Aug 20, 2026 (Nile Post/All Africa Global Media via COMTEX) --
Uganda could face electricity load shedding within the next year if power generation and alternative energy investments fail to keep pace with rising industrial demand, Trade, Industry and Cooperatives Minister Sanjay Tanna has warned.
Tanna said growing electricity consumption by industries and new investments could put increasing pressure on the national grid, urging government and businesses to accelerate investment in solar power and other alternative sources.
"We have a fear that within the next few months, in my own opinion, maybe one year maximum, we shall have a fear of going into load shedding," Tanna said.
He was speaking during the fifth Presidential CEOs Forum engagement, where government and private-sector leaders discussed measures to improve Uganda's investment and business environment.
Tanna called for closer coordination between the ministries responsible for trade and energy to encourage industries and other major electricity consumers to install solar systems and supply surplus electricity to the national grid through net metering.
He said large electricity consumers, including steel and cement manufacturers, should be encouraged to install rooftop solar systems to meet part of their energy requirements and free up grid electricity for new industrial developments.
Tanna cited the National Enterprise Corporation facility at the Independence Grounds and GenTex in Nintono as examples of successful net-metering projects.
"We have some success stories to show the skeptics in industry," he said.
The warning comes as Uganda pushes to expand industrial production and attract more investment, increasing pressure on the country to ensure electricity supply grows alongside demand.
Prime Minister Robinah Nabbanja said government was aware of the need to expand electricity generation and improve infrastructure to support the growing industrial sector.
"We need to invest heavily so that we have enough electricity for the industries you are putting up," Nabbanja said.
She said government was also prioritising railway infrastructure to reduce transport costs and support industrialisation, including the development of the Standard Gauge Railway and rehabilitation of the existing metre-gauge railway.
"Our focus now, using the oil money, is to make sure that the Standard Gauge Railway is up and running," Nabbanja said.
The private sector, however, warned that high financing costs, inadequate access to long-term capital and delayed government payments continue to constrain business expansion.
Presidential CEOs Forum Managing Director Den Kayemba said consultations with more than 10,000 chief executive officers and business leaders had generated 229 private-sector concerns requiring government attention.
"We have engaged with more than 10,000 CEOs, big and small. We have talked to business leaders and held over 50 engagements across the country," Kayemba said.
He said businesses were particularly concerned about affordable finance, export competitiveness, industrialisation, infrastructure, taxation, human capital, digital transformation, public-sector efficiency and regulation.
Kayemba urged businesses to take advantage of government programmes and financing instruments designed to support production, expansion and investment.
"The next challenge is to ensure that all these instruments that have been put in place are used by business to increase production, to support expansion, to support investment, and in general, industrialisation of our mother country," he said.
He also urged government to strengthen domestic enterprises alongside efforts to attract foreign direct investment, warning that Uganda could lose the long-term benefits of foreign investment if local businesses are not developed.
"Whatever you will do, you bring this foreign direct investment that we establish here. But if you don't grow your own, at the end of the day, all money will be exported," Kayemba said.
National Planning Authority Executive Director Joseph Muvawala welcomed the Export Credit Guarantee Fund, describing it as a "game changer" for businesses seeking to expand their exports.
"This is a game changer," Muvawala said.
He also called for measures to reduce the cost of doing business, including lower tariffs and affordable electricity, saying high production costs continue to undermine the competitiveness of Ugandan enterprises.
The concerns come as government seeks to accelerate industrialisation and position the private sector as a major driver of economic growth, making reliable and affordable electricity a critical requirement for sustaining new investments.
COMTEX_491051519/2029/2026-08-20T00:34:33
by Muhamadi Matovu
Copyright 2026 Nile Post. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com).
