Kiira Motors Corporation – Prime Time Communications

Out to Lunch

#OutToLunch: Incentives could further switch on West Nile for investment

#OutToLunch: Incentives could further switch on West Nile for investment By Denis Jjuuko On my first visit to Arua in West Nile, many years ago, my colleagues and I decided to unwind by visiting a nightclub or something similar to it. We were young and free. We had made the long trip from Kampala, rested a bit and decided to indulge in the night, enjoy some Lingala and whatever a bustling border town has got to offer. I had seen a huge electricity generator station by the roadside, a few minutes to Arua town but hadn’t paid much attention to it. I had also not done much research about the city’s night life. It was one of those days you jump into a car, drive to a town, get some accommodation and you are ready to go. A journey to discover the unknown. Some people call it adventure. In the nightclub, I noticed something strange. As a self-confessed nocturnal at the time, I had been a ‘happening’ boy by some lousy standards. I had also worked in journalism and the entertainment sector had been part of my beat. At university, I had enjoyed the exuberance of youth through clubbing. Nightclubs, therefore, were not strange to me. In Arua, at that nightclub, everyone had a torch. If you are considered old in Uganda, you remember the silver metallic ones with a red button on the side. Those were for the sophisticated ones. Those who lacked means had plastic ones. The only revelers who didn’t have either a plastic or silver metallic torch, were my colleagues and I. The majority of the people pulling all dance strokes on Lingala music were partly ‘giving us the eye.’ Like in most places, you could tell that people realize you are a foreigner. You don’t understand the rules. I became more cautious and decided not to indulge much and be more of a casual observer, with one eye on the exit door. Sooner than later, I realized why everyone who knew Arua well had a torch. At the peak of people’s enjoyment, electricity was switched off. The entire town went dark and quieter than a cemetery! Again, if you are considered old in Uganda, loadshedding is not something new to you. Electricity was always shared. If you had power today, you didn’t have it tomorrow. Rationing. But loadshedding in most parts of Uganda at the time meant power was switched off in the early evening around 6.00pm and switched back on around 10.00pm. In Arua, power was being switched off after 10.00pm. Strange loadshedding. Once power went off, the nightclub didn’t have a generator powerful enough to enable the rotating multicolor disco lights to be switched on. The nightclub’s standby generator was only big enough to power the sound system. That is why the revelers had torches. They switched them on. Some pressed the red button on the switches which made the torches provide a blinkering light. Others tied them on their waists. As they pulled those rare dancing strokes that are synonymous with Congolese across the border, they provided a spectacular experience akin to that of customized dazzling disco lights. What a spectacle! The ingenuity of the West Nilers. I have made hundreds of trips to Arua since that night and definitely power had become a bit reliable. But it is only the other week that West Nile was switched to the national electricity grid. It is a remarkable achievement or a shame that it has taken this long depending on how you look at it. The region has unbelievable potential given its location at the borders of both the Democratic Republic of Congo (DRC) and South Sudan, some of Uganda’s biggest trading partners. Both countries are expansive and a big chunk of their populations rely on cities like Arua as the source of their goods and services. I learnt that some of those guys who were rivaling Congolese dancers in that nightclub were actually Congolese who cross the border to enjoy life. Anyway, both countries also suffer regular insecurity which means investors will always keep away apart from those exploiting the countries’ massive natural resources. But the investors could not set up businesses such as factories in Arua, to supply West Nile, DRC and South Sudan and beyond. They would rather set up in Kampala or Jinja where electricity was not such a big challenge. Yet if they set up in West Nile, they would be nearer to the market. Lack of electricity was always the challenge. Now that the problem is sorted, West Nile’s potential should now be fully exploited. West Nile is also very diverse with many different cultures, which can be a bedrock for non-animalized tourism. Even the alleged world’s smallest church is in West Nile! Nang Nang, perhaps the world’s tastiest fish is available in basketfuls. The River Nile cuts through the region, providing near perfect locations for riverside resorts and water sports. Land is still relatively affordable and fertile and some of the major towns are being connected by bituminous standard roads. Small planes can land in Arua. For those who love animals, Murchison National Park is partly in the region. Affordable trainable labour is in abundance. Electricity also means companies like Kiira Motors can now set up shop for electric buses. Or investors can think of electric vehicle chargers. An electric bus trip from Kampala to Arua would cut the cost by more than 50%. Major urban centres like Arua being border towns have populations with some bit of disposable income. But investors will need to be mobilized and incentivized so that they can set up shop. For those responsible for the country’s development, their work is now well cut out. Those selling torches, if they still existed, will have to pivot. The writer is a communication and visibility consultant. djjuuko@gmail.com

October 21, 2024

News

Kiira Motors Announces Uganda’s First e-Mobility Expo

PRESS STATEMENT Kiira Motors Announces Uganda’s First e-Mobility Expo 31st July 2024 – Kiira Motors Corporation (KMC) has today announced Uganda’s first e-Mobility Expo and Kiira Vehicle Plant (KVP Open House– which is taking place on Friday 16th August 2024 at the Kiira Vehicle Plant in Jinja from 12:00 pm to 10:00 pm. Held under the theme The Future is Green; The Future is Now, the first-of-its-kind event is designed to explore, showcase, and encourage the adoption of electric mobility solutions in Uganda. The Kiira Vehicle Open House and e-Mobility Expo 2024 will gather over 200 industry leaders, potential customer, suppliers, policymakers, investors, innovators, and the public to discuss Uganda’s readiness to adapt to the e-mobility revolution – all towards positioning the nation as a net source of e-mobility solutions in Africa. During a media roundtable held on the all-electric city bus the Kayoola EVS Model 2024, Mr. Paul Isaac Musasizi, the Chief Executive Officer of Kiira Motors Corporation, said, “This expo marks a significant milestone in Uganda’s journey towards embracing electric mobility which offers immense potential for reducing the nation’s carbon footprint and creating new economic opportunities while fostering innovation. We are proud to host this inaugural event and showcase the innovations that will shape the future of mobility in our country.” The expo will feature a series of fireside conversations drawing content experts in the fields of e-financing, carbon trading, energy and e-mobility infrastructure development, and more. Uganda in the recently concluded census recorded a population of 45.9 million people. Thanks to increased urbanisation, the mobility needs of this population have resulted in vehicular emissions which are the leading cause of Kampala’s increased air pollution readings from a dangerous annual averaging at 39.5 micrograms of pollutant matter in each cubic metre in 2019 increasing to 41 micrograms per cubic metre in 2024. This is eight times higher than the 5 micrograms per cubic meter that the World Health Organization defines as the safe limit for air pollution- negatively affecting the health and well-being of citizens epically in the urban centres making the case for e-mobility solutions which also serve to improve the national energy equation considering that with fossil fuels today we import both the energy ~ USD 2Bn annually and the vehicles ~ USD 730 M annually. Allan Muhumuza, the Team Leader of the Mobility Bureau in the Secretariat of Science and Technology in the Office of the President, said, “With a vision to see Uganda transition to e-mobility in public mass transport, motorcycles, and passenger vehicles, the Government is implementing the National e-Mobility Strategy – which looks to build an efficient and self-sustaining ecosystem. This event is a bold step towards further bringing together all the relevant players towards seeing this vision come to life to combat climate change and enhance the quality of life for our citizens.” The expo will draw exhibitors with a wide range of products and services including Innovex, Nexus Green, Green Hub, Karaa, KaCyber Securities Ltd., GoGo and many more. The Open House provides an opportunity to participants tour the state-of-the-art Kiira Vehicle Plant. The Kiira Vehicle Plant has an installed capacity of 2,500 vehicles per annum. This will be tooled up to 5,000 vehicles per annum in the medium term positioning Uganda as a net source of Mobility Solutions in Africa. ENDS

July 31, 2024

Automotive Industry

Kiira Motors unveils the 2024 8-Meter Kayoola EVS Model

6th June 2024 – Kiira Motors Corporation today delivered a batch of eight (8) 8-Meter Kayoola EVS buses produced at Luweero Industries Limited in Nakasongola to the Kiira Vehicle Plant in Jinja, bringing the total stock of Electric Buses produced in Uganda to fifteen (15). This has signalled Kiira Motors’ readiness for delivering bespoke electric mass transit solutions for the African market. The 2024 8-Meter Kayoola EVS is a fully electric city bus with a nominal range of 200 kilometres on a full charger and capacity of 56 passengers. It forms the latest offering from Kiira Motors’ rich portfolio of state-of-the-art Ugandan-made buses. The bus is built to offer the utmost comfort and convenience with features like infotainment systems, CCTV cameras, E-Ticketing & Cashless Payment Systems, Wi-Fi, inclusive design for the elderly and persons with disabilities, USB charging, ample carrying capacity, and the highest quality and safety standards. The convoy of 8 buses caused a stir as they weaved through traffic from Luwero to Kawempe, across the Northern Bypass for a brief stopover at the Kisaasi roundabout before proceeding to Bweyogerere and finally to Jinja covering a distance of 236 kilometres. Hon. Prof. Sandy Stevens Tickodri-Togboa, Kiira Motors’ Executive Chairman, said, “Uganda’s push towards becoming a net source of e-Mobility Solutions in Africa is steadily getting closer and we are proud to be contributing to this agenda. This progress has been made possible by the strategic partnership we have fostered with National Enterprise Corporation and its Luwero Industries Limited subsidiary.” He added that following World Environment Day – which is celebrated internationally on the 5th of June every year – and with the knowledge that Kampala’s air is nine times more polluted than the World Health Organisation (WHO)’s recommended limit[1] – more Ugandan public and private sector players need to embrace environmentally sustainable means of mass transit for the good of the environment with solutions that offer quality and value for money like the Kiira Motors portfolio of products. The company is also looking to mainstream the deployment and distribution of its fast-charging infrastructure to cater to its customers and other Ugandans who have embraced the electric vehicle transition. Eng. Ian John Kavuma, Kiira Motors’ Quality Inspection and Testing Manager added, “We are in the process of onboarding several partners with whom we shall work to ensure that a robust charging network is established across the country in line with the National E-Mobility Strategy for a seamless electric vehicle ownership experience.” Kiira Motors offers fast-chargers ranging between 60kW and 360kW. The 2024 Kayoola EVS comes in the following variations: 18-meter EV with capacity of 120 passengers; 12-meter EVS with capacity of 90 passengers; 10-meter EVS with capacity of 70 passengers, and 8-meter EVS with capacity of 56 passengers. ENDS For orders, go to: https://bit.ly/kmcproducts For any inquiries, send an email to: sales@kiiramotors.com | info@kiiramotors.com [1] https://globalpressjournal.com/africa/uganda/trouble-breathing-kampala-quite-likely-air/

June 7, 2024

Out to Lunch

OutToLunch: Electric mobility as a new year business option

By Denis Jjuuko One of the most trending videos last year was of a bus driver recorded having a meal while driving. He wasn’t snacking, picking on a crisp or something. He had his plate full from which he would pick some African food while driving. At one stage, he even sipped some soup direct from the plate. On seeing the video, police as usual reacted and had him arrested. Another driver was recorded WhatsApping while driving a busload of passengers. One would expect that bus drivers pay the utmost attention given the number of people on board. In most cases, they are the worst. They drive at high speeds beyond the 80kph that they emboss at the back of their buses, overtake in blind spots, or simply overtake and other road users must find their way or else a head on collusion. They install train horns in their vehicles that they sound with reckless abandon. They don’t care if they make you deaf in the process, as long as they have sounded the horn as if their lives entirely depend on it. Most times, the buses are rickety with broken centre bolts that make it impossible to move in a straight line. If you want to see impunity on the road, follow a bus on a highway. One of the major reasons they drive that way is because many haven’t received proper bus driving training. They are easily moved from lorries or even taxis to buses. Some start as cargo loaders and along the way start learning to drive. In a few years, they are bus drivers. Most bus drivers are paid per a trip so drivers consider sitting down for a meal or driving at the recommended kilometre per hour a wastage of time. The more trips they make, the more money they earn in a day, week or month. The more money a bus owner makes. I have though never understood why a businessman would spend Shs700 million or more on a bus and then hand it to the most incompetent driver ever or one who wouldn’t care about how the bus is driven. If bus owners don’t value human life, at least they should look at their investments. Many of these buses don’t have comprehensive insurance so once they are involved in an accident, that is the end of it. No compensation. That could explain why many bus companies struggle to stay in business for decades. So, I was impressed on a recent visit to Nakasongola where I met bus drivers undergoing skilling by Kiira Motors. Even though the program being implemented by Kiira is updating drivers with the skills they need to drive electric buses, it is also focusing on customer care and experience, traffic rules and regulations, routine service maintenance and repair as well as handling and operation of equipment including electric charging. If they can skill a big pool of bus drivers including those who drive internal combustion engine buses, the better for the country. Passengers eventually won’t be driven from one part of Uganda to another like bales of used clothing. But this work can’t be left to one entity and its parent ministry. Bus and taxi drivers must be equipped with regular skills they need to do a job that puts the lives of the passengers and other road users first. Not just thinking of how many trips they can make a day. Bus owners must be aligned to this necessity as well. Of course, it isn’t just bus and taxi drivers that require refresher driving courses. Many ‘my cars’ drive recklessly and don’t even know basic traffic rules and regulations. Once they have made some money, they buy a car and next day, they are driving for Christmas to the village to show it off to their relatives. Many arrive by sheer luck. Beyond the case for driving, last year saw an increase in the number of electric vehicles in Uganda albeit with nearly all of them in Kampala. Some corporate bodies, NGOs and diplomatic missions accredited to Uganda started electrifying their fleets. This heralds a new era of electric mobility. Sooner than later, there will be lots of electric vehicles without the skills to drive and maintain them. The opportunities for electric vehicles are massive and there is a lot for the private sector to play. We shouldn’t just wait when the vehicles are all over the city and then try to catch up. It isn’t just cars by the way. Some entrepreneurs have been converting boda bodas from petrol engines to rechargeable batteries. Since there are more boda bodas than cars in Uganda, that sector also has a lot of potential—from charging infrastructure, skilling, to maintenance. If you are reflecting on what to do in the new year, electric mobility is one option. The writer is a communication and visibility consultant. djjuuko@gmail.com

January 10, 2024

Automotive Industry

Uganda to launch three-wheeler vehicle with irrigation and electricity generation capabilities

Farmers and rural households are set to benefit from a new three-wheeler motor vehicle on the market that enables them to transport their goods, pump water and generate electricity. President Yoweri Museveni is set to launch the trike during celebrations to mark Uganda’s 61st independence on 9 October in Kitgum District. The trike, named Bingwa, Swahili for champion, is a product of a group of self-trained innovators from the informal sectorled by Rogers Mubiru under their company Kevoton Motions Engineering Ltd. The engine casting was made at the John Lugendo Foundry in Kibuye in Kampala. Bingwa is powered by a 0.8 litre 2-stroke engine with a potentially higher power-to-weight ratio compared to traditional 4-stroke engines making it fuel efficient and easy to maneuver. This was revealed by Hon Dr Monica Musenero, the Minister for Science, Technology and Innovation (STI) in the Office of the President during a flag off ceremony held at the Kiira Motors Vehicle Plant in Jinja where the trike was built. Bingwa, the three-wheeler commonly known as Tuk-Tuk can transport 1,000kg of goods, pump 6,000 litres of water per hour for irrigation and generate 6kW of electricity every hour, thereby solving some of the farmers and rural households’ most immediate challenges. The STI Secretariat under the Office of the President provided a grant to Kevoton Motions through the National Research and Innovation Program (Innovation Fund) for the domestic manufacture of a 3-in-1 trike for mobility, water pumping and electricity generation. Kiira Motors incubated and supported Kevoton Motions to bring their idea to life. The Bingwa trike is relatively affordable for smallholder farmers while equipped with technologies that solve their most immediate challenges — transport, water, and electricity. In Uganda, 90% of the population lives in rural areas while 80% of the households are involved in agriculture according to the Uganda National Population and Housing Census of 2014. However, only 2.9% of the households use irrigation on at least one plot for the first season and 2.4% for the second season. Just 19% of households are estimated to have access to electricity for lighting on the backdrop of an electricity distribution access of 51%. A solution that addresses the household’s challenges is critical in fostering economic development. “Mobility is a fundamental component for rural development, connecting people to opportunities, services and resources necessary for their well-being and economic progress,” says Hon Dr Musenero. “Electricity plays a transformative role in rural agrarian communities by boosting agricultural productivity, improving living conditions, enhancing education and healthcare and enabling economic diversification,” Hon Dr Musenero adds. Dr Musenero committed her support to innovators. “We are behind schedule in terms of innovations and we must therefore work hard to catch up with other continents. My ministry will continue to provide the needed support to innovators to come up with such products,” she said. She further says that irrigation is crucial in ensuring consistent water supply for crops to improve yields and enhance food security. All these three functions (mobility, electricity and irrigation) are key components that the Bingwa trike can be able to execute. The Bingwa trike can lead to rural transformation if it is integrated into the Parish Development Model or other government programs. “We got the idea of developing this engine in 1998 because we didn’t have a product that we could call ours as a country at the time. After attending an exhibition, we started working with Makerere University because of our innovativeness and eventually Kiira Motors under the STI Secretariat that has led to the production of the Bingwa Trike,” says Rogers Mubiru, Founder and Director at Kevoton Motions Engineering Ltd. “We hope that this development will lead to an offtake of 600 units which can be deployed in different sub-counties across the country to enable households improve their livelihood,” Mubiru says. The flag off to Kitgum where Bingwa will be officially launched was also attended by Hon Denis Onekalit Amere, the Member of Parliament for Kitgum Municipality who pledged his support to sustainable products. “Bingwa will solve challenges of our people across the country who are predominantly farmers and live in rural areas,” he said. “This is a welcome innovation but we need to ensure that Mubiru and others innovators like him get the support they need so that our country industrializes thereby creating jobs for our people,” he added. Allan Muhumuza, Mobility Team Leader at the STI Secretariat says that the success of the project has enabled the government to validate an incubation model where a budding innovator, especially in the informal sector is placed under the mentorship of an anchor enterprise like Kiira Motors. “This enables us to transfer skills, utilize existing infrastructure, create institutional capacity and foster synergies towards industrialization,” he explains. Most of the parts used to make the Bingwa Trike are made locally and many can be made by independent suppliers in the automotive industry value chain thereby making the case for localization and value addition of products. The support from the STI, which commenced in August 2022 has led to the Bingwa trike being made with 55% local content, according to Albert Akovuku, the Director of Production at Kiira Motors. “The key parts which have been locally made are the engine, the chassis, the frame and the body panels,” Akovuku reveals. “Specifically, 70 out of 128 parts have been made locally. Mass production will be at the Kiira Vehicle Plant in Jinja with initial capacity of 1,000 units per a year growing to 4,000 per a year in the medium term,” he adds. Realizing the potential of the project, the Uganda Development Bank (UDB) has offered project preparation funding amounting to USD250,000 (approximately Shs900 million) to facilitate the development of the project business plan and production readiness. The Bingwa trike will cost Shs28 million, lower than what one would spend if they were to buy an ordinary tuk-tuk, water pump, and a power generator. The Bingwa Trike uses diesel. With an estimated total addressable market of 100,000 trikes in Uganda in

October 4, 2023

Out to Lunch

#OutToLunch Road toll technology can halve accidents on our roads

Road toll technology can halve accidents on our roads By Denis Jjuuko On many of our roads in Uganda, it is not uncommon to find a vehicle moving at high speed in the evening or early morning with lights off. Lights don’t consume any fuel or batteries (for electric vehicles) when a car is in motion but many Ugandan drivers delay as much as possible to switch them on. Then, many others switch off the lights as soon as they think they can see a bit of the road in the early morning. When it’s dark enough that they can’t see, many beam their headlights high enough to blind oncoming motorists. Yet many others have one headlight, giving an impression of a motorcycle to other road users. Many others don’t even have taillights at all making themselves invisible to others. Other times you find a tractor or truck using a torch at night. It is such negligence that has led to many international organizations to ban their staff from traveling at night. But accidents don’t happen only at night. Police attributes many of these accidents to reckless driving. During the festive season, like we have just seen, many people die in road accidents causing nightmares for families and loved ones. Nearly 4,000 people die every year in road accidents in Uganda — a number bigger than the deaths attributed to Covid-19 but we don’t put the same emphasis on roads as we do with other some other health issues. Although road accidents can’t be entirely eliminated, many can be avoided. As a country, we need a serious discussion on this. Halving road accident deaths and injuries is one of the Social Development Goals (SDGs) as detailed by the United Nations. But what are we doing to reach this target by 2030? We need to train our drivers and ensure that they are competent. This would require changing the way drivers’ licenses are issued by ensuring that people have requisite training to drive. The current model where someone gets a very old car and then starts teaching others to drive needs to be reconsidered. The mechanical condition of vehicles is another important issue. One, we need to stop the importation of very old cars. We can start by only importing vehicles that are eight years or newer. The government can slash import duty to ensure more people can afford these vehicles and this should include commercial vehicles especially trucks. Trucks can also be made here. During the festive season, news trickled in that the government had acquired more than 1,300 acres in Bbaale in Kayuga to establish an automotive industrial park. The Kayunga District Local Government has also promptly approved the physical plan paving way for the development of the park. However, we shouldn’t follow the Namanve model where we just allocate land and wait for investors. The automotive industry is highly competitive and requires significant resources. So the government can do more to lower the cost of entry for investors. What government needs to do is to establish the necessary infrastructure in Bbaale such as bitumen standard roads, high voltage electricity (Isimba Dam is nearby so transmission and distribution shouldn’t be difficult), piped water (again River Nile and Lake Kyoga are in the vicinity), high speed internet, security and even start up facilities such as warehouses and recreation facilities. A ring road covering the two square mile piece of land could be used as a test track and may be even establish some car racing of sorts at one stage. I know that Kiira Motors is already building testing facilities in Jinja for their vehicles but Kayunga can be another centre. The inspector of vehicles within the Uganda police can establish a proper high-tech branch where each car is tested either annually or once every two years. Only vehicles that pass the test should be allowed on the road. Some of the money vehicle owners pay should be used to set up road toll-like systems on all the major highways that detect whether a vehicle has been tested and passed the test or not. UNRA can use the experience on the Entebbe Expressway (albeit with better technology) to handle this in partnership with private sector players. The Uganda Investment Authority, the Science, Technology and Innovation secretariat among other government ministries, departments and agencies need to aggressively attract the right investors. Not all investors need to be car makers because that is not how the industry works. Some can make brake pads, others nuts and bolts, automotive steel, car lights and glass (we have a lot of silica in Uganda), and plastics among others. If we worked hard and smart, we can achieve the SDG target of halving road accident deaths and injuries by 2030. The writer is a communication and visibility consultant. djjuuko@gmail.com

April 14, 2023

Out to Lunch

#OutToLunch Protecting electricity infrastructure is a national security issue

#OutToLunch Protecting electricity infrastructure is a national security issue By Denis Jjuuko A friend always prefers to support small businesses in his neighborhood near Kampala. He shops from the small shops and kiosks. Many times, he patronizes the small bar near his home. When a somewhat modern salon opened up in his neighborhood, he ditched the guys who had cut his hair for more than 10 years. So recently, as they were cutting his hair, electricity like it is becoming a norm these days, went off. He remained in his reclining chair for a while thinking that they are going to switch to a generator. He saw the barber unbothered and busy on his phone. When asked what was going on, the barber said they were waiting for the electricity to ‘return’ so they could continue working on him. The generator, the barber told him, had ‘died’ and the boss hadn’t repaired or replaced it. My friend has decided, in the meantime, to return to the barber he had abandoned in the name of supporting neighborhood small businesses. That is one loyal customer lost. His animated narration of this episode reminded me of the 1990s and noughties when load shedding in urban areas was the order of the day. The issue at the time was lack of electricity. We didn’t generate that much yet the demand was growing. The government and indeed the private sector spared no effort in addressing this challenge, investing significantly to generate 1,346 megawatts by 2021 according to the Electricity Regulatory Authority (ERA). And that is before Karuma with an estimated 600MW comes on line. Some sources say that of the 1,346MW we generate, the country only takes 800MW so electricity at the moment shouldn’t be a problem but it is. Of recent, we have seen increased vandalism of the towers through which bulk electricity is supplied to stations from which it further reaches the final consumer. The now consistent loadshedding or power failure isn’t blamed on insufficient electricity but vandalism of these high voltage lines. Small businesses are now not sure whether they will keep customers. Costs of running generators are so high. A small salon will need to invest in buying a generator and then fuel. The salon my friend was going to charged Shs8,000 for his haircut. If they run a generator for 30 minutes to cut his hair, how much money will they make off his head to be able to pay workers, rent and all the stuff required to run his operation? It won’t be much and if many people are running away from him, he will simply close. The few young people he employs will be back on the unemployment street. The municipality will miss revenue in form of a trading license, the property owner will lose a customer and eventually Uganda won’t be making money in form of taxes. The economy already strained by runaway inflation and effects of Covid-19 and Ebola pandemics will simply not be able to survive. Investors who want to set up large businesses that could employ many people will think twice as they keep an eye on their operation costs. If a business owner is going to operate a 100kva generator a few times a week, he may think of investing elsewhere so he doesn’t have to incur excessive costs in running his business. Uganda has put a lot of emphasis in kickstarting its automotive industry, a sector that is now in transition to electric vehicles. Electric vehicles use batteries which are charged by electricity. Some countries in Europe have even provided roadmaps to phase out internal combustion engine vehicles. In Kampala, boda bodas are increasingly switching to electric motorcycles. Already, electric buses are providing public services on the Kampala Northern Bypass and Uganda Airlines has electric buses too just like many hotels which are using electric golf carts in their operations. Kiira Motors’ vehicle plant in Jinja is nearing completion and installation of assembly lines is said to commence soon. Unreliable power distribution will push back these small achievements. Protecting our electricity supply and distribution lines can’t be the sole responsibility of the Ministry of Energy and Mineral Development. Protecting these installations should now be considered a national security issue. Our intelligence services need to show what they are made of by ensuring that they stop the people vandalizing high voltage lines before they even get near to the electric towers and poles. The writer is a communication and visibility consultant. djjuuko@gmail.com

January 10, 2023

Out to Lunch

#OutToLunch Training bus drivers as a business opportunity

#OutToLunch Training bus drivers as a business opportunity By Denis Jjuuko Sometime back, while on a trip to northern Uganda, in a vehicle that belongs to some agency, I noticed that the driver waved at each bus we found along the way. Midway the journey, we stopped for a break to refill our coffee cups and such other things. We found many buses at the place we stopped. My driver, I will call him my driver, went to greet all the bus drivers that were parked there. He seemed excited to see them and they were also happy to greet him as they embraced and had animated conversations. When we resumed the journey, I asked him how he knew all these bus drivers. He told me he started out as a conductor in a taxi that was owned by his elder brother. His brother was the driver. Eventually, his brother bought another taxi. By this time, my driver had learnt how to drive and started driving one of the taxis. After buying several taxis, he got an opportunity to buy a used bus that plied some routes between some major towns in northern Uganda. This growth was financed by him selling the taxis so my driver became a conductor again. But my driver’s brother always wanted to play big and his dream was to ply the Kampala route. He eventually bought a newer bus that would allow him to live his dream. After one bus, he bought another one. My driver became a bus driver as well plying the Kampala route. Today, my driver’s brother company has several buses hence the excitement he always had whenever he saw one of the buses. His brother of course stopped driving buses to concentrate on management, acquisition of buses and the expansion of his company. By this time, I had one burning question. Why did he leave his brother to get a job in an agency in Kampala? He said he was being paid per a trip to Kampala. He would earn Shs100,000 per a trip. If he made a return trip, he would earn Shs200,000. So, making more trips came at the expense of his wellbeing. He had no leave days; he had no weekend. If he had decided to take a day off, and another driver was sick, he would be called in. To make ends meet, he wasn’t resting enough. As he became older, he could no longer make many trips a month. He started looking for a much more stable job that allowed him recuperation time and landed one in the agency as a driver. I asked him why many buses are driven badly, he said many drivers want to make return journeys so that they are paid double in a day so they tend to move faster. So they disable speed governors, but where they can’t, they put the car in neutral gear during downhill and the bus just moves freely at an unbelievable speed. He also told me that the most important skill a bus driver must have is anticipation — euphemism for the ability to judge that you can take a corner or overtake without braking. Buses, he told me, don’t break like small cars and because they are big, you can’t simply swing it as you wish in case you realized a problem ahead. So to “anticipate” what lies ahead is key, he said. Anticipation is a recipe for disaster and one of the reasons for many accidents because one can’t always tell what lies ahead. I must confess that I don’t know whether that is the case with all bus drivers but ever since my driver told me that, I have noticed that is how many bus drivers behave on the road. It points to a lack of bus driver training. My driver never told me that he had been to any school that taught him how to drive a bus. He simply graduated from a taxi to a bus driver. So, where do bus drivers train? I don’t know of any school that offers bus drivers training but I might be wrong. Many companies that sell buses, do some orientation of bus drivers especially when some new technology has been introduced. Indeed, some even have simulators but many times, guys who have just been driving taxis and lorries are simply graduated to bus driving. Isn’t this a business opportunity? A track can easily be built and simulators installed in Kayunga where Kiira Motors plans to establish an automotive industrial park. I believe they are open to this kind of collaboration. Government can give the right incentives for the interested qualified investor. Also, Uganda can ban buses built on lorry chassis. Buses as built as buses today have technology that doesn’t allow the roofs to curve in during accidents and have other safety measures meant for protecting passengers. Unlike buses built on lorry chassis. A bus costs on average USD150,000 (approximately Shs530 million) so why don’t bus owners think about this cost by providing better employment terms for their drivers? A bus can have a flat bed at the back where one of the drivers can sleep and half the way the journey, another driver having rested enough can complete the journey. This is the case in many countries. Bus owners can use that as a start but also ensure that their most prized asset isn’t driven by guys devoid of sleep. The writer is a communication and visibility consultant. djjuuko@gmail.com *The Kayoola Coach by Kiira Motors

October 21, 2022

Out to Lunch

#OutToLunch KCCA’s golden opportunity to create a taxi park free city

#OutToLunch KCCA’s golden opportunity to create a taxi park free city By Denis Jjuuko Kampala has two main taxi parks — the old one and the new one. They are just a few metres apart in downtown Kampala. Many taxis start their journeys from there either to Kampala’s expanding suburbs or to upcountry. But there are also many that start their journeys on stages in different parts of Kampala. Others simply keep moving picking passengers along the way. Both taxi parks can actually be a tourist attraction — if anyone can market congestion. Some people who own some plots of land where one of the taxi parks is located are demanding compensation of more than Shs300 billion without which taxis must find another place to park and wait for customers. However, the expansion of Kampala has created some additional small taxi parks in places like Nakawa and Nateete. When taxi parks were first created, they could have made a lot of sense. The two taxi parks sandwiched a bus park. Buses would bring in people from upcountry and the 14 seat taxis would pick them to their final destination in the suburbs. Eventually, those who didn’t want to wait for too long for buses to fill opted for the 14 seat taxis or the 5-seat Peugeot 504 for those going to Masaka. The bus park in Kampala is no longer centralized. There are a few bus parks from different locations still not far from downtown Kampala but not as close they originally were to both the new and old taxi park. Actually, one like Namayuba is a distance from the old taxi park. So do we still need to spend more than Shs300 billion to pay off landlords to have a taxi park in downtown Kampala? There are many options that the Kampala Capital City Authority (KCCA) could do with their Shs300 billion kitty. It could decide to work on roads – replace aging paved roads, expanding others, build new ones or install traffic lights in some. Kampala residents give their land free of charge for KCCA to build roads thereby reducing the cost of building new roads. So with Shs300 billion, KCCA can build a minimum of 120 kilometres of bitumen standard roads in Kampala. I shudder to imagine what Kampala would look like if in one or two years, 120km of roads were constructed. Kampala is such a small city so this would be massive. By just constructing new roads or maintaining others, small and medium enterprises would be set up employing many people. KCCA would make more money in trading licenses and property taxes. The economy would significantly grow. The construction of these roads alone would increase revenues of the contractors but most importantly a good number of people would get jobs. The Uganda Revenue Authority would collect more taxes. Many countries fix infrastructure to create new jobs and grow their economies. But also by actually not having taxi parks in the city and promote the replacement of 14 seat taxis with buses that carry at least 90 people would reduce the congestion in Kampala. Politicians need to stop fearing to replace taxis. Taxi owners can actually afford buses. Many of these owners own a few taxis which if they are sold, they can afford buses. Taxi owners and operators have saccos that have billions of money which they can use to buy buses. The government owns the majority shares in Kiira Motors so they can work with organized taxi associations and transport companies to get buses on favourable terms. The government can easily discount Kiira’s buses so these people can own the buses. Also, imagine if KCCA instead of paying off landlords they went and deposited this money for buses and tasked those who want to get buses to pick them and pay back in a few years with a little interest? They could partner with a bank to manage this buses-for-Kampala-fund. The other alternative for KCCA would be to use this money to create bus lanes in some parts of Kampala. You can easily stop people from driving into Kampala by turning parking lanes on the roads into bus lanes. Many of us would gladly leave our cars somewhere and jump into faster buses to the city. Like we have seen with bus parks that are private, business people can set up taxi parks if they wanted. So let us do the right thing and end the existence of taxi parks in Kampala and solve the congestion in the city. The writer is a communication and visibility consultant. djjuuko@gmail.com

March 14, 2022

Out to Lunch

#OutToLunch Rising fuel prices can be countered by electric vehicles

#OutToLunch Rising fuel prices can be countered by electric vehicles By Denis Jjuuko Fuel is the most common word on people’s lips especially in urban areas where motorized transport is the most used form of movement. Rural areas aren’t spared though. Moving produce to urban areas must be a challenge. Usually, trucks that bring produce to the urban areas return with essentials to the rural areas. Life must be tough everywhere.Some fuel stations in Hoima were said to have sold a litre of petrol at more than Shs10,000. I think this is the first time since the 2007 elections in Kenya where supply lines to Uganda were cut off due to the post-election violence that erupted that fuel has cost as much as or more than Shs10,000 a litre. This time though, the result isn’t a violence after an election rather our approach to testing drivers for COVID-19. Truck drivers went on strike than paying what they considered exorbitant rates.In Kampala this week, in the areas where I live, a litre of petrol is going for Shs5,000 and some didn’t even have. At some stations, people end up buying a litre of the premium types at Shs5,190 or more. Some organisations have advised their employees to work from home given the increasing cost of transport. Although the increment in prices has been solely blamed at the strike by drivers, fuel prices have been on the rise steadily climbing towards the Shs5,000 per a litre mark. I believe regardless of the strike, a litre of petrol will be selling at more than Shs5,000 before the end of 2022. Of the 6.5 million litres of fuel sold in Uganda every day, the majority of it is used in vehicles. This makes everything in the country expensive.Yet there are some solutions that can help address this challenge. Electrified transport especially in urban areas can lower the cost of doing business. This would call for the deployment of electric buses in the city. You need less than Shs50,000 to charge a bus for 300km. The cost of running a diesel bus covering the same distance in an urban area like Kampala is almost three times more than an electric one. Operators of public transport would actually make more money if they went electric. I have listened to testimonies by Kampala boda bodas who are switching to fully electric motorcycles. They say they make Shs11,000 more every day using electric motorcycles than when they used to operate ordinary motorcycles. That is when there isn’t even a single incentive from government to use cleaner cheaper motorcycles. Imagine if there were some incentives! How many public transport operators would be using electric vehicles?If enough reliable public buses were deployed in greater Kampala, many of us would abandon our private vehicles as they are costly to operate. Also, most private vehicles carry on average two people and are parked for the greater part of the day. Lack of parking in Kampala is another issue buses would solve. These buses as we have already seen with Kiira Motors can be locally built thereby not only solving the country’s transport nightmare in urban areas but also creating millions of jobs. Besides public transport, the government should offer incentives for people to buy electric and hybrid vehicles. Such incentives should be in lower import duty and other taxes so that we import less internal combustion vehicles that not only increase the cost of doing business but also destroy the environment. Not so long ago, Kampala was listed among the most polluted cities in the world. This is a result of our reliance on extremely old vehicles in a congested city.Incentives for charging infrastructure would then also be provided such as tax rebates for fuel stations, hotels, and shopping malls that install car chargers. More incentives can be provided for school shuttles and companies that transport students and workers respectively in electric buses. Companies can be encouraged to use electric vehicles for their city movement as well. The government can do the same for vehicles that are mainly used for city movement.The Ministry of Energy and Mineral Development would then introduce an electric vehicle tariff similar to the newly introduced cooking tariff. You pay less for electricity for charging your vehicle. As fuel prices rise, given our generation capacity, the cost of electricity should be going down. Today, a big budget of many households in greater Kampala is on transport. Cars are expensive to buy and service and even more expensive to fuel every day. Money saved from transport would boost household incomes leading to more spending in other areas. That is how economies grow. The writer is a communication and visibility consultant. djjuuko@gmail.com

February 9, 2022

Out to Lunch

#OutToLunch Embracing electric mobility will reduce the cost of doing business

By Denis Jjuuko Cars may have started as means of transporting people and goods from one place to another. That may still be the case today but how a car looks like and functions matter more than ever. In a world, where car models are released every so often, how they look also matters. A global automotive executive once told me that cars are fashion statements. Besides functionality, people buy cars for almost the same reasons they buy other stuff like clothing, shoes or which hangout to frequent. In Uganda and most of rapidly urbanizing Africa, there are other aspects to consider too. Besides the financing options, the cost of running a vehicle for a day in a clogged city with unbelievable traffic can be enormous. Many people drive with one eye on the fuel gauge and the other on the price boards at fuel stations. A small variation in price, sees motorists thinking of abandoning their trusted brands to stations whose name they can’t recall even after a few times of prompting. As the cost of buying cars and maintaining them skyrockets, the other alternatives like public transport in most of Africa remain challenging. Many young people end up working for transport and remaining with nothing thereby entrenching them into generational poverty. There is no continent that is as urbanizing as Africa today. If we don’t solve transport challenges, we will miss the opportunities that come with urbanization. One way of solving the challenge is by fast tracking processes that can increase electric mobility on the continent. The Uganda Revenue Authority licensing regime is still stuck in expensive internal combustion engine vehicles. There are no clear guidelines on how one can get a license for an electric vehicle. In 2021! There are some companies in Uganda that are trying to turn motorcycles into electric bodabodas, which enable the riders to earn a little bit more income while at the same time protecting the environment. Due to unclear guidelines and/or lack of incentives, they largely have to get the typical motorcycle, remove its engine and replace it with batteries. This makes the motorcycle expensive to acquire although it’s cheaper to operate and increases the rider’s daily incomes. I believe if there was a critical mass of electric bodabodas in the city, the transport rates would go down. Bodabodas aren’t only transporting people, they are playing a critical role in e-commerce. Almost all people doing online businesses in Kampala, somewhat depend on motorcycles to deliver goods and even services such as laboratory blood tests. Electric mobility would significantly reduce the cost of doing business, increase the profitability of these businesses and ensure that we reduce the common statistic of businesses not celebrating their fifth anniversary. Although the numbers are hard to come by, there is an increasing number of especially young people starting online businesses, selling all sorts of stuff. From passion fruits, clothing, and even offering services such as home education and they all largely depend on the bodabodas or motorcycles. Sometimes they don’t make sales though because of transport. To deliver 60 passion fruits worth Shs10,000 from Nateete to Najjeera costs almost the same cost of the passion fruits themselves. A customer who is willing to buy from a certain trader ends up failing to place an order just because the transport cost is too high. The trader’s business then fails to make a sale, which reduces its profitability, leading to eventual collapse. Bodabodas also employ a lot of people. As we talk of electric mobility and as the world abandons internal combustion engines, cars and even bodabodas will increasingly need electronic components such as advanced control units. These components will contribute as much as 50% to the price of the vehicle by 2030. Can the likes of Kiira Motors and all these electric bodaboda companies be buying these units from Uganda instead of importing them? Engineering students at Makerere and other universities can easily make these components. A car is perhaps the most complicated technically advanced consumer good ever made. It is a unit of approximately 30,000 parts. Once many of the components can be made by a country, then almost anything can be made. If one can make a vehicle’s control unit, they would be able to make MRI scans and such other devices. The automotive industry is a catalyst for sustainable manufacturing. And transport is a key business cost, which can be reduced by electrifying it. The writer is a communication and visibility consultant. djjuuko@gmail.com *Kiira Motors’ Kayoola EVS, a fully electric bus.

October 1, 2021

Out to Lunch

#OutToLunch Covidex and Kiira provide a case for indigenous knowledge investment

By Denis Jjuuko In many parts of rural Uganda, when people wake up in the morning, they grab some water in a small container and head to the kitchen where they pick a piece of charcoal from firewood used the previous night and then start brushing their teeth. If you have lived in urban areas all your life, you will be shocked by this practice. You will call these guys villagers, which they are and you may add that they are backward, which they might not be. Recently, multinational toothpaste conglomerates have started packaging charcoal-based toothpastes and they cost more than ordinary toothpastes. They also have packages that are labelled herbal. What do villagers know that urbanites don’t? Yet the reason most people in villages use charcoal and other plants to clean their teeth today is because they don’t have money to buy packaged toothpaste. For many years, we regard western products as superior and our indigenous ones as inferior. Ugandans on social media love coming up with memes with those in English or have western names as superior and those in local names or languages as inferior. We abandoned our indigenous knowledge in pursuit of products whose intellectual properties we don’t own. How do we return to indigenous knowledge in making our products? Last week, the National Drug Authority (NDA) under enormous public pressure approved Covidex, a herbal drug said to provide relief to COVID-19 patients. Covidex was developed by Prof Patrick Ogwang at Mbarara University of Science and Technology (MUST) if you ask one group. Another group will say Prof developed it on his own. Whatever the story, it shows that it is time to invest more in our indigenous knowledge. Covidex is said to be largely from a tree known as Mukuzannyana/Mukuzannume or Warbugia Ugandensis. The tree has been around for generations and has been used to treat respiratory ailments but we hadn’t done much to exploit it before. There are hundreds of other plants which are medicinal and used to cure people before western medicine took over. Had Covidex been made elsewhere, NDA wouldn’t have perhaps taken the path they took to authorize its use. If Covidex continues to do its magic against the monster that is COVID-19, it presents a case for much more research and investment in indigenous products. However, even if it doesn’t, it provides a case for more research and investment in indigenous knowledge. Before the Bazungu turned up in Uganda, people knew and had developed expertise to deliver babies through caesarean births using local brew as disinfectant among other innovations. Today, we even import some ingredients for sanitizers! If we are to succeed with the next Covidex, we need to significantly invest in research and development. We must encourage young people to innovate beyond the development of payment apps. It is not a surprise that Covidex has its origins at a university or developed by people involved in a university, just like Kiira Motors before it. Universities are centres where people dream and develop capacities to research products. Many innovative products (Google, Facebook, Microsoft etc.) start that way but we must be intentional about them by providing the necessary funding. Talking of Kiira Motors, as the country was consumed by the approval of Covidex and indeed the deaths as a result of COVID-19, there was a story that didn’t grab national headlines. Kiira Motors has entered into agreement to produce 1,030 buses for Tondeka, a company that wants to deploy them in Greater Kampala Metropolitan Area (GKMA). The deal is financed by Rentco, an outfit that is involved in asset leasing and has worked on similar projects in Tanzania and Kenya among other countries. The automotive technology partner is Xiamen Golden Dragon, a Chinese giant that specializes in making buses. This partnership will lead to the development of our nascent automotive industry. Kiira Motors should now bring in its indigenous knowledge as it builds not only these buses but also its other products. What are those things that make a car truly Ugandan and we can sell to the world? How do we keep very old cars on the old and what kind of knowledge do we have that can make vehicles last longer? But for this to work, it means that there is need for much more effort to exploit indigenous knowledge. If you go to rural areas, parents immunize their kids with indigenous medicine. They cut kids on the shoulder (same area where jabs are administered for some vaccines) and apply it. How can we use this indigenous knowledge to come up with vaccines and other innovative products? The writer is a communication and visibility consultant. djjuuko@gmail.com

August 24, 2021