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Embracing Green Mobility: Insights on Uganda’s Tax Concessions for Electric and Hybrid Vehicles

The 13th UK-Uganda Trade & Investment Summit served as a crucial platform for discussing Uganda's commitment to sustainable transportation. The focus was on the country's innovative policies regarding hybrid and electric vehicles (HEVs), specifically tax concessions and conditions for returning citizens bringing such vehicles into Uganda, underscoring a significant shift towards eco-friendly transport options.


Tax Concessions for HEVs

A major highlight of the summit was Uganda's decision to exempt hybrid and electric vehicles from import duty. This groundbreaking policy aims to make HEVs more accessible and appealing compared to traditional combustion engine vehicles. By doing so, Uganda is not only aligning with global environmental objectives but also offering tangible cost benefits and incentives to consumers.


Conditions for Returning Citizens

The summit also clarified crucial conditions for returning citizens wishing to import vehicles into Uganda. One key requirement is the ownership period; the vehicle must have been under the returning citizen's ownership for at least 12 months, as confirmed by the vehicle's logbook. This condition is aimed at ensuring that the policy benefits genuine returning residents.


Additionally, Uganda enforces specific restrictions on the age of imported vehicles. Cars older than 15 years are prohibited due to their potential environmental impact, while those older than nine years are subject to an environmental levy. This policy reflects Uganda's commitment to minimizing pollution and promoting environmentally sustainable practices.


Another unique aspect of the policy is the issuance of red number plates for duty-free vehicles brought in by returning citizens. These plates indicate the vehicle’s tax-exempt status. However, if these vehicles are sold within Uganda, the new owner must re-register them with ordinary plates and pay the corresponding taxes.



The 13th UK-Uganda Trade & Investment Summit highlighted Uganda's forward-thinking approach in embracing green mobility. The country's initiative to exempt import duty on hybrid and electric vehicles marks a significant stride towards reducing environmental pollution and fostering sustainable transportation practices. The well-structured conditions for returning citizens bringing vehicles into the country illustrate Uganda's careful balancing of environmental concerns with practical policy implementation. These measures collectively demonstrate Uganda's commitment to aligning with global environmental trends and leading the way in eco-friendly transportation policies.

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Gallery 2023

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