Discussions underscored the urgent need for substantial capital mobilisation through strategic international partnerships to fully harness Uganda’s energy potential and accelerate electrification efforts across the nation and potentially the wider African continent.

Jan Sadek, the European Union (EU) Ambassador to Uganda, highlighted the EU’s commitment to being a “‘predictable and reliable partner’” in this endeavour.

He emphasised the potential for collaboration with European private sector actors, citing companies like Schneider Electric, to bring expertise and innovation to Uganda’s energy sector.

Ambassador Sadek pointed out the EU’s favorable trade policies, with “‘zero tariffs on imports from developing countries like Uganda,’” creating a conducive environment for economic cooperation.

He noted, “‘Uganda stands to benefit greatly if these partnerships are maximised. We’re looking at unlocking investments that could total over Shs 1.7 trillion (€400 million) in the coming years.’”

The Ambassador’s remarks built upon the assertion that successful energy sector development strategies implemented in Uganda could serve as a “‘scalable blueprint for the broader African continent.’” This “‘extrapolation,’” as it was termed, underscores Uganda’s potential as a model for effective energy infrastructure development. “‘If Uganda succeeds, it sets an example for the entire region,’” Sadek added.

A key area of focus was the significant need for financing major energy projects, particularly in the hydropower sector. Uganda possesses substantial hydropower resources, yet their full potential remains untapped.

Ambassador Sadek specifically mentioned the Nalubaale and Kiira hydropower plants, noting that while vital, some require significant “‘rehabilitation to enhance efficiency and output.’” “‘Rehabilitation works alone could demand upwards of Shs 425 billion (€100 million),’” he stated, reinforcing the urgency of securing funds to restore these critical installations.

Okaasai Opolot, the State Minister for Energy, acknowledged the pressing need to “‘mobilize more funding for the energy sector through international partnerships’” to address the financing gaps.

While affirming the government’s ongoing efforts, he stressed the crucial role of external investment in bridging the existing funding deficits.

“‘We are currently facing a funding gap exceeding Shs 2.55 trillion (€600 million), which hampers our capacity to fast-track electrification,’” Opolot disclosed during the press conference.

Beyond direct financial investment, the forum also addressed the less tangible yet equally critical aspect of “‘regulatory frameworks.’” It was emphasised that “‘consistent, reasonable, and effective regulations are paramount to attracting private sector participation in the energy sector.’” The consensus was that a collaborative approach, involving both government and private entities, is essential for sustainable development. “‘Without clear regulations, even the most willing investors will hesitate,’” Opolot warned.

David Lecoque, CEO of the Alliance for Rural Electrification (ARE), underscored the forum’s significance in driving global energy transformation, emphasising the “‘need for partnerships in the energy sector’” to achieve universal access and sustainable solutions.

“‘Private sector and development finance institutions must come together to close this gap. It’s not just an option; it’s a necessity if we want to connect millions of Ugandans to the grid,’” Lecoque urged.

The EU, through its “‘Global Gateway initiative,’” aims to be a significant catalyst in attracting investment to critical sectors like infrastructure, energy, and digitalisation across Africa, including Uganda.

This ambitious initiative seeks to mobilize “‘€150 billion (approximately Shs 637 trillion)’” through a combination of grants and loans.

A key objective of the Global Gateway is to achieve “‘electrification for 100 million Africans,’” highlighting the scale of the EU’s commitment to addressing the energy access challenge.

Touching down three times a week — on Mondays, Thursdays, and Saturdays — the new service unlocks 6 tonnes of weekly cargo capacity. Each flight offers 2 tons of space, specifically aimed at fast-moving perishables like fresh produce, chilled fish, vegetables, and general freight.

“This is a game-changer for Uganda’s exporters,” said Wail Dagash, chief executive of Jet Fresh Cargo, the airline’s General Sales & Service Agent (GSSA) in Uganda.

“For years, logistics have posed a barrier to trade. But now, we have a direct, reliable lifeline to a major Middle Eastern market.”  The direct Entebbe-Riyadh link drastically shortens delivery times, with outbound flights clocking just 4 hours and 40 minutes.

Departing at 4:20am local time and landing in Riyadh by 9am, the schedule is optimized for fresh cargo, with bookings accepted up to 4pm the previous day. Packages up to 120×160 cm are welcome on board.

The new airbridge arrives at a critical juncture. While Uganda’s exports to Saudi Arabia reached $8.18 million in 2023 — driven by chilled fish ($3.81M), coffee ($1.37M), tropical fruits, dairy, and vegetables — the trade balance is still skewed.

Saudi exports to Uganda were valued at $417 million the same year, despite a notable drop from $607 million in 2018.

“There’s a huge opportunity to bridge that trade gap,” Dagash noted.

“We’ve seen a steady 10% annual growth in Uganda’s exports to the Kingdom over the past five years. This direct route could accelerate that trend.”  The diaspora is also playing a quiet but vital role. With an estimated 150,000 Ugandans living in Saudi Arabia, demand for homegrown products is rising.

“These flights don’t just carry cargo — they carry culture and connection,” Dagash added. “They bring Uganda closer to its people abroad.” Flynas’ move is part of a wider strategy to solidify its presence in Africa. The airline began passenger operations to Entebbe in January 2025, expanding its reach as Saudi Arabia pushes to diversify its trade and aviation portfolio under Vision 2030.

Now the region’s top low-cost carrier, Flynas operates 1,500 flights weekly across 139 routes — 70 domestic and 69 international — serving 30 countries.  The carrier has racked up accolades, including being named the Middle East’s Leading Low-Cost Airline by World Travel Awards and ranked fourth globally by Skytrax in its category. Dagash sees this as just the beginning.

“With Riyadh and Jeddah covered, there’s room for transshipment to destinations beyond. This model can evolve to serve the entire Gulf Cooperation Council (GCC) region.” He urged Ugandan producers to rise to the occasion: “Let’s use this corridor wisely. The window is open — our farmers and exporters must step through.”

As of April 2025, Flynas is the only airline offering direct air cargo flights from Entebbe International Airport to Riyadh, Saudi Arabia.

Other airlines, such as Emirates SkyCargo, Ethiopian Airlines Cargo, Etihad Cargo, and Qatar Airways Cargo, operate cargo services from Entebbe to various destinations, including connections to the Middle East.

However, these services typically involve layovers or transshipments through their respective hubs in cities like Dubai, Addis Ababa, Abu Dhabi, and Doha, rather than offering direct flights to Riyadh – leaving Flynas as the lone sky ranger for direct cargo link between Riyadh and Entebbe.

As air cargo demand continues to rise globally, especially for high-value perishables, Uganda’s new direct air link with Riyadh could become a cornerstone of its export economy — cutting freight costs, increasing competitiveness, and opening new doors in the Gulf and beyond.

​Flynas, Saudi Arabia’s leading low-cost airline, commenced its inaugural direct flights between Riyadh and Entebbe on January 15, 2025.

The first flight departed from King Khalid International Airport in Riyadh and arrived at Entebbe International Airport at 3:30am local time on January 16, 2025.

This new route operates thrice weekly—on Mondays, Thursdays, and Saturdays—enhancing connectivity between Saudi Arabia and Uganda.

Instead, traders will now pay twice the amount of tax they owe in penalties.

The decision was announced by Henry Musasizi, Minister of State for Finance, during a meeting with Parliament’s Finance Committee.

The move comes after traders raised concerns that the blanket Shs6M fine per invoice unfairly burdened them, regardless of the transaction value.

EFRIS, which was introduced in 2021 as part of Uganda Revenue Authority’s (URA) digital tax compliance framework, was meant to enhance revenue collection by ensuring all businesses issue fiscalized receipts and invoices.

However, it became a subject of national controversy last year when traders protested against its penalties, arguing that they were too harsh and impractical.

The outcry led to multiple demonstrations across the country, with business owners demanding a review of the system.

Acknowledging these concerns, Minister Musasizi stated,

“Concerns have been raised regarding the high penalties of Shs6M per invoice, regardless of the value of the transaction, which disproportionately burden the taxpayers. To address this issue, we propose to amend the penalty structure so that the penalty for non-compliance will instead be twice the tax owed by the taxpayer.”

In addition to the EFRIS penalty amendment, the government has also proposed an import declaration fee on goods imported for home use, aimed at generating Shs79Bn to fund the construction of the Standard Gauge Railway (SGR).

“This measure seeks to raise revenue for infrastructure investment, particularly for the standard gauge railway, which is critical for Uganda’s trade competitiveness. In addition, it will render imports more expensive, hence promoting import substitution and supporting local industries. Furthermore, this proposal aligns with Uganda’s policy and other East African community partner states where similar fees are already imposed. For instance, Kenya apprised a 2% CIF charge, while Tanzania apprised a 0.6 customs processing fee,” explained Minister Musasizi.

pipeline.

Uganda’s oil sector is expected to create up to 160,000 jobs, with a significant portion requiring specialised technical skills.

The orbital welding training program is part of EACOP’s broader initiative to enhance local expertise and ensure compliance with international pipeline welding standards and it was conducted by an industry expert Imran Dilmohamud, who introduced the trainees to orbital welding, a technique essential for pipeline construction.

“Unlike traditional welding methods, orbital welding uses an automated machine to create precise, high-quality welds, reducing material wastage and enhancing efficiency. This technology is widely used in the US, Europe, and China, but it is new to Uganda. The technique ensures consistency and quality, which is critical for a pipeline of this magnitude,” Dilmohamud explained.

Participants were also trained on the use of a flux core machine for capping the pipes, a process that involves depositing a protective layer of material to prevent corrosion.

Dilmohamud emphasized the importance of mastering this technique, as it would be the primary welding method used at the construction site.

For many of the trainees, the experience was both educational and eye-opening.

George William Barbatana, one of the participants hailed the training.

“It’s a simple process because it’s more automated, but it requires a strong foundation in welding. This is the first time we’re having such training in Uganda, and I see great potential for its application beyond pipeline welding, such as in tank and cylinder manufacturing,” Barbatana said.

The training session involved both theoretical and practical lessons, with participants initially struggling to grasp the intricacies of the orbital welding machine.

However, by the end of the session, they had developed confidence in operating the equipment.

EACOP’s Deputy Managing Director, John Bosco Habumugisha, commended the participants and emphasized the training’s significance for Ugandans.

“The world has advanced significantly, and as we accelerate oil extraction in Uganda, embracing new technologies and modern methods in the oil and gas sector is crucial. Welding is now a technology-driven process, not solely reliant on individual skill. Participants in this training are privileged to gain practical experience with automated welding systems, vital for the East African Crude Oil Pipeline’s construction. This program ensures efficiency and precision through advanced techniques like microscopic weld analysis.”

As Uganda advances its ambitious oil development, initiatives like the Orbital Welding Training Program are vital for empowering local talent, ensuring they are equipped to contribute significantly to the nation’s energy future.