From Fuel to Batteries: What Uganda’s Transport Electrification Means for Workers

Uganda’s plan to electrify boda bodas and minibuses could significantly raise driver incomes, create thousands of new transport and manufacturing jobs, and support cleaner urban mobility if backed by the right policies. However, the transition must be managed carefully to protect mechanics and informal workers and to ensure women and youth share in the economic gains.

Uganda’s transport system is undergoing rapid changes, and this shift could redefine daily life for millions. A new study by Neyen Consulting, produced for the African Development Bank Group with support from the Climate Investment Funds and in collaboration with the Ministry of Works and Transport, examines what it would mean to electrify the country’s informal transport sector, especially boda bodas (motorcycle taxis) and kamunye (minibus taxis). Far from being just a climate story, the report frames electrification as a social and economic turning point that could raise incomes, create jobs, and reshape who benefits from mobility.

Why Transport Matters So Much

Road transport dominates movement in Uganda, carrying the vast majority of passengers and goods. In cities like Kampala, informal transport fills the gaps left by limited formal public transit. Boda bodas and kamunye are everywhere, providing flexible and affordable mobility while employing huge numbers of young people. But this system comes at a cost: congestion, rising fuel imports, traffic accidents, and poor air quality. Uganda’s climate commitments are now pushing the country toward electric vehicles, particularly motorcycles and buses, as a way to reduce emissions and decrease fuel dependence.

What Electrification Means for Drivers

For boda boda drivers, electrification could be life-changing. Electric motorcycles are much cheaper to run because electricity costs less than petrol and electric engines need less maintenance. The study estimates that drivers who switch to electric boda bodas could see their monthly profits rise by about one-third by 2035. Younger drivers, who typically earn less and are more likely to rent bikes, could benefit the most. These gains are expected even if fares stay the same, because the savings come from lower operating costs. However, the report warns that these benefits depend on affordable electricity, supportive taxes, and accessible financing for electric vehicles.

Jobs Created, and Jobs at Risk

Electrification is also expected to create new jobs. Expanding electric kamunye could generate more than 10,000 jobs by 2035, including drivers, conductors, and workers at taxi stages. Manufacturing is another opportunity: assembling electric motorcycles, batteries, and minibuses locally could create thousands of jobs, particularly around Jinja and the Busoga region. This could support Uganda’s push toward green industrialization. At the same time, there are clear risks. Mechanics who repair petrol-powered motorcycles face job losses because electric vehicles need fewer repairs. While many could retrain to service electric vehicles, the study stresses that training programs and safety nets are essential to protect those who cannot easily transition.

Women, Youth, and Fairness

One of the strongest messages in the report is about inclusion. Uganda’s transport sector is overwhelmingly male-dominated, especially among boda boda and kamunye drivers. Without targeted policies, most benefits from electrification will go to men. The study highlights opportunities to change this, from training women drivers and mechanics to promoting women-only transport services that improve safety. If Uganda meets its goal of increasing women’s participation in the workforce, thousands of new transport and manufacturing jobs could go to women. For young people, higher incomes and new skills pathways could make electrification a powerful tool for economic inclusion.

Climate Gains, and the Bigger Picture

Environmentally, electrification brings clear but modest national benefits. Phasing out petrol boda bodas would slightly reduce air pollution levels, with bigger improvements likely along busy urban corridors. Importantly, electric motorcycles and minibuses are not expected to overload Uganda’s power grid, as their electricity demand would remain a small share of total consumption. The impact on government finances is less clear: higher electricity-related tax revenues could be offset by losses from fuel imports. This uncertainty reinforces the need for careful planning.

The Road Ahead

Electrifying Uganda’s transport sector is not just about cleaner vehicles. It is about people, jobs, and fairness. With the right policies on electricity pricing, taxes, finance, skills training, and gender inclusion, the transition could raise incomes, create new industries, and make urban transport more efficient. Without them, it risks leaving vulnerable workers behind. Uganda’s electric future, the study suggests, will succeed not only by cutting emissions, but by ensuring that the benefits of change are shared widely and fairly.