Vivo Energy in expansion drive across UgandaAssi, in branded attire, takes a tour of the new Shell Makindye service station which is one of Vivo’s additional 15 opened in Uganda.
An improving road infrastructure is one of the main reasons why, Vivo Energy Uganda, the local Shell products distributor, is expanding its service station network.
Gilbert Assi, the Vivo managing director said earlier today the expansion reflects an 8.6 percent growth in the Shell service station network across the country to ensure convenience and accessibility for customers.
“The need for network expansion is informed by the growth of Uganda’s economy and improvement in infrastructure which has opened up new roads and suburbs. This compels our investment to scale up provision of high quality products and services to meet the growing and changing motorists’ needs,” he said during the official opening of the new Shell Makindye that features a KFC restaurant and Bosch Car Service centre.
Based in the Netherlands, Vivo Energy deals in Shell branded fuels and lubricants with a network of more than 1,800 service stations in 15 countries across North, West, East and Southern Africa.
Assi said the recent expansion phase is expected to increase tax remittances as a result of sales growth. According to the Uganda Revenue Authority, Vivo Energy Uganda remitted taxes of UGX 398.9 billion (nearly $110 million) in financial year 2018/19, becoming the third largest taxpayer in the country.
He said, “Our ambition is to provide an exceptional retail experience at all our service stations, reaching more people with better products and services wherever we do business. We are investing significantly to make this a reality by expanding our footprint.”
In recent months, Vivo Energy Uganda has added 16 new stations, expanding the Shell network countrywide to 151. The stations include Shell Kisoro, Shell Juba Road, Shell Katosi, Shell Masaka Highway, Shell Katungulu, Shell Janda, Shell Kabale Highway, Shell Bulindo, Shell Kiwatule, Shell Tula, Shell Buwama, Shell Mityana and Shell Makindye.
In June this year, Vivo Energy Uganda announced the formation of a 50:50 joint venture with Kuku Foods East Africa Holdings, the owner of KFC franchises in East Africa to accelerate the roll-out of KFC restaurants in Uganda, Kenya and Rwanda.
“These new service stations will also stimulate economic growth through the creation of employment in the communities where we invest. As a result of the network expansion, a total of 400 direct jobs and hundreds of indirect jobs have been created across the country this year,” Assi said.