The Chairperson Parliament’s Natural Resources Committee, Hon Emmanuel Otaala, has informed the Budget Committee that Government is in talks to secure external funding worth $765.75m (Sh2.920tn) to facilitate the takeover of the Umeme concession which is slated to end in March 2025.
“Government should avail the necessary financing to ensure smooth transition and takeover from Umeme. The $765.75m that UEDCL requires, it says it has been consulting various financial institutions in the world to support it in this cause and they are positive about it. So, this money will not be coming from Government directly, but from external funding,” Otaala said.
Uganda Electricity Distribution Company Limited (UEDCL), wants $540m (Sh2.059tn), of which an initial investment of $190m is required during the takeover process, while the estimated buyout amount of $225.75m (Sh860.806b) is due to Umeme.
However, this is subject to final report by Auditor General, thus bringing total cost to $765.75m (Sh2.920tn).
