Kiira Vehicle Plant
The government of Uganda, acting through the Uganda Investment Authority (UIA), allocated 100 acres for the establishment of the Kiira Vehicle Plant, located at the Jinja Industrial and Business Park, Plot No. 701, Block 2 Kagogwa Village, Mawoito Parish, Kakira Town Council, Jinja District.[21]
Kiira Motors Corporation and National Enterprise Corporation (NEC) signed a Memorandum of Understanding for Construction of the Kiira Vehicle Plant Start-Up Facilities (Phase I) at the Jinja Industrial and Business Park based on the Force Account Mechanism provided for under Section 95(A) of the PPDA Act, 2003 (as amended). This was subsequent to clearance of the MOU by the Solicitor General. The Kiira Vehicle Plant Site was handed over to NEC on 18 January 2019, who deployed security and commenced work on 11 February 2019. Construction is expected to take two and a half (2.5) Years with completion slated for June 2021.[22][23]
The Scope of Work for NEC includes: Site Clearance; Construction of a 3.6 km perimeter fence and Two Gates; Excavation of a 1.4 km Open Channel along the Western Boundary; Construction of the Assembly Shop, Offices, R&D Space, Materials Storage Areas, Overhead Water Reservoir, Container Yards, Finished Vehicle Park Yard, and Plant Monument; Construction and Installation of Servicing Facilities including the Plant Campus Circulation Roads, Power Distribution, Water Distribution, I.T Network Backbone, Drainage and Waste (Water and Solid) Management Systems; and defects liability period shall be for 12 months commencing on the date of Practical Completion of the Project.[24][25][23]
The construction and installation of a 3.7 km long 33kV medium voltage electricity line connecting the Kiira Vehicle Plant Site to the national electricity grid was completed, tested and commissioned by Umeme. The construction and installation of a 5.4 km long 6-inch water pipeline connecting the plant site to the municipal water supply system was completed, tested and commissioned by National Water and Sewerage Corporation.[23]
Establishment of the Kiira Vehicle Plant is expected to catalyse investment by small and medium enterprises in the manufacture of vehicle parts, components and autonomy systems (brake pads, seats, bolts and nuts, bumpers, vehicle electronics, navigation system, among others). Kiira Motors Corporation has developed a roadmap for the Domestic Manufacture of Auto-Parts in Uganda and secured accreditation from PPDA for an alternative system for procurement of auto-parts suppliers providing for sample parts development and accreditation of the production part manufacturing system.[26]
Establishment of the Kiira Vehicle Plant is projected to increase demand for the utilization of Uganda's natural resources such as steel from iron ore deposits; plastics from oil and gas, lithium-ion batteries from graphite, lithium and cobalt deposits, vehicle upholstery and interior padding from cotton and leather, glass from silica and sand, among others.[26]
The Kiira Vehicle Plant's contribution to employment in Uganda is estimated at 940 jobs from the start-up investment. The full-scale plant operation is estimated to create over 2,000 direct jobs and 12,000 indirect jobs.[26]
The Kiira Vehicle Plant start-up facilities will have an installed capacity of 5,000 vehicles annually.
In January 2020, the Daily Monitor newspaper reported that the Kayoola electric buses were, as of then, available for sale to the public.[27] KMC plans to manufacture 5,000 electric vehicles annually, beginning in July 2021. The manufacturer plans to procure up to 90 percent of the components in Uganda. It is being assisted by CHTC Motor Company, a subsidiary of the state-owned Sinomach Automobile Company. The long-term plan is to reduce air pollution in Uganda's capital, Kampala.[28]
In August 2021, the progress of construction of the manufacturing plant was reported at 85 percent, with completion expected in the fourth quarter of calendar year 2021. At that time, production of motor vehicles was expected to start during the first half of 2022.[29] Yoweri Kaguta Museveni the President of the Republic of Uganda laid the Foundation Stone for the Kiira Vehicle Plant on 14 August 2021. The President at the event directed that there will no longer be any importation of fully built buses into Uganda.[30][31]
In May 2022, the Ugandan Finance Ministry released the final Ush159 billion ($42 million) of the government's Ush218 billion ($58 million) investment package. This set the stage for completion of the manufacturing plant and the beginning of commercial production anticipated in June 2023.[32] The completed plant was officially commissioned on 27 September 2025. At that time the company had manufactured 37 electric vehicles and 27 diesel buses.[33]
