As a member of the Eastern Africa Power Pool (EAPP), Mutikanga highlighted that regional power interconnections are envisaged to be developed to ease the access to electricity power supply to all people of the countries in the Eastern Africa Region.
“Our strategic objective in this regard is to ensure operational and investment efficiency so as to realise a competitive tariff,” he said in an exclusive interview with Future Energy Uganda.
UEGCL looking at new approaches
In order to address the climbing electricity tariffs, the utility head said: “UEGCL is to adopt a multi-pronged approach. First and foremost, consideration will be given to attracting concessional finance for new projects.
“With the advent of the new hydro-power projects under construction, UEGCL’s balance sheet will be geared and restructured and therefore attractive various forms of finance including concessional loans.”
He further added: “The second approach will be that of adopting an Indigenous Operation and Maintenance policy for the new hydropower stations under construction.
“UEGCL is already in the process of recruiting Ugandans who will undergo capacity building and this will therefore create employment and result into sustainable development of the energy sector. This is similar to the model adopted by KENGEN in Kenya. All these will result into a lower end user tariff.”
Uganda’s generation expansion plans
Highlighting the opportune investment in Uganda, Mutikanga said in the next two years, about 846MW of electricity will be added on to the grid. Read more…
“This will be achieved through the implementation of the Karuma (600MW) and Isimba (183MW) projects. Other projects in the pipeline are the Muzizi (44.7MW) and the Nyagak (5.5MW) hydropower plant projects for which construction works are due to commence next year.”
Other projects to be undertaken include four small hydropower sites namely: Maziba SHPP (1MW), Okulacere SHPP- 6.5MW, Agbinika SHPP – 2.2MW, and Nabuyonga – 5.4MW.
According to Dr Mutikanga, UEGCL intends to undertake feasibility studies for the aforementioned small hydropower plants whose objective it is to promote access of electricity to the rural and remote areas of Uganda.
Read the complete interview with Dr Mutikanga here.
Featured image: Stock