JINJA CITY — The European Union (EU) has announced a significant support package of €170 million (about Shs680 billion) toward rehabilitation of the Nalubaale Power Dam, a crucial source of electricity for the nation.
The Head of the EU Mission to Uganda, Ambassador Jan Sadek, made the announcement during a visit to Jinja, where he led a delegation of 10 ambassadors from various EU member states on a three-day tour.
While visiting the Nalubaale Power Plant, the diplomats outlined their plans to support the rehabilitation of both Nalubaale and Kiira power stations.
Amb Sadek explained that the funding includes a €30 million grant, while the remaining funds will be provided as a loan from the European Investment Bank in partnership with the French Development Agency (FDA).
"Nalubaale and Kiira power plants are critical infrastructure in Uganda's energy sector. This support will help stabilize the national grid and ensure a reliable power supply," said Sadek.
He emphasized that the initiative aligns with the EU's policy on clean energy, aiming to make electricity more affordable while reducing environmental pollution through lower gas emissions.
Former Owen Falls Dam was constructed in 1954 when the Owen Falls on the White Nile, together with the nearby Ripon Falls, were submerged.
With six spillways, the dam's originally generated 180MW (it now generates 380MW) which served not only Uganda but also regional countries like Kenya.
However, the power station has seen been struggling to generate at full capacity with several installations run down over the years.
Ruth Nankabirwa Ssentamu, the minister of energy and mineral development, welcomed the EU's intervention, underscoring the importance of rehabilitating the aging Nalubaale Dam, which currently produces 362 megawatts out of a potential capacity of 380 megawatts.
"If the dam can be fully rehabilitated, it will operate at full capacity, which is crucial for Uganda's energy needs," she noted.
Nankabirwa also highlighted that restoring Nalubaale is essential for safeguarding other hydropower dams downstream, including Bujagali, Isimba, and Karuma, which could face risks if Nalubaale were to fail.
Originally commissioned in 1954 by Queen Elizabeth II, Nalubaale—formerly known as Owen Falls Dam—is Uganda's oldest hydropower plant and has played a pivotal role in the country's energy sector for decades.
Despite its current reduced output due to structural defects, the dam remains a cornerstone of Uganda's electricity supply.
The EU’s investment is expected to enhance the dam’s capacity and contribute to long-term energy stability in Uganda.