Uganda is seeking to help hotels, lodges and resorts cut energy costs and improve profitability through a new initiative promoting renewable energy and energy-efficient technologies.
The National Green Hospitality Initiative was launched at Serena Hotel Kampala on 20 October 2026 by the Ministry of Energy and Mineral Development and Equity Bank Uganda. It aims to help hospitality businesses adopt cleaner energy solutions while attracting investment and creating jobs.
Minister of State for Energy and Mineral Development Phiona Nyamutoro said investing in solar power, battery storage, energy-efficient equipment, clean cooking and electric mobility could reduce operating expenses and make businesses less vulnerable to unpredictable energy costs.
She said hotels could use the savings to improve facilities, hire skilled workers, expand their businesses and enhance visitor experiences.
The initiative will also create opportunities for engineers, energy auditors, equipment suppliers, installers and maintenance firms involved in the transition to cleaner energy.
Nyamutoro said the programme would identify hospitality facilities for energy assessments and possible upgrades, develop national green hotel standards and establish a framework to address barriers to investment.
It will also explore specialised financing for green projects and introduce Green Hospitality Awards to recognise businesses making measurable progress in sustainability.
Equity Bank Uganda’s Director of Public Sector and Social Investments, Catherine Psomgen, said financial institutions needed to make green investments more accessible to businesses.
She said hotels consume significant amounts of energy through lighting, cooking, water heating, air conditioning, laundry and transport, making renewable energy and efficient equipment important investments for reducing costs.
The bank plans to support the transition through green loans, equipment financing, leasing and other financing arrangements. A Green Tourism Business Clinic will also help hospitality operators assess their finances and explore funding for energy upgrades.
However, Uganda Hotel Owners Association chairperson Jean Byamugisha said financing arrangements must reflect the seasonal nature of tourism businesses.
She argued that hotels generally earn more during peak tourism periods but experience lower revenues during quieter months, making fixed loan repayment schedules difficult to manage.
“One shoe does not fit all. Banks need to restructure their loans to reflect the seasonal nature of the hospitality industry,” Byamugisha said.
She called for flexible repayment arrangements that would allow businesses to invest in clean energy without compromising their ability to meet operating expenses during low-demand periods.
The initiative plans to identify four to five hospitality facilities for detailed energy assessments and potential upgrades, creating demonstration projects ahead of the next Renewable Energy Conference.
Other proposals include a national green hospitality certification framework and a dedicated financing facility combining green loans, concessional credit and pay-as-you-save models through Energy Service Companies.
The programme is intended to make investments in cleaner energy commercially viable for Uganda’s hospitality sector by reducing operating costs, improving service reliability, attracting investment and strengthening the country’s tourism competitiveness.
