Uganda adds 50MW from Bujagali dam to tackle power cuts

Thu Feb 2, 2012 10:03am GMT
 

By Elias Biryabarema

KAMPALA (Reuters) - Uganda on Thursday added 50 megawatts to its grid, after the first of five turbines at its Bujagali hydropower dam on the Nile river was switched on, potentially reducing power cuts that triggered strikes in the east African country last year.

Although it aims to be a top-50 crude oil producer, Uganda suffers a chronic power supply crisis which has long distressed businesses, slowed economic growth and stymied development.

Last year, 24-hour long power outages stoked public anger, igniting a series of riots across the country.

Energy minister Irene Muloni, told Reuters on Thursday the 250 megawatt hydropower dam would be brought online in installments, with the last turbine expected to start by July.

"The country has waited for the completion of this dam for a long time," she said.

"The 50MW we're adding to the grid today will slightly reduce the existing supply gap but we have to wait for completion of the entire project for the full impact to be felt," Muloni said.

One of the largest energy infrastructure projects in east Africa, the dam was constructed on the famous Bujagali falls on the Nile and is expected to cost $860 million, excluding a $43 million contingency fund.

Uganda's electricity supply deficit currently stands at about 130MW at peak demand, according to the sector regulator, Electricity Regulatory Authority (ERA).   Continued...

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