MPs want UEGCL to build big power plants

Oct 13, 2010

MEMBERS of Parliament want the Uganda Electricity Generation Company Limited (UEGCL) to construct big hydro-power dams to generate the badly needed electricity instead of leaving a few projects to private companies.

By John Odyek and Paskazia Tumwesigye

MEMBERS of Parliament want the Uganda Electricity Generation Company Limited (UEGCL) to construct big hydro-power dams to generate the badly needed electricity instead of leaving a few projects to private companies.

The recommendation was made by the parliamentary committee on commissions, statutory authorities and state enterprises yesterday after learning that only a few private companies were investing in the generation of electricity.

The MPs also heard that the Government-owned UEGCL was not mandated to construct hydro-power plants.

Top management of the company had appeared before the committee to answer queries in the Auditor General’s report .

Reagan Okumu, the committee chairperson, said electricity generation was a strategic sector, relevant for economic and security stability.

“If private people walk away it will be a disaster for the country,” he noted.

Okumu argued that some of the small hydro power projects being fronted by UEGCL as public-private partnerships had taken long to get completed.

He cited Ayago, Karuma and Isimba projects, which he said had documented potential but were still undergoing studies instead of constructing power plants as agreed.

John Mugyenzi, the UEGCL boss, explained that in 1999, the Uganda Electricity Board was split into three sections of generation, transmission and distribution, with the hope that many private investors would be attracted to the sector, which did not happen.

He explained that a hydro-power development unit had been transferred from the energy ministry to his company.

Mugyenzi also dismissed claims that the construction of more hydro-power projects on the River Nile would affect the flow of water to Egypt.

The AG queried the conflict between Uganda and Egypt over adequate water for generating electricity at Kiira and Nalubaale power stations.

“The beauty of a hydro power project is that you don’t use the water. Water is briefly held at the dam but the flow from up stream pushes it and flows without interference,” he said.

(adsbygoogle = window.adsbygoogle || []).push({});