File photo: Fuel prices have sharply risen

Motorists in Kampala are scrambling for fuel after a shortage that first affected upcountry stations earlier this week spread to the capital, triggering long queues, price hikes and growing frustration among transport operators.

By Friday, most outlets operated by major suppliers such as Vivo Energy (Shell) and TotalEnergies had run dry. At several stations, attendants either stood idle or turned away motorists, citing depleted petrol stocks, while others increased pump prices to about Shs 6,000 per litre.

Industry players attribute the shortage and price volatility partly to global oil market disruptions. Rising tensions involving Iran, a key player in global energy supply, have heightened uncertainty, particularly due to its strategic position along the Strait of Hormuz, a critical shipping route for global oil.

Any instability in the region, analysts say, disrupts supply chains, raises shipping risks and drives up crude prices. These pressures, compounded by a weakening Uganda shilling, have increased the cost of fuel imports, contributing to higher pump prices and intermittent supply locally.

Although the ministry of Energy and the Uganda National Oil Company (UNOC) maintain that national fuel reserves remain stable, the situation on the ground in Kampala tells a different story, with frequent stock-outs and rising prices straining motorists.

John Bosco Kayizi, a boda boda rider in Kabalagala, said he eventually found fuel at a station in Kibuli after riding several kilometres from Kansanga. He noted that he had bypassed at least five stations operated by major suppliers that had no fuel.

Kayizi said it had become increasingly difficult to find petrol, forcing riders to move across the city in search of stations that still had supplies, particularly those operated by smaller dealers.

URN observed long queues at stations in Kamwokya and Kibuli, with motorists reporting moving from one outlet to another in search of fuel. Moses Tumuhimbise, a boda boda rider along Jinja Road, said the few stations still operating had sharply increased prices, with petrol rising from about Shs 5,000 to Shs 6,000 per litre in some areas.

Other riders, including Enock Mukiibi in the city centre, warned that prolonged shortages could force many operators to temporarily suspend business due to rising operational costs.

Taxi operator John Kamya said the price hikes are already affecting operations, with some drivers reducing the number of trips to cope with fuel costs. He called on government to intervene and stabilise supply.

Tumuhimbise added that his daily fuel expenditure had risen from about Shs 30,000 to between Shs 40,000 and Shs 45,000, even as passengers resist fare increases. Frank Mawejje, chairman of the Boda Boda Union Association, said the sector is under increasing pressure as fuel prices continue to rise.

He noted that prices now range from about Shs 5,400 per litre in the Greater Kampala Metropolitan Area to as high as Shs 7,000 upcountry, significantly raising the cost of doing business.

“The fuel hike means boda boda riders are spending more while earning less. It affects our work because higher fares drive away passengers. Profit margins shrink, and gradually, customer numbers decline,” Mawejje said.

According to media reports, fuel prices have risen as high as Shs 9,900/litre in Kasese Municipality at Bamu Petro Station, Shs 8,000 in Kabale. Fuel has now become a serious crisis in Kasese Municipality.

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