President Yoweri Museveni has broken ground for the construction of a 320-million-litre Kampala Storage Terminal in Mpigi District, as Uganda moves to strengthen its strategic petroleum reserves.
Museveni said the storage facility will support Uganda’s petroleum security as the country develops its own petroleum resources and works with Tanzania and other East African countries to improve regional fuel security.
The President made the remarks while thanking the people of Mpigi for protecting the ekifunjo, or papyrus swamp, which he said is part of Uganda’s natural environment that should be preserved.
“This is how God made Uganda, and we should keep it that way,” Museveni said, while calling for better management of waste.
He proposed the use of technologies such as incineration, saying waste can be managed in a way that also produces electricity.
Museveni also used the occasion to highlight changes in Uganda’s petroleum procurement system, saying the government previously relied on middlemen in Kenya to access petroleum products.
The President said that after his government took over in 1986, administration was entrusted to technocrats, but it was later brought to his attention that Uganda was purchasing petroleum products through intermediaries in Kenya.
Museveni said he was alerted to the practice by a Kenyan Senator, describing the revelation as unexpected.
“When we took over Government in 1986, we entrusted administration to technocrats. However, it took a Kenyan Senator to alert me that Uganda was buying petroleum products through middlemen in Kenya. Unbelievable” he said.
According to Museveni, government intervention in the procurement process has since reduced the cost of petroleum products purchased by Uganda.
He said the price of diesel has fallen from USD118 to USD83 per metric tonne, while petrol has dropped from USD97.5 to USD61.5 per metric tonne.
Aviation fuel, he added, has declined from USD114.25 to USD79.25 per metric tonne.
The President linked the development of the new storage terminal to the need for Uganda to maintain adequate petroleum reserves, particularly as the country prepares to increase its use of locally produced petroleum.
“Today, I broke ground for the 320-million-litre Kampala Storage Terminal in Mpigi. As we develop our petroleum resources, we must strengthen our strategic reserves,” Museveni said.
The project is also expected to form part of Uganda’s broader efforts to improve the security and reliability of petroleum supplies.
Museveni further welcomed Tanzania’s involvement in regional petroleum security initiatives, noting that President Samia Suluhu Hassan had sent a delegation to the event.
He said Uganda would continue working with Tanzania and other East African countries to strengthen regional petroleum security and ensure more reliable access to fuel.
The Kampala Storage Terminal in Mpigi is therefore being positioned as part of Uganda’s strategic petroleum infrastructure as the country prepares for increased petroleum production and consumption.
