Umeme exit: MPs query govt preparedness to manage electricity
A section of legislators has questioned government’s readiness to manage the electricity sector after Umeme’s exit in March 2025.
The concern was raised by Nyendo-Mukungwe Division MP, Mathias Mpuuga, who wondered why the bills to rationalize the energy sector weren’t included. This comes after government hinted at merging the three existing electricity companies into one entity.
In December 2022, the government officially informed Umeme that it would not renew its contract beyond March 2025. Upon Umeme’s concession ending, the government intends to establish a single entity named the Uganda National Electricity Company (UNEC). The move suggests a return to the monopoly formerly held by the Uganda Electricity Board, which was split up in 1999 to create the Electricity Regulatory Authority, Uganda Electricity Distribution Company, and Uganda Electricity Transmission Company.
Mpuuga reminded Parliament that similar concerns were raised during the 2023 consideration of the Electricity Bill. The House had then instructed the Energy Minister to provide a comprehensive report detailing the government’s plans for successfully managing the concession expiration.
In response, Prime Minister Robinah Nabbanja assured Parliament that the Cabinet is addressing the issue and promised to deliver a detailed report in due course.
“I want to inform the Member (Mpuuga), that Cabinet is dealing with the issue and we shall report appropriately,” said Nabbanja.
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