By Karim Were
Uganda is intensifying efforts to protect its fuel supply chain and strengthen long-term energy security as global instability continues to disrupt international oil markets.
Speaking at the Uganda Media Centre, Permanent Secretary in the Ministry of Energy and Mineral Development, Irene Bateebe said the country has maintained stable petroleum product supplies despite rising global fuel prices linked to tensions in the Middle East and disruptions around the Strait of Hormuz.
The Government acknowledged that Uganda, like many East African countries, remains vulnerable to external shocks due to its dependence on imported petroleum products, particularly from the Arabian Gulf. However, officials said strategic interventions have helped cushion the country from severe shortages.
According to the Ministry, the Uganda National Oil Company has expanded its fuel sourcing network beyond the Gulf region by working with international suppliers such as Vitol to secure imports from West Africa, Europe, India, and the Americas.
While pump prices have increased in recent weeks, Government attributed the trend to higher global importation costs, freight charges, insurance premiums, exchange rate fluctuations, and growing regional demand. Authorities also noted that increased cross-border demand for Uganda’s relatively cheaper fuel temporarily affected supplies in border districts before normal deliveries resumed.
Despite the pressure, the Ministry reassured the public that fuel stocks remain sufficient and warned against panic buying and misinformation circulating on social media.
As part of broader energy security measures, Government is accelerating investments in petroleum storage and distribution infrastructure. Upgrades are underway at the Jinja Storage Terminal, while the Mahathi Infra Terminal on Lake Victoria continues to improve regional fuel logistics.
Officials also highlighted progress on the planned Kampala Storage Terminal in Mpigi District, which will connect to the Hoima refinery pipeline network and significantly expand Uganda’s national fuel reserves.
At the centre of Uganda’s long-term strategy is the multi-billion-dollar refinery project in Kabaale, Hoima District. The 60,000-barrels-per-day refinery is expected to reduce reliance on imported refined products and support industries such as petrochemicals, fertiliser production, and liquefied petroleum gas development.
Government also confirmed ongoing petroleum exploration activities ahead of the 2026/2027 licensing round, alongside new seismic surveys in Kasurubani to identify additional oil prospects.
Meanwhile, the Ministry announced that the National Petroleum Policy 2025 has been finalised to replace the 2008 framework, aligning Uganda’s oil and gas sector with modern commercial, environmental, and regional integration priorities.
New LPG regulations are also set to be gazetted to improve safety standards and strengthen oversight within the gas supply chain.
Officials say these investments and policy reforms are intended to position Uganda for greater energy independence, improved supply resilience, and increased economic benefits from its petroleum resources.
