The Government of Uganda has signed a Joint Development Agreement with Industrial Promotion Services Kenya Limited (IPS) and Westgass Internasjonal AS (Norway) for a green hydrogen-based fertilizer plant.
The plant will be strategically located at Karuma, Kiryandongo District, within the Bunyoro sub-region, to leverage its proximity to the 600 MW Karuma Hydro-power Plant.
The Minister of Energy and Mineral Development (MEMD), Dr. Ruth Nankabirwa Ssentamu, signed on behalf of the government, committing a minimum 100 MW supply from Karuma HPP to develop this innovative project.
The project, facilitated by the Presidential Advisory Committee on Exports and Industrial Development (PACEID), aims to boost domestic fertilizer production, improve food security, and create economic opportunities for farmers.
“Uganda is embracing green technology to transform its agricultural sector and become a regional sustainability leader,” Dr. Nankabirwa said.
“This project will not only reduce dependency on imported fertilizers and empower farmers but also catalyze Uganda’s green hydrogen economy, fostering innovation in mobility, power generation, oxygen production, and other key sectors,” Nankabirwa added.
The Norwegian Ambassador to Uganda, Anne Kristin Hermansen, said, “With substantial investment from Norfund, Norad, and Westgass Internasjonal AS, this project is a good example of how Norwegian public and private financing come together to fund bankable and sustainable projects that will have a long-lasting impact on Uganda’s economy.
“This investment aligns with our government’s priorities of improving Uganda’s food security while utilizing the country’s renewable energy resources,” Hermansen added.
This collaborative effort envisions a future of resilient, sustainable agriculture with lasting benefits for Ugandan farmers and the economy. It demonstrates the Ugandan government’s strong commitment to import substitution and enhanced food security.
IPS, serving as the infrastructure and industrial development arm of the Aga Khan Fund for Economic Development (AKFED), part of the Aga Khan Development Network (AKDN), will lead the project alongside Westgass Internasjonal AS, a Norwegian green energy specialist.
