Eskom Uganda Limited Concession reaches its natural end – power stations handed back in better and improved condition

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  • Eskom has ensured a smooth transition and transfer of assets and interests to Uganda Electricity Generation Company Limited (UEGCL) following the natural end of the Eskom Uganda Limited (EUL) Concession yesterday, 31 March 2023.
  • The EUL was established in 2002 to implement the Concession and Agreement between UEGCL and EUL.
  • The EUL took over the operation and maintenance of Kiira and Nalubaale hydroelectric power stations on a 20-year concession on 1 April 2003.

The power generating facilities were well maintained in accordance with prudent utility practices and were handed over in a sound working condition as required by the Concession and Assignment Agreement. Over the period, Eskom ran the plants at an average availability of 96.6%, which is a commendable performance.

“Over the last 20 years, Eskom Uganda Limited has invested in training and developing technical skills and competencies which benefited the Electricity Sector in Uganda in general. The company has also contributed over US$50 million to Uganda’s economy through taxes and other levies. Furthermore, US$3 million was invested in communities through Corporate Social Responsibility in line with Eskom’s value of Sinobuntu,” said Chairperson of the Board of Directors of Eskom Uganda Limited, Andrew Etzinger.

Eskom aims to consolidate its resources and focus in South Africa to improve generation fleet performance and ensure a reliable power supply for the country. Therefore, the decision not to consider the renewal of the agreement is in line with this strategic direction to put more effort in turning Eskom’s performance in South Africa around.

Author: Bryan Groenendaal

Source: Eskom 


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