Govt assures stable fuel supply amid global market pressures

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The Government has reassured Ugandans that the country’s fuel supply remains stable and sufficient despite global market disruptions linked to the ongoing Middle East conflict.

Speaking to the media in the Kampala city suburb of Munyonyo on April 28, 2026, energy minister Ruth Nankabirwa said Uganda continues to maintain secure petroleum supplies supported by strengthened supply chain management led by the ministry and the Uganda National Oil Company (UNOC).

Nankabirwa noted that under the Petroleum Supply (Amendment) Act, 2023, UNOC now oversees the importation and supply of petroleum products, a move that has enhanced Uganda’s resilience by diversifying sourcing beyond the Middle East.

“Uganda has adopted alternative global sourcing strategies, reducing exposure to geopolitical supply shocks and ensuring continuity of supply,” Nankabirwa said.

The minister revealed that the country currently holds adequate fuel stocks, supplemented by a strong import pipeline.

In mid-April, Uganda received approximately 119 million litres of petrol through the port of Mombasa. Additional imports expected between mid-April and mid-June include about 163 million litres of petrol, over 200 million litres of diesel, and 22.4 million litres of Jet A-1 fuel.

These volumes, combined with existing reserves, translate into fuel cover of up to 67 days for petrol, 84 days for diesel, and 89 days for jet fuel, against a national daily consumption of about 8 million litres.

Nankabirwa said fuel distribution across the country is ongoing following the arrival of recent shipments, a move expected to further stabilise supply at retail outlets.

However, she acknowledged that Uganda’s land-linked position means fuel delivery depends heavily on regional infrastructure, particularly through Kenya and Tanzania.

The Uganda Government, she said, is working closely with regional partners and oil marketing companies to ensure smooth transportation from coastal terminals to inland depots.

While isolated stock-outs have been reported at some fuel stations, the minister attributed these to logistical challenges within individual supply chains rather than a national shortage.

Pricing challenges to be felt next month

On pricing, Nankabirwa warned that global market trends are likely to push pump prices upward in the coming weeks. International crude oil prices rose sharply from about $65 per barrel in February to nearly $120 in March 2026.

“Uganda has been consuming previously procured fuel at lower prices, but the impact of higher global prices will begin to be felt from May as new shipments enter the market,” she explained.

She added that Uganda has managed to maintain relatively lower supply premiums compared to regional peers due to negotiated arrangements under UNOC’s partnership framework.

The minister pointed to increased fuel demand in border districts such as Arua, Adjumani, Kasese, Kisoro, and Tororo, driven by cross-border trade. She warned against illegal practices, including hoarding, speculative pricing, and illicit fuel trade, which have contributed to localised shortages and price variations.

To address these challenges, the Government has deployed enforcement teams, tightened monitoring of fuel distribution, and enhanced surveillance to curb illegal activities.

Nankabirwa highlighted ongoing investments aimed at strengthening Uganda’s long-term energy security. These include expansion of the Jinja Storage Terminal, development of a new storage facility in Namwabula, Mpigi District, and plans for a 60,000-barrel-per-day national oil refinery.

She said these projects, backed by a financing arrangement approved by Cabinet in December 2025, will boost Uganda’s storage capacity and buffer stocks.

Nankabirwa urged the public to remain calm and avoid panic buying, emphasising that there is no fuel shortage in the country.

“Government is firmly in control of the fuel supply situation. Our systems are working, stocks are adequate, and additional volumes are continuously arriving,” she said.