Politics 2 September 2026 Daily Monitor (Uganda)
Uganda's Oil Revenue: Museveni Urges Investment in Infrastructure, Not Luxury
President Museveni has cautioned against squandering Uganda's nascent oil wealth on luxury imports, advocating instead for strategic investments in long-term national infrastructure to ensure a sustainable future. Source: https://www.monitor.co.ug/uganda/news/national/uganda-s-oil-revenue-must-fund-long-term-infrastructure-not-luxury-museveni-5581106
President Yoweri Museveni has issued a strong directive regarding the management of Uganda’s forthcoming oil revenues, emphasizing that these funds must be channeled into building enduring national assets rather than fueling the consumption of luxury goods.
Speaking at the official naming ceremony for Uganda’s crude oil, which will be marketed internationally as “Pearl Sweet Petroleum,” Museveni highlighted the finite nature of petroleum resources. He stressed that the revenue generated must create lasting productive capacity that benefits future generations long after the oil fields are depleted.
“Future petroleum revenues should support investments in power generation, transport infrastructure, railways, universities, and other long-term national assets rather than increased consumption of imported luxury goods,” stated President Museveni.
The President also defended the government’s commitment to a domestic oil refinery and export pipelines, explaining that local refining will significantly reduce transit and shipping costs, thereby slashing Uganda’s annual $2 billion fuel import bill.
Furthermore, Museveni assured stakeholders that associated gas produced alongside crude oil will be utilized for electricity generation and the production of liquefied petroleum gas (LPG), rather than being flared, underscoring a commitment to environmental sustainability and efficiency.
Reflecting on the nation’s journey, Museveni recalled the initial lack of specialized human capital in the oil sector, noting the government’s deliberate efforts to train Ugandans in petroleum engineering and management, thereby building a capable local workforce.
He urged continued geological exploration to identify further deposits, reiterating the goal: “The objective should be to ensure that the first barrel of oil is not the last.”
The Kingfisher field, operated by CNOOC Uganda Limited, and the Tilenga project, operated by TotalEnergies, are central to Uganda’s commercial oil production, feeding into the East African Crude Oil Pipeline (EACOP) and the planned Hoima refinery.