Uganda launches e-mobility association

October 25, 2024

From the newsletter

On October 22, 2024, Dr Monica Musenero, Minister for Science, Technology, and Innovation officially launched the Uganda Electric Mobility Association (UEMA). The association's main goal is to transform Uganda into a leading hub for e-mobility solutions by fostering collaboration and innovation among players within the sector.

  • This launch positions Uganda together with other African countries that have e-mobility associations, such as Kenya, Tanzania, Ethiopia, and Rwanda.

  • The association brings together various stakeholders in the e-mobility sector, including those in EV financing, EV manufacturing, and EV charging.  

More details

  • EV adoption in Uganda is in its nascent stages, with motorcycles leading the transition, similar to trends in Kenya, Tanzania, and Ethiopia.

  • There are approximately 3,000 electric motorcycles, less than 30 electric buses, and only 83 electric passenger cars on Ugandan roads. 

  • Charging stations are underdeveloped, with an estimated 125 battery swap stations and 4 public charging stations, compared to over 3,132 public petrol stations. 

  • Skilled labour for EVs is still far from being able to support the EV transition.

  • Uganda spends approximately $2 billion importing fuel. A transition to EVs could help reduce this dependency, stabilise the currency, and contribute to Uganda's climate goals by reducing carbon emissions by over 90%. 

  • The EV industry can stimulate the Ugandan economy by creating high-quality jobs, promoting local manufacturing, and offering lower energy and maintenance costs, benefiting both owners and passengers.

  • Uganda has begun implementing fiscal incentives and introduced the National E-Mobility Strategy, which plans to position Uganda as a net source of e-mobility solutions and tools. 

  • The UEMA launch is timely. It will play a key role in supporting these efforts by advocating for policy stability and clarity, particularly regarding import duties and VAT exemptions, and by raising awareness about EVs.

  • In Kenya, the e-mobility association has been at the forefront of championing better policies and incentives, and this has yielded some positive results.

Our take

  • EV transition momentum will definitely pick up, and the entry of e-mobility startups signals positive market reception. However, more is needed, especially in unlocking bottlenecks such as affordability (through consumer financing), insufficient charging infrastructure, consumer awareness, and inconsistencies in fiscal policies.

  • Uganda can leverage its abundant clean electricity resources and the potential for local manufacturing to drive EV adoption, not only in Uganda but across East Africa and beyond. 

  • Uganda should promote public-private partnerships and invest in skills development to support a smooth transition to EVs.