The Uganda Electricity Distribution Company Limited (UEDCL) has officially taken over the distribution network from Umeme Limited, marking the end of a 20-year concession period that began in 2004. This…
By David Birungi In a few days, the last man standing at Umeme will flip the 240 volts switch and move on to the next lit room in UEDCL. Congratulations…
The current rope pulling and shoving offer an insight into what is turning out to be an interesting twist in the exit of Umeme. Until a few days ago, the events around the exit of the company that has been part of Uganda’s electricity sub-sector for 20 years, had been largely silent. However, in the weeks to the end of the concession due on 31st March 2025, voices emerged and have become louder, threatening to tear apart a relationship – despite the existence of some knocks here and there – that has been cordial over the 20 year-course of the…
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Energy Ministry Permanent Secretary Irene Batebe has confirmed that the Auditor General’s report on Umeme’s buyout amount will be released next week, just a few days to the expiry of the power distributor’s 20-year concession. “Please note that Umeme is a going concern and till the last day of the concession, they [Umeme] could make an intervention on the network. The Auditor General is largely done but must factor all this in the final report expected by 28th, March,” Batebe told the CEO East Africa Magazine. According to the Investopedia website, the term ‘going concern’ in accounting refers to a…
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The Uganda Electricity Distribution Company Limited (UEDCL) has absorbed an estimated 2,200 of Umeme staff, out of the 2,400 staff that the private power distributor holds currently. UEDCL Managing Director, Paul Mwesigwa revealed the details in an exclusive interview with the CEO East Africa Magazine, noting that, “while the biggest percentage of staff will cross over to different departments [in the power distribution value chain],” the unabsorbed staff will be outsourced through subcontracting dismissing fears of unemployment. The Energy Ministry in a Wednesday statement said the restructuring process of UEDCL involved a fair, transparent, and merit-based recruitment process with the…
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Government, through Ministry of Finance is seeking about $ 50 million (UGX 183 billion) from Absa Bank as capital investment into the Uganda Electricity Distribution Company Limited (UEDCL) to fully take up power distribution operations from Umeme by April 1, 2025. Paul Mwesigwa, the UEDCL Managing Director confirmed the details of securing funds from Absa Bank which will cover a year of operations. The Ministry of Energy and Minerals Development on Wednesday dismissed fears that its transmission agency would not be able to take over operations from Umeme in time due to unavailability of the said funds that were recently…
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The Uganda Electricity Transmission Company (UETCL) has been ranked as the most profitable public company with a profit of UGX 82.3 billion earned through energy sales in the Financial Year (FY) ending June, 2024. UETCL was closely followed by Uganda Electricity Generation Company (UEGCL) at 54.2 billion and Uganda Civil Aviation Authority at UGX 32 billion. The three top public corporations raked in a combined UGX 168 billion in annual profits outperforming other 17 sister corporations and state enterprises, according to details from the latest Auditor General’s report. However, UETCL’s profitability decreased by 13 percent from UGX 94 billion in…
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The handover of Umeme licenses for the sale and distribution of electricity to Uganda Electricity Distribution Company Limited (UEDCL) has put the country’s energy sector into sharp focus, especially with…
The government of Uganda will have to part with USD215 million to acquire majority shares of power distributor, Umeme, when the power distributor’s 20-year contract comes to a close in 2025. Irene Bateebe, the Permanent Secretary of the Ministry of Energy and Minerals Development told the Committee of Environment and Natural Resources on Tuesday, 11 April 2023, that as of December 2022, the buyout price was at USD215 million. She also told the Committee that the government-owned Uganda Electricity Distribution Company Limited (UEDCL) requires USD158 million to enable it to invest in the distribution system over the next three years,…
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Uganda’s main electricity distribution company Umeme Limited has won a landmark case in the Tax Appeals Tribunal, which ruled that Umeme was entitled to claim depreciation allowance in respect of assets acquired by Umeme and initial allowance for assets placed in use by Umeme 50km outside Kampala. Commenting on the ruling, Umeme Limited Senior Legal Manager Allan Rwakakooko said this is a win for electricity customers since the initial and depreciation allowances are used to reduce the tariffs payable. “This is a step towards helping to reduce the end user tariffs for our customers and therefore reducing the cost of…
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