UGANDA LAUNCHES THE NATIONAL BIOFUELS BLENDING PROGRAM - National Renewable Energy Platform

On Tuesday the 1^st of July, 2025, the Minister of Energy and Mineral Development, Hon. Can. Dr. Ruth Nankabirwa Ssentamu launched the National Biofuels Blending Program. The program. This marked start of the mandatory blending of all petrol with 5% locally sourced ethanol (E5).

Guided by the National Biofuels Committee (NBC) composed of private sector oil companies, biofuel producers and relevant ministries, departments and agencies, the program will reduce emissions by reducing fossil fuel imports, create an alternative market for Ugandan agricultural produce used to make ethanol, while enhancing the country’s energy security.

Hon. Nankabirwa elaborated that the blending program reinforced the continued commitment of the government of Uganda to strengthen energy security, advance environmental sustainability, decarbonizing the transport sector, and supporting Uganda’s socio-economic transformation.

Key Features of the Program.

Compliance Deadline

The program has a six-month incubation period concluding on the 31^st of December, 2025 by which time all Oil Marketing Companies (OMCs) should have fully transitioned.

Legal and Policy Framework

The program has a robust legal and policy framework rooted in the Biofuels Act of 2020 supported by Biofuels (Licensing) Regulations of 2022 and in-line with the country’s Vision 2040, National Energy Policy 2023 and Energy Transition Plan.

Feedstock

The feedstock for the production of ethanol is cassava, maize, and sugarcane locally grown in the country often with surplus production. The program therefore will create an alternative market for this produce.

Local Ethanol Production Capacity

Uganda currently has a combined annual production capacity of 78.5 million liters of ethanol from licensed producers such as Kakira Sugar Works Ltd, Hoima Sugar Ltd, Bukona Agro, GM Sugar Ltd. This production capacity is expected to gradually increase until it facilitates the blending of 20% ethanol as stipulated in the

Blending Points

Four facilities were licensed at key border points to carry out blending of ethanol at Modern Energy Ltd in Busia, Bukona Agro Processors at the Malaba border point, Afro-Kai Ltd at the Mutukula border, and lake Victoria Logistics in Entebbe. These blending points will collectively handle over 110 million liters of petrol annually.

Collaborative Effort

The minister called for collective action from all key implementing stakeholders to ensure that the program is successful and urging all Ugandans to embrace the program and all the benefits it brings along with it.