48 power projects ready for development
Feb 01, 2007
OVER 48 small hydro-power projects are ready for development, paving way for faster rural electrification, a statement from the energy ministry has said. The projects with a capacity of over 50MW are located in mountainous areas.
By Ibrahim Kasita
OVER 48 small hydro-power projects are ready for development, paving way for faster rural electrification, a statement from the energy ministry has said. The projects with a capacity of over 50MW are located in mountainous areas.
Thirty-eight of the sites are not committed, while permits for 10 have expired. The 10 are available for new investors to construct and generate electricity.
Investors interested in the sites can apply through competitive bidding or direct entry.
Competitive bidding is allowed for sites where adequate studies have been carried out.
The best bidder is given exclusive rights to carry out due diligence before negotiation for a Power Purchase Agreement (PPA) and subsequent licensing.
Direct entry applies to sites with no adequate or up todate information. The developer may apply for a permit to carry out detailed feasibility studies, negotiate for the PPA and obtain a licence.
However, no licence is required for sites with capacity equal to or less than 0.5MW.
Hydro-power plants with capacity not exceeding 10MW can be owned by the developer in perpetuity.
Before a licence is issued, the developer should obtain a water permit from the Directorate of Water Development, consent from National Environment Management Authority and a PPA from Uganda Electricity Transmission Company.
OVER 48 small hydro-power projects are ready for development, paving way for faster rural electrification, a statement from the energy ministry has said. The projects with a capacity of over 50MW are located in mountainous areas.
Thirty-eight of the sites are not committed, while permits for 10 have expired. The 10 are available for new investors to construct and generate electricity.
Investors interested in the sites can apply through competitive bidding or direct entry.
Competitive bidding is allowed for sites where adequate studies have been carried out.
The best bidder is given exclusive rights to carry out due diligence before negotiation for a Power Purchase Agreement (PPA) and subsequent licensing.
Direct entry applies to sites with no adequate or up todate information. The developer may apply for a permit to carry out detailed feasibility studies, negotiate for the PPA and obtain a licence.
However, no licence is required for sites with capacity equal to or less than 0.5MW.
Hydro-power plants with capacity not exceeding 10MW can be owned by the developer in perpetuity.
Before a licence is issued, the developer should obtain a water permit from the Directorate of Water Development, consent from National Environment Management Authority and a PPA from Uganda Electricity Transmission Company.