The Uganda Energy Credit Capitalisation Company (UECCC ) is set to break ground on the ORIO mini hydro power project, an initiative aimed at connecting electricity across nine districts in rural western Uganda.
The groundbreaking ceremony will be held on Saturday in Mitooma district and will be officiated by the Deputy Speaker, Thomas Tayebwa.
UECCC accessed a grant of up to 13.1m euros (approx Shs50bn) towards the development of nine mini hydro power sites as a single project for rural electrification.
The project is funded by the ORIO Infrastructure fund (Now “Invest International”) of the Netherlands Government and co-financing from the Government of Uganda with UECCC as the designated Implementing Agency of the Project.
At the end of the ORIO mini hydro power project cycle, it is expected that 71,081 households and 2,300 Small and Medium size Enterprises (SMEs) in rural Western Uganda will be connected to electricity.
The ORIO mini hydro power project entails construction of nine (9) mini hydro power plants (combined capacity of 6.7 MW) and construction of a local distribution network (288 KM) in the project area as well as connecting up-to 71,081 households in the project area (Kasese, Bushenyi, Mitooma, Hoima, Kabarole, Bunyangabu and Bundibugyo Districts) as a single project.
The small plants provide a captive, stable and reliable source of power for rural electrification in the project area, which mitigates the challenges of wheeling power over long distances.
The basis for selecting the project sites was high social return in terms of rural electrification and not commercial viability.
The project is designed to respond to GoU policies including the National Development Plan III (NDP III) and priority programs towards increased access to electricity for rural electrification.
“Following the signing of contracts with two contractors who will implement the project; (HNAC Technology Co. Ltd from the People’s Republic of China for the Civil and Hydro-mechanical works and Ossberger GmbH from Germany for the design, manufacture, supply and install the Electro-mechanical works of the Project), UECCC will have a groundbreaking ceremony in Mitooma district," UECCC Managing Director, Roy Nyamutale Baguma said.
Baguma noted that the Ministry of Energy and Mineral Development team will be led by the Minister, Dr. Canon Ruth Nankabirwa and the Chief Guest will be the Deputy Speaker of the Parliament of Uganda, Thomas Tayebwa.
According to Baguma, to date, all Project Affected Persons (PAPs) have been fully compensated, and primary residents have been resettled in the newly constructed resettlement houses.
This Project will significantly contribute to socio-economic transformation and improved livelihoods in Uganda.
"We look forward to working with all the key stakeholders within the Renewable Energy Eco System to ensure that it is successfully implemented." Baguma stated.
Uganda Energy Credit Capitalisation Company (UECCC) is a Government of Uganda Company in place to catalyse financing for Renewable Energy Projects and increased access to clean and modern energy services.
More specifically, the company was set up to facilitate private sector participation in the financing of Renewable Energy (RE) development through provision of financial and technical support which addresses barriers inhibiting effective private sector participation in the financing of Renewable Energy projects and programs.
The Company is well positioned to pool resources from Government and Development Partners and to channel the same to catalyse financing for the development and implementation of RE Projects and Access Programs.
The Company uses limited public resources to leverage private sector participation in the financing of Renewable Energy Projects and Access programs.
The Company’s interventions are designed to respond to Government policies (including the NDP III, SDG7) and priority programs towards increased access to electricity for lighting, clean cooking and Productive Uses of Energy.
