The Government of Uganda has signed a Supply and Purchase Agreement with Global Gases Group to establish a Liquefied Petroleum Gas (LPG) storage facility and cylinder manufacturing and filling plants in Uganda. The facility, which will be located in Luzira and is expected to be completed by 2026, aims to increase LPG usage domestically and across East Africa.
The project will produce 500,000 cylinders annually for Ugandan consumers in four different sizes: 3 kg, 6 kg, 12 kg, and another 2 million cylinders for the East African Community market over a period of at least 20 years.
Eng. Irene Pauline Bateebe, Permanent Secretary at the Ministry of Energy and Mineral Development, highlighted that the investment will contribute to mitigating climate change and promoting clean energy for cooking in Uganda. “There is a need to boost LPG usage, as Uganda currently consumes about 35,000 tons of LPG annually, compared to Kenya’s 350,000 tons and Tanzania’s 250,000 tons,” Bateebe noted.
As part of the plan, the government, through the Ministry of Energy, will distribute LPG cylinders via petrol stations before expanding distribution to regional offices. Local councils will assist in identifying beneficiaries for government-subsidized accessories through poverty mapping.
Mr. Deepak Mehta, Founder and CEO of Global Gases Group, expressed optimism about the project, explaining that the company has been involved in oxygen gas production for hospitals in Uganda and will soon start producing biogas and fertilizers from cow dung in Mbarara.
“Our LPG infrastructure project began in 2022 and, once completed, will promote the use of clean cooking technology and reduce deforestation,” Mr Mehta stated.
Dr. Ruth Nankabirwa Ssentamu, Uganda’s Minister of Energy, presided over the agreement signing at the Petroleum Authority of Uganda offices in Entebbe on Friday 18th October, 2024. She emphasized the global shift toward LPG as a sustainable energy source, urging Ugandans to adopt it as part of efforts to decarbonize the environment.
Nankabirwa also addressed stereotypes surrounding food cooked using LPG and encouraged the public to embrace the change. “Why does our population still suck with the usage of charcoal in homes?” she asked.
The Ministry of Energy had already initiated the distribution of LPG starter kits in Busabala Parish, Makindye Ssaabagabo, Kampala, in July 2022, targeting over one million beneficiaries.
LPG is recognized for its cleanliness, versatility, affordability, and environmental sustainability. It is widely used in industrial settings to power machinery and heat ovens and kilns. The initiative aligns with Uganda’s Energy Transition Plan (ETP), which was launched at the 2023 UN Climate Change Conference (COP28) in Dubai. The ETP seeks to provide universal access to modern energy and drive Uganda’s economic transformation in a sustainable manner.
