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The government of Uganda now officially runs the Nalubaale and Kiira hydropower plants as Eskom Uganda’s 20-year concessions come to an end on March 31, 2023. At a ceremony held in Jinja City on Monday, March 27,2023, representatives from the Ministry of Energy and Uganda Electricity Generation Company Limited [UEGCL] received the dams from the power company.

Hand over ceremony

Eskom Managing Director Thozama Gangi said, “Eskom is giving the government of Uganda a healthy plant, which I can say with pleasure. The plant is currently 99% available. The next 20 years of the Nalubaale Hydro Power Plant and the next 50 years of Uganda Electricity Generation Company Limited CEO Dr Eng.Harrison Mutikanga thanked Eskom for the work done.

“Nalubaale will be 70 years next year. So we would like to thank Eskom for maintaining and running this plant and keeping it healthy. UEGCL will officially start managing and running this plant on saturday ,April 1,2023,”he said.

“As we take over the management and operation of these power stations on 1st April, we are committed to ensuring that they continue to provide reliable and affordable electricity to people Uganda,”Eng Mutikanga said.

“Eng. Ziria Tibalawa Waaako, CEO of ERA, said Eskom is returning to the government of Uganda much better and more efficient power generation facilities, the Kiira HPP are both possible,” she stated.

“The firm has managed the Nalubaale and Kiira HPP since April 2003. The life of the plants has been enhanced for the next 30 to 50 years,” she said.

Courtesy Photo

“From only 3 power plants ,Uganda now has over 50 power generating plants. I would like to thank Eskom for their great contribution and investments in the electricity supply industry,”she said.

Hon. Peter Lokeris the minister of state for minerals said despite the handover, there is still ongoing public -private partnerships in the management of Uganda’s people’s sector. There is still a part of the private sector in Uganda’s energy value chain. As Eskom re-transfers assets back to the government, I want to think we still have alot to do together.The new law creates an avenue for public-private partnerships,”said Mr. Lokeris.

Courtesy Photo

The acquisition of Nalubaale is a component of the extensive second generation electricity sub-sector reforms brought about by the Electricity (amendment) Act 2022, through which the government also announced it would not renew the UMEME, concession after its current term expires in May 2025.

The Uganda Electricity Generation Company Ltd. (UEGCL), which will take over management of the two dams from Eskom, has been given a start-up budget of sh.26.4 billion by the Ministry of Energy.