High dependency on biomass has been associated with energy poverty in Uganda with successful intervention to modern energy expected to results to economic transformation. This paper examines utilization of various forms of cooking energy sources among households using data from the 2005/6 Uganda National Household Survey (UNHS). Results indicate that utilization of modern energy sources was only by 4 percent of households. A multinomial probit model (MNP) was used to estimate coefficient of determinants of energy choices. Determinants of household energy choices were observed as consumption expenditure welfare, residing in urban or rural areas, household size, achievement of education levels beyond primary level and regional location of a household. The study recommended deliberate efforts by government to intervene in addressing low adoption of modern energy especially now that the country has oil and gas reserves. The government should implement policies to encourage private sector involvement in provision of modern energy alternatives, provision of micro-credit for buying equipments and availing modern energy in smaller quantities.