Uganda Energy Regulation Authority
 ERC: Kenya's power imports from Uganda now rise 32% Kenya's electricity imports from Uganda grew by nearly a third saddled by the shutdown of geothermal power grid for lines maintenance.Kenya imported 40.7 million kilowatt hours (kWh) from Uganda compared to 31 million units in the first seven months of last year - marking a 32 per cent growth, according to official data.This is a departure from last year when East Africa's largest economy cut by half electricity imports from Uganda following the injection of the additional 280 megawatts (MW) geothermal power to the national grid a year earlier.Kenya has a direct transmission line connecting with Uganda via Tororo, enabling bulk power trade.Kenya cut off a third (200 megawatts) of cheaper geothermal power from the national grid due to lines maintenance, creating room for increased uptake of alternative power sources, according to the Energy Regulatory Commission (ERC).The energy regulator said construction works at Suswa substation on the Maai Mahiu-Narok highway prompted Kenya to temporarily withdraw the geothermal energy. Read more ▪ Nema and Era partner to protect environment The environmental watchdog National Environment Management Authority has signed a memorandum of understanding with the Electricity Regulatory Authority (Era) to cooperate on environmental protection.The MoU signed last month seeks to avoid unnecessary duplication of efforts by either party, to avoid the imposition of unnecessary regulatory burdens on businesses, and to augment the responsibilities of both parties in the regulation of the environment.Era chief executive officer Dr Benon Mutambi said: "Through collaboration with Nema, we have heightened integration of environmental considerations into the execution of our mandate in regard to issuing licenses and prescribing the conditions and terms of the licenses issued."Nema boss Dr Tom Okurut said collaborating with Era presented the environmental authority with the least-cost option of managing the environment. Read more ▪ ERA: Uganda electricity tariffs to drop Uganda's Electricity Regulatory Authority (ERA) has announced new electricity end user tariffs with a reduction, implying that consumers in all categories will pay less.As per the new tariff schedule, domestic consumers will pay sh626.0 per unit from sh640.2, commercial consumers will pay sh566.9 from sh578.Medium industrial consumers will pay sh524.7 from sh536.2, large industrial consumers sh349.5 from sh361.1 while street lightss will be charged sh608.0 from sh619.5. According to the a statement from ERA, the reduction in end-user tariffs is largely explained by the increased power dispatch from the cheaper Nalubaale-Kiira power complex that replaced the shortfall in power dispatch from Kakira Sugar Limited (KSL) Cogeneration power plant. KSL was out of production, for annual maintenance. Read more ▪ ERA: Umeme wants out of court settlement with regulator Uganda’s major electricity distribution company Umeme, now wants the case between it and the Electricity Regulatory Authority (ERA) settled out of court. Umeme Ltd had petitioned the Electricity Disputes Tribunal (EDT) to quash ERA’s amendment of the former’s power supply licence. Umeme claimed it had not been consulted before the amendment.Following the amendment, ERA started clawing back the ‘free cash’ Umeme would get from excess electricity sales.Ideally, Umeme should have been passing on that money to the Uganda Electricity Transmission Company Limited, which buys electricity from the generation companies and sells it to distribution companies such as Kilembe Investments Limited and West Nile Rural Electrification Company Limited, among others. Read more ▪ ERA: Electricity tariffs raised Consumers should brace for even higher tariffs as shilling remains weak, inflation fears persist. While domestic power consumers will have to dig deeper into their pockets following a decision by the Electricity Regulatory Authority (ERA) to increase tariffs, companies worry about the rising cost of doing business.The regulator published a new schedule that indicated that domestic power tariffs had risen from Shs 531.5 per unit to Shs 545 per unit. ERA approved the quarterly tariff review methodology to be used in the computation of tariff adjustments on a quarterly basis by factoring in the key macroeconomic indicators that include the exchange rate, domestic inflation and the cost of crude oil on the international market. Apart from the oil price, which dropped, the other two factors rose thus leading to the increase in tariffs.Read more ▪ ERA: Weak Shilling costs Umeme Shs29 billion Power utility company, Umeme, has reported an 18.8 per cent fall in net profit to Shs70.4b due to foreign exchange losses. Financial results released indicate the company grew its revenues to Shs977b from Shs965b, but the weaker Shilling took a significant amount of it away. “The decrease in profits is attributed to the higher foreign exchange losses,” the Umeme statement reads in part. According to the statement, Umeme suffered a Shs28.9b loss due to the depreciation of the Shilling. The Shilling was trading at an average of Shs2,500 against the dollar. By the time the year came to an end, it had closed in on Shs2,800. Umeme did not incur such a loss as the Shilling was stable against the dollar. The Electricity Regulatory Authority (ERA) estimates that the depreciation of the Shilling alone increased costs in the power sector by almost Shs86b. Read more ▪  UNBS to inspect Pre-paid metres Uganda National Bureau of Standards (UNBS) has signed a Memorandum of Understanding (MOU) with the Electricity Regulatory Authority (ERA) to start examining prepaid metres before issuance.The deal sealed comes on the heels of rising consumer complaints over exaggerated billings by the metres currently rolled out as a trial exercise by electricity distributor, Umeme.The MOU, a copy seen by the Daily Monitor, will enhance action and operation of both government bodies on the metres and ensure specific standards of quality control in the activities of licensees for electricity transmission, distribution, sale activities and feasibility studies for projects. Read more ▪  ERA withdraws licences of five contractors over performance The Electricity Regulatory Authority (ERA) has withdrawn licence permits of at least five companies that did not exhibit any ‘discernible performance on their projects.ERA chief executive officer Benon Mutambi said the companies had not demonstrated substantial feasibility progress “The authority discourages speculative behaviour in this sector among applicants for licences, permit holders and licensees,” he said. The regulatory body decried the rise in such tendencies, and described the contractors as speculators, whose behavior impedes development of the electricity sector despite the favourable policy framework in place and an attractive tariff regime.However, the authority reiterated the need for increased (private) investments in the sector to bring about steady electricity supply both on the main grid and hard-to-reach areas-operated by the Rural Electricity Agency. Read more ▪ ERA: Uganda Slashes Power Tariffs for Industry Users Uganda's state energy regulator has slashed power tariffs for industry users by 4% citing reduced generation costs, a feat at a time of spiraling prices in neighboring countries.The Energy Regulation Authority said that power-distribution losses are expected to drop to 20% this year, from 23%, as the country continues to move its electricity sector away from expensive diesel-fired thermal plants.Uganda is also profiting from favorable water levels at two of its main hydropower plants, boosting generation, according to Richard Apire, the chairman of ERA.Uganda, which is implementing a number of ambitious hydropower projects along the River Nile, is the first country in the region to reduce power tariffs, less than two years after it commissioned the $900 million Bujagali hydropower plant. Read more ▪ |