The Independent Uganda: You get the Truth we Pay the Price
Kampala, Uganda | THE INDEPENDENT l Government is set to pay US$215 million (Sh802 billion) to acquire majority shares of power distributor, Umeme. The move comes as Umeme’s 20 year contract comes to a close in 2025, giving government full control of the power distribution system, marking the end of a long standing private sector arrangement.
During a meeting between the Committee of Environment and Natural Resources and the Ministry of Energy officials on 11 April, the Permanent Secretary, Irene Bateebe revealed that Uganda Electricity Distribution Company Limited (UEDCL) requires US$158 million to enable it to invest in the distribution system over the next three years.
This is meant to reduce the final buyout amount payable to Umeme to US$7.1 million when the concession comes to its natural end. Bateebe said that as of December 2022, the buyout price was at US$215 million.
