National
SACCOs to manage electricity networks in rural areas
Publish Date: May 26, 2014
SACCOs to manage electricity networks in rural areas
An engineer fixes a power line
  • mail
  • img
newvision

By Ronald Kalyango

The government has intensified a campaign to encourage communities to form Savings and Credit Cooperative Societies (SACCOs) to manage the country’s electricity distribution networks in rural areas, a top official has said.


Gabriel Hatega, a board member of the Rural Electrification Agency revealed this during a recent tour of rural electrification projects in Kyegegwa, Kyenjojo and Kasese districts.

“We have demonstrated this model in two districts and the results are noticeable, we want more cooperatives to be formed to manage the different power line networks which have been constructed,” explained Hatega.

He said cabinet recently approved a 10-year rural electrification strategy and plan (2013-2022), designed to increase electricity access in rural areas from the current 7% to 26% in 2022.  A 50% target has been planned for 2030 while universal access in 2040.

Hatega, however, said national access to electricity has increased from 5% in 2001 to 14% in 2013 with a targeted 40% in 2022 while 80% target has been planned to be achieved in 2030.

To achieve their targets, he says the country has been divided into 14 service territories aimed at attracting more concessionaires to operate electricity lines constructed by government under the rural electrification arrangement.

“We want more service providers to help operate the constructed lines in rural areas. We shall give them certain conditions and this will form the basis to renew their contracts,” said Hatega.

So far there are three cooperative organisations in Bundibugyo, Pader and Kyegegwa districts managing electricity distribution lines in their respective areas.

“We want more cooperatives to manage electricity power networks using the cooperative model,” he explained.

The Bundibugyo Energy Cooperative Society Ltd (BECS), the first to manage electricity distribution, maintenance of power lines and managing revenue from consumers, has 1,700 registered members out of which 1,500 have been connected on the national grid.

The manager of Kyegegwa rural electricity co-operative society Ltd; Charles Matovu informed the team that they boast of 466 registered members while 1,448 connections have been registered to date since last year.

He, however, complained of the continued vandalism of the transformers. In other areas like Kyegegwa town, Butunduzi, Kakabara, Nabingoola the transformers are overloaded.

“During the process of constructing the power line, a number of people’s properties were destroyed while creating the right of way for the power line. Since then, community members have become hostile to our staff,” he complained.

The chairperson of the cooperative, Musa Swaibu said consumers use a prepaid electricity billing system which is somehow cost effective.

Swaibu explained that the program had empowered ordinary citizens to take charge of cost-friendly electricity management schemes and will increase efficiency and coverage of power across the country.

REA’s communications officer; Pamela Kusimba, however, challenged the managers of the cooperatives to provide solar equipments to people who can’t access electricity on a loan scheme basis.

RELATED ARTICLES

AG unearths rot in SACCOs

URA warned over taxing SACCOs

SACCOs interest rates set at 13%

Stop failing SACCOs - minister warns politicians

Army SACCOS gets new command

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
First Lady Janet tips on Internet use
The First Lady and Minister for Karamoja Affairs Janet Museveni asks UCC to launch a national awareness campaign on cyber security to educate children and parents on child online protection....
Museveni gives sh30m to Kikosi Maalum veterans
The Kikosi Maalum veterans, are a special group of ex-servicemen who participated in the fight that led to the overthrow of Idi Amin government....
Tough times as drought hits Kasese farmers
Pastoralists in Kasese district are crying foul after the area was hit by a severe drought, which has left pasture and seasonal rivers dry....
MP Tinkasiimire gets back bride price
The father of Lynn Mbabazi who was married to Buyaga West MP Barnabas Tinkasiimire, has returned the bride price to the legislator’s family after a collapsed marriage....
Police arrests five over Kampala bank robbery
Police in Kampala have arrested five people in connection with the robbery of a bank, one month after a countrywide hunt by the Police Flying Squad....
Gov’t needs sh2.2trillion for HIV/Aids control by 2016
Government needs about sh2.2trillion for HIV/Aids response by the year 2016, money that is required to procure antiretroviral (ARV) drugs, HIV test kits and other related supplies....
Do you agree with the ban on the export of maids?
Yes
No
Can't Say
follow us
subscribe to our news letter