The defending champions showed their thirst for victory playing with much purpose from the first whistle and it was not long before Brian Umony shook the net after a neat exchange with lethal winger Moses Oloya.
Uganda dominated the early minutes of the match and would have scored more than two goals were they more coordinated upfront.
Oloya instigated the move by finding out the advancing Emmanuel Okwi who wasted no time to slide it to Umony to complete a good run in the ninth minute.
Cranes continued to pile pressure time and again giving Ethiopia’s defense a torrid time on the slippery surface. The red hot Umony was to come close again in the 26th minute with a brilliant attempt which crashed on the wood work.
The hosts now have a strong command of Group A with six points from two matches while Kenya's Harambee Stars who had earlier beaten South Sudan 2-0 are second on three points.
Ethiopia is third with similar points but with an inferior goal difference while South Sudan are bottom of the Group with no points.
The debutantes had lost 0-1 to Ethiopia in their opening match. The outcome puts Kenya and Ethiopia in a tight spot as they both angle themselves for the remaining last eight slots when they face off on Friday.