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Kampala-Entebbe Expressway generates Shs 119.8 billion in toll fees over three years but falls short of loan repayment targets

Matooke Republic by Matooke Republic
January 23, 2025
in News
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In the three years since the Kampala-Entebbe Expressway introduced toll fees, more than Shs 119.8 billion has been collected from motorists, according to Egis Road Operations, the company managing the road.

As Uganda’s first tolled road, the expressway was established under a government-led system aimed at ensuring sustainable infrastructure maintenance and repaying the loans used for its construction. However, this revenue remains below expectations, falling short of the Shs 96 billion annual loan repayment set in the 2011 agreement with the Exim Bank of China. The total $350 million loan, secured to finance the 51.4-kilometer expressway, is scheduled to be repaid over 13 years, starting from July 2019.

The Ministry of Works and Transport declined to disclose how much of the loan has been repaid so far, referring inquiries to the Ministry of Finance, Planning, and Economic Development. Allan Ssempebwa, a communications officer at the Ministry of Works, confirmed that toll revenue is used for both loan repayment and road maintenance.

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“Revenue collected is appropriated for loan repayment and the ongoing operations and maintenance of the expressway,” said Ssempebwa. However, the Ministry of Finance did not immediately comment on the status of the repayments.

On a brighter note, toll collections have been steadily increasing. Monthly revenue now averages Shs 3.7 billion, up from Shs 2.8 billion in 2022. The expressway currently serves approximately 28,000 vehicles daily, with over 23.8 million trips recorded since tolling began.

Eng. Steven Kitonsa, Acting Chief Engineer at the Ministry of Works and Transport, highlighted the broader impact of the expressway. “We’ve significantly improved the travel experience for millions of passengers, providing smoother, safer, and more convenient journeys while contributing to Uganda’s infrastructure development,” he said.

Kitonsa also noted that the toll system enhances safety and reliability. Over 120,000 motorists have received assistance via the toll-free emergency hotline (0800270170) in the past three years, with response teams typically arriving within 10 minutes. Services include patrols, incident management, breakdown assistance, and ambulance support.

Despite these achievements, the government faces the challenge of aligning toll revenue with the loan repayment schedule while maintaining high service standards on the expressway.

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