Uganda Wants to Increase Oil Imports Through Tanzania



The Uganda National Oil Company (UNOC) will become the only importer and provider of petroleum products as the country increases its imports of petroleum products through Tanzania, according to Energy Minister Ruth Nankabirwa.

Energy Minister Ruth Nankabirwa

The choice was made in response to talks in Zanzibar between Tanzanian President Samia Suluhu and Minister Nankabirwa over how to improve the flow of petroleum products into Uganda.

The decision to give the Tanzanian route priority was made in response to obstacles encountered by Uganda’s recent attempt to use Kenya’s oil pipeline. In order to highlight the need for alternatives, Minister Nankabirwa cited the Kenyan High Court’s decision to reject a case that sought to prevent UNOC from receiving a license.

At the moment, over 90% of Uganda’s petroleum imports come through the port of Mombasa in Kenya, with the remaining portion coming through the port of Dar es Salaam in Tanzania. With his announcement, Minister Nankabirwa is moving toward using the Tanzanian route to guarantee a steady and effective supply of petroleum products.

In the past, President Yoweri Museveni expressed worries about excessive prices for petroleum products purchased from overseas suppliers, emphasizing the necessity of open and economical importation procedures. He underlined the huge financial losses brought about by middlemen in the importation chain and called for reforms to reduce economic losses.