Business
Uganda awards another hydro-electric project to Chinese firm
Publish Date: Jul 30, 2013
Uganda awards another hydro-electric project to Chinese firm
  • mail
  • img
newvision

By Taddeo Bwambale

The Government has cleared a Chinese firm to start construction of the 188 megawatt (MW) Isimba Hydropower dam.

China International Water & Electric Corporation (CWEC) signed a memorandum of understanding with the Government last week.

The energy ministry’s assistant commissioner for electric power, Eng. Henry Bidasala, said the preparations for signing a contract with the firm were ongoing, adding that the process would be concluded by the end of next month.

The Chinese government will finance the project with a $570m (sh1.4trillion) loan.

Through a bilateral arrangement, the Chinese government and the EXIM Bank, will provide the funds.

“We have submitted our assessment of the land and assets in the area to the chief government valuer, after which we shall start paying the residents,” Bidasala said.

The project will enable at least 350 households to access electricity. Preliminary estimates show that each affected household will receive a package of $10,000 (about sh25m). According to Bidasala-Igaga, the residents will be given a three-month period to leave the project site after receiving their packages.

Upon completion, Isimba hydropower dam will be the fourth largest hydropower project in Uganda, after the 250MW Bujagali power project that was switched on last year, the 600MW Karuma dam and the 600MW Ayago power station.

The proposed plan indicates that Isimba will be located 40km downstream from Bujagali dam.

The hydropower project also includes the construction of a 132 MKV power transmission line connecting to Bujagali.

Lin Renwei, the CWEC country representative, said the hydropower project would be produced at 68 cents per kilowatt hour, considered the lowest in East Africa.

The extension of power to more areas is expected to be boosted by smaller renewable hydropower projects that will deliver a total of 68.5 MW to the national grid.

They include Buseruka (9MW), Nyagak I (3.5MW), Kisizi (0.26MW), Bugoye (13MW), Mpanga (18MW), and Ishasha (6.5MW).

 

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Private companies to take over city garbage collection
Kampala Capital City Authority deputy director for public health Dr Daniel Okello has said they have so far licensed three private companies under which other willing private companies can affiliate to do the garbage collection business....
Authors, publishers to earn big in secondary curriculum review
National curriculum development centre (NCDC) bosses have advised authors and publishers to take advantage of the coming Integrated Secondly education curriculum to author quality books as they aim to make money...
Tomatoes have helped him to change his fortunes
Juma Ssentamu thought his hope of having a bright future had ended, when his mother got seriously sick. He thought he would have a miserable future because he was working hand in hand with his mother....
Coffee farmers urged to form co-operative societies
The coffee farmers in Kalungu district have been argued to embrace the formation of co-operative societies, since they are to address the problem of unfair prices that are mainly caused by the middlemen, and generally to increase on the production of coffee in the area....
70 private equity firms seek local partnerships
Small and medium-sized enterprises have another chance to link up with well-capitalised private equity firms next month to take their businesses to a higher level....
Qatar to house 250,000 labourers in new
Qatar is to build seven "cities" to house more than a quarter of a million migrant labourers building major infrastructure and projects for the 2022 World Cup, officials said Tuesday....
Should government scrap PLE?
Yes
No
Can't Say
follow us
subscribe to our news letter