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Uganda's Energy Transition Plan (ETP, 2023) indicates the country loses approximately 72,000 hectares of forest annually, with charcoal as the primary cooking fuel for over 55% of households. A significant urban reliance on charcoal, particularly in Kampala where 82% of households use it, raises concerns about deforestation and the affordability of cleaner energy alternatives.

The government's potential ban on charcoal use in cities, hinted at by Energy Minister Ruth Nankabirwa, follows a 2023 executive order prohibiting charcoal burning in specific northern regions. Uganda aims for a 22% reduction in greenhouse gas emissions by 2030 as part of its commitments under the COP28 UAE Consensus.

The Uganda Pearl Carbon Platform, launched at COP30, seeks to manage carbon credits to support clean energy initiatives. Despite increased electricity capacity, only 1.5% of households use LPG, and charcoal consumption continues to rise, posing obstacles to achieving climate targets. The country needs $2.5 billion annually for climate goals, with only 30% sourced domestically.