Experts have said insurance can provide the financial safety net to drive change and help local, and global stakeholders realize opportunities during Uganda’s energy transition.
Delivering a keynote address at the 2025 Energy Symposium organized by the Insurance Consortium for Oil and Gas Uganda (ICOGU) at Sheraton Kampala Hotel, Richard Scott, the global head of renewables for Oneglobal Broking UK said the early involvement of insurance companies is essential for the development and financing of technologies that facilitate the energy transition.
“It’s not necessarily the oil and gas companies that are investing in renewables. It’s the independent power producers, small companies and banks around the world. Insurance is therefore critical to have it in place to facilitate the financing, otherwise the renewable energy projects will not proceed. And this is not just an issue here in Uganda but worldwide,” Scott said.
He said that this is where insurance companies come in handy.
Insurance Regulatory Authority CEO, Alhaj Ibrahim Kaddunabbi Lubega said the global energy landscape is undergoing a significant transformation driven by technological advancements, regulatory shifts and the growing need for sustainability.
“Uganda’s energy sector is evolving with the twin objectives of developing its petroleum resources while also investing in renewable energy sources. This transition presents both opportunities and risks. On one hand, it enables economic growth, infrastructure development, and job creation. On the other hand, it introduces complex challenges such as environmental risks, project financing uncertainties, and regulatory compliance. Therefore, the role of insurance in navigating these challenges is critical,” Kaddunabbi said.
He mentioned that as the country transitions towards a more diversified energy sector, the insurance industry must innovate to address risks.
“There is need for developing of new insurance products tailored to green energy projects, carbon capture initiatives and clean technology investments, strengthening reinsurance capacity to handle large-scale claims, especially in complex energy projects and enhancing public-private partnerships to support sustainable energy financing through risk-sharing mechanisms as well as capacity building and skills development to equip insurers with expertise in underwriting energy transition-related risks,”he said.
Speaking on behalf of the Permanent Secretary, the Ministry of Energy Principal Geologist, Tony Sserubiri said Uganda’s oil and gas sector has coincided with the global push towards clean energy sources but noted that government is committed to counter the narrative.
He said this will be done while ensuring Uganda’s resources are developed responsibly and sustainably to support national economic growth.
“Government aims to to diversify its energy mix with renewables becoming the dominant source, over time. We have the renewable energy policy which will accelerate the transition by promoting clean energy alternatives and approaching investments,” Sserubiri said.
In all this, the principal geologist said insurance will be key in supporting the energy transition.
“In the renewable sector, opportunities exist for project insurance and as renewable project scale, there is also demand for liability insurance for developers and contractors. There is also climate risk insurance that covers environmental impacts on energy generation. Insurance can also offer investment protection and political re-insurance to safeguard investments.”
The Chief Executive Officer at Uganda Insurers’ Association Jonan Kisakye, who is also the secretary for the ICOGU technical committee said insurers have the responsibility to support energy transition to promote sustainable development.
“This symposium will help identify, evaluate and analyse the emerging and unique risks associated with different types of renewable energy sources, advancements in technology, climate change, political shifts, public health concerns and develop strategies to address them effectively,” Kisakye said.
The 2025 Energy Symposium organized by the Insurance Consortium for Oil and Gas Uganda (ICOGU) under the theme, “The Role of Insurance in the Energy Transition’, will run for three days up to March 23.
