By KT Reporter
The government has earmarked Sh400 billion to subsidize clean energy equipment, particularly solar-powered solutions, in a bid to enhance access to affordable and sustainable energy for Ugandans. This initiative is part of the broader efforts to promote clean energy usage and increase the accessibility of renewable energy technologies across the country.
The price subsidy program will be administered by the Uganda Energy Credit Capitalization Company (UECCC), a government agency responsible for promoting financing for clean energy projects. It is part of the agency’s Results-Based Financing (RBF) Facility under the Electricity Access Scale-Up Project.
The program will offer significant discounts on a variety of clean energy products. Solar lanterns will see a 60% price reduction, while solar systems (including two lights) will be discounted by 50%. Clean cooking technologies, including those powered by solar, briquettes, ethanol, biogas, and liquefied petroleum gas (LPG), will also be discounted between 30% and 50%.
In addition, productive energy equipment—such as water pumps, irrigation systems, refrigeration units, and grain mills—will be offered at a 60% discount. “This program is designed to address the affordability barrier, ensuring Ugandans can purchase these products with just a National Identification Card and payment for the subsidized amount,” Baguma added.
UECCC also plans to launch regional sensitization campaigns to educate Ugandans about the benefits of clean energy solutions. The goal is to encourage the adoption of sustainable technologies, improve household well-being, and drive socio-economic transformation. This initiative comes amid growing efforts to make solar energy consumption more accessible, which has been previously hindered by the high cost of quality technologies.
The price subsidy program is part of the broader Electricity Access Scale-Up Project, funded by the World Bank and the Government of Uganda, valued at USD 110 million. It aligns with Uganda’s national development goals, including Vision 2040, the third National Development Plan (NDP III), and Sustainable Development Goal 7 (SDG 7), which aims to ensure access to affordable, reliable, sustainable, and modern energy for all.
“This project is more than just an energy initiative; it’s a driver for economic growth, environmental health, and poverty reduction,” concluded Baguma. The program aims to stimulate renewable energy projects and expand access to clean and modern energy services, leveraging public resources to attract private sector investment in Uganda’s renewable energy sector -URN. Give us feedback on this story through our email: kamwokyatimes@gmail.com
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