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55-858: Kiira Motors Corporation or KMC is a State Enterprise in Uganda established to champion the Development of the Domestic Automotive Value Chain for job and wealth creation and commercialize the Kiira Electric Vehicle Project. The Equity Partners are the Government of the Republic of Uganda represented by the Ministry of Science, Technology and Innovation , Office of the President holding 96% of

110-845: 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

165-505: A full charge and the Kayoola Coach, a premium highway coach available in both electric and diesel powertrains. The KMC journey dates back to 2007; evolving from an extra-curricular activity under the auspices of then Makerere University Faculty of Technology, to a university curricular activity and later a mainstream national initiative for automotive manufacturing. In 2007, a global consortium of over 31 universities and colleges across

220-781: A grand expo at the Africa Now Summit 2019. KMC was recognized for the initiatives in Green Mobility by Frost & Sullivan with the 2016 Frost & Sullivan Visionary Innovation Leadership Award in Sustainable Mobility. KMC was awarded as the African Company of the Year in the 2021 African Business Leadership Awards. The   Government of   Uganda   through the Science, Technology and Innovation Secretariat - Office of

275-661: A public objective. For that reason, SOEs primarily operate in the domain of infrastructure (e.g., railway companies), strategic goods and services (e.g., postal services, arms manufacturing and procurement), natural resources and energy (e.g., nuclear facilities, alternative energy delivery), politically sensitive business, broadcasting, banking, demerit goods (e.g., alcoholic beverages ), and merit goods (healthcare). SOEs can also help foster industries that are "considered economically desirable and that would otherwise not be developed through private investments". When nascent or 'infant' industries have difficulty getting investments from

330-519: A public rapid bus service in the Kampala metropolitan area. Starting with five diesel units, a total of 30 units are expected in 2022. Another 600 buses are planned to be delivered in 2023. The first phase of the TMBS system is planned to absorb 980 buses, with future stages requiring more units. State-owned enterprise The terminology around the term state-owned enterprise is murky. All three words in

385-489: A regular enterprise, state-owned enterprises are typically expected to be less efficient due to political interference, but unlike profit-driven enterprises they are more likely to focus on government objectives. In Eastern Europe and Western Europe , there was a massive nationalization throughout the 20th century, especially after World War II . In the Eastern Bloc , countries adopted very similar policies and models to

440-640: A vehicle designed and Built by Kiira Motors Corporation, is a four-seater executive vehicle built off the Kiira EV SMACK platform. The Kiira EVS has undertaken a nationwide tour in excess of 3,650 kilometers in Eastern, Northern and Western Uganda with exhibitions in Masaka , Mbarara , Kabale , Kisoro , Kibaale , Bushenyi , Jinja , Kampala , Pakwach , Nebbi , Arua , Koboko , Oraba , Gulu , Kitgum , Lira , Soroti , Katakwi , Moroto , Mbale , Iganga along with

495-609: Is   poised to contribute to the industrialization agenda envisaged to aid the socioeconomic transformation of Uganda. Kiira Motors Corporation is honoured to host the Inaugural Kiira Vehicle Plant Open Day and E-Mobility Expo 2024 under the theme “The Future is Green; The Future is Now.” The Expo aims to gather industry leaders, policymakers, innovators, and the public to showcase the Plant's capabilities, products and share knowledge, and foster collaborations within

550-501: Is a semi-autonomous investment promotion and facilitation organisation in Uganda and is owned by the government of Uganda . The headquarters of UIA are located at Uganda Business Facilitation Centre, Plot 1, Baskerville Avenue, Kololo. The coordinates of the head office are:0.3291° N, 32.5988° E (Latitude:0.3291857; Longitude:32.598898). The agency maintains a national network of UIA District Focal Point Offices, throughout Uganda. The UIA

605-562: Is a viable argument for SOEs is debated. SOEs are also frequently employed in areas where the government wants to levy user fees , but finds it politically difficult to introduce new taxation. Next, SOEs can be used to improve efficiency of public service delivery or as a step towards (partial) privatization or hybridization. SOEs can also be a means to alleviate fiscal stress, as SOEs may not count towards states' budgets. Compared to government bureaucracy, state owned enterprises might be beneficial because they reduce politicians' influence over

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660-753: Is approximately 70% of total employment. State-owned enterprises are thus a major factor behind Belarus's high employment rate and a source of stable employment. In most OPEC countries, the governments own the oil companies operating on their soil. A notable example is the Saudi Arabian national oil company , Saudi Aramco , which the Saudi government bought in 1988, changing its name from Arabian American Oil Company to Saudi Arabian Oil Company. The Saudi government also owns and operates Saudi Arabian Airlines , and owns 70% of SABIC as well as many other companies. China's state-owned enterprises are owned and managed by

715-694: 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. 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. KMC plans to manufacture 5,000 electric vehicles annually, beginning in July 2021. The manufacturer plans to procure up to 90 percent of

770-653: Is expected to take two and a half (2.5) Years with completion slated for June 2021. The Scope of Work for NEC includes: Site Clearance; Construction of a 3.6 kilometres (2 mi) perimeter fence and Two Gates; Excavation of a 1.4 kilometres (1 mi) 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

825-602: Is highlighted in the predominant local terminology, with SOEs in Canada referred to as a " Crown corporation ", and in New Zealand as a " Crown entity ". The term " government-linked company " (GLC) is sometimes used, for example in Malaysia , to refer to private or public (listed on a stock exchange) corporate entities in which the government acquires a stake using a holding company . The two main definitions of GLCs are dependent on

880-645: The Ministry of Science, Technology and Innovation . The decision was facilitated by a comprehensive appraisal and approval of a Feasibility Study for Setting Up and Operating the Kiira Vehicle Plant by the Ministry of Finance, Planning and Economic Development. Cabinet also authorised the Minister of Science, Technology and Innovation to put in place the necessary Institutional Framework for the Commercialization of

935-703: The State-owned Asset Supervision and Administration Commission (SASAC) . China's state-owned enterprises generally own and operate public services, resource extraction or defense. As of 2017 , China has more SOEs than any other country, and the most SOEs among large national companies. China's SOEs perform functions such as: contributing to central and local governments revenues through dividends and taxes, supporting urban employment, keeping key input prices low, channeling capital towards targeted industries and technologies, supporting sub-national redistribution to poorer interior and western provinces, and aiding

990-698: The Kayoola EVS has a range of up to 300 kilometers making it capable of handling the daily duty cycle. With a sitting capacity of up to 90 passengers. The Kayoola EVS buses were used to offer Airport Transfer Services between Entebbe International Airport and Munyonyo Commonwealth Resort for delegates during the EU - Uganda Business Forum in March 2020. The buses have also undertaken the following exhibition drills and select shuttle services in Uganda : As of June 2024, KMC in collaboration with Luweero Industries could manufacture

1045-619: The Kiira Electric Vehicle Project and mandated the Ministry of Science, Technology and Innovation to establish and oversee the project governance and management structures. 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. Kiira Motors Corporation and National Enterprise Corporation (NEC) signed

1100-729: The Minister of Finance II, the Minister in the Prime Minister's Department in charge of the Economic Planning Unit, the Chief Secretary to the Government, Secretary General of Treasury and the heads of each of the GLICs (the Employees Provident Fund, Khazanah Nasional Berhad , Lembaga Tabung Angkatan Tentera (the armed forces pension fund), Lembaga Tabung Haji and Permodalan Nasional Berhad . Khazanah Nasional Berhad provided

1155-554: The Mobility Ecosystem. Specifically, the event will: In April 2020, Makerere University , in close collaboration with KMC, ResilientAfrica Network, and in partnership with the Ministry of Science, Technology and Innovation started the development of an open design low-cost medical ventilator , called the Bulamu Ventilator , to fill the critical need for ventilators for Uganda and the region, in response to COVID-19 . Once

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1210-612: 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. The construction and installation of a 3.7 kilometres (2 mi) long 33kV medium voltage electricity line connecting the Kiira Vehicle Plant Site to

1265-745: The President has taken definitive steps towards building a sustainable and scalable e-Mobility Ecosystem. The Government in   the National e-Mobility Strategy aims at positioning Uganda as a net source rather than a consumer of e-Mobility Solutions in Africa. Kiira Motors Corporation, a State Mobility Enterprise was established to champion value addition in  the nascent   Motor Vehicle Industry in Uganda   through Technology   Transfer, Contract Manufacturing   and Supply  Chain Localization.   This   strategic  intervention  

1320-664: The President of the Republic of Uganda, on 24 November 2011. The successful execution of the Kiira EV Project led to the establishment of the Kiira Motors Project as a government initiative for Automotive Industry Development aimed at Establishing a Vehicle Plant in Uganda. The Kiira Motors Project started the Kiira Vehicle Technology Innovation Program through which the Kiira EV SMACK, the first Electric Hybrid Vehicle designed and built in Africa,

1375-1003: The USSR. Governments in Western Europe, both left and right of centre, saw state intervention as necessary to rebuild economies shattered by war. Government control over natural monopolies like industry was the norm. Typical sectors included telephones , electric power , fossil fuels , iron ore , railways , airlines , media , postal services , banks , and water . Many large industrial corporations were also nationalized or created as government corporations, including, among many others: British Steel Corporation , Equinor , and Águas de Portugal . A state-run enterprise may operate differently from an ordinary limited liability corporation. For example, in Finland, state-run enterprises ( liikelaitos ) are governed by separate laws. Even though responsible for their own finances, they cannot be declared bankrupt ;

1430-471: The University Structures effective 1 January 2011. The strategic goal of CRTT was to advance research and innovation in transportation technologies on land, air and sea with specific emphasis on green mobility solutions for Africa. The Kiira EV Project was the first project implemented under CRTT. The Kiira EV, Africa's first electric vehicle, was completed by the team and launched by Yoweri Museveni ,

1485-425: 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. 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

1540-412: The following varieties of Kayoola EVS buses: At that time the company possessed 39 fully assembled buses (27 electric and 12 low-emission diesel). There were orders for about 100 buses from Tanzania , South Africa , Eswatini and Nigeria . The company and its partner, Luweero Industries Limited were working hard to meet those orders and secure new ones. In August 2024, the Daily Monitor reported that

1595-500: The form of Public Sector Undertakings (PSUs). The Malaysian government launched a GLC Transformation Programme for its linked companies and linked investment companies ("GLICs") on 29 July 2005, aiming over a ten-year period to transform these businesses "into high-performing entities". The Putrajaya Committee on GLC High Performance ("PCG"), which oversaw this programme, was chaired by the Prime Minister , and membership included

1650-457: The government's Ush218 billion ($ 58 million) investment package. This set the stage for completion of the manufacturing plan and the beginning of commercial production anticipated in June 2023. Source: The Kayoola EVS is the market-entry product of Kiira Motors Corporation. The Kayoola EVS is a Fully Electric , Low Floor City Bus specifically designed for Urban Mass Transportation . At full charge,

1705-523: The initial stock and Makerere University holding 4%. Africa's first electric vehicle was developed under the Kiira Electric Vehicle Project in 2011. KMC developed Africa's first hybrid vehicle, the Kiira EVS, in 2014 and Africa's first solar electric bus, the Kayoola Solar Bus in 2016. KMC's market entry products are the Kayoola EVS a Fully Electric Low Floor City Bus with a range of 300 kilometers on

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1760-412: The leading application of the incomplete contract theory to the issue of state-owned enterprises. These authors compare a situation in which the government is in control of a firm to a situation in which a private manager is in control. The manager can invest to come up with cost-reducing and quality-enhancing innovations. The government and the manager bargain over the implementation of the innovations. If

1815-487: The machine are majorly sourced within Uganda. It is expected to retail at about US$ 3,000, compared to US$ 25,000 for an imported medical ventilator. In May 2021, a new 13-person board of directors was installed. The board members of the company are as listed in the table below. Starting in September 2022, Kiira Motor Corporation began supplying both electric and diesel buses to Tondeka Metro Bus Service (TMBS), to establish

1870-494: 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

1925-406: The manufacturing plant was 95 percent complete with commercial commissioning scheduled for October 2024. The Kayoola Coach is an intercity bus in Africa that is available in both Electric and Diesel variations. The Kayoola Diesel Coach is powered by a 6-cylinder turbo charged inter cooled Cummins engine, providing over 375 horsepower, and able to achieve a top speed of 140 km/h. The Kiira EVS,

1980-434: The national electricity grid was completed, tested and commissioned by Umeme . The construction and installation of a 5.4 kilometres (3 mi) 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 . Establishment of the Kiira Vehicle Plant is expected to catalyse investment by small and medium enterprises in

2035-592: The negotiations fail, the owner can decide about the implementation. It turns out that when cost-reducing innovations do not harm quality significantly, then private firms are to be preferred. Yet, when cost-reductions may strongly reduce quality, state-owned enterprises are superior. Hoppe and Schmitz (2010) have extended this theory in order to allow for a richer set of governance structures, including different forms of public-private partnerships . SOEs are common with natural monopolies , because they allow capturing economies of scale while they can simultaneously achieve

2090-399: The private sector (perhaps because the good that is being produced requires very risky investments, when patenting is difficult, or when spillover effects exist), the government can help these industries get on the market with positive economic effects. However, the government cannot necessarily predict which industries would qualify as such 'infant industries', and so the extent to which this

2145-469: The production part manufacturing system. 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. The Kiira Vehicle Plant's contribution to employment in Uganda

2200-428: The proportion of the corporate entity a government owns. One definition purports that a company is classified as a GLC if a government owns an effective controlling interest (more than 50%), while the second definition suggests that any corporate entity that has a government as a shareholder is a GLC. The act of turning a part of government bureaucracy into a SOE is called corporatization . In economic theory ,

2255-451: The question of whether a firm should be owned by the state or by the private sector is studied in the theory of incomplete contracts developed by Oliver Hart and his co-authors. In a world in which complete contracts were feasible, ownership would not matter because the same incentive structure that prevails under one ownership structure could be replicated under the other ownership structure. Hart, Shleifer, and Vishny (1997) have developed

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2310-491: The roadmap for the Commercialization of the Kiira Electric Vehicle Project. This is to be undertaken in a phased manner with the market-entry point being assembly of vehicles (including electric vehicles) in partnership with reputable vehicle manufacturers. Cabinet approved a Seed Fund of US$ 40 Million (USh 143.7 Billion) over a period of four years starting in the Financial Year 2018/19 with an allocation of USh 24 Billion under

2365-513: The secretariat to the PCG and managed the implementation of the programme, which was completed in 2015. As of 2024, Philippines Amusement and Gaming Corporation (PAGCOR) is the most profitable state-owned enterprise in the Philippines. It is the third largest contributor to government revenues, following taxes and customs. Uganda Investment Authority The Uganda Investment Authority (UIA)

2420-469: The service. Conversely, they might be detrimental because they reduce oversight and increase transaction costs (such as monitoring costs, i.e., it is more difficult and costly to govern and regulate an autonomous SOE than it is the public bureaucracy). Evidence suggests that existing SOEs are typically more efficient than government bureaucracy, but that this benefit diminishes as services get more technical and have less overt public objectives. Compared to

2475-465: The state answers for the liabilities. Stocks of the corporation are not sold and loans have to be government-approved, as they are government liabilities. State-owned enterprises are a major component of the economy of Belarus . The Belarusian state-owned economy includes enterprises that are fully state-owned, as well as others which are joint-stock companies with partial ownership by the state. Employment in state-owned or state-controlled enterprises

2530-493: The state's response to natural disasters, financial crises and social instability. China's SOEs are at the forefront of global seaport-building, and most new ports constructed by them are done within the auspices of the Belt and Road Initiative . As of at least 2024, an Ethiopian SOE is Africa's largest and most profitable airline, as well as Ethiopia's largest earner of foreign exchange. In India , government enterprises exist in

2585-657: The term "enterprise" is challenged, as it implies statutes in private law which may not always be present, and so the term "corporations" is frequently used instead. Thus, SOEs are known under many other terms: state-owned company, state-owned entity, state enterprise, publicly owned corporation, government business enterprise, government-owned company, government controlled company, government controlled enterprise, government-owned corporation, government-sponsored enterprise , commercial government agency, state-privatised industry public sector undertaking, or parastatal, among others. In some Commonwealth realms , ownership by The Crown

2640-607: The term are challenged and subject to interpretation. First, it is debatable what the term "state" implies (e.g., it is unclear whether municipally owned corporations and enterprises held by regional public bodies are considered state-owned). Next, it is contestable under what circumstances a SOE qualifies as "owned" by a state (SOEs can be fully owned or partially owned; it is difficult to determine categorically what level of state ownership would qualify an entity to be considered as state-owned since governments can also own regular stock , without implying any special interference). Finally,

2695-745: The ventilator is developed, tested and optimally operational, the consortium will develop capacity for its mass production. The ventilator will be applied beyond COVID-19 to other severe conditions that require assisted breathing. This technology will substantially improve the capacity for critical care in Uganda. As of 30 June 2020, the consortium had undertaken Phase I of the development of the Bulamu Ventilator which included Technology Assessment & Open Design Adaptation, Systems Design and Specification, Development of Initial Engineering Prototype for Proof of Functionality and Development of Three (3) Engineering and Validation Prototypes. The raw materials for

2750-581: The viability of vision Vehicles Made in Uganda. This informed the development of the Kiira Motors Corporation Business Strategy and subsequently Business Plan. The KMC Pre-Investment Analysis (Business Case) was launched by the Uganda Prime Minister Ruhakana Rugunda on 7 December 2015 at the President's Office Conference Hall. Cabinet of Uganda sitting on Monday 9 April 2018 at Statehouse Entebbe approved

2805-664: The world took part in a Vehicle Design Summit (VDS) to design and bring to market a 5-Seater plug-in hybrid electric vehicle, the Vision 200, targeting the Indian market. Under the United States-based Massachusetts Institute of Technology led three-year project, Uganda's Makerere University was the only participant from Africa. The team from the Faculty of Technology now College of Engineering, Design, Art and Technology

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2860-558: Was created by the Ugandan Parliament in 1991. The mission of the UIA is to promote and facilitate investment projects, provide serviced land, and advocate for a competitive business environment. The UIA works with the government and the private sector to promote the economic growth of Uganda through investment and infrastructure development. UIA's parent ministry is the Ministry of Finance, Planning and Economic Development. The institution

2915-693: Was developed and unveiled at a very high-profile event at the Kenyatta International Convention Centre in Nairobi, Kenya in November 2014. The team then designed and built the Kayoola Solar Bus, the first Electric Solar Bus designed and built in Africa. The Kayoola Solar Bus was launched by Yoweri Museveni on 16 February 2016 at the Kampala Serena Hotel . Kiira Motors conducted a Pre-Investment Analysis (The KMC Business Case) to affirm

2970-528: Was expected to start during the first half of 2022. 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. In May 2022, the Ugandan Finance Ministry released the final Ush159 billion ($ 42 million) of

3025-710: Was responsible for design and integration of the Low Power Electronics and Data Networking Systems. Given the experience in building the Vision 200, other global experiences through collaborations, and best practices benchmarking, the Makerere team resolved to embark on a project aimed at designing and building a vehicle in Uganda. The Center for Research in Transport Technologies (CRTT) was then conceived under Makerere University in December 2008 and approved as part of

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