*UEDCL Invests $350 Million for Five Years After Take Over of National Power Distribution from Umeme Starting April 1st, 2025

By John Kusolo

In a landmark development, the Uganda Electricity Distribution Company Limited (UEDCL) is set to take over the distribution and sale of electricity across Uganda starting April 1st, 2025.

The announcement was made during the official handover of distribution and sale licenses by the Electricity Regulatory Authority (ERA) to UEDCL at a ceremony held on December 31st, 2024, at the Uganda Media Center.

The transition marks the end of Umeme Limited's operations in Uganda after years of managing the electricity distribution network. Speaking at the event, UEDCL Managing Director, Mr. Paul Mwesigwa, assured Ugandans of a seamless transition, emphasizing the company’s readiness to deliver reliable and affordable electricity to all Ugandans.

Mwesigwa revealed that UEDCL plans to invest $70 million annually over the next five years, starting from 1st April 2025. This strategic investment will focus on stabilizing the backbone of the electricity network, ensuring consistent power supply across the country.

“This significant investment will address the longstanding issues in the distribution network and expand access to electricity in areas that have historically faced power shortages,” Mwesigwa stated.

In a move likely to excite electricity consumers, Mwesigwa highlighted that UEDCL’s electricity tariffs will be set at a lower rate compared to the 20% rates charged during Umeme's tenure. This reduction is part of UEDCL’s commitment to making electricity affordable and accessible to all.

He also announced that all new customers seeking to connect to the national power grid would be connected within 10 days, thanks to improved operational efficiencies and robust systems. The payment process will be fully digital, eliminating delays and ensuring transparency.

Reassuring the public, Mwesigwa noted that UEDCL’s stores are fully stocked with the necessary materials to handle the increased demand for electricity. He pledged that the company would ensure a smooth transition for existing customers and maintain uninterrupted service delivery during the takeover.

“The backbone of the network will remain stable, and Ugandans can expect reliable electricity as we implement these upgrades and expand coverage,” he said.

The ceremony at the Uganda Media Center was presided over by Hon. Ruth Nankabirwa, Minister of Energy and Mineral Development, ERA officials,

who expressed confidence in UEDCL’s capacity to manage the national distribution network effectively. ERA commended UEDCL’s preparation and strategic vision for Uganda’s electricity distribution sector.

The takeover by UEDCL is expected to revolutionize the electricity sector in Uganda. With the company’s commitment to investment and affordable tariffs, Ugandans can look forward to a future of reliable and cost-effective electricity.

UEDCL’s digital-first approach to customer service, including faster connections and streamlined payment systems, is also expected to boost economic activities by reducing power-related disruptions.

As the March 31st, 2025, deadline approaches, all eyes will be on UEDCL to deliver on its promises and usher in a new era for Uganda’s electricity distribution sector.