Business & Management
Environmental Economists want a “Green Fund” Established
Environmental Economists from Makerere University and stakeholders in environment and natural resources sectors have expressed the need for Uganda to establish a Green Fund to finance green initiatives.
The dons have also proposed and re-echoed known initiatives that require mind-set change and government commitment to infrastructural developments that can reduce environmental pollution.
Environmentalists also want part of the Green Fund to come from greatest polluters in the country and the developed countries relative to the damage caused.
In addition, they want the African voice heard in the global discussion towards mitigation, commitment and transitioning to low carbon economies.
The call was made during the policy dialogue organised by the Environment for Development Initiative (EfD-Mak Centre) at the Kampala Sheraton Hotel as one of the mainstream activities. The dialogue held on December 20, 2023 brought together members of the academia, representatives of private sector, government ministries, departments and agencies, CSOs, manufacturers, and commercial banks on the theme, “Green Financing in Uganda: From Paper to Practice”.
The main aim of the workshop was to engage with the government to have a healthy debate how to finance green transitions and greening starting from the household level. The key message was that there is need to transit, but the transition is not cheap, it is expensive and requires deliberate effort.
While opening the workshop, the Principal, College of Business and Management Sciences Assoc. Prof. Eria Hisali said the engagement was hinged on twin objectives of attaining low carbon outcomes and high growth outcomes which are environmentally friendly.
As researchers and policy makers, Prof. Hisali interested participants to discuss and understand the current growth landscape, where growth is coming from, and main activities that drive growth and livelihoods.
Within that landscape, the professor advised participants to address the main concerns with regard to sustainability, the environmental concerns with regard to the current sources of growth and the status quo.
Hisali also told participants to pose a question of the disruptive effects that come along with the transitions to low carbon sources of growth; and closely related, the best options to make the transitions and finally, how the green financing strategies can be made attractive for the different actors to take them on.
Outside the green financing alone, Prof. Hisali challenged participants to debate on other options that policy makers can consider to enable the transition to low carbon sources of growth to start taking place.
The Professor also guided participants to have discussions on the framework for enforcement and auditing of the transition process itself, asking, what is it that they can do to ensure that they are tracking the progress made and whatever has been agreed upon at policy level, and ensure it is enforceable and that there are institutions and agencies to enforce that.
“The other issues we should be discussing is that what is our voice as Uganda and as the developing world in these discussions towards a low carbon economy. Do we have the voice as anyone else? Or is it that for us we should be making the transition while others are not, where is the equaliser. Are we in future for example going to talk about green imports or it is about us only ensuring that we go green and possibly some powerful nations look on and go to the extent of lip service”. Hisali asked.
In an interview, Prof. Hisali said, the discussion of the African voice in mitigation carbon emissions has picked traction at the global- level questioning whether all countries of the world have the same voice and commitment to addressing matters of environmental sustainability.
“This discussion is important because the transition to low carbon economies come with certain disruptions the way things are done and those disruptions are a cost. They disrupt livelihoods, slow growth and the only way we can be committed to that transition, is when we are sure that it is not only us but that everyone else has the same commitment. We all belong to the planet and we should have the same level of commitment,” Hisali stressed.
The Director EfD-Mak Centre Prof. Edward Bbaale noted that although there are more than one SDGs focused on the environment and green financing, many countries are not living up to the set aspiration of the SDG. Bbaale is also the Director, Directorate of Research and Graduate Training at Makerere University.
As a university, Prof. Bbaale said, they must undertake research and establish to what extent the country has achieved green energy transitions and inform government where the country is, and what should be done. Through research Bbaale said the university has done a lot to come up with innovations as solutions to the green transitions such as solar energy solutions and others.
Bbaale reported that the EfD-Mak Centre is focusing on environment and natural resources, on how to harness and manage the environment for sustainable development, satisfying the needs of the present generation without compromising the needs and the benefits of the future generation.
As the Environment for Development initiative, Bbaale said, the topic of green financing is based on the fact that the environment has been the most affected resources through deforestation, reclaiming of wetlands, and most of these have come partly through agriculture where forests have been cut unsustainably and for infrastructural developments.
Bbaale warned that most of these developments have taken place without minding about the environment adding that unlike human beings who forgive and forget, nature does not.
“Nature does not forgive and nature does not forget. Actually, at one-time nature will hit back badly. You have seen in Kampala during this season, in the last three months, floods swallowing up people, our fellow human beings dying, cars being swallowed up in a place where you least expect that you are going to meet your death.
We have seen that one being caused by the environment hitting back. Maybe because that very area was a wetland, but during the construction of the house or the building or the road, this was not catered for.” The Director decried.
It is time to protect the environment through mindset change, best practices and investment in green initiatives
Prof. Edward bbaale
Prof. Bbaale stressed that it is now time to talk about protecting the environment against greenhouse gases and, one sure way, apart from mindset change and preaching to the population on the best ways of life, one other way, is through investment.
He observed that almost 85% of Uganda’s households depend on biomass for cooking, mainly firewood and charcoal. He said, it is dangerous and leads to deforestation, pollution and respiratory diseases. The alternatives he said, can come through, for example, using LPG and electricity which are very expensive and require subsidies to make sure that an average household can afford consistently.
Bbaale called for mindset change among the citizenry and re-orientation of the country’s infrastructure to allow citizens ride bicycles to short distance workplaces to reduce on use of vehicles and pollution.
“You do not need to board a vehicle if you are coming from 1.5 kilometers away. A bicycle can do that, even 20 kilometers away. But now we need to establish the infrastructure for that. Have lanes that are for bicycles alone. And when you’re riding your bicycle, you are very safe. You will not meet your death because of riding a bicycle.
I’ve interacted with the professors elsewhere in the developed world, and the head of the university, the president of the university rides a bicycle to work. But these people are safe. So the question is, are you safe when you ride a bicycle to go to your place of work? But now, for us to re-orient, we require financing. And also how would you ensure that most of us will be riding electric motorcycles which don’t emit any gases?”. Bbaale said.
The don also welcomed the move to the manufacture and use of electric vehicles.
“Okay, how can we, all of us, ensure that we shall at one time be driving electric cars which require that they are charged to make sure that you have enough current that will take you to Mbarara. This means that as you drive to Mbarara, somewhere, there must be a point where you go and refill your current as you drive an electric car.
But now, government investment requires that the planning, programming and the budgetary processes are in view or in perspective of the need to finance these green investments.”, He added
The Director explained that some of the issues might require doing adaptation, and so need adaptation finance while some of the issues would require to finance the disaster, because,for example, the floods bring disasters, landslides and all of these. And so it requires that there is a fund for disasters that happen because people suffer through climate shocks.
Part of the Green Fund should come from the greatest polluters in the country and the Developed countries
prof. edward bbaale
Prof. Bbaale also noted that Neither Uganda as a country, nor Africa as a continent of Africa, is not solely responsible for climate issues faced.
“…Because our colleagues in the north that are already developed, America, Europe and all that, during the industrial revolution released a lot of greenhouse gases into the environment. And that’s why actually negotiations are going on that the developed countries that actually polluted the environment in the first place should pay.
So, part of the fund that I’m talking about should come from the developed countries. Part of the fund should come from China, Europe and, part of the fund must come from the United States”, Bbaale asserted.
Bbaale added that greatest polluters in the country must pay correctly for what they have damaged.
“We must map and know globally who are the greatest contributors to the climate fund. The same applies to Uganda. We have had the debates. Who are the greatest polluters? If you are running an industry and you are releasing waste products into Lake Victoria, you must pay so that government can use the money you have paid to correct what you have damaged.
…even if you were just releasing, because of your industrial activity greenhouse gases into the atmosphere, government should be in a position to compute the extent of damage you are causing and therefore you, the private investor, be able to pay for that. And so, government requires to finance activities that constitute green transitions”, Bbaale advised.
He said transiting into a green environment has two phases. Number one, is mindset change that is, what we do as human beings, and it also has to do with the real costs which is not cheap.
EfD-Mak Policy Engagement Specialist for Inclusive Green Economy (IGE) Program Dr. Peter Babyenda said, as a country, continent and globe, there is a lot on paper, but practice is lacking.
Babyenda expressed the need to involve everybody starting from the public, the academia, media, manufacturers and commercial banks among others.
“We have realized that whenever we are coming up with these policies, more so, to do with banking, the commercial banks which deal with the person are not part of the negotiations yet there is no local person who goes directly to the central bank. So we need to involve banks right away from planning to implementation”, He said.
Babyenda also said, there is need to invest in mindset change and be able to raise funds locally as a country.
“We cannot plan for green financing where 80% of the budget is from the donors So, we need to mobilise the funds locally through contributions from emitting manufacturers, people in Agriculture and fossil fuels,” He said
Babyenda also said there is need to define the products clearly starting where the green financing will go for instance investments in tree planting, subsidizing environmentally friendly technologies including the cooking among others.
Jane Anyango is the Communication Officer EfD Uganda
Business & Management
EfD-Mak Court Kiira Motors Corporation on Greening the Transport Sector in Uganda
Compiled by Joseph Buwule & Jane Anyango
On 17th September, 2024 a team of EfD-Mak, and Inclusive Green Economy (IGE) fellows led by Uganda’s Policy Engagement Specialist Dr. Peter Babyenda visited Uganda’s Pioneer Motor Vehicle Company engaged in the production of Electric and solar powered vehicles –the Kiira Motors Corporation (KMC).
The Kiira Motors Corporation represents a significant achievement in Uganda’s technological and industrial sectors, showcasing the country’s commitment to innovation and sustainable development in the automotive industry.
As part of the broader effort to engage key policymakers in discussions on sustainable development, the visiting team from EfD-Mak included representatives from Government Ministries and Agencies namely; the National Planning Authority, the Ministry of Water and Environment, and the Ministry of Finance, Planning and Economic Development.
These ministry officials are crucial in formulating Uganda’s National Development Plan, and seeing Kiira Motors’ operations firsthand, offers a real-world perspective on how green technologies can be integrated into the country’s future industrial growth.
The Kiira Motors plant, seated on 100 acres is located in Jinja district in Eastern Uganda. The team toured the industrial park to witness the intersection between innovative vehicle production and environmental sustainability.
Representing the Director EfD-Uganda, the country’s IGE Engagement specialist Dr. Peter Babyenda said, the current EfD Center’s focus is on reducing emissions through cleaner, more efficient energy sources aligned perfectly with Kiira Motors production of electric and solar vehicles. “We selected Kiira Motors because it is championing the production of efficient cars,” he said, adding that the partnership can help Uganda transition towards cleaner transportation systems.
KMC is a Ugandan automotive company that was established in collaboration with Makerere University’s College of Engineering, Design, Art, and Technology (CEDAT). The company is pioneering the production of electric buses in Uganda. with an impressive plant capable of manufacturing 2,500 vehicles annually. The plant is contributing to the country’s shift away from fossil fuels and towards electric vehicles (EVs), significantly reducing emissions.
Babyenda noted that collaboration between researchers, policymakers, and private-sector innovators like Kiira Motors is essential for achieving Uganda’s climate goals. “How can we ensure that we reduce emissions to meet our Nationally Determined Contributions (NDCs) under the Paris Agreement?” he asked, pointing out that integrating electric vehicles into public transportation systems is one solution.
Babyenda also highlighted the importance of supporting small-scale operators, such as taxi owners, in transitioning to cleaner vehicles like Kiira’s electric buses.
Dr. John Seruyange, a researcher from the EfD-Mak Center applauded the synergies between EfD’s research focus on energy efficiency and Kiira Motors’ production of electric vehicles. “We’re seeing that Uganda has taken a significant step towards energy transitions, and visiting Kiira Motors is a learning opportunity for us to see how these advancements align with our research,” he said.
The Director of Product Development at Kiira Motors Eng. Richard Madanda, provided an in-depth tour of the plant, explaining the company’s environmentally friendly processes from water recycling systems to tree-planting initiatives. “The facility exemplifies sustainable industrial practices and we are mindful of the market and the environment because the Kiira Motors’ production of electric vehicles directly reduces greenhouse gas emissions”, said Mandanda
Makerere University is playing a pivotal role in Uganda’s pursuit of a green economy and industrial growth. It is hoped that the collaboration between the EfD-Mak Center and Kiira Motors will be a significant step towards creating a cleaner and greener Uganda.
The Genesis of Kiira Motors Corporation
Early Beginnings (2007-2008): The journey of Kiira Motors Corporation began in 2007 when Makerere University, led by Prof. Sandy Stevens Tickodri-Togboa and Mr. Paul Isaac Musasizi, joined an international consortium for the Vehicle Design Summit (VDS) organized by MIT. The consortium aimed to develop the Vision 200, a plug-in hybrid electric vehicle targeting the Indian market. Makerere University, the only African participant, was responsible for designing and integrating the Low Power Electronics and Data Networking Systems. The Vision 200 was completed and showcased at the Dream Exposition in Torino and the Museo Nazionale dell’Automobile in Turin from September to November 2008, marking a significant achievement and laying the groundwork for future projects.
Establishment of CRTT and Kiira EV Project (2008-2011): Following the success of the Vision 200, Makerere University established the Center for Research in Transportation Technologies (CRTT) in December 2008, officially approved on January 1, 2011. CRTT aimed to drive research and innovation in transportation, particularly focusing on green mobility solutions for Africa. The Kiira EV Project, the first initiative under CRTT, involved designing and building a two-seater plug-in electric vehicle. The name “Kiira EV” was suggested by President Yoweri Kaguta Museveni during a visit in December 2009, and the project received financial support from the Presidential Initiative Fund for Science and Technology Innovations, enabling its development from January to October 2011.
Launch and Expansion (2011-2016): The Kiira EV, Africa’s first electric vehicle, was launched by President Museveni on November 24, 2011. The successful completion of this project garnered widespread recognition and led to the proposal for establishing a vehicle manufacturing plant in Uganda. The Kiira Motors Project (KMP) was presented to the President and government officials in December 2011, receiving strong support. KMP continued to advance with the development of the Kiira EV SMACK, an electric hybrid vehicle unveiled in Kenya in November 2014, and the Kayoola Solar Bus, an electric solar bus launched in February 2016.
These innovations underscored the importance of green mobility and Uganda’s role in sustainable transportation solutions.
Recognition and Impact (2016-Present): Kiira Motors Corporation (KMC) earned the 2016 Frost & Sullivan Visionary Innovation Leadership Award in Sustainable Mobility for its contributions to green mobility. The organization also advanced scientific knowledge through international conferences and played a key role in shaping the East African Community Automotive Industry Development Policy.
Jane Anyango is the Communication Officer EfD Uganda
Staff of the College of Business and Management Sciences (CoBAMS) on September 13th, 2024, gathered for a splendid farewell party to celebrate the distinguished service of former leaders Prof. Eria Hisali and his deputy, Prof. Bruno Yawe, along with several retiring staff members. The joyous event, held in their honor, was graced by the Vice Chancellor of Makerere University, Prof. Barnabas Nawangwe, who led the institution in recognizing the invaluable contributions of the honorees.
During his remarks, Prof. Nawangwe praised the retirees for their remarkable service to Makerere University, acknowledging their pivotal roles in advancing academic excellence and shaping the future of the College. He extended his heartfelt congratulations, highlighting their commitment and dedication to the institution over the years.
Prof. Hisali, who served as Principal of CoBAMS for eight years, expressed gratitude to the university’s management and staff for their unwavering support during his leadership. He reflected on the achievements realized under his tenure, including the establishment of innovative financial mechanisms like the College Endowment Fund, which secured long-term financial sustainability.
His deputy, Prof. Yawe, was equally commended for his steadfast leadership and contributions to the academic growth of the College.
The retiring staff members honored at the event included Dr. Joseph Wasswa Matovu, Dr. Willy Kagarura, Ms. Josephine Apolot Opolot, Ms. Kobusingye Margaret, Ms. Nanfuka Sarah, and Ms. Mwijjage Sauya. Their remarkable contributions to Makerere University were fondly remembered, and each was recognized for their dedication to shaping the institution’s legacy.
Music, Dance, and Celebration
The celebration was marked by merry-making and a lively atmosphere, as the Department of Performing Arts and Film added a special touch to the event. The evening was filled with vibrant performances that brought energy and joy to the gathering. The performers showcased a mix of traditional Ugandan music, modern tunes, and rhythmic dances that set the tone for an unforgettable evening.
As the music flowed, the spirit of celebration spread throughout, with many staff members taking to the dance floor. In a heartwarming display of camaraderie, both academic and administrative staff danced together, creating a beautiful moment of unity and togetherness. The joyous dancing, led by some of the retirees themselves, reflected the deep bonds shared within the College and the appreciation for the many years of collaboration and friendship.
The entertainment also featured performances that paid tribute to the rich cultural heritage of Uganda, which resonated with the audience. The upbeat rhythms and performances from the Department of Performing Arts and Film captivated attendees, turning the farewell event into a festive occasion that honored both the academic achievements and personal connections forged over the years.
According to Prof. Ibrahim Mike Okumu, the Dean of the School of Economics, Dr. Joseph Wasswa Matovu was known not only for his scholarly achievements but also for his humor and intellect. “He was celebrated for his remarkable ability to connect with students and colleagues alike. His wit, especially in the teachings of Political Economy and Public Sector Economics, left a lasting impression on all those who worked with him. Dr. Matovu had a unique talent for transforming academic discussions into memorable experiences,” Prof. Okumu shared.
Similarly, Dr. Willy Kagarura, renowned for establishing the PIM Center of Excellence, was praised for his behind-the-scenes work and mentorship. During his farewell speech, Dr. Kagarura encouraged others to plan for retirement, sharing personal reflections on his own journey and expressing deep gratitude for the recognition of his contributions.
Ms. Josephine Apolot Opolot, the former Human Resources Manager, gave a heartfelt speech, reflecting on the sense of teamwork and community that had defined her career. She thanked her colleagues for their unwavering support and praised the collaborative spirit that fostered success within the College. “It’s the collective effort of dedicated professionals that made our work meaningful and fulfilling,” she shared, resonating deeply with the attendees.
Ms. Mwijjage Sauya also expressed her gratitude, singling out Prof. Hisali for his kindness and generosity during her time at the College.
Looking Forward
As CoBAMS bids farewell to these remarkable individuals, the new leadership, under Principal Dr. Edward Bbaale, has committed to continuing the legacy of excellence established by Prof. Hisali and Prof. Yawe. Dr. Bbaale emphasized the importance of building upon the strong foundation laid by his predecessors, noting that their contributions would inspire future generations of scholars and leaders
The farewell event, with its blend of heartfelt speeches, vibrant entertainment, and spirited dancing, not only marked the end of an era but also celebrated the unity and shared commitment of the CoBAMS community. As the College looks ahead to new opportunities, it does so with a sense of optimism and pride, guided by the legacies of those who served with distinction.
Let us raise our glasses to Prof. Hisali, Prof. Yawe, Ms. Apolot, Dr. Kagarura, Dr. Matovu, and all the retirees. Their contributions will continue to shape the future of Makerere University and the College of Business and Management Sciences for years to come.
Experts gathered at Makerere University to strategize on extending mini-grids to rural areas across Africa, with a focus on ensuring reliable, low-cost electricity. The three-day policy dialogue, held from September 10th to 12th, brought together specialists from Africa, the United States, and Europe.
Prof. Edward Bbaale, Principal of the College of Business and Management Sciences (CoBAMS), emphasized the alignment of this project with Makerere University‘s research-led mission. “Energy is crucial at every level, from households to various economic sectors. It’s one of the key drivers of economic activities,” he stated, praising scholars for their timely focus on the energy sector and the importance of developing mini-grid models to meet the needs of underserved areas.
Prof. Bbaale also called for private sector involvement to ensure energy supply at subsidized rates, making electricity more accessible to rural populations.
Assoc. Prof. Ibrahim Mike Okumu, Dean of the School of Economics, highlighted mini-grids as the most affordable solution for rural electrification. He noted that only about 10% of rural populations can currently afford electricity, and mini-grids could offer a cheaper alternative. Prof. Okumu explained that mini-grids, which generate electricity on a small scale for localized areas, are already present in Uganda, including in the Mt. Elgon region, Western Uganda, and West Nile. However, he stressed the need to expand capacity to reach sparsely populated areas, as extending the national grid to such regions would be prohibitively expensive.
The workshop also explored financing models for the project, including long-term versus short-term structures and public-private partnerships. Participants discussed the potential for a book that would serve as a reference for developing mini-grids across Africa, detailing effective models and tariffs for rural areas.
Ignacio Perez Arriaga, External Advisor to the African School of Regulation (ASR), pointed out that even the lowest-cost mini-grid options are often too expensive for rural communities. He recommended cost reductions and permanent subsidies to make electricity more affordable, especially for commercial activities. Arriaga also stressed the importance of regular payments for electricity services and the need for legal frameworks to ensure the financial sustainability of mini-grid projects.
Dolapo Kukoyi, a Nigerian legal expert and advocate for energy access, called for transparent licensing procedures, clear regulations, and sustainable subsidy frameworks to promote energy accessibility. She emphasized the role of incentive policies and tariff structures in ensuring that rural populations can afford electricity.
The experts are exploring various mini-grid energy sources, including wind, hydro, biomass, and solar power, with the goal of scaling up affordable and reliable electricity to rural areas across Africa.
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