Livelihood Disruptions and Opportunities: The Role of Local Content Policy in Oil and Gas Pipeline Projects in Tanzania.

Mega-infrastructure projects in the extractive sector, such as the East African Crude Oil Pipeline (EACOP), are often promoted as engines of national economic growth. Yet their localized livelihood impacts remain underexplored, particularly in Tanzania where scholarship has emphasized macroeconomic benefits and environmental risks. This study addresses this gap by examining how EACOP disrupted household livelihoods in Misenyi District and how Local Content Policy (LCP) interventions shaped adaptation. A mixed-methods approach combining household surveys, focus group discussions, and key informant interviews was employed. The findings show that land acquisition and environmental changes eroded natural capital, reduced farm productivity, and undermined household resilience. Compensation outcomes were uneven: in-kind compensation preserved assets better than cash, which was often depleted quickly. LCP interventions such as training programs and self-help groups facilitated livelihood diversification into non-farm livelihoods, but benefits remained uneven and insufficient to fully offset disruptions. Viewed through the Sustainable Livelihoods Framework, results reveal sharp declines in natural capital, modest gains in human capital, strengthened social capital, and uneven improvements in financial and physical assets. The study contributes to academic knowledge by empirically linking extractive-led disruptions to differentiated adaptation outcomes within the Sustainable Livelihoods Framework (SLF). It highlights the importance of context-specific, inclusive policy interventions that address the varied needs of households who are disproportionately affected by extractive projects. These insights enrich debates on resource governance and development, while offering practical guidance for designing LCP that balance national growth with community resilience and livelihood sustainability.