Uganda Strengthens Regional Energy Presence with LPG Hub and Kenya Pipeline Interest
Uganda is making strategic moves to expand its regional energy footprint through two major initiatives that signal the country’s growing ambitions in the East African energy sector. The Uganda National Oil Company has signed a joint venture agreement with Vivo Energy to develop the country’s first large-scale liquefied petroleum gas storage hub at Kabalega Industrial Park in Hoima District.
The LPG project will include bulk storage tanks, cylinder-filling systems, and comprehensive distribution infrastructure, positioned to improve household and industrial access to clean cooking and heating fuels while reducing dependence on biomass. The facility will also enable Uganda to supply LPG across the broader East African region.
Simultaneously, Uganda has expressed interest in acquiring a stake in Kenya Pipeline Corporation as Nairobi advances its privatization agenda. The corporation manages Kenya’s extensive fuel transport and distribution network stretching from Mombasa to Nairobi and onward to Kisumu. Analysts suggest Uganda’s potential participation could resolve previous tensions between the two countries over fuel access and transit while strengthening cross-border energy integration.
Source: africa-energy.com
