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Economic Assessment of Climate Change in Uganda-Adaptation Costly but Inevitable
Published
9 years agoon
After a year of intensive research and studies, Climate and Development Knowledge Network (CDKN) in conjunction with Climate Change Department (CCD), Ministry of Water and Environment has produced a fully fledged report on the Economic assessment of the impacts of climate change in Uganda.
Presenting the Report during the Economic Assessment Study-National Outreach Event organized by CDKN, Ministry of Water and Environment and Makerere University on 24th November 2015 at Protea Hotel-Kampala, Dr. Olivier Beucher from Le Groupe-conseil Baastel Sprl (Baastel) highlighted that although the cost of adapting to climate change is high, the cost of inaction is twenty times higher.
According to the report (Economic assessment of the impacts of climate change in Uganda), climate change is likely to cause an increase in extreme weather events such as floods, heat and droughts. Highlands are likely to become wetter and rainfall is expected to be more erratic, unpredictable and intense, with shorter rain seasons.
In addition, the report also points out that;
- Development prospects will only be reached if the impacts of climate change in Uganda are mitigated.
- The impacts of climate change in Uganda are expected to be felt across the sectors of agriculture, energy, infrastructure and water, as well as the local areas of Mpanga River Basin, Mt. Elgon, Karamoja and Kampala City, as studied to varying degrees
- The cost of adaptation will be so high estimated at around US$406m over the next five years (2015-2020). On an annual basis, this amounts to about 5% of the net official development assistance received and 3.2% of the total government revenues (excluding grants).
- The cost of inaction is 20 times greater than the cost of adaptation: inaction is estimated at between US$3.1b and 5.9b per year by 2025, which is more than 20 times of the proposed adaptation budget.
Further examining the economic impact in Uganda, Dr. Beucher said that Climate Change is more likely to affect the four sectors of Agriculture, Water, Infrastructure, and Energy. He highlighted that the damages to be reached in these sectors are estimated to collectively amount to 2-4% of Gross Domestic Product (GDP) between 2010 and 2050.
“The higher the growth in GDP the lower is the percentage. The estimates include the costs of current variability as well as future change. In fact a major part of the problem comes from the current variability and a lack of infrastructure to deal with it. This gives urgency to the problem and to the need to act now to reduce impacts climate change,” he said.
He explained to the participants that, the development prospects for Uganda foresee an average annual growth rate of 7-8% over the next 25 years and a drop in poverty levels. However, Beucher said that these prospects depend on a lot of factors working in favour of implementation of sustainable development policies.
“Uganda is ready to take immediate actions, and must do so. Many of the recommended actions are likely to be ‘no regrets’. They will bring about gains regardless of whether climate change happens or not. Many of the actions also have potential co-benefits, for example reducing use of biomass for energy has carbon benefits and also potential biodiversity, health, and water management benefits,” he said.
In January 2014, the Government of Uganda commissioned the Economic Assessment of the Impact of Climate Change study. Its purpose was to provide the Government with economic evidence of the current and future costs associated with climate variability and predicted climate change, and the necessary adaptation measures for different sectors on both national and local scales. This evidence was intended to help policy makers mainstream climate change and resilience into national and sectoral policies and develop the case for investing in adaptation.
The study was carried out by climate change scientists from Makerere University, Metroeconomica (UK) and the University of Wolverhampton Centre for International Development and Training (CIDT) led by the Le Groupe- conseil Baastel Sprl (Baastel. It was jointly funded by the Climate and Development Knowledge Network (CDKN) and the Department for International Development (DFID).
According to the report, the evidence from the study has already informed Uganda’s Intended National Determined Contribution (INDC) to the 21st Conference of Parties (COP21), and to the United Nations Framework Convention on Climate Change (UNFCCC) both in Paris France. The INDC outlines Uganda’s commitment to climate adaptation and mitigation of greenhouse gases as part of a new, universal global climate agreement that will be decided at the summit.
During the National Outreach Event organised under the theme: Economic Impact of Climate Change: what does it mean for Uganda’s development?, the Minister of Water and Environment Hon. Ephraim Kamuntu, acknowledged the great work carried out by CDKN, in sponsoring and developing the process of generating hard and empirical evidence on effects of Climate Change in Uganda. The Minister said that the figures generated will help to create awareness to the community.
He also explained that there is a need of the Ministry of Water and Environment to engage the community in influencing the impact of climate change as well as changing people’s mindsets towards a common goal of investing in Climate Change adaptation measures.
“There is a need to change peoples’ mindset and make them understand that climate change is real. Many Ugandans think that climate change is a myth. Therefore we need to prove to them that we are already experiencing it. It is very clear that in Buduuda almost 300 people were buried alive, glaciers on mountain Rwenzori melted and the recent floods in the western region clearly indicate that we are experiencing the impacts of Climate Change,” he said.
“We must also agree on means of implementation on Financing Climate Change. Money should be earmarked and not confused with funding for other programs. Secondly, Uganda National Meteorological Authority should be well equipped with modern technology to predict climate change accurately and raise awareness on it. At National Level, we need to engage Ministry of Finance, Planning and Economic Development to understand the economic threats of climate change,” he added.
In her speech, Ms. Claire Monkhouse from Climate and Development Knowledge Network (CDKN) said that Uganda contributes very little to this climate problem with less than 1% of the greenhouse gas emission. She said that Uganda is one of the 13 countries CDKN supports across Africa, Asia and Latin America to investigate climate adaptations and mitigation.
“I would like to emphasize that the study has highlighted that Uganda’s economy has already been impacted by climate variability and I am sure that these effects will rise with climate change. I thank the people who have been involved in the study and developing the findings that have been partly illustrated in the film. We are going to show this film to the climate experts in the coming Paris conference and I believe that it will greatly influence the binding agreement, we are going to draft during the conference,” she noted.
The Head, Department for International Development (DFID) Uganda Mr. Howard Standen noted that the Paris agreement should give a framework for accelerating a global transition of climate resilient economy. To him this can only be achieved by collective measures and true determination of countries.
“It is my pleasure to participate in such an important discussion which will positively impact on the national vision of this country. The national vision of Uganda is to transform the country into a competitive middle income country by 2040. I therefore congratulate the Minister of Water and Environment together with the Government of Uganda for the strong efforts they invested in the study and commitment to strongly reduce greenhouse gas emissions by 22% by 2030,” said Mr. Standen.
In a speech read by the Principal, College Agricultural and Environmental Sciences (CAES) Prof. Bernard Bashaasha, the Vice Chancellor, Prof. John Ddumba-Ssentamu said Makerere University has engaged in building capacity for climate change mitigation and adaptation.
“The Makerere University College of Agricultural and Environmental Sciences, has integrated aspects of climate change at undergraduate level and introduced new regional Masters Programmes on the same. The College also developed seeds for rangeland forages, drought and diseases resistant varieties of crops as well as carried out extensive research on indigenous multipurpose tree species that can absorb carbon dioxide from the environment,” explained Prof. Ddumba-Ssentamu.
What do the study findings mean to Uganda?
According to Mr. David O.O. Obong, Permanent Secretary- Ministry of Water and Environment the study findings have increased awareness to guide the government and community on how to act on climate change. Mr. Obong said that Ministry of Water and Environment is currently engaging all stakeholders to come up with the legal framework for implementing climate change adaptation across all sectors.
“For coordination, Ministry of Water and Environment has asked agencies to have a focal person for Climate Change. All sectors that is to say; the infrastructure, water, energy and agricultural sectors were asked by the Ministry of Finance, Planning and Economic Development to integrate climate change in their activities,” he mentioned.
Dr. Wilberforce Kisamba Mugerwa, Chairperson of National Planning Authority (NPA) highlighted that NPA in collaboration with Ministry of Water and Environment has developed guidelines for sectors and local authorities to prioritize certain activities during budgeting.
“Guidelines for local authorities exist. We have limitation of capacity at both sector and local government levels. Climate Change is a crosscutting issue just like HIV and Gender, so capacity has to be built if we are to mainstream and stipulate roles for each agency. There is also a need to identify who is responsible for what activity,” he said.
On behalf of Kampala Capital City Authority, Dr. Najib Lukooya Bateganya mentioned that most of the issues raised in the study i.e. water, infrastructure and energy relate to Kampala except agriculture. Dr. Bateganya said that engaging in the study helped KCCA to better understand the impact of climate change on its development activities. He further noted that with the help of the French Development Agency, KCCA was able to develop a Kampala Capital City Action Plan in which infrastructure is key.
“KCCA is also prioritizing drainage in which the Authority has developed projects planned up to US$500m to handle the drainage situation. On Renewable Energy, we are switching streetlights to solar and our target is to convert to 100% solar street lighting. We also need to decommission and start on new project to help recover recyclable resources at the Kiteezi landfill as well as create demand for climate-resilient planning at community level,” he stated.
The conference was moderated by Mr. Joseph Epitu, from Climate Change Department- Ministry of Water and Environment, Dr. Revocatus Twinomuhangi, Country's Engagement Leader-CDKN and Ms. Janefrances Alowo from Makerere University.
Article by Mak Public Relations Office
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General
The 3rd Fundis and Technicians sensitization event and exhibition held successfully
Published
18 mins agoon
November 2, 2024The 3rd annual Fundis and Technicians sensitization event and exhibition by manufacturers of building materials organized by the Department Architecture and Physical Planning at the College of Engineering, Design, Art and Technology (CEDAT), Makerere University came to a close with a call for increased partnerships between training institutions and the community.
The event that attracted 200 participants including masons, fundis, painters, builders, metal and electrical fabricators ran from Thursday 24th to Friday 25th October 2024 at CEDAT. It was supported by several stakeholders and was characterized by training sessions and an exhibition of building materials by different companies that make cement, paint, water tanks tiles and many more.
Prof. Henry Alinaitwe, the Deputy Vice Chancellor in charge of Finance and Administration represented the Vice Chancellor, Prof. Barnabas Nawangwe at the opening of the training. In his remarks, he extended appreciation to the technicians for accepting to take part in the training which he said was key in ensuring that they gain from continuous learning. Prof. Alinaitwe observed that although some of them did not get through formal training, it was important that they took part in such training programs to keep abreast of the developments in the construction industry where they undertake the bulk of the work as masons, technicians, plumbers, and metal fabricators.
‘Keep improving, we need to up our game in terms of quality’, he said while making reference to the need for quality output. He cautioned them on issues of cost and cheating of their clients by making realistic costs. ‘We need to cost the work well taking into account the materials, the labor, the equipment used, and the overheads’. The other area that needed to be taken care of by the technicians included time management, which reflects on attitudes towards work, team work. While addressing the gathering in his capacity as Chairman of the Engineers Registration Board, Prof. Alinaitwe said the upcoming engineering Registration Bill, if approved, has a provision for the registration of all artisans and hence the need to have the minimum requirements for the stakeholders to be registered. He also stressed the need to bring on board as more women as possible. ‘We want to see more women, who can do some aspects in construction better than men like painting.
Prof. Moses Musinguzi, the Principal of the College of Engineering, Design, Art and Technology while welcoming the trainees to the college said the training is a good initiative that will help address challenge of skill and work match. He encouraged the trainees to do smart work, and take due consideration of ethics and customer care. He encouraged the department to extend the training opportunity to other units of the college and the university and also make it more formal, as part and parcel of the training program of the college in liaison with bodies like UBTEB.
Assoc. Prof. Kizito Maria Kasule, the Deputy Principal CEDAT while appreciating the initiative of the department said countries like Germany have apprenticeship training that help the training of students to gain skills equivalent to those acquired while in formal institutions of learning. He said the academia in Uganda is increasingly recognizing the importance of the informal sector in the growth of the country. ‘We need to learn from you. Almost 90% of the people in the construction industry have been informally trained’. He said by learning from each other, the two sectors jointly make a contribution towards the development of the country.
Dr. Amin Tamale Kiggundu, the head of the Department of Architecture and Physical Planning said the initiative, a community outreach program of the college started three years ago in the year 2022 with 60 Fundis and masons, in 2023, the number was increased to 120 Fundis and the current 2024, was 200 Fundis of various categories, including painters, builders, metal fabricators, plumbers and electrical fabricators. He said this community outreach program aims at sharing the accumulated scientific knowledge in building, design and construction technologies at CEDAT, sharing the expertise, knowledge and experiences with communities in greater Kampala and hence bridging the existing knowledge and skills gap between the training institutions and the communities.
The 21st century is characterized by collaboration, partnerships, and establishment of knowledge economies. He said based on the trainings held so far, it is clear that partnerships between the training institutions and the communities were possible especially the Fundis who are closer to the communities. ‘We also want to learn from the Fundi’s experiences, how they are able to connect to the communities in some cases better than those who have gone through the training institutions’, he said. He further noted that the majority of fundis are young people that need to be supported with skills and other ways of nurturing them. The dream of the department, he said is to introduce an open door policy that allows fundis and other university students to come to learn.
Several organizations supported the event and participated in the exhibition and they included Habitat for Humanity, Uganda, Green Building Council Uganda, The National Building Board, Uganda Clays Limited, Centenary Bank, Steel and Tube Industries Ltd, Simba Cement, Plascon, Goodwill, Cresttanks among others.
General
MURBS has declared 13.40% interest on members’ balances for the financial year that ended on 30th June 2024.
Published
3 days agoon
October 30, 2024By: Ritah Namisango
Dr. Elizabeth Patricia Nansubuga, Chairperson of the Makerere University Retirement Benefits Scheme (MURBS) Board of Trustees, announced this milestone during the 14th Annual General Meeting (AGM) for the year 2023/24 held on Thursday, 24th October 2024, at Makerere University Main Campus, School of Public Health Auditorium.
The AGM attracted various stakeholders, including trustees, Audit Committee Chairperson CPA David Ssenoga, Board Evaluation Consultant Vincent Kaheeru, URBRA Representative Mark Lotukei, Audit Committee members, co-opted members, and university administrators.
Presenting the performance report, on behalf of the Board of Trustees, Dr. Nansubuga highlighted that this is the highest interest declared by the scheme in the past five years, and she anticipates continued improvements. She noted that for the previous financial year, which ended in June 2023, the Board of Trustees declared an interest an interest of 12.34%.
Dr Nansubuga also announced that the scheme has achieved a Net Investment Income of UGX 44.6 billion, far higher than the UGX34.4 billion collected in Contributions during the year.
The Chairperson of the Board also revealed that the fund value had grown from UGX352.4 billion recorded at the end of the last financial year to UGX409.2 billion, indicating an increase of 16.1%.
“By 30th June 2023, MURBS had a fund value of UGX 352.4 billion. The Board of Trustees targeted Fund growth of 17%, and I am glad to inform you, that the fund value of MURBS, as per the Audited Financial Statements of 30th June 2024 is UGX 409.2 billion, which is an increase of 16.1%. This achievement was made possible by strategic periodical activities undertaken by the Board and our fund managers, supported by the strong oversight committees of the Board,” she reported.
She attributed the positive growth to factors such as improved debt recovery, operational efficiency, timely remittance of contributions by the sponsor (Makerere University), an increase in project and contract contributions, and the recovery of UGX8.85 billion in debts.
Dr. Nansubuga also expressed gratitude to Makerere University, the scheme’s sponsor, for consistently remitting contributions, a key factor that has significantly contributed to MURBS’ smooth operation. “I am happy to announce that the sponsor-Makerere University remitted your retirement benefits for the financial year 2023/24,” she said.
In the same development, Dr. Nansubuga reported that MURBS registered a legal victory against Uganda Revenue Authority (URA) over a real estate investment in Sonde undertaken in 2019, and which URA sought to tax heavily. She notified the AGM that MURBS won the case and was awarded costs which also set a precedent.
“On behalf of the Board of Trustees, I am pleased to inform you that during the financial year, we received a favorable outcome on a key court case. How did we end up with this case? In 2019, MURBS invested in real estate, we bought land in Sonde,” Dr Nansubuga explained.
“Uganda Revenue Authority (URA) then charged us with a tax assessment worth UGX600 million. It has been four (4) years in the tax appeals tribunal. Since then, the lawyers, the former and current trustees, have been appearing before the appeals tribunal, but in December 2023, MURBS won the case. We challenged URA, and this case was awarded with costs. URA has to pay MURBS. We therefore saved UGX600 million,” she added.
In terms of governance, Dr Nansubuga said that the scheme made changes in the board. Initially, the trustees were six and they needed a seventh member, and following a competitive race, they recruited another trustee; CPA Edina Rugumayo who has over thirty years in accounting.
“In terms of governance, we continue to uphold good governance practices and we align with international standards. Last year during the presentation, I said we were six and we needed to have the seventh trustee because the Board composition is supposed to be seven,” she explained.
“So, following a competitive process, we recruited an independent trustee. It was a very competitive position. You must have served on board which has over UGX50 billion. So, from that process, we were able to recruit CPA Edna Rugumayo Simbwa. She is a certified public accountant with over thirty years of experience in accounting, taxation, and corporate governance,” she mentioned.
She also thanked other stakeholders for making sure that MURBS activities run smoothly. These entities include Makerere University, KPMG, Gen Africa, Arcadia Advocates, Zamara, URBRA, and Stanbic Bank among others.
While discussing investments, Dr. Nansubuga mentioned that 86% of MURBS’ funds are currently invested in government bonds, but added that the Board is exploring diversification to reduce risks.
“86% percent of our money is invested in government bonds, and sometimes, you do not have to put all your eggs in one basket, there is a high concentration of risk. so that is one of the key material risks that we want to address to reduce the amount we have in government securities. We want to diversify our portfolio and avoid investing heavily in government securities. The Board will venture into other fields in order to earn money or return on investment from the diverse undertakings,” she said.
In terms of membership, Dr. Nansubuga reported a 4.4% increase, with the number of members rising from 8,229 to 8,590. She attributed this growth to the reinstatement of in-house beneficiaries and an increase in project and contract staff.
Dr. Kakuba also thanked the sponsor-Makerere University for remitting the membership contributions timely which has helped the scheme to grow.
Dr. Godwin Kakuba -Secretary, MURBS Board of Trustees, who presented the record of the 13th Annual General Meeting stressed that the AGM climaxes a financial year and the Board of Trustee has been vigilant on this and has not missed any AGM for 14 years now.
“We applaud the sponsor because many of these positives in the chairperson’s report can only be attributed to the support by the sponsor through fulfilling the obligation of remitting members’ contributions to the scheme,” he added.
Partner Asad Ssenoga, an independent auditor who audited the scheme said that he was impressed with the level of compliance that the scheme exhibited in all aspects. He said they focused on ensuring that the member contributions are supported with statements and allocated to members appropriately.
“Overall we were satisfied with the work we did on the audit, the numbers that were presented by the Chairperson are the correct numbers that we audited. We were comfortable with those numbers, due process was followed during the audit,” he said.
Mr. Mark Lotukei who represented the CEO of Uganda Retirement Benefits Regulatory Authority (URBRA) thanked the Trustees for always prioritizing governance, which has helped them to reach several milestones.
“As URBRA, we look at governance as the biggest component of our compliance. MURBS Trustees from the former to the current, have taken governance as the most important aspect. We really encourage them to continue with this good practice because governance informs all the other aspects,” he said.
Mr. Arthur Kibira, a member in attendance, expressed his appreciation for the Board’s efforts. He urged them to explore higher-risk investments for potentially greater returns. He expressed concern over the scheme’s heavy reliance on government bonds.
“Dr Elizabeth Nansubuga, I want to congratulate you, and your team and also congratulate ourselves. But, I want to believe that there is room for improvement. I am one of those who do not believe that the sky is the limit, we are limited by our own thinking. I am thinking that high risks give high returns. Is there a way of managing those risks, so that we could push this 13.40% interest to a figure much higher? If we do so, we shall say we have learnt how to manage risks,”, he guided.
General
Makerere University at the 2024 O.R. Tambo Africa Research Chairs Annual Gathering in Ouagadougou, Burkina Faso
Published
3 days agoon
October 30, 2024By
Mak EditorThe Research Chairs concept is similar to Centers of Excellence (for instance in supporting world-class research in a priority area), but also has many distinguishing features. Most notably, it recognizes individual excellence, leadership and talent. The O.R. Tambo Africa Research Chairs Initiative (ORTARChI) builds on the work of Oliver Tambo, a prominent South African and pan-Africanist with a science education background, who believed in creating change through education and in cooperation and solidarity among African nations. The Initiative focuses on celebrating his legacy in building knowledge-based economies for the advancement of Africa.
ORTARChI builds on and leverages existing continental frameworks and interventions geared towards institutional capacity strengthening; recruitment and retention of excellent researchers; and incentives to support research that contributes to socio-economic and transformative development.
Ten (10) O.R. Tambo Africa Research Chairs across seven (7) countries in Africa, namely; Botswana, Burkina Faso, Ghana, Mozambique, Tanzania, Uganda and Zambia have been selected for funding through a rigorous and competitive two-stage review process. These research chairs are focused on research priorities identified by each host institution in conjunction with, especially the Science Councils, and in alignment with AU Agenda 2063 and STISA 2024.
Prof. Noble Banadda from the College of Agricultural and Environmental Sciences had been inaugurated as one of the first 10 (ten) Oliver Tambo (ORTARChi) Chairs. Unfortunately, Prof. Banadda (R.I.P) passed on in July 2021, which created a vacuum. To ensure that Uganda and Makerere University continue to tap into the ORTARChi, we are glad to announce the appointment of Associate Professor David Meya from the College of Health Sciences at Makerere University for the purpose. The appointment will attract USD 170,000 annually for 5 years for graduate research with a target of training 5-6 PhDs, 10-15 Post-doctoral fellows and 10-12 Masters of Medicine and Master of Science Students at Makerere University and Mbarara University of Science and Technology.
Makerere University has had the pleasure of attending 2024 O.R. Tambo Africa Research Chairs Annual Gathering in Ouagadougou, Burkina Faso. The annual gathering is co-hosted by the Joseph Ki-Zerbo University, National Research and Innovation Fund for Development (FONRID) and the National Research Foundation (NRF) of South Africa. The theme for this year’s gathering is: “African Sovereignty: A Catalyst for Research Collaborations and Social Impact in the Continent“. At the annual gathering, Uganda was represented by Associate Prof. David Meya (Uganda Chair Elect, ORTARChI), Prof. Henry Alinaitwe (Deputy Vice Chancellor Finance and Administration, Mak), Associate Prof. Robert Wamala (Director, Research and Graduate Training) and Dr. Martin Ongol (Ag. Executive Secretary, UNCST). Assoc. Prof. David Meya – ORTARChI Chair Elect – is from Makerere University’s School of Medicine at the College of Health Sciences.
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