The Ministry of Energy and Mineral Development has assured Ugandans that the country’s petroleum products supply remains stable despite ongoing global disruptions affecting international oil markets and fuel prices.
Speaking during a press briefing at the Uganda Media Centre, the Permanent Secretary at the Ministry of Energy and Mineral Development, Eng. Irene Bateebe, said Uganda continues to maintain adequate fuel stock levels even as geopolitical tensions in the Middle East continue to disrupt global oil supply chains.
According to Eng. Bateebe, instability linked to the Strait of Hormuz has significantly affected international petroleum trade, increasing global fuel prices, freight charges, and insurance costs.
She explained that East African countries, including Uganda, have been affected because much of the region’s petroleum imports originate from the Arabian Gulf.
However, she emphasized that Uganda has managed to maintain uninterrupted fuel supply through strategic diversification of import sources.
“The Uganda National Oil Company, together with international partners including Vitol, has diversified supply sources beyond the Gulf region to include West Africa, Europe, India, and the Americas,” she said.
The Permanent Secretary acknowledged recent increases in pump prices across the country, attributing them to rising global importation costs, exchange rate fluctuations, supply constraints, and increased regional demand.
She also noted that Uganda’s comparatively lower fuel prices had temporarily attracted cross-border demand from neighboring countries, creating short-term supply pressure in some border districts before stability was restored.
Despite the price increases, government urged the public not to panic or engage in unnecessary fuel hoarding.
Eng. Bateebe stressed that Uganda continues to receive regular fuel deliveries through both Kenyan and Tanzanian transport corridors and warned the public against misinformation circulating on social media regarding alleged shortages.
She further clarified that Uganda operates a liberalized fuel market where pump prices are determined by Oil Marketing Companies, although government continues monitoring the sector to prevent smuggling, unfair pricing practices, and consumer exploitation.
Beyond immediate supply concerns, government also outlined several long-term investments aimed at strengthening Uganda’s energy security and petroleum infrastructure.
Among the projects highlighted is the ongoing expansion of the Jinja Storage Terminal from 30 million litres to 40 million litres. Government also cited the operational Mahathi Infra Terminal on Lake Victoria, which has a storage capacity of 70 million litres and is helping improve regional petroleum logistics and supply efficiency.
Eng. Bateebe additionally revealed progress on the Kampala Storage Terminal project in Mpigi District, which will eventually form part of Uganda’s national refined products distribution network linked to the Hoima refinery pipeline system.
The proposed facility is expected to have a storage capacity of 320 million litres.
On downstream petroleum developments, the Ministry confirmed continued progress on the Uganda Refinery Project in Kabaale, Hoima District. The planned 60,000 barrels-per-day refinery, estimated at approximately US$4 billion, is expected to significantly reduce Uganda’s dependence on imported refined petroleum products.
According to government, the refinery project includes a 211-kilometre multi-products pipeline, storage infrastructure, and associated industrial facilities.
Officials say the refinery is expected to support industrialization, petrochemical production, fertilizer manufacturing, LPG development, employment creation, and regional trade growth.
The Ministry also announced progress in upstream petroleum exploration activities ahead of the Third Petroleum Exploration Licensing Round scheduled for the 2026/2027 financial year.
Government is additionally conducting new seismic surveys in the Kasurubani area to identify additional petroleum prospects.
On policy reforms, Eng. Bateebe disclosed that government has finalized the National Petroleum Policy 2025, which replaces the 2008 framework and aligns Uganda’s petroleum sector with emerging trends in commercialization, sustainability, regional integration, and the global energy transition.
She also confirmed completion of the Petroleum Supply (Liquefied Petroleum Gas Operations) Regulations, 2026, which are expected to strengthen safety standards, regulation, and quality assurance within Uganda’s LPG sector once officially gazetted.
The Permanent Secretary reaffirmed government’s commitment to ensuring long-term energy security, stable fuel supply, and maximum national benefit from Uganda’s petroleum resources.
She said continued investments in infrastructure, refining capacity, storage facilities, and exploration activities are positioning Uganda for greater energy resilience and future petroleum sector growth.