New Energy Nexus Uganda is set to support 1,500 smallholder farmers in Northern Uganda by financing mechanization equipment under its Productive Use of Renewable Energy for Agriculture program.

Targeting farmers in the Acholi Sub-region, the initiative promotes mechanized farming, focusing on irrigation, milling, and drying to enhance productivity.

Affordable Access to Equipment

Joy Musimenta, the project officer, emphasized that most farmers struggle to afford equipment due to high costs and interest rates. To address this, the program allows farmers to pay 10% upfront and settle the remaining balance in quarterly installments after harvesting and selling their produce.

Strategic Partnerships

New Energy Nexus Uganda is collaborating with the Northern Uganda Tractor Owners, Operators and Farmers Association (NUTOFA), Tulima Solar, and Mercy Corps to ensure equipment reaches farmers in organized groups. Tulima Solar provides solar-powered machinery, while farmers repay loans at a 14% annual interest rate.

Robert Acac Okok, Chairperson of NUTOFA SACCO, noted that high interest rates from commercial banks have limited farmers’ access to mechanization. He emphasized that the quarterly repayment model at 14% interest makes equipment more attainable for smallholders.

Impact on Farmers

Local farmers welcome the initiative. Christine Amony, leader of Bedo Kwiri Pe Yot farmers’ group, said her team manually irrigates their vegetable gardens, limiting their production. With access to mechanized irrigation, they plan to expand from two to four acres.

Similarly, Concy Atim from Pawel Angany farmers’ group highlighted the challenges of dry-season farming, noting that mechanized irrigation would enable year-round production.

This initiative aims to boost agricultural productivity, reduce manual labor, and ensure sustainable farming practices in the region.