The graduation of 617 SMEs from the Industry Enhancement Centre marks another milestone in efforts to strengthen local businesses and ensure Uganda’s oil and gas investments deliver lasting economic benefits.
By Adonis Byemelwa
Uganda’s drive to build a competitive, locally driven oil and gas industry has received another significant boost, with 617 small and medium-sized enterprises graduating from the Industry Enhancement Centre (IEC), an initiative designed to strengthen the capacity of Ugandan businesses to participate in the country’s expanding petroleum sector.
The latest graduation, announced on October 22, 2026, brings the total number of enterprises graduating from the programme to 922 since its launch in 2024, marking an important milestone in efforts to translate Uganda’s oil and gas investments into broader economic opportunities for local businesses.
Supported by TotalEnergies, CNOOC Uganda, the Uganda National Oil Company (UNOC), the Petroleum Authority of Uganda and the Government of Uganda, the initiative is helping ensure that the benefits of the country’s petroleum industry extend beyond oil production to entrepreneurship, employment, skills development and the growth of indigenous businesses.
Celebrating the achievement, Philippe Groueix, Country Chair of TotalEnergies in Uganda and General Manager of TotalEnergies EP Uganda, described the graduation as an important investment in Uganda’s economic future.
“Today, 617 SMEs graduated from the Industry Enhancement Centre (IEC), bringing the total to 922 enterprises since we launched the programme in 2024. What a moment to celebrate!” Groueix announced.
“These graduates are tomorrow’s suppliers, employers, innovators and industry leaders, and they will help shape the country’s economic transformation for years to come,” he added.
The milestone comes at a defining moment for Uganda as the country prepares to join the ranks of Africa’s commercial oil producers. Major developments, including the TotalEnergies-operated Tilenga project, the CNOOC-operated Kingfisher project and the East African Crude Oil Pipeline (EACOP), are expected to reshape Uganda’s energy landscape and create opportunities for domestic enterprises.
These investments present significant prospects for Ugandan businesses in construction, logistics, transportation, engineering, maintenance, hospitality, manufacturing and other supporting industries. Yet accessing such opportunities requires companies to meet demanding technical, financial, safety and operational standards, a challenge that has historically limited the participation of smaller local businesses in major industrial projects.
The Industry Enhancement Centre is helping bridge that gap by strengthening the capacity of domestic enterprises to compete for opportunities within the petroleum industry. Beyond improving their prospects of securing oil and gas contracts, the programme is contributing to the development of business capabilities that could serve Uganda’s wider economy for years to come.
For the 617 graduating enterprises, the achievement represents an opportunity to pursue new markets, build partnerships and position themselves within an industry expected to play an increasingly important role in Uganda’s economic development. With 922 businesses now having graduated from the programme, attention will also turn to how many can translate their enhanced capabilities into contracts, sustained growth and new jobs.
Groueix acknowledged the contribution of the institutions and partners behind the initiative, crediting their continued collaboration for advancing Uganda’s national content ambitions.
“Congratulations to every graduate on this achievement & heartfelt appreciation to our partners @CNOOC Uganda, @UNOC, the @Petroleum Authority of Uganda and the Government of Uganda, whose continued collaboration is turning Uganda’s National Content ambitions into lasting impact,” he stated.
The collaboration comes amid growing calls across Africa for major energy investments to create stronger domestic industries and give African businesses a greater share of opportunities traditionally dominated by international contractors. Governments and industry leaders are increasingly emphasizing local procurement, skills development, technology transfer and supplier development as essential components of sustainable resource exploitation.
Uganda’s experience demonstrates the importance of preparing local businesses before commercial production reaches full scale. By investing in enterprise development during the construction and development phases of major petroleum projects, industry stakeholders can help create a stronger supplier base capable of meeting immediate industry requirements while building experience for future opportunities.
For TotalEnergies, the initiative complements its substantial investments in Uganda’s petroleum sector and its wider emphasis on creating shared value in host communities and national economies. The company’s involvement, alongside CNOOC Uganda and national institutions, has helped give local enterprise development a prominent place in preparations for the country’s oil production era.
The next challenge will be ensuring that these businesses have access to financing, procurement opportunities and sustained commercial relationships that allow them to build on the progress made through the programme. Stronger connections between trained enterprises and major industry contractors will be particularly important as Uganda moves closer to first oil.
Groueix summed up the longer-term ambition in his message celebrating the graduates.
“Together, we are building a stronger, more competitive Ugandan supplier base and laying the foundation for prosperity that will endure well beyond first oil.”
For Uganda, that is where the real significance of the Industry Enhancement Centre lies. Oil production will bring new revenues and investment, but the emergence of competitive Ugandan enterprises capable of creating jobs, winning contracts and expanding into other sectors could prove just as important to the country’s long-term prosperity.
The graduation of 617 SMEs is another step toward that goal, and for the 922 enterprises that have passed through the programme since 2024, the opportunities ahead could extend well beyond the lifetime of Uganda’s oil projects.