September 28, 2024 11:16 am
By Jonan Kiiza
SCAPRO
The management of Uganda Electricity Distribution Company Limited, the country’s sole national power distributor, is going to take over operations of the Western Service Territory, which has been managed by Kilembe Investments Limited (KIL) for the past ten years.
This follows the Electricity Regulatory Authority’s announcement to KIL that their electricity sales and distribution license will not be renewed on September 30, 2024. In the same line, the Authority appointed UEDCL, a GoU parastatal, as the supplier of last resort (SoLR). It should be noted that UEDCL has acquired power concessions from Ferdisult Engineering Limited (2017), Bundibugyo Energy Cooperative Society Limited (2021), Pader Abim Community Multipurpose Energy Cooperative Society (2023), and Kyegegwa Rural Energy Cooperative Society Limited (2024).
This development follows the GoU’s strategic decision to consolidate the distribution segment in accordance with the energy policy 2023. In the same vein, UEDCL will take over Umeme Limited’s operations on April 1, 2025, when its license and concession expire. GoU, through its agency UEDCL, has begun a rigorous procedure to guarantee a smooth asset retransfer and supply continuity on April 1, 2025.On the other side of Generation, UEGCL, a sister agency to UEDCL, has taken over two concessions, including the Namanve 40 MW Thermal Plant previously operated by Jacobsen and the Kira – Nalubaale Complex 380MW previously controlled by ESKOM. These adjustments are compatible with second-generation sector reforms, which will see the GoU take over power utility services.
The ceremony to acquire GoU distribution assets will take place on September 30, 2024, in Kasese at Rwenzori Square. The ceremony will be graced by the presence of the Minister of State for Energy, Hon. Sidronius Okaasi Opolot.
