Umeme to invest sh11b in eastern Uganda power grid

Jul 23, 2022

“Our current and prospective clients in those areas should look forward to receiving better services in this major network expansion and improvement initiative."

Umeme to invest sh11b in eastern Uganda power grid

Ricks Kayizzi
Journalist @New Vision

In a bid to improve power reliability in eastern Uganda, power distributor Umeme has earmarked sh11bn in projects to be implemented by end of this year.

In a recent press release issued by Umeme, the power distributor said that eastern Uganda districts of Jinja, Iganga, Kamuli, Tororo and Mbale, are set to benefit from this initiative.

“Our current and prospective clients in those areas should look forward to receiving better services in this major network expansion and improvement initiative," reads the release, signed by Selestino Babungi, Umeme’s managing director.

Umeme’s Managing Director Selestino Babungi

Umeme’s Managing Director Selestino Babungi

This pronouncement was made during an engagement with security and political leaders on June 21, in Iganga district.

Babungi said Umeme will replace rotten poles and string cables on the Lugazi town, Jinja–Kamuli and the Iganga–Kibimba power distribution lines which stretch further eastwards. The entire exercise, he says, will cost the company $3m (sh11b).

The Company says it is prioritising such projects across Uganda to catalyse economic growth.

“This investment, we believe, will address the power supply challenges of the line from Jinja, all the way to Kamuli and ramp up the Iganga-Busitema line, stretching all the way to eastern Uganda,” said Babungi.

He said once the works are fully implemented, common complaints such as power cuts due to system failure will be a thing of the past, amplifying Umeme as a reliable development partner to Ugandans.

Robert Mubiru, Umeme’s programme execution manager, said works would begin in July and run until November 2022.

He said during implementation, there would be some planned outages to enable the contractor to carry on with work without risk of accidents.

Kamuli RDC Rose Birungi said just like security, electricity is a prerequisite to development.

“Although there will be inconveniences during the implementation of the project, we have no doubt that the service would improve once the works are done. We should all join hands and ensure the contractor receives full corporation to enable them to deliver the project within the allocated budget and on time,” she said.

Ramathan Walugembe, the Bugiri Resident District Commissioner, said when there is constant power, the youth – who constitute up to 80 per cent of Uganda’s population – will engage in productive activities such as welding and milling.

“Therefore, it is imperative that we guard Umeme property if they are to offer a reliable service. The power supply should be kept constant for both safety and optimal utilisation,” he said.

Babungi said they need the support of the security agencies to reduce the vandalism of electricity infrastructure, adding that vandalism contributes to power outages and the vandals endanger the lives of many people.

“Due to vandalism, we are forced to replace vandalised infrastructure, which impacts on the pricing of electricity by increasing the cost of our operations," he said.

He reiterated the company’s commitment to solving distribution inefficiencies and ensuring reliable and affordable electricity supply to support Uganda’s industrialisation drive and access to clean energy.

Umeme has heavily invested in the network by revamping the old power lines to stabilise the electricity supply leading to a reduction in energy losses from 38% in 2005 to 17% today.

The Company has also rationalised billing and commercial processes through a rollout of technological solutions leading to a sustained collection rate of 99.8% of billed revenues.

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