PARLIAMENT, Uganda — The Uganda Law Society has asked Parliament to declare the agreement behind the Intelligent Transport Monitoring System (ITMS) void and suspend further fee collections until the government completes a competitive procurement process.
The society made the demand on Oct. 12, 2026, while appearing before Parliament’s Committee on Physical Infrastructure, which is investigating the controversial digital number plate project.
The delegation included Senior Advocate Phillip Karugaba of ENSAfrica, Advocate Stanley Okecho and Advocate Mugabi Roger of Gem Advocates. They challenged the legality of the agreement between the government and Russian firm Joint Stock Company Global Security.
The lawyers argued that the arrangement constitutes a public private partnership that was entered into without complying with requirements under the Public Private Partnerships Act, Cap. 211.
They said the law requires competitive procurement, an approved feasibility study and an approved financial model. According to the society, these safeguards cannot be bypassed through a presidential directive.
The ULS also raised concerns about the right to privacy under Article 27 of the Constitution. It argued that any restriction of that right must satisfy the constitutional standards governing limitations on individual freedoms.
The society further questioned the agreement under the Competition Act, Cap. 66, arguing that granting one company exclusive control over digital number plate production and related technologies undermines competition.
It said the arrangement denies motorists the benefits of alternative suppliers, potentially limiting consumer choice and keeping costs high.
The ITMS is a 10 year project agreed upon in July 2021. It combines digital number plates, vehicle tracking devices, CCTV cameras and automated traffic enforcement tools, with the stated aim of improving security, vehicle recovery and traffic management.
Motorists are charged Shs714,300 for a new set of digital number plates, according to the official ITMS portal. The project has also attracted scrutiny over its revenue sharing arrangements, with concerns about the proportion of traffic fines allocated to the private contractor.
The ULS submission comes days after Attorney General Sam Mayanja told the same committee that the 2021 agreement was legally null and unenforceable because it contradicted existing Ugandan laws.
Mayanja, who appeared before the committee on Oct. 6, said the contract required a major overhaul. He questioned the absence of a proper feasibility study and raised concerns about the contractor earning revenue from fines that would ordinarily be collected by the government.
The committee has also heard concerns about the role of the National Enterprise Corporation (NEC), the commercial arm of the Uganda People’s Defence Forces.
Defence Minister Kiryowa Kiwanuka told lawmakers that NEC had never been effectively involved in implementing or operating the system, despite a cooperation agreement signed in 2023.
Under that arrangement, NEC was expected to receive 5% of fines and penalties and contribute land and other resources. Kiwanuka said the land was not used for the project and NEC had not been integrated into its operations.
The security benefits of the system have also featured in the inquiry. Uganda Police Force officers demonstrated its vehicle tracking capabilities to lawmakers at the National Control and Command Centre in Naguru.
Police reported recovering 337 of 375 stolen vehicles in cases involving the tracking system. However, concerns remain about its effectiveness in tracing motorcycles and how quickly security agencies respond to alerts.
Lawmakers have also questioned whether the digital number plates themselves can independently track vehicles. Earlier findings by the committee indicated that tracking depends on a separate device installed alongside the plates, raising additional questions about data collection and privacy safeguards.
The contractor has defended its capacity to implement the project, pointing to local employment, procurement and the number of plates installed. However, production and installation delays have drawn criticism from lawmakers and industry stakeholders.
The Uganda Manufacturers Association previously told Parliament that the exclusive arrangement had contributed to delays, higher costs and disruption to businesses. Lawmakers have also examined reports of potential tax revenue losses linked to the slow issuance of plates.
The Committee on Physical Infrastructure, chaired by Mwine Mpaka, is expected to compile its findings and recommendations for Parliament. The ULS submission adds to mounting legal, financial and operational questions surrounding the project.
Parliament has yet to make a final determination on the agreement. The society’s demand for its cancellation and suspension of fee collections remains a submission to the ongoing inquiry, rather than a decision already taken by the House.
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