Bujagali Awaits US Report
THE Government is renegotiating the $520m Bujagali hydro-electric power project deal with AES as it awaits the United States (US) Department of Justice (DOJ’s) final probe report.
By Yunusu Abbey
THE Government is renegotiating the $520m Bujagali hydro-electric power project deal with AES as it awaits the United States (US) Department of Justice (DOJ’s) final probe report.
Syda Bbumba, the energy and mineral development minister, told The New Vision on Friday, “The project cannot take off until the Justice Department completes its investigations. But since we are committed to the project, we are trying to renegotiate parts of the contract with AES to safe guard the deal.â€
“The Justice Department is an independent body which we don’t have control over. So we don’t know when its report will be ready. Nothing can take place until AES is given the go-ahead,†she said.
“We strongly feel Bujagali was a good deal that’s why we are still stuck to it and renegotiating with AES. But if the worse comes to the worst, we have never run short of alternatives. We have always had options for the project.â€
The DOJ is conducting criminal investigations on bribery allegations raised against Viedekke, a Norwegian construction company, which AES contracted to build the 250-megawatt Bujagali dam.
It was alleged that Viedekke’s English subsidiary, Norcil, paid out bribes to Ugandan officials in 1999 while lobbying to construct the Karuma dam. But the Norwegians have since denied the charges.
Bbumba refuted press reports that the World Bank had suspended funding the Bujagali project for seven years.
“That’s totally untrue. Those behind the story are wishful thinkers who are all out to jeopardise the project,†she said. Ends
THE Government is renegotiating the $520m Bujagali hydro-electric power project deal with AES as it awaits the United States (US) Department of Justice (DOJ’s) final probe report.
Syda Bbumba, the energy and mineral development minister, told The New Vision on Friday, “The project cannot take off until the Justice Department completes its investigations. But since we are committed to the project, we are trying to renegotiate parts of the contract with AES to safe guard the deal.â€
“The Justice Department is an independent body which we don’t have control over. So we don’t know when its report will be ready. Nothing can take place until AES is given the go-ahead,†she said.
“We strongly feel Bujagali was a good deal that’s why we are still stuck to it and renegotiating with AES. But if the worse comes to the worst, we have never run short of alternatives. We have always had options for the project.â€
The DOJ is conducting criminal investigations on bribery allegations raised against Viedekke, a Norwegian construction company, which AES contracted to build the 250-megawatt Bujagali dam.
It was alleged that Viedekke’s English subsidiary, Norcil, paid out bribes to Ugandan officials in 1999 while lobbying to construct the Karuma dam. But the Norwegians have since denied the charges.
Bbumba refuted press reports that the World Bank had suspended funding the Bujagali project for seven years.
“That’s totally untrue. Those behind the story are wishful thinkers who are all out to jeopardise the project,†she said. Ends