Uganda has established the Energy Transition Plan (ETP), an ambitious document that aims to develop its abundant mineral and energy resources, foster economic growth, eradicate energy poverty, and guide it towards an equitable energy transition.
Under the plan document, the country will reach a peak in emissions by 2040 and universal energy access by the end of the decade. Should Uganda put the plan into action, it would be able to meet its 2030 Nationally Determined Contribution to the Paris Agreement and achieve net zero emissions from its energy sector by 2065.
Minister of Mineral Development and Energy, Ruth Nankabirwa Ssentamu, pointed out that expanding low-emission electricity across Uganda is the main goal of the ETP. Uganda’s grid already runs 99% on renewable energy and the amount of power generated is rising by 14% annually.
Poor electricity access
However, Uganda, which still relies heavily on traditional biomass energy sources such as firewood and charcoal, not only contributes to deforestation but also poses health risks to its population due to indoor air pollution. To tackle this, the Ugandan government has embarked on an ambitious plan to increase electricity access from the current 28% to 60% by 2040. This will substantially reduce the demand for traditional biomass energy sources and pave the way for cleaner alternatives.
“With the adoption of this Energy Transition Plan, we will be able to guarantee that every Ugandan has access to safe, reasonably priced, and environmentally friendly energy,” confirmed Ruth Nankabirwa Ssentamu.
According to the Energy Policy for Uganda 2023, the country’s overall power availability rate has risen to 57%, with 19% and 38% of connections being off-grid and on-grid respectively.
Poor access to finance, weak grid infrastructure
Eng Dennis Ariho from the Makerere University-based East African Centre for Renewable Energy and Energy Efficiency (EACREEE) said that while Uganda has made commendable progress in clean energy development, it still faces several challenges.
“One of the major hurdles is access to finance. Developing renewable energy projects requires substantial upfront capital investment, which can be a deterrent for both local and international investors but there’s hope the government has been proactive in addressing this issue by establishing the Uganda Energy Credit Capitalization Company, which aims to support financing for renewable energy projects,” he said.
To address this issue, he explained that Uganda must invest in off-grid and mini-grid solutions to bring electricity to remote areas.
“Solar power is a viable option, as Uganda experiences an average of 5-7 hours of sunlight per day throughout the year. The government should enter into partnership with international organizations and private sector companies to implement solar energy projects to provide clean and affordable electricity to rural communities.”
“In addition to financing, weak grid infrastructure poses another obstacle to clean energy development in Uganda. The existing grid system is outdated and will be unable to handle the anticipated increase in power generation from renewable sources. To address this, the government must invest in upgrading and expanding the transmission and distribution infrastructure. This will not only enable the integration of more clean energy projects but also enhance the reliability and stability of the national grid,” he commented.
Government’s pro-renewables policies boost investment
The construction of hydroelectric capacity has seen large investments in recent years, with projects like the Isimba and Karuma dams boosting the country’s target of clean energy.
The regulations and incentives for the growth of renewable energy demonstrate the government’s commitment to clean energy according to Sidronius Okaasai Opolot, Minister of State for Energy.
“In 2007, Uganda established a feed-in tariff system which provides a guaranteed price for electricity generated from renewable sources. This has attracted private sector investments in solar, wind, and biomass energy projects, further diversifying the country’s energy portfolio,” he said.
Although there are still many obstacles in Uganda’s path to clean energy development, the minister noted that the nation is unwavering in its efforts.
“By embracing the abundant renewable energy resources the country possesses, Uganda can significantly reduce carbon emissions, improve energy access, and foster economic development. While there is still a long way to go, the progress made thus far is commendable and serves as a testament to Uganda’s commitment to a cleaner and greener future,” he said.
