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Cabinet borrows to fund hydropower production project

admin by admin
May 21, 2015
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Cabinet borrows to fund hydropower production project

The Dam at Bujagali Falls - Jinja, Uganda. Pictured in June 2011

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Cabinet has approved the borrowing of 85 million Euros which is over Shs280 billion for boosting hydropower production.

Of this, 45 million Euros is to be borrowed from the French Agency for Development while an additional 40 million Euros will come in from the German Development Bank.

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This will finance the construction of the 44.7 MW hydropower project in Muzizi Kibaale district and its associated transmission line.

Information Minister Jim Muhwezi says this is part of the government’s plan to increase power consumption from 75KWH per capita to 674 Kwh per capita.

He says the feasibility studies for Muzizi dam have been completed and the next phase is construction.

Meanwhile, cabinet has also approved the appointment of an eight-member board of trustees for the Uganda national cultural centre.

The team led by Dr. Michael Odong will be mandated with administering, controlling, and managing the Centre’s property.

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