Kampala, Uganda — ESI-AFRICA.COM — 25 January 2011 – Although Turkey and Vietnam have already dipped their toes in the “feed-in tariff waters” by announcing draft proposals, it is Uganda that has currently setting heads spinning in the energy world by quietly and without fanfare announcing one of the most sophisticated “’ if not the most sophisticated “’ programme in Africa.
Unlike the others, providing a tariff only for wind energy, Uganda allows for a total of eight forms of renewable energy. Further, the Uganda programme specifies capacity caps for each technology by year, which gives clear policy guidance on how much the country wants of which technology.
The Ugandan operation will be administered by the country’s Electric Regulatory Authority (ERA), and tariffs will be based on the cost of generation plus profit. The tariffs for eight different technologies, will include geothermal.
The Ugandans simply call their initiative a Renewable Energy Feed-in Tariff (REFIT). The country follows South Africa and Algeria with early feed-in tariff programmes, but it appears to have learned lessons from other programmes worldwide. The Uganda programme offers tariffs for a full suite of technologies, including geothermal and bagasse, detailed hydro tariffs, as well as technologically specific programme caps.