Minister Ruth Nankabirwa hands over the electricity distribution license to UEDCL officials.
KAMPALA – The Uganda Electricity Distribution Company Ltd (UEDCL) has officially taken over the electricity distribution license from Umeme Ltd, effective April 1, 2025. This move marks the end of Umeme’s 20-year concession, which expires in March 2025.
According to Ruth Nankabirwa, the Minister for Energy and Mineral Development, the government has repossessed four licenses so far and promises a seamless transition without disrupting service delivery. “We remain fully committed to the continuity of electricity services during this critical period,” she said.
UEDCL will maintain Umeme’s existing tariff packages, including the lifeline tariff, declining block tariffs, and time-of-use arrangements. The ministry aims to achieve 80% access to electricity within three years and 100% by 2030, in line with Vision 2040 and the National Development Plan III Electrification Strategy.
The government has also ensured a smooth workforce transition, with 2,712 employment openings available exclusively for UEDCL and Umeme employees. However, the transition is not without its challenges, including increased power cuts and power theft.
The Electricity Regulatory Authority (ERA) has commended Umeme for its collaboration and commitment to declining tariffs and timely payments. UEDCL takes over with a generation capacity of 2,052.6 megawatts, up from 300 megawatts when Umeme started its concession.
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