Uganda and Azerbaijan Discuss Energy Sector Cooperation

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Uganda and Azerbaijan Discuss Energy Sector Cooperation
Uganda and Azerbaijan Discuss Energy Sector Cooperation

By Faridah N Kulumba

Africa-Press – Uganda. The Governments of Uganda and Azerbaijan recently held bilateral meetings in which they discussed prospects for future cooperation in the oil and gas sector, mining, and hydropower.The two nations’ talks were held between Azerbaijan’s Deputy Minister of Energy Kamal Abbasov and Uganda’s State Minister of Foreign Affairs John Mulimba in Azerbaijan.
The agenda

Both governments’ engagement focused on potential avenues for collaboration in the energy sector and other areas, emphasising the importance of mutual support and knowledge exchange to strengthen bilateral ties. They discussed ways of strengthening ties between the two nations not only in energy but also in other areas. “Our country provided information on ongoing work and projects in the fields of oil and gas, electricity, renewable energy, and energy efficiency. In addition, Uganda’s oil and gas sector, mining industry, and hydropower potential were highlighted, and prospects for future cooperation in these areas were reviewed,” the ministry said in its statement. According to minister Mulimba, the Ugandan delegation discussed prospects for cooperation in the petrol and gas sector, mining, and hydropower. ‘Uganda has rich water resources, and along the Nile River there are several waterfalls suitable for the construction of hydroelectric power plants. Some of them have already been successfully implemented’, said Mulimba.

He added that his country wished to utilise Azerbaijan’s experience to build additional hydroelectric power plants (HPPs). ‘Uganda is rich in mineral reserves. For example, we have a lot of gold, we have lithium. We have rare earth metals, in particular, cobalt. We also have iron ore. Therefore, we are looking forward to signing an agreement on cooperation and joint activities in the field of exploration and production of minerals [and] construction of infrastructure,’ he added. Uganda and Azerbaijan also addressed other issues of mutual interest. However, both officials did not specify a timeframe for the implementation of any projects between Uganda and Azerbaijan.

What attracts the two countries to each other

Azerbaijan is a major hydrocarbon producer and is expanding its renewable energy sector, particularly offshore wind, while Uganda has vast solar, wind, and hydropower resources and a strong need to expand electricity access. Future cooperation could involve Azerbaijan leveraging its experience in energy sector development to support Uganda’s transition to a more diversified and sustainable energy future. Both countries are exploring opportunities for enhanced agricultural cooperation, including the exchange of information on high-potential products and increasing trade in agricultural goods. On the other hand, Uganda wants to tap into Azerbaijan’s expertise to develop its own mineral reserves and hydropower resources, particularly along the Nile River.

Azerbaijan’s own economic development and expertise in areas like the energy sector, mineral exploration, and advanced public service delivery make it a valuable partner for Uganda. In 2024, during a bilateral meeting on the sidelines of the Ministerial Meeting of the Coordinating Bureau of the Non-Alignment Movement held in Baku, the Uganda and Azerbaijan’s Foreign Ministers inked a Memorandum of Understanding (MOU) focused on Political and Diplomatic Consultations, a historic agreement which symbolized the strengthened ties between the two nations.

Previous discussions

In February 2025, Uganda and the Republic of Azerbaijan held a meeting to explore new avenues of defence cooperation, focusing on joint ventures and technological advancements. The discussions were between the Minister of State for Defence and Veteran Affairs (Veteran Affairs), Huda Abason Oleru, and an Azerbaijan delegation led by Counsellor Rustam Hasanli at the Ministry of Defence and Veteran Affairs (MODVA) headquarters in Kampala. The two countries’ meeting focused on potential collaboration within defence industries, particularly through NEC’s joint ventures. One notable venture is Proheli International Services Ltd, a company specializing in the maintenance, repair, and overhaul of helicopters.The cooperation also aims to develop skilled manpower and provide logistical support within Uganda’s defence sector.

Uganda’s Energy Policy

According to Uganda’s 2023 energy policy review the energy policies of Uganda follow the format used by the International Energy Agency (IEA) for its peer reviews for member countries. This process supports energy policy development and encourages the exchange of international best practices and experiences.Uganda has set an ambitious agenda to develop its substantial energy and mineral resources, promote economic development, end energy poverty, and lead the country to a just energy transition. The government of Uganda stated its objective in Vision 2040 is to transform into “a modern and prosperous country”, ensuring a better future for its citizens. The energy sector will play an important role in helping Uganda achieve this.

The review serves as a crucial tool and major contribution to the country’s ambitious agenda. Uganda already has in place much of the technical expertise, government institutions and policy frameworks to reach its energy goals. It has also made significant progress over the past two decades in providing access to electricity and expanding generation capacity, and further ambition is encouraged to achieve universal energy access by 2040. This report assesses the energy sector and the related challenges facing Uganda and serves as a situational analysis that feeds into the development of the country’s Energy Transition Plan to provide policy recommendations and support the development of the energy sector and the path towards universal access for all.

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