- Uganda joins a growing list of African nations turning to biofuels to speed up their energy transition.
- This project follows the government’s announcement on June 29 to mandate a 5 per cent ethanol blend in all petrol sold nationwide, with a target of increasing it to 20 per cent depending on availability.
Uganda joins a growing list of African nations turning to biofuels to speed up their energy transition. While the shift brings economic opportunity, it also raises red flags over food security.
On July 20, Uganda’s Ministry of Energy and Mining Development (MEMD) signed a public-private partnership with Bukona Agro Processors Ltd, a key player in the bioethanol sector. The deal aims to boost the country’s supply of raw materials for producing ethanol, which Uganda plans to blend with imported petrol.
The partnership will involve over 10,000 small-scale farmers in Nwoya district. These farmers will supply 30,000 tonnes of maize per year, which Bukona will process into ethanol. The ethanol will then be blended with petrol at a new facility in Malaba.
“This partnership is a shining example of how our national energy policy, specifically the Biofuels Blending Programme, translates into tangible, life-changing benefits at the grassroots level,” said Eng. Irene Bateebe, Permanent Secretary at the Ministry of Energy.
This project follows the government’s announcement on June 29 to mandate a 5 per cent ethanol blend in all petrol sold nationwide, with a target of increasing it to 20 per cent depending on availability. Authorities aim to reduce the nearly $2 billion annual fuel import bill, promote cleaner energy, and cut emissions.
For farmers, the Bukona project offers a stable market for maize and a chance to boost income. Demand for ethanol is expected to grow as blending increases.
Praviin Kekal, Managing Director of Bukona, said the facility can handle 450 million litres of petrol annually. He noted that at a 5 per cent blend rate, the plant would need roughly 22 million litres of ethanol, with demand climbing to 88 million litres if the blend reaches 20 per cent.
However, using food crops like maize for fuel raises tough questions. In 2024, the FAO warned that bioethanol production could reduce food availability, push up prices, and make staple foods less accessible for vulnerable populations.
Uganda faces this risk head-on. Food security in the country remains fragile. According to a July 16 report by the Alliance for a Green Revolution in Africa (AGRA), Ugandans suffering from inadequate food consumption have more than doubled since October 2024—from 8 million to 18 million people, or 42 per cent of the population.
The stakes are high. Bukona’s maize-based bioethanol initiative could lead to similar projects using cassava or sugarcane, which are already used globally for ethanol.
Ugandan authorities now face a delicate balancing act—meeting their green energy goals without deepening the country’s food crisis, especially in rural and vulnerable areas.