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Zawya
29-04-2025
- Business
- Zawya
Uganda: Finance Ministry makes concessions on budget
The Ministry of Finance has made key concessions to Parliament's budget demands, marking a shift in tone after last year's heated disagreements between lawmakers and the Executive over funding priorities. The ministry accommodated Shs3.98 trillion in response to Parliament's recommendations to the draft National Budget for Financial Year 2025/26. However, questions persisted as MPs flagged repeated requests in the new budget that mirror those in last year's supplementary allocations. During a meeting of the Budget Committee on Tuesday, 29 April 2025, the Deputy Chairperson, Hon. Remigio Achia acknowledged what he called 'encouraging' signs that government had acted on Parliament's earlier recommendations. He highlighted allocations to critical sectors such as healthcare, tourism, and commercial diplomacy. 'After the acrimonious disagreement of last year with us, the minister and the President, a number of recommendations we made here have been considered,' Achia said. 'For example, we were very strong on providing Shs100 billion for medicines for health centres. This time, they have taken that recommendation.' He said. Achia also praised the ministry's decision to allocate Shs00 billion to the Uganda National Bureau of Standards citing the agency's pivotal role in advancing agro-industrialisation. 'Previously, the bureau was ignored but now they have been given money for staffing, laboratory equipment and vehicles. This shows we are supporting real agro-industrialisation,' he added. Other notable improvements included funding for the Uganda Development Corporation and enhanced support for embassies under a new commercial diplomacy initiative. 'This is the right way to go. Let the embassies showcase our coffee, our products, our life,' Achia said. The committee however, criticised the Ministry of Finance over what he described as recycled budget items. Achia pointed out that allocations made in January's supplementary budget including Shs50 billion for railway rehabilitation and Shs25.7 billion for Ministry of Lands activities had resurfaced in the new budget under identical justifications. 'That kind of thing makes you wonder whether they think we have lost our minds between January and April. It is the same text in the January supplementary, word for word,' Achia remarked. Hon. Faith Nakut (NRM, Napak District Woman Representative) also raised the concern of the items that were captured in the current budget again appearing in next financial year's budget. The Minister of State for Finance (General Duties), Hon. Henry Musasizi acknowledged the oversight and promised to investigate further. 'I am happy the committee has identified this it is one of the areas we shall discuss and harmonise. We will look at the work plan, past expenditures and whether the earlier supplementary was even released to the spending agency,' he said. Musasizi also defended the broader process noting that some recurring items were intentionally brought into the main budget to prevent future supplementary requests. 'If they are recurrent in nature, this year we have decided to provide for them so that they become part of the budget,' he said. Distributed by APO Group on behalf of Parliament of the Republic of Uganda.
Zawya
09-04-2025
- Business
- Zawya
Uganda: Air quality regulations to be enforced
The National Environment Management Authority (NEMA) working with the Ministry of Works and Transport will soon roll out the air quality regulations which were enacted in 2024. According to the NEMA Executive Director, Dr. Akankwasah Barirega, a two-year grace period will be given to allow for phasing-out of engine types that are below the Euro 4 standard, a European emissions standard for vehicles. 'You may realise that a one-stroke engine for boda bodas (motorcycles) can pollute as much as a bus engine because of less efficiency in burning of fuel,' said Dr. Barirega. Appearing before the Committee on Environment and Natural Resources on Tuesday, 08 April 2025, Barirega said that putting the government fleet of vehicles on the electric standard would go a long way in curbing emissions. 'How about the money given to Members of Parliament for vehicles, being given to Kiira Motor Corporation so that every MP is given an electric car made in Uganda. These are technical proposals that the community can consider,' he added. Barirega noted that a cut in the budget of the Ministry of Water and Environment in financial year 2024/2025 significantly affected NEMA's efforts to enforce environmental protection and management. He said that the authority currently employs 16 environment inspectors, four environment auditors and 44 environment protection force (EPF) staff, out of an approved total of 150 EPF positions. 'This staffing level indicated a significant gap. An additional 106 EPF staff are needed to fully meet our operational requirements and effectively enforce compliance with environment and social impact assessment conditions,' Dr. Barirega added. His concerns were reiterated by State Minister for Environment, Hon. Beatrice Anywar who said that a 54 per cent budget cut in financial years 2025/26 and 2026/27 will affect wetland restoration and degradation mitigation programmes. Anywar added that that approximately Shs50 million is required to restore one square kilometre of wetland. 'Following the budget cuts for subsequent financial years, the ministry will only be able to restore approximately 1,330 hectares of wetland. This is just a fraction of the required target of 6,540 square kilometres,' Anywar said. For the financial year 2025/2026, NEMA has been allocated Shs41.6 billion, excluding arrears, with key priorities including strengthening human resource management and strengthening regulation and enforcement against environmental pollution and degradation. The Committee Chairperson, Hon. Herbert Ariko raised concerns over business persons and entities that establish fuel stations in residential areas. 'Why has it become extremely incentivising to build petrol stations around people's homes and schools? I know you have guidelines but if anything happened to that fuel station, what would happen to the human habitat immediately surrounding it?' Ariko asked. Hon. Fredrick Angura (NRM, Tororo South County) asked NEMA to clarify on its participation in the declaration of the country as a planning area. According to the Physical Planning Act, 2010, the whole of Uganda was declared as a planning area requiring development in any part of the country to only take place in conformity with plan uses prescribed in structure and detail plans. 'That declaration means that we should get organised in terms of housing and projects that we are putting on the ground. Following problems like flooding in Kampala, what is NEMA's input in this declaration?' Angura wondered. Kumi District Woman Representative, Hon. Christine Apolot urged NEMA to have follow-up mechanisms to ensure its work is effective. 'A few years back, we had the Eureka Project in Kumi but if you visit the district now, you cannot see the impact of this project yet it would contribute a lot in regards to climate change,' Apolot said. Barirega said government has set up an inter-agency committee to look into the matter of fuel stations built around residential areas. 'Standards were developed and the State Minister for Lands in charge of Urban Planning issued them. They are stringent but will apply going forward; they cannot address the already established fuel stations,' he said. Distributed by APO Group on behalf of Parliament of the Republic of Uganda.
