Parliament has demanded a breakdown of the price at which Uganda National Oil Company (UNOC) supplies fuel to oil marketing companies, as MPs questioned rising pump prices and called for measures to cushion consumers.
This followed an explanation by the Minister of Energy and Mineral Development, Dr. Monica Musenero, who told Parliament that the fuel price increase was “multifactorial”, citing the depreciation of the shilling, the Shs200 excise duty increase introduced in the 2026/2027 financial year and international supply pressures.
The Minister presented a statement on the rising fuel prices to Parliament during plenary on Wednesday, 07 October 2026.
Musenero said UNOC acts as a buffer against international price shocks, helping Uganda avoid some of the shortages and higher prices experienced by neighbouring countries.
Deputy Speaker Thomas Tayebwa pressed the Minister to provide the actual UNOC selling price, saying MPs need to establish how much is added before fuel reaches consumers.
“I don’t know what is so special about this price, that UNOC is giving out fuel to OMCs at a certain price. What is that price?” Tayebwa asked.
“Because we want to track how much they are adding. That’s it. It will help legislators here to know why we gave a monopoly and how much are these people adding,” he added.
Leader of the Opposition, Joel Ssenyonyi, said government should address factors within its control, particularly the tax increase, which he said MPs had opposed during the budget process.
“We were here during the budget process, and we put up resistance against this Shs200 increase,” Ssenyonyi said adding that “We were saying, an increase in excise duty on fuel, even if it is one shilling, speculatively it will bring problems.”
Ssenyonyi also urged government to prepare for possible supply disruptions linked to instability in neighbouring Kenya.
“We are praying for Kenya. We hope that the elections go alright. But you see, even in our homes, before we go to sleep we pray and after praying you check to be sure the door is closed,” he said.
Defence Minister Kiryowa Kiwanuka said Uganda’s fuel prices were also being driven by international oil prices because the country relies entirely on imported petroleum products.
He said Uganda was not facing a fuel shortage but a price problem, with international developments, particularly the conflict affecting the Strait of Hormuz, pushing up the cost of imports.
During the debate, Hon. Isaac Otimgiw (NRM, Padyere County) called for temporary tax relief on petroleum products, citing measures taken by other countries.
Karim Masaba (Ind., Industrial Division) called for the suspension of the Shs200 excise duty increase, saying government had been warned that it could worsen fuel prices.
He said the measure was expected to raise Shs450 billion in additional revenue.
“As Cabinet you need to look just beyond what you’re going to collect but how it’s going to affect the economy,” Masaba said.
Hon. Remigio Achia (NRM, Pian County) said the fuel crisis should be addressed alongside the wider economic problem, particularly the depreciation of the shilling.
He said the shilling’s fall from about Shs3,600 to Shs4,000 against the dollar had increased domestic debt by Shs7.6 trillion without new borrowing.
“We need to sit together and develop a comprehensive plan to address this matter, for our own survival as a country,” Achia said.
Tororo Municipality MP Hon. Tanna Shyam questioned the rapid rise in pump prices despite some fuel having been purchased when the exchange rate was lower and urged the Ministry to examine the pricing by retailers.
Minister Musenero said that she had not yet received the detail on the selling price and promised to get back to the House with information.
The debate was adjourned pending a comprehensive government statement on the wider state of the economy, including the exchange rate and its effect on fuel prices-Ug. Parliament. Give us feedback on this story through our email: kamwokyatimes@gmail.com
