Uganda: Telecom Sector Players Call for Govt Incentives to Boost Rural Connectivity
Telecom sector leaders have urged government to provide capital subsidies, tax incentives, and rebates to infrastructure companies supporting the extension of electricity grids and telecommunication services in rural areas. The call was made during the Telecom Sector Forum 2025, held in Kampala.
The CEO of American Tower Corporation (ATC) Uganda, Dorothy Kabagambe Ssemanda, emphasised the need for greater integration of telecom infrastructure into the ongoing National Electrification Project, calling it vital to expanding connectivity for businesses across Uganda.
“We need to prioritise telecom infrastructure within national electrification plans. This is the only way to ensure that rural communities are not left behind in the digital economy,”** she said.
Ssemanda noted that despite the extension of nearly 2,000 kilometers of electricity grid to telecom towers in rural areas, significant gaps in connectivity persist. She appealed for joint public-private sector interventions to ensure power and network access are delivered together.
Adding her voice, MTN Uganda CEO Sylvia Mulinge said reliable electricity is essential for uninterrupted telecom services.
“Connectivity is only as strong as the power source behind it. A stable power supply is crucial for maintaining communication networks, especially in rural Uganda,”Mulinge said.
The Executive Director of the National Planning Authority, Dr. Charles Muvawala, highlighted the broader economic potential of powering sectors such as tourism and ICT.
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“Powering key growth sectors will increase revenue opportunities for the country. Telecom and tourism go hand in hand, especially in our remote but scenic areas,”he explained.
In response, State Minister for Energy, Okasai Sidronius, revealed that government is planning to fast-track partnerships, promote shared infrastructure use, and embed telecom planning in rural electrification strategies.
“We are rolling out pilot projects to connect remote communities. But bridging the digital and energy gap requires coordinated planning and policy reform,” he said.
However, not everyone is convinced. Economist Emmanuel Okware warned the proposed subsidies and incentives could have unintended consequences.
“This could create government-aided monopolies. It risks undermining competition, which is essential for innovation in the telecom sector,” Okware noted.
As Uganda seeks to expand digital access and drive economic transformation, stakeholders agree that cross-sector collaboration will be critical — though the path forward remains a subject of debate.
