poverty.

In Nigeria for example, more than 80 million people still earn less than one dollar a day despite the country exporting oil for decades now. The country's riches have only benefited a few who are obscenely rich.

A lot of poverty-driven crime including kidnapping are common in that country. In Angola, the government is under pressure to explain how and why starvation is threatening to sweep the north western part of the country with three million people at risk of famine despite the millions of oil barrels being exported. In Gabon, the level of unemployment is one of the highest in Africa with prices of commodities very high despite the oil.

The question is, what guarantees do we have that unlike the other oil-producing countries in Africa, Uganda will be different? Ironically, similar to what Uganda has done, the payment given to the governments of the above countries by the exploration companies is top secret.

Uganda does not have many natural resources and so relies on oil to transform and redeem the country by allowing revenue generated from exportation of oil to be invested in developing other sectors as part of building the economy.

It is this revenue to ensure that hospitals are equipped with drugs and equipment, schools are adequately facilitated, roads are constructed and properly maintained and rural electrification financed to promote small scale enterprises. It is oil that can provide the revenue required to promote diversification and industrialisation.

For this to happen, Uganda needs to ensure that all dealings with exploration companies are open and handled in a way that makes Uganda maintain ownership of the oil. The terms of the contract should be made clear to the public. The government should establish a forum for Ugandans to participate in discussions. Care should be taken to guard against the forum being hijacked by politicians and reducing the people to spectators.

The government should maintain an open relationship with the citizens on what the profits are and what they are being used for.

To guard against corruption, periodic reports of revenue and investment should be gazetted. We need patriotic advisors who are third parties to avoid influence and conflict of interest.

Mr Mugagga works with the Foundation for Child Protection