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Uganda Seeks Funds for Three New Hydropower Plants

Hydropower projects aim to meet rising energy demand

by Ikeoluwa Ogungbangbe
Uganda hydropower expansion

KEY POINTS


  • Uganda plans three hydropower plants to add 1,600 megawatts.
  • Talks with investors for project funding are ongoing.
  • China will assist Uganda with nuclear energy development.

Uganda is seeking funds to build three hydropower plants that would add more than 1,600 megawatts of capacity to meet rising power demand, an energy official said Wednesday.

Uganda eyes hydropower projects to boost capacity

The East African country has identified three potential sites on the Nile River. The largest site is the Ayago hydropower plant. It has a planned capacity of 840 megawatts. Wamala Julius Namusanga, a junior official at the Ministry of Energy and Mineral Development announced this information.

The other prospective projects are the 400-megawatt Kiba and 392-megawatt Oriang plants, bringing Uganda’s total power capacity to 3,678 megawatts, roughly 80% above its current production.

“The country needs energy for development,” Namusanga told Reuters on the sidelines of an industry event in New Delhi. “We are seeing a growth of 10% in power demand every year.”

“Work will commence on the project as soon as we have the funding. It will start with the Kiba project, for which the ministry has started to look for consultants,” Namusanga said, adding that talks with investors and companies were ongoing. Currently, nearly 85% of Uganda’s power is derived from hydropower stations, with the rest coming from thermal and solar plants.

600 MW power station launched over rising demand

Last week, Uganda brought online its largest electricity generation plant, a 600-megawatt hydropower station that cost $1.7 billion, financed with a loan from China. Namusanga also said Uganda plans to build nuclear power plants. “We are looking to achieve a diversified energy mix,” he said.

Uganda has signed a deal with China under which the China National Nuclear Corporation would help build atomic energy capacity for peaceful purposes.

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