Government Reclaims Electricity Distribution Assets from Umeme After 20-Year Concession
Eng. Waako extended deep appreciation to H.E. the President of Uganda and his Cabinet, alongside key government institutions
The Government of Uganda has officially taken back control of electricity distribution assets from Umeme Limited, marking the conclusion of a 20-year Concession, Lease, and Assignment Agreement. The handover event, held at Lugogo in Kampala.
The Chief Executive Officer (CEO) of the Electricity Regulatory Authority (ERA), Eng. Ziria Tibalwa Waako highlighted the crucial role ERA has played over the past two decades in supervising and regulating the management of electricity distribution assets. She reaffirmed ERA’s commitment to efficiency, reliability, and affordability while safeguarding the interests of consumers, the government, and the licensee.
Over the past 20 years, Uganda’s electricity industry has witnessed significant improvements, including:
Rehabilitation and upgrading of electricity distribution infrastructure.
Expansion of the national electricity network.
Enhancement of operational efficiency and reduction of system losses.
Eng. Waako commended the collaborative efforts of sector stakeholders, emphasizing that these achievements are a testament to the dedication of all involved parties.
As stipulated in the concession agreements, the transition of assets back to government ownership marks a new chapter in Uganda’s electricity sector. The ERA CEO assured stakeholders that a meticulous and transparent handover process had been conducted, including:
Comprehensive asset verification.
Validation of technical specifications.
Compliance with regulatory standards to protect electricity consumers and ensure supply reliability.
She expressed confidence that the Uganda Electricity Distribution Company Limited (UEDCL) will effectively manage these assets, ensuring their sustainable contribution to national development and energy security.
Eng. Waako extended deep appreciation to H.E. the President of Uganda and his Cabinet, alongside key government institutions such as:
The Ministry of Energy and Mineral Development
The Ministry of Finance, Planning and Economic Development
The Office of the Attorney General
The Office of the Auditor General
The Parliament of Uganda
These institutions have played a pivotal role in ensuring the successful completion of the transition.
The CEO acknowledged Umeme Limited’s service over the past two decades, highlighting key accomplishments:
Expansion of Uganda’s electricity customer base to 2.3 million.
Reduction of electricity losses from 33% in 2005 to 16% by 2024.
Exceeding revenue collection targets on multiple occasions.
She emphasized that the robust distribution and supply sector has provided confidence to investors in Uganda’s power generation sector, reinforcing the sustainability of the industry.
As the government assumes control of these critical assets, Eng. Waako called for a renewed sense of diligence and dedication to ensuring that electricity reaches all Ugandans efficiently. She reaffirmed ERA’s commitment to fostering a conducive regulatory environment that promotes investment, innovation, and consumer protection.
In conclusion, she expressed gratitude to the Ministry of Energy and Mineral Development, the management and staff of UEDCL, the concessionaire, and ERA’s own team for their professionalism and dedication in ensuring a smooth transition. She also extended best wishes to Umeme Limited as they close this important chapter in Uganda’s electricity sector.
With this transition, Uganda embarks on a new era of government-led electricity distribution management, aiming to enhance national energy security and economic growth through improved service delivery.
