MPs Raise Alarm Over Shs7.7bn Non-Functional Oxygen Plants in Regional Hospitals

The Committee on Public Accounts (Central Government) has raised concerns over the failure of oxygen plants worth Shs7.7 billion to operate in Moroto, Yumbe and Soroti Regional Referral Hospitals, warning that the situation is undermining healthcare delivery in underserved regions.

The concerns are contained in the committee’s report on the Auditor General’s report for the year ended December 31, 2025, which was presented by Deputy Chairperson Hon. Sarah Lwansasula on Thursday, November 5, 2026.

According to the report, two oxygen plants at Moroto Regional Referral Hospital, valued at Shs3.72 billion, have remained non-functional for three years due to the incomplete construction of their plant house.

The Ministry of Health (MoH) had entrusted the UPDF Engineering Brigade with completing the facility on July 30, 2022, under a six-month arrangement. However, the work remains unfinished, with the plant house locked up.

In Yumbe, the committee found that an oxygen plant valued at Shs3.727 billion remains incomplete, with the project site abandoned and an 800-ampere circuit breaker reportedly damaged during transportation.

At Soroti Regional Referral Hospital, the audit established that two of the three oxygen plants were not operational. One had never been formally handed over by the UPDF and the Ministry of Health, while another remained unserviced because its maintenance contract is managed centrally.

“The committee observed that oxygen plants worth Shs7.7 billion in underserved regions have produced little or no oxygen. The failure to complete and hand over a six-month contract after more than three years reflects serious contract management failures and undermines service delivery,” the report stated.

The committee recommended that the Permanent Secretary and Secretary to the Treasury at the Ministry of Finance hold the Ministry of Health and the UPDF Engineering Brigade accountable for the delays.

Lwansasula said the two institutions should complete and hand over the stalled facilities within 60 days of Parliament adopting the report.

“MoH and the brigade should, within 60 days of adoption of the report, expedite completion and handover of the Moroto, Yumbe and Soroti plants and service the two Soroti plants,” she said.

Beyond the oxygen plant failures, the committee also raised concerns over delayed deliveries by National Medical Stores (NMS), medicine stock-outs and the expiry of essential drugs in several regional referral hospitals, including Fort Portal, Gulu, Hoima, Kayunga and Soroti.

The audit established that NMS deliveries were delayed by up to 28 days at Fort Portal, 38 days at Gulu, 44 days at Hoima, 27 days at Kayunga and 136 days at Soroti.

Medicine stock-outs were also found to have lasted as long as 157 days at Arua Regional Referral Hospital, 102 days at Hoima and 400 days at Soroti.

“The committee observed that prolonged medicine stock-outs disrupt treatment and compromise patient care. For example, Soroti RRH experienced a 400-day stock-out of second-line antiretroviral medicine, Darunavir, while the medicine expired at Arua and Hoima RRHs during the same period, limiting redistribution opportunities,” Lwansasula said.

To address the supply challenges, the committee directed NMS to report to Parliament within 60 days of adoption of the report on its delivery performance to each regional referral hospital.

It also recommended that the Ministry of Health establish a system for redistributing programme medicines nearing expiry among hospitals to minimise wastage.

Additionally, accounting officers were directed to introduce monthly stock monitoring and quarterly reporting on medicine stock-out days, order fulfilment and delivery performance.

The committee’s eight reports were adopted without debate following guidance from Speaker of Parliament Jacob Marksons Oboth.

Government is expected to present a Treasury Memorandum within six months, outlining the actions taken to implement Parliament’s recommendations.

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