Uganda Threatens Shs395B Mubende Highway Contract Over Corruption and Delays

The Minister of Works and Transport, Fred Byamukama, has expressed serious concerns over the slow pace of the Shs395 billion Mityana–Mubende Highway project, warning that the contract could be terminated. The Serbian contractor, EnergoProjekt, has reportedly fallen far behind schedule, failing to meet the original 2024 completion date.

Despite the sluggish progress on the 86-kilometer road, which began construction in early 2021, the government has already disbursed approximately Shs195 billion of the total contract sum. Minister Byamukama highlighted an alarming trend of inflated compensation claims being submitted by the contractor, which he believes are exacerbating cost escalations and hindering project advancement. He stated that delays, negotiation periods, and perceived design implementation issues should not justify additional financial payouts.

Furthermore, the Minister pointed to alleged corruption involving both government officials and project engineers. He revealed that a significant percentage of contract values and payments is purportedly being siphoned off by corrupt individuals. “We have evidence, and we are going to take it to the anti-corruption agencies,” he stated, vowing that those implicated would face arrest and prosecution. Two government engineers working on the project have already been withdrawn pending investigation into alleged irregular dealings.

Minister Byamukama also indicated that similar issues of questionable claims and delays are being investigated in other road projects, citing a Shs54 billion claim on the Kampala-Jinja road maintenance contract with minimal visible work. He firmly declared that if the Mubende Highway project is not completed within the next eight months, the government will not hesitate to terminate the contract and seek an alternative contractor, regardless of the potential cost implications, to ensure the road’s completion.

The community along the Mityana-Mubende corridor has been suffering the consequences of the prolonged construction, including increased dust, health concerns, and travel difficulties, impacting local businesses and essential services. The project aims to widen and upgrade the road to modern standards, including improved drainage and pavement stability.