Uganda Energy Transition Plan

UgandaEnergyTransitionPlan INTERNATIONALENERGYAGENCY TheIEAexaminesthefullspectrum ofenergyissuesincludingoil,gasandcoalsupplyanddemand,renewableenergytechnologies,electricitymarkets,energyefficiency,accesstoenergy,demandsidemanagementandmuchmore.Throughitswork,theIEAadvocatespoliciesthatwillenhancethereliability,affordabilityandsustainabilityofenergyinits 31membercountries, 13associationcountriesandbeyond. Thispublicationandanymapincludedhereinarewithoutprejudicetothestatusoforsovereigntyoveranyterritory,tothedelimitationofinternationalfrontiersandboundariesandtothenameofanyterritory,cityorarea. Revisedversion, December2023Informationnoticefoundat:www.iea.org/corrections Source:IEA. InternationalEnergyAgencyWebsite:www.iea.org IEAmembercountries: AustraliaAustriaBelgiumCanada CzechRepublicDenmarkEstonia FinlandFranceGermanyGreeceHungaryIrelandItalyJapanKoreaLithuania LuxembourgMexicoNetherlandsNewZealandNorwayPolandPortugal SlovakRepublicSpain SwedenSwitzerlandRepublicofTürkiyeUnitedKingdomUnitedStates TheEuropeanCommissionalsoparticipatesintheworkoftheIEA IEAassociationcountries: ArgentinaBrazilChinaEgyptIndiaIndonesiaKenyaMoroccoSenegalSingapore SouthAfricaThailandUkraine IEA.CCBY4.0. Abstract Uganda’sEnergyTransitionPlan(ETP)isastrategicroadmapforthedevelopmentandmodernisationofUganda’senergysector.Itchartsanambitious,yetfeasiblepathwaytoachieveuniversalaccesstomodernenergyandpowerthecountry’seconomictransformationinasustainableandsecureway.TheplanwasdevelopedbyUganda’sMinistryofEnergyandMineralDevelopment,withsupportfromtheInternationalEnergyAgency,andprovidesthegroundworkforthegovernment’supcomingIntegratedEnergyResourceMasterPlan. TheanalysisdoesnotjustlookatUgandainisolationbutconsidershowglobaltrendsareinfluencingandopeningupnewopportunities,notablydrivenbyrapidlyevolvingcleantechnologycostsandshiftsinenergyandclimatefinance.Particularfocusispaidtomakinguseofthecountry’sconsiderableenergyandmineralresources,andparlayingthisintoeconomicdevelopmentforUganda,acorepillartoensurethepathwayintheETPisajustandinclusiveone.Thereportprovidesdetailedsector-by-sectoranalysis,includingkeytargetsandmilestones,estimatesofinvestmentneeds,andincludeshigh-levelrecommendationsforitsimplementation.Whilethefocusofthereportisfromnowto2050,theETPalsohighlightskeystepstofurthertheenergysector’sdecarbonisationbeyond2050andestimatesatwhatpointtheenergysectorispoisedtoreachnetzero. Foreword Ugandaisinthemidstofanunprecedentedeconomictransformation.Thecountryisamongboththefastestgrowingpopulationsandeconomiesintheworld,withexpansionofmajorindustriesfuellingthetransformation.Thesetrendsaresettocontinueasweheadintoacriticaldecadeofeconomicgrowthanddevelopment. Ugandahasmadesignificantstridesinrecentyears,witharemarkableexpansionofelectricityaccess,surpassingthegrowthratesofsub-SaharanAfrica.Overthepasttwodecades,ourpowersectorhasgrownalmostfivefold,significantlyreducingtheinefficientuseofimportedoilforpowergeneration.Since2015,wehaveprovidedcleanercookingalternativestomorethan3.5millionUgandans,liberatingthemfromthehealthhazardsandtime-consumingburdensoftraditionalfirewoodandcharcoalstoves. However,comparatively,weremainenergypoor,withlowlevelsofelectricityandcleancookingaccess,andamongcountrieswiththelowestlevelsofmodernenergyconsumptionpercapitaglobally.Around90%ofUganda’senergyneedsarestillmetbysolidbioenergy,givenitistheonlyenergysourceavailabletomanyinruralareas.Thisisnotsustainable,norisitanoptiontofuelfuturegrowthinUganda.ThisistheimperativethatmotivatedtheEnergyTransitionPlan:buildtheenergysystemfoundationsthatwillbenecessarytopowerUganda’sfutureinajust,safe,secure,affordableandsustainablemanner. Therefore,wemustbuildonthecurrentsuccessinacceleratingaccesstocleanenergyandpushfurthertorealiseourvisionforamodernandprosperousUganda.Fortunately,Ugandaisblessedwithampleenergyresources,whichtheEnergyTransitionPlanmakesuseoftosecurelymeetgrowingenergyneedswhilealsorealisingtheeconomicgrowthandjobcreationpotentialthatharnessingtheseresourcesholds.TheEnergyTransitionPlantouchesonallaspectsoftheMinistryofEnergyandMineralDevelopment’swork,coveringrenewables,energyefficiency,nuclearpower,oilandgasresources,anddepositsofcriticalmineralsthatarekeytoglobalenergytransitions.ItalsoreinforcesUganda’salreadyprominentroleasastrongregionalpartnerfordevelopingamorerobust,integratedenergyinfrastructureacrosstheregion,whichsupportsourcollectivegoalsforenergysecurityandgreatercollaboration. IEA.CCBY4.0. Ugandaisfullycommittedtoasustainablevisionforitsdevelopment.AlongsidethelaunchoftheEnergyTransitionPlan,Ugandaannouncesitsintentiontoreachnetzeroemissionsinitsenergysectorby2065,whichpavesthewayforourcountrytoexploreaformaleconomy-widetargetforclimateneutrality.Ugandarecognisesandaffirmsitsresponsibilitytotakeactiontomitigaterisingemissions IEA.CCBY4.0. andseesthatthesustainablewayofdevelopmentisincreasinglytheeconomicway,allowingthecountrytoplayasignificantroleingrowingcleanenergysupplychainsandtappingintonewopportunitiesforcarbon-relatedf