Uganda’s Ministry of Energy has announced that it will re-nationalise its electricity sector to reduce costs thanks to the disassociation of its foreign private partners, such as the South African company Eskom and the international consortium Umeme.
In a statement picked up by Radio France Internationale (RFI), the objective of this reform is to “provide electricity to Ugandans at affordable prices.”
As RFI recalls, Ugandan President Yoweri Museveni himself has criticized the two companies on several occasions to the point of accusing them of fraud, in complicity with country officials.
Museveni has assured that he has no intention of renewing the contracts that linked him with Eskom and Umeme, which expire in 2023 and 2025 respectively.
Meanwhile, the Government will create the Uganda National Electricity Company, to manage production and distribution and thus “minimise” “the excessively expensive part of the private capital invested.”
