Uganda to Invest $500 Million to Double Power Transmission Grid

---

Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land, Texas)--Uganda plans to invest $500 million in a project that will double the length of its power grid over the next four years. The move upgrades and expands the country's power generation infrastructure in advance of crude oil production, which is scheduled to begin in 2017.

"We have six transmission line projects being implemented concurrently, including lines serving domestic markets in Uganda, a separate line connecting to Kenya, and another to Rwanda," said Minister of Energy Simon D' Ujanga at the 15th annual East African Power Industry Convention in Nairobi, Kenya. He also said that the grid network will expand from 1,700 kilometers to 3,400 kilometers.

In June, a contract was signed with Sinohydro (Beijing, China) to build the $1.65 billion, 600-megawatt (MW) Karuma Dam on the Nile River. The goal for Karuma is to meet the country's fast-growing power needs and support double-digit growth rates when oil production starts. The current growth rate is 6% and Karuma is scheduled to begin operations in mid-2018.

Isimba, another power project on the Nile, will cost $600 million and is scheduled to begin operations in early 2017.

Feed-in-tariffs have been established for renewable energy to fast-track the development of mini-hydro projects, and credit enhancement instruments will be provided to local financial institutions for power projects.

For related information, see July 31, 2013, article - Isimba Ugandan Hydropower Dam Second Chinese Power Launch in Two Months.

View Project Report - 85960011 300106899

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.