(Kampala) – The Leader of the Opposition (LoP), Hon. Joel Ssenyonyi, has called on the government to conduct a comprehensive audit of Atiak Sugar Factory in Amuru District before investing any additional funds. The factory, where the Uganda Development Corporation (UDC) has already invested over Shs500 billion, remains non-operational.
Ssenyonyi also demanded an explanation for the Shs553.71 billion invested by the government between the 2017/2018 and 2022/2023 financial years, before more taxpayer money is allocated. According to him, despite government intervention and the purchase of equity shares, the factory has not produced any sugar.
Ssenyonyi expressed concern over the factory’s daily consumption of 200 liters of diesel to run turbines, a measure reportedly taken to prevent machinery from rusting and malfunctioning. “It’s disturbing that such regular expenses are incurred, yet no production is happening,” he noted.
This concern was part of a report presented by Ssenyonyi during an oversight visit by opposition MPs to the Atiak Sugar Factory. The report highlighted UDC’s limited involvement in the factory’s operations, despite its mandate to oversee the project on behalf of the government.
The factory management has shifted from the original model of planting 60,000 acres of sugarcane through local farmer cooperatives to cultivating 25,000 acres of sugarcane on its own land. The LoP said that in December 2020, a fire destroyed 7,900 acres of the factory’s sugarcane, but the cause of the fire remains unclear.
Ssenyonyi urged the government to convert its preferential shares in the factory into ordinary shares, which would increase its influence in decision-making and give it more negotiating power. He also called for UDC to take responsibility for ensuring better oversight and efficient management of government resources invested in the factory.
“We need to know how the Shs553.71 billion injected by taxpayers will be used, and what plans are in place to ensure that Northern Uganda and the country at large benefit from this project,” Ssenyonyi said, emphasizing the importance of transparency.
Speaker Anita Among directed the finance minister to provide a comprehensive statement on the issues raised within three weeks.
