HomeRegional NewsCentral AfricaUgandan hydropower project gets US$49 million boost

Ugandan hydropower project gets US$49 million boost

The Mpanga river
in Uganda
7 November 2008 – Emerging Africa Infrastructure Fund, EAIF, an international private infrastructure financier founded by the governments of UK, Sweden, Netherlands and Switzerland, has offered a US$49 million loan to the developers of two mini-hydro projects in Uganda.

The projects, Mpanga and Bugoye hydropower dams being constructed in Kamwenge and Kasese districts respectively, are being developed by Tronder Power Limited, and South Asia Energy Management Systems, SAEMS, a US company that provides renewable energy solutions.

Once completed, both projects will inject a combined 31MW of hydro power into the grid, partially plugging the ever widening power deficit in the country and cutting back on the frequent outages.

Uganda currently produces about 280MW while peak power demand stands at about 350MW, growing at a rate of 30 per cent per year, according to the Electricity Regulatory Authority (ERA). Power from Bugoye will be fed into the main grid at the Nkenda Substation via a 6km long 33kV transmission line. This transmission line will be financed by a grant from the Norwegian government to Uganda.