MPs ask Auditor General to audit UNBS spending and procurement
On July 14 this year, Parliament's Committee on Tourism, Trade and Industry was asked to investigate allegations of unauthorised expenditure, procurement deviations and non-procedural recruitment at UNBS which had not been investigated to conclusion.
The audit, recommended by the Committee on Tourism, Trade and Industry, is expected to cover the last five financial years and be reported to Parliament within six months. (Photo by Miriam Namutebi)
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Parliament has asked the Auditor General to conduct a special audit into expenditure, procurement and recruitment at the Uganda National Bureau of Standards (UNBS) amid concerns over alleged financial irregularities, weak controls and unresolved governance disputes at the standards body.
The audit, recommended by the Committee on Tourism, Trade and Industry, is expected to cover the last five financial years and be reported to Parliament within six months.
The committee also wants the Auditor General to conduct a value-for-money audit of UNBS’ non-tax revenue (NTR) collection and use, including whether fees charged for certification, testing and calibration are based on a sound cost-recovery model.
On July 14 this year, Parliament's Committee on Tourism, Trade and Industry was asked to investigate allegations of unauthorised expenditure, procurement deviations and non-procedural recruitment at UNBS which had not been investigated to conclusion.
There were also allegations of financial impropriety, including a sh12.5 billion misappropriation matter involving a former executive director, as well as concerns over the clearance of 116 vehicles at origin without inspection.
In its report to Parliament presented by committee chair Henry Boniface Okot, the committee said the allegations required independent verification before individual responsibility could be established.
“The allegations of unauthorised expenditure, procurement deviations and non-procedural recruitment have not been investigated to conclusion. The committee therefore recommends that the Auditor General undertake a special audit of UNBS expenditure, procurement and recruitment covering the last five financial years and report to Parliament within six months,” Okot said.
The MPs also recommended that the Auditor General scrutinise the way UNBS collects and uses non-tax revenue.
According to the committee, UNBS collected more than sh87 billion in NTR in the financial year 2025/26, while its projected NTR target for the following year was sh200 billion.
The committee described the target as unrealistic when compared with the bureau’s actual collection capacity.
The committee recommended that UNBS adopt realistic, evidence-based NTR targets and report quarterly on performance.
It further proposed that Government examine a mechanism for ring-fencing a defined portion of revenue collected for specific services and releasing it at the beginning of each quarter so that fees paid for certification, testing and calibration reach the units responsible for delivering those services.
The committee specifically asked the Auditor General to conduct a “value-for-money audit of NTR collection and use, including the cost-recovery basis of each fee.”
In terms of budget operation for FY2026/27, the Bureau reportedly approved a budget of about sh130 billion against a reported funding requirement of Shs457 billion, leaving a gap of approximately sh326 billion.
The committee said the shortfall had left critical activities underfunded, including imports inspection, market surveillance, standards development, wages and development expenditure.
It warned that inadequate financing was contributing to delays in certification and other services offered by the Bureau.
The committee also found that UNBS’ funding model had created a disconnect between fees collected from clients and resources available to the units delivering services. It noted that clients pay fees into the Consolidated Fund while UNBS receives appropriated funding through quarterly releases.
Certification delays
The inquiry found that product certification remains one of the biggest complaints raised by manufacturers and small businesses.
UNBS officials told the committee that the average time required to certify a product was about five months against an internal target of one month. First inspections could take about eight months, while some applicants had reportedly waited up to two years.
Between FY2021/22 and FY2024/25, UNBS received 35,935 applications but issued 26,543 permits, representing a completion rate of about 73 per cent.
“Despite the increase in output, the average certification turnaround time reached 5.7 months in FY2025/26—the highest in the period reviewed. The delays impose costs on businesses and can create opportunities for corruption, particularly during permit renewal,” the committee said.
The committee also raised questions about the integrity of the chairperson of the National Standards Council, saying evidence presented to it indicated that the chairperson had used the prefix “Eng” despite not being registered as an engineer.
The committee said the issue raised questions about fitness to hold office in an institution responsible for setting and maintaining national standards.
It recommended that the Minister of Trade, Industry and Cooperatives, subject to the rules of natural justice and the chairperson’s right to be heard, initiate the process for removal under section 5(2)(d) of the UNBS Act on grounds of unfitness.
It also proposed amendments to the UNBS Act to prescribe academic and professional qualifications for the chairperson and members of the National Standards Council and require rigorous vetting of future appointees.
Paul Mwiru, the Opposition chief whip, said it was unfortunate for a critical agency like UNBS to operate with a staffing deficit.
“We need to do whatever is possible to support UNBS because when we support them then we can raise more non-tax revenue.”
Abdul Bisaso (Kassanda South) said some of the imported products on the market are substandard with less restrictions yet the Ugandan products are required to follow a strict certification procedure.
Emmanuel Biara (Bulambuli County) said UNBS needs to be transparent in the recruitment exercises. In 2023, when the position of executive director fell vacant, there was a lot of controversy surrounding the recruitment of the successor.
Deputy Speaker Thomas Tayebwa directed that UNBS has no locus to come up with a manual to regulate the powers of the minister.
He said the minister’s powers can only be checked through the amendment of the law.