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The Role of E-commerce in Commercializing Entrepreneurship Ventures at Mak

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E-commerce, the process of buying and selling goods using the internet, is a great facilitator of trade. Owing to the reduced cost of doing business – in most some cases there is no need for a physical shop, increased efficiency – orders and stock are easily tracked, and increased access to geographically distant markets, E-commerce has become a game changer for businesses that have adopted it. Unfortunately, student entrepreneurs at Makerere University have not been keen to make the most of this avenue of doing business.

According to a team of researchers led by Dr. Hellen Namawejje from the Department of
Statistical Methods and Actuarial Science, College of Business and Management Sciences (CoBAMS), less than 10% of the business enterprises exhibited at the 2018 Annual Students’ Entrepreneurship Expo organized by the College were using pure e-commerce. With partial e-commerce, goods and services are sold through internet, but hand-delivered to customers while with pure e-commerce, all the process involved are digital.

Dr. Patricia Ndugga – Department of Population Studies

The team, with funding from the Makerere University Research and Innovations Fund (Mak-RIF), therefore sought to understand this low uptake through a study titled “Commercializing of Entrepreneurship Ventures using E-Commerce: Evidence from Makerere University, Uganda”. Other members of the research team were; Dr. Proscovia Katumba-Department of Marketing
and Management, CoBAMS, Dr. Patricia Ndugga-Department of Population Studies, CoBAMS, Mr. Augustine Ssekyondwa, Directorate of E-Government Services, National Information Technology Authority-Uganda (NITA-U) and Dr. Isaac Shinyekwa-Economic Policy Research Centre (EPRC).

Dr. Proscovia Katumba – Department of Marketing
and Management.

Speaking at the dissemination event held in the CoBAMS Conference Room and virtually on Thursday 17th December, 2020, members of the Mak-RIF Grants Management Committee (GMC) in attendance thanked Government of Uganda for the generous funding that enabled the research team to conduct studies that can help address youth unemployment in Uganda. They equally paid tribute to the Chairperson GMC, Prof. William Bazeyo for his negotiation skills that influenced the Government to allocate the funding.

Mr. Augustine Ssekyondwa, Directorate of E-Government Services, National Information Technology Authority-Uganda (NITA-U)

“With 70% of youth in Uganda currently unemployed, this study will be of great assistance in addressing this pertinent issue,” remarked Dr. John Mutenyo, a GMC Member. “I urge you to disseminate these findings widely so that the youth can know that there are other avenues through which they can get employment” he added.

Dr. Mutenyo reminded the audience that the call for RIF 3 (the third round of Mak-RIF funding) will go out early next year and urged them to prepare good proposals that can attract Government funding especially in research areas that address NDP III (the Third National Development Plan) and the SDGs.

“Entrepreneurship and E-commerce are currently big players in the economy of any country in the world. I believe that these findings are not going to end here but will be taken down to potential users and hopefully help them. This will boost the impact that we ought to see from these research funds” added Dr. Isa Kabenge, another GMC member.

When it comes to understanding business ventures, it is always advisable to hear from an established practitioner. E-commerce ought not to be the exception. Delivering a brief keynote address, Makerere University alumnus and Founder, Xente Tech Limited, Mr. Allan Rwakatungu paid tribute to his alma mater and the research team in particular for taking steps to bring more Ugandans into the digital economy.  

Xente is a platform founded in 2016 with a vision to make every person and business join the digital economy. “The opportunities out there are immense, not only for users of the platforms but also for entrepreneurs who are able to harness them” shared Mr. Rwakatungu.

Taking an example of Jumia, he noted that although the company controls less than 3% of the total retail market in Africa, it is worth billions of US dollars. “To show you what that actually means, the percentage covered by Alibaba is about 25%, and when you look at the size of the Chinese market, the opportunities for growth are immense” he added.

According to Wikipedia, the Alibaba Group recorded a net income of US$ 19.82 Billion in 2020 and had over 117,000 employees as at 31st March 2020.

Addressing participants, the Dean School of Business, CoBAMS-Dr. Godfrey Akileng observed that the current disruptions occasioned by the COVID-19 pandemic have provided us all with an opportunity to rethink how we can better manage and do business. “Those who will not embrace international electronic payment systems will struggle as the pandemic continues to sustain itself.”

He added that the mix of entrepreneurship and e-commerce presents students of business with an opportunity to reflect further on the contribution of these areas to development. “Uganda is considered among top ten most enterprising countries in the world but unfortunately, the demise of these business startups is very high. I hope this research will help us illustrate how e-commerce can find a lasting solution in terms of sustainability of these firms.”

Giving an overview of the project, Dr. Prossy Katumba identified absence of delivery infrastructure and secure payment methods as two major barriers to the wider acceptance of E-commerce in Africa. “Several countries lack an organized physical address system, and cash on delivery is the main payment method that online merchants such as Jumia, SafeBoda, Café Javas, Xente among others must deal with.”

She added that the entrepreneurship course offered to all undergraduate students at the Schools of Economics and Business, CoBAMS as well as Masters of Business Administration (MBA) and Masters of Economic Policy and Management students equips them with skills that enable learners to start their own enterprises.

“We have some success stories that have come out of this entrepreneurship course such as Dalausi Juice in Wandegeya, which has become a must-have at high-end parties” shared Dr. Katumba. “This thriving business was birthed out of a simple coursework idea” she added.

Dr. Katumba equally made mention of Andrew Mupuya, who as a result of his course work in entrepreneurship went into the production of recycled paper, “and has as a result won many awards from various international organizations and been featured on CNN – we encourage our students to start small and grow their ideas into a formidable business,” she explained.

Presenting the findings, the Principal Investigator-Dr. Namawejje shared that 796 out of 1,320 students that took part in the 2018 Entrepreneurship Expo were surveyed. 47% of these were female while 53% were male. 77% of participants were below the age of 24 while 23% were aged 24 years and above. In terms of origin, 38% of participants were from the Western region, while 32% were from Central, 16% from Eastern, 8% from Northern and 6% either from other regions or of different nationalities.

Technology is an essential driver of e-commerce uptake. 88% of the 796 respondents used smart phones, while 52% used laptops, 4% used either desktops or tablets and 9% had no device to use. The high percentages recorded in the use of smart phones and laptops could imply that some respondents used more than one device.

Additional drivers of E-commerce uptake reported included; the Annual Students’ Entrepreneurship Expo that enabled budding entrepreneurs to practice what they had learnt in class and a regulatory environment that was conducive to doing business online – there are no restrictions imposed on entrepreneurs who posted their products and services on various platforms. The natural shift of businesses online due to the COVID-19 pandemic was also another driver of e-commerce uptake by both entrepreneurs and customers.

The findings further revealed that entrepreneurs employed three main models of E-commerce; Business to Customer (B2C), Business to Business (B2B) and Business to Government (B2G). At 80%, B2C had the largest share while B2G was understandably at only 1%. “Owing to the capital intensive nature of doing business with Government, we did not expect the B2G model to feature prominently in our findings” explained Dr. Namawejje.

At 95%, the use of Social Media Platforms dominated the channels employed by students to reach their customers. This was followed by Websites at 21%, Email at 18%, Mobile Short Codes (SMS Codes) at 4%, Word of Mouth at 1.8% and Making Calls at 0.8%. Platforms such as Facebook have already taken advantage of this trend by introducing Facebook Shops – enabling businesses to create online stores on Facebook and Instagram free of charge.

Despite the availability of free options for entrepreneurs to easily embrace e-commerce, it became apparent to the research team that some barriers were impeding this. The lack of e-commerce knowledge topped this list with 73% of entrepreneurs citing it. This was followed by the high cost of internet at 67%, Lack of access to gadgets at 54% and Poor Internet connections at 49%. Trust and cyber security issues were cited by 45% of respondents while Conservatism among community members accounted for 20%.

To help boost the commercialization of entrepreneurship ventures using e-commerce, the research team made the following recommendations at policy level;

  1. Government should provide subsidized or free Internet to Makerere University to enable students easily utilise online platforms for generating and nurturing entrepreneurship ideas and projects.
  2. Taxes on e-commerce enablers such as Internet and smart phones should be reduced as a way of attracting business enterprises especially the start-ups to take up e-commerce in their operations.
  3. Government should support building of e-commerce infrastructure at Makerere University since it’s a Government institution.

The dissemination event was moderated by Dr. Anthony Tibaingana from the School of Statistics and Planning, who last week disseminated his findings on “The impact of Skilling the Youth and Women in Household Enterprise Start-Up and Performance in Uganda”.

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Business & Management

Building Resilience: Makerere Leads Climate Finance Training for Finance Officials

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Dr. Harald on a courtesy visit to the VC. Makerere University partnership with the Centre for Sustainable Finance at SOAS University of London and the World Resources Institute (WRI) to launch the Resilience and Adaptation Mainstreaming Program (RAMP) training Ministry of Finance, Planning, and Economic Development (MoFPED) officials to navigate the complex landscape of climate finance, Courtesy call on the Vice Chancellor, Professor Barnabas Nawangwe, Frank Kalimuzo Central Teaching Facility, Kampala Uganda, East Africa.

In a significant step towards enhancing Uganda’s resilience against the economic impacts of climate change, Makerere University has partnered with the Centre for Sustainable Finance at SOAS University of London and the World Resources Institute (WRI) to launch the Resilience and Adaptation Mainstreaming Program (RAMP). This initiative aims to equip officials from Uganda’s Ministry of Finance, Planning, and Economic Development (MoFPED) with the knowledge and tools needed to navigate the complex landscape of climate finance.

RAMP is part of a broader international effort to strengthen the capacity of governments, particularly in vulnerable and low- to middle-income countries, to manage the economic risks posed by climate change. Led by the WRI and supported by a network of 20 universities from Africa, Asia, and the West Indies, RAMP focuses on integrating climate adaptation strategies into the core operations of ministries of finance. This integration ensures that economic development priorities are aligned with climate adaptation needs, thereby enhancing access to adaptation finance.

Inaugural Training in Entebbe

The first training session under RAMP held in Entebbe started on July 23, bringing together policymakers and financial experts. Dr. Ulrich Volz from SOAS University of London highlighted the program’s emphasis on promoting high-quality teaching and research on climate adaptation economics and finance. “Working with local universities allows us to scale up the program effectively,” he noted. The network’s diverse range of institutions, including the University of the West Indies, University of Dar es Salaam, and University of Nairobi, underscores its global reach and commitment to building local capacity.

Prof. Edward Bbaale, Principal of the College of Business and Management Sciences at Makerere University, officially opened the 5-day training session. He urged participants to leverage this opportunity to develop their skills in sustainable finance and incorporate these practices into daily decision-making processes. Prof. Bbaale praised SOAS University of London and WRI for their partnership and the extensive training provided to the faculty in Ghana and Nairobi. He highlighted the critical role of education in equipping individuals with the knowledge and tools needed to address climate-related challenges in the financial sector.

Dr. Harald Heubaum and other participants. Makerere University partnership with the Centre for Sustainable Finance at SOAS University of London and the World Resources Institute (WRI) to launch the Resilience and Adaptation Mainstreaming Program (RAMP) training Ministry of Finance, Planning, and Economic Development (MoFPED) officials to navigate the complex landscape of climate finance, 23rd July 2024, Entebbe, Uganda, East Africa.

Dr. Harald Heubaum, Deputy Director of the Centre for Sustainable Finance at SOAS University of London, added that the program provides interdisciplinary training for policymakers, focusing on macro-fiscal policies, budgeting, financial sector supervision, trade, and public financial management. “We hope to use this workshop to build a shared understanding of the economics and finance of climate change adaptation,” he said.

Highlighting the Importance of Climate Finance

Mr. Bradley Kratzer, Adaptation Finance Associate at WRI, stressed the importance of integrating climate change considerations into financial decision-making processes. He called for collaboration between policymakers, financial institutions, and development organizations to address climate change challenges. “Integrating climate risk assessments into economic planning and budgeting is crucial for sustainable development,” he emphasized.

Mr. Sam Mugume and Dr. Harald Heubaum. Makerere University partnership with the Centre for Sustainable Finance at SOAS University of London and the World Resources Institute (WRI) to launch the Resilience and Adaptation Mainstreaming Program (RAMP) training Ministry of Finance, Planning, and Economic Development (MoFPED) officials to navigate the complex landscape of climate finance, 23rd July 2024, Entebbe, Uganda, East Africa.

Mr. Sam Mugume from MoFPED’s department of macro-economic policy expressed gratitude for the training, underscoring that climate change is not just an environmental issue but an economic one that requires proper management. He advocated for proactive measures such as investing in resilient infrastructure and promoting green finance initiatives to mitigate economic risks.

Climate Change Effects on Uganda

Uganda faces significant climate change impacts, including increased temperatures, erratic rainfall, and more frequent extreme weather events such as droughts and floods. These changes threaten agriculture, water resources, and overall economic stability. The agricultural sector, which employs a large portion of the population, is particularly vulnerable, with crop yields and livestock production expected to decline. This not only affects food security but also increases poverty levels, Dr. Ibrahim Mike Okumu shared during his presentation.

Dr. Mike Ibrahim Okumu speaks. Makerere University partnership with the Centre for Sustainable Finance at SOAS University of London and the World Resources Institute (WRI) to launch the Resilience and Adaptation Mainstreaming Program (RAMP) training Ministry of Finance, Planning, and Economic Development (MoFPED) officials to navigate the complex landscape of climate finance, 23rd July 2024, Entebbe, Uganda, East Africa.

RAMP’s efforts to build resilience and adaptation capacities in Uganda are thus timely and essential, Dr. Mugume added. By empowering government officials with the necessary skills and knowledge, the program aims to ensure that Uganda can effectively manage the economic challenges posed by climate change and safeguard its developmental gains.

The Resilience and Adaptation Mainstreaming Program represents a crucial step forward in the global fight against climate change. By fostering collaboration between leading academic institutions and government bodies, RAMP is setting the stage for a more resilient and sustainable future.

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Mak Environmental Economists Explore Uganda’s Albertine Oil Fields: Identifying Research and Collaboration Opportunities

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The Team during a visit to the Petroleum Authority of Uganda (PAU) office in Hoima. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.

A team of environmental economists from Makerere University recently visited the Albertine oil fields in Uganda to assess ongoing operations in terms of oil and gas exploration and uncover potential research and collaboration opportunities.

 The field visit conducted from 17th-20th July 2024 by the EfD –Mak centre  in the districts of Hoima, Buliisa and Kikuube  aimed to bridge the gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities,  environmental management and sustainable development.

The Team at the Kingfisher oil well. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The Team at the Kingfisher oil well.

The centre has established two layers of policy engagement by registering key policy actors both at national and subnational levels. This year’s centre theme is “Energy Efficiency”. The theme was selected following the need for transformation from biomass dependence to cleaner energy sources at household level, but also the need for cleaner energies in manufacturing, transport among others.

The reliance on biomass is a key global challenge towards environmental protection and reversing climate change effects. In Uganda, over 85% and 13% of the population use firewood and charcoal for cooking respectively.

The Team visits the Luweero Industries Ltd waste treatment plant. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The Team visits the Luweero Industries Ltd waste treatment plant.

Established in 2018 and inaugurated at Makerere University in 2019, the EfD Mak centre strives to foster transdisciplinary research, knowledge transfer, and research-to-policy engagement and community interventions in environmental economics.

In view of the above, the centre organized a three day outreach in three districts and held her inaugural Annual General Meeting and launched a policy dialogue on 18th July 2024 at Glory Summit Hotel in Hoima which attracted over 60 people including district leadership, community based organisations, civil servants, private sector and academia.

Prof. Johnny Mugisha (5th Left) with other members of the team at the first Oil driller sunk by Tullow Oil at Kasamene Site. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
Prof. Johnny Mugisha (5th Left) with other members of the team at the first Oil driller sunk by Tullow Oil at Kasamene Site.

 For the last two days, the researchers  led by the Centre Deputy Director Prof Johnny Mugisha visited the  Uganda Petroleum Authority in Hoima, visited  oil wells including the Central Processing Facility, King fisher, Tilenga Industrial Park,  Kasemene site 1, the Luwero Industries Ltd Oil waste treatment plant and the Kabalega International Airport.

“The objective of visiting the oil and gas sites and companies  is to enable our research fellows  familiarize with activities and operations in Uganda’s oil and gas with a view of fostering researchable projects, constructive dialogue and policy developments on critical  issues related to sustainable development, environmental stewardship, environmental risk management and responsible oil and gas operations in the sensitive ecosystem of Lake Albert and Murchison Falls National park”, team leader, Prof. Mugisha explained.

The team visits the Central Processing Facility. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The team visits the Central Processing Facility.

The centre’s areas of interest included the environmental impact assessment and monitoring, petroleum waste management practices, integration of biodiversity conservation, community engagement and socio economic impacts.

Other areas of interest were regulatory framework and compliance, water resource management and protection, climate change resilience and adaptation strategies, corporate social responsibility initiatives, long term environmental management plans and how Makerere University can collaborate effectively with the Petroleum Authority of Uganda, CNOOC, UNOC and Total Uganda to enhance research and knowledge sharing on sustainable practices, environmental conservation and petroleum management.

EfD Researchers Gain Critical Insights from Oil and Gas Community Visits

Researchers concluded a three-day visit to oil and gas communities, gaining firsthand insights into the sector’s impact and future prospects. The visit emphasized the need for informed research and sustainable planning to maximize the benefits of Uganda’s oil and gas resources and prepare for future challenges.

The Team receives a talk at the Luweero Industries Ltd waste treatment plant. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The Team receives a talk at the Luweero Industries Ltd waste treatment plant.

Firsthand Observations Critical: Dr. Madina Mwagale Guloba, Senior Research Fellow at EfD Mak, emphasized the value of seeing conditions on the ground to counteract misinformation about oil and gas exploration. “Seeing is believing, and seeing also learning from a point of view is very critical,” she stated. Dr. Guloba dispelled what she termed “corridor talk,” noting that community members affected by oil projects appeared happier and saw more opportunities. She stressed the importance of sustainable planning, saying, “In the next 30 years, people would have gotten even more opportunities.”

Cross-Cutting Research Needed: Prof. Johnny Mugisha, Deputy Centre Director, emphasized the necessity of interdisciplinary research, noting the interdependence of the petroleum sector and farming communities. He underscored that Makerere University needs to boost its research and outreach efforts to aid policy development. “From interactions in Hoima, Bulisa, and with people in the oil sector, the lessons learned indicate that Makerere University has much more to contribute, especially in research, outreach, and grassroots stakeholder engagement. We often view the petroleum and gas sector as separate from farming communities, but our experiences show a significant relationship and interaction between them. Therefore, research should not be limited to one entity but should be cross-cutting,” stated Mugisha.

The Team visits the home of the resettled beneficiary engaged in adding value to cassava. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The Team visits the home of the resettled beneficiary engaged in adding value to cassava.

On-the-Ground Engagement: Dr. Alex Tatwangire, Research Fellow and Lecturer, emphasized the value of direct stakeholder interaction, noting effective environmental mitigation plans and agricultural integration in restoring livelihoods for project-affected persons. He called for continued research to address policy gaps. The visit highlighted the importance of informed research and sustainable planning in maximizing the benefits of Uganda’s oil and gas resources while preparing for future opportunities.

Reflecting on his experience, Dr. Tatwangire remarked, “This engagement with stakeholders on the policy of energy utilization in Hoima has been incredibly useful. We’ve had the chance to observe the oil extraction process firsthand. Reading about it and hearing about it is one thing, but going on the ground and interacting with everyone involved provides a much richer understanding.”

Dr. Alex Tatwangire at the house of one of the resettled beneficiaries. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
Dr. Alex Tatwangire at the house of one of the resettled beneficiaries.

He continued, “Seeing the wells, well pads, regulations, infrastructure, and the oil pipeline being laid, and being assured that oil will flow within a year, has been enlightening. We’ve learned a lot about the connections between the environment and how plans are in place to mitigate environmental damage. We also saw how agriculture is integrated into livelihood restoration for project-affected persons, with strategies to strengthen these livelihoods through training, seeds, and advanced technologies.”

Dr. Tatwangire concluded, “I return with a great appreciation for the progress being made. As researchers, our role is to identify gaps, explore research questions, and provide the evidence policymakers need to improve policy planning. I am grateful to EfD, our financiers, and Makerere University for these opportunities, and I hope for more such engagements to enhance our relevance in policy debates and development.”

Jane Anyango is the Communication Officer EfD Uganda

More photos from the Field Visit

The first Oil driller sunk by Tullow Oil at Kasamene Site. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The first Oil driller sunk by Tullow Oil at Kasamene Site.

First Crude Oil storage tanks at Kasamene Site 1. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
First Crude Oil storage tanks at Kasamene Site 1.

The Team visits the home of the resettled beneficiary engaged in adding value to cassava. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
The Team visits the home of the resettled beneficiary engaged in adding value to cassava.
A stopover at a pipeline connecting to Tilenga. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
A stopover at a pipeline connecting to Tilenga.

A visit to Kabalega International Airport. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, Field Visit to Albertine Oil Fields, Hoima, Buliisa and Kikuube Districts, Uganda, East Africa, aimed at bridging gap between academic research and practical applications, focusing on the interaction between oil extraction activities and local communities, environmental management and sustainable development. 17th-20th July 2024.
A visit to Kabalega International Airport.

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EfD Hosts Policy Dialogue on Energy Efficiency and Reduced Emissions: Hoima Residents Call for Expanded Access to Clean Energy

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Participants pose for a group photo at the EfD-Mak Policy Dialogue in Hoima City. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.

Hoima, July 18, 2024 – Stakeholders from Hoima’s local government, private sector, and civil society organizations have urged the government to expand access to clean energy sources like electricity and LPGs to facilitate the country’s transition from biomass and achieve its green growth strategy.  Despite Uganda’s capacity to generate and export electricity to neighboring countries, access and affordability remain significant challenges for rural areas and a large portion of the population.

During a policy dialogue hosted by the EfD-Mak Center in Hoima, themed “Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects,” stakeholders highlighted the necessity of addressing these challenges. The event, part of the EfD Annual Meeting, gathered district local government officials, both technical and political, as well as academia, youth, and members of the private and civil society organizations.

In his opening remarks, Prof. Johnny Mugisha, Deputy Director of the EfD-Mak Center, emphasized the importance of holding the dialogue in Hoima due to the region’s developments in energy. “The energy we are talking about includes firewood, charcoal, petroleum, electricity, and many others. We deliberately chose Hoima because of the energy developments here, and we are looking forward to petroleum-sourced energy,” Mugisha explained.

Prof. Johnny Mugisha delivers the opening remarks at the policy dialogue. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
Prof. Johnny Mugisha delivers the opening remarks at the policy dialogue.

He noted the slow and long-term transition from biomass to cleaner energy sources, underscoring the need for discussions around biomass and clean energy. “Energy efficiency means how much you get from the energy you use to achieve a result, for example, how much electricity you use when cooking matooke,” he said. “This dialogue is a roundtable discussion for us all to give our input on what is causing what and how best to sustainably use the environment as we transition to clean energy sources.”

Prof. Mugisha stressed the university’s commitment to promoting such dialogues across the country. “Our intention is to get the root causes right from the grassroots communities so that together we can propose solutions to inform policymakers for decision-making and implementation,” he concluded.

Uganda’s Path to Energy Efficiency and Reduced Emissions: Key Insights from Dr. John Sseruyange

In his presentation Dr. John Sseruyange highlighted the critical role of energy efficiency and emission reduction in transforming Uganda from a peasant society to a modern, prosperous nation, as envisioned under Vision 2040.

“Energy acts as a catalyst that drives all other sectors,” stated Dr. Sseruyange. With agriculture contributing to 71.7% of employment, the mechanization of Uganda’s economy and the expanding transport sector are significantly increasing fossil fuel and biomass usage, leading to heightened carbon emissions and deforestation.

Dr. John Sseruyange presenting on behalf of the EfD-Mak Centre. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
Dr. John Sseruyange presenting on behalf of the EfD-Mak Centre.

Dr. Sseruyange warned of the dangers of biomass reliance, noting that Uganda’s forest cover has decreased from 24% in 1990 to 9% in 2015 due to tree cutting for firewood and charcoal. “The rapid rate of forest depletion is alarming,” he said, emphasizing the health and environmental impacts of biomass fuels, including air pollution and associated diseases.

The presentation highlighted that women and children, especially girls, are disproportionately affected by biomass fuel collection, which hampers productive activities and schooling. “The burden of wood fuel collection falls heavily on women and children,” noted Dr. Sseruyange.

Dr. Sseruyange identified several barriers to energy transition in Uganda, including weak implementation capacity, cultural preferences, and limited accessibility to affordable and reliable clean energy. He pointed out that only 42% of the population had access to hydropower by 2021, and many clean energy systems, such as LPG, remain unaffordable for small businesses.

Addressing governance, Dr. Sseruyange explained the complex interplay of institutions involved in promoting efficient energy systems, ranging from the Ministry of Energy and Mineral Development to international organizations like the World Bank. He stressed the importance of household and industrial capacity in adopting new technologies.

A section of research fellows attending the policy dialogue. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
A section of research fellows attending the policy dialogue.

Despite these challenges, Dr. Sseruyange outlined several promising initiatives aimed at enhancing energy efficiency and reducing emissions. Vision 2040 focuses on upgrading industrial technologies to less energy-consuming alternatives. The National Development Plans aim to increase clean energy accessibility and promote efficient cooking technologies. The Uganda Green Growth Development Strategy emphasizes low carbon development and solar energy installation.

Additionally, Uganda’s hydropower capacity has increased from 1278.6 MW in 2019/20 to 1370.8 MW in 2021/22, demonstrating improved energy generation capacity. Solar energy expansion efforts have resulted in off-grid solar installations reaching 30,000 households, with several solar PV plants contributing over 65 MW. The Clean Cooking Supply Chain Expansion Project has sold 72,535 energy-saving stoves by 2020. Furthermore, the government is aiming to distribute 1 million subsidized LPG cylinders to promote cleaner cooking technologies.

Dr. Sseruyange also highlighted the establishment of Kiira Motors to produce electric vehicles and the development of highways and non-motorized transport systems to reduce urban traffic congestion and emissions. “The government is taking significant steps towards a sustainable energy future,” he concluded.

Some of the participants that attended the dialogue. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
Some of the participants that attended the dialogue.

In closing, Dr. Sseruyange called for policy and regulatory reforms, public awareness campaigns, and rigorous assessments to promote energy transitions. “How can we, as a nation, collaboratively promote energy transitions?” he posed to the audience, urging collective action from government, NGOs, and the general public.

Participants React

During the plenary discussions, several interventions were proposed to enhance the transition to green technologies. Highlighting the negative environmental impacts of high school dropout rates.

 Participants noted that many youths turn to activities like bricklaying, charcoal burning, and sand mining for survival, which harms the environment. They called for public education and awareness programs to address fears and cultural biases against new energy technologies. “Education on the benefits of using these technologies is crucial,” said Harriet the district natural resources officer.

A participant contributing to the discussion. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
A participant contributing to the discussion.

Affordability of new energy sources was another major concern, with high initial costs and refilling expenses for LPGs making them inaccessible for many rural poor.

Participants also highlighted the problem of low-quality counterfeits sabotaging payment schemes for acquiring new technologies, calling for regulation to address quality standards.

Cultural perceptions that clean cooking energies are for the rich and lazy further hinder the transition, underscoring the need for continuous public sensitization, which they stressed should be physical.

Dr. Ilakur John contributing to the dialogue. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
Dr. Ilakur John contributing to the dialogue.

Limited budgets for local governments and weak enforcement mechanisms were also cited as barriers to implementing clean energy programs. Participants proposed subsidies for manufacturers and consumers of clean energy sources, expanding access to electricity and LPGs in rural areas, and ensuring widespread availability and awareness of green technologies.

Hoima District Leadership Decries Effects of Indoor Pollution

The Vice Chairperson of Hoima District, Hellen Namulumba, raised concerns about the severe effects of indoor pollution on the community’s health.

Closing the policy dialogue, Namulumba appreciated the organizers for addressing these critical issues, noting that many lives have been lost due to ignorance about the dangers of indoor pollution.

The Vice Chairperson of Hoima District closing the dialogue. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
The Vice Chairperson of Hoima District closing the dialogue.

“There is no single woman in the village who would wish to continue cooking on firewood but they are incapacitated. They can adopt to other energy sources like electric and gas cockers”, she stressed

Namulumba highlighted the increasing cases of cancer, associating the disease to the use of biomass. “It is my prayer that we conduct many of these engagements at the grassroots level, bringing on board sub-county political leaders,” she said.

She called for government intervention to reduce indoor pollution by extending power coverage to rural areas beyond 50%, reducing power unit costs for domestic users, and ensuring consistent power supply. “If government can intervene, indoor pollution can reduce. If government can extend power coverage to rural areas beyond 50% and reduce the cost of power units for domestic users and ensure there is consistency in power supply, I think our people can enjoy this country,” Namulumba stated.

Dr. Madina Guloba speaking during the plenary session. Environment for Development Initiative (EfD-Mak) Centre, Makerere University, policy dialogue on "Energy Efficiency and Reduced Emissions in Uganda: Facts and Prospects," as part of Annual General Meeting, Glory Summit Hotel, Hoima District, Uganda, East Africa, 18th July 2024.
Dr. Madina Guloba speaking during the plenary session.

She also emphasized the need to support small-scale innovators, such as those manufacturing briquettes and improved cooking stoves, to reduce indoor pollution. Additionally, she called for strengthened policies for emission control systems in automobiles to reduce cancer and other disease rates.

“If at all government can boost small-scale innovators like assisting briquette manufacturers in marketing their products through sensitization, boost those making improved cooking stoves, we can reduce indoor pollution,” she said. “And if government can strengthen policies for emission control systems in automobiles that can greatly make an impact in reducing the rate of people dying of cancers and other diseases.” she proposed.

Namulumba thanked the participants for their attendance and pledged the district’s commitment to support them in these initiatives, appealing to them to come up with budgets to support those engaged in making alternative energy sources.

Jane Anyango is the Communication Officer EfD Uganda

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