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Northern Uganda to See Major Water, Sanitation Upgrade with Shs90bn Grant

By Andrew Victor Mawanda Naimanye | Thursday, September 11, 2025
Northern Uganda to See Major Water, Sanitation Upgrade with Shs90bn Grant
Uganda has signed a Shs90.4 billion grant agreement with Germany and the European Union to fund a five-year project that will expand water, sanitation, and urban infrastructure services in Arua, Maracha, and Terego districts, targeting both refugees and host communities.

The National Water and Sewerage Corporation (NWSC) has signed a Grant and Project Implementation Agreement for a transformative initiative aimed at improving water, sanitation, and urban infrastructure in Northern Uganda.

The project, valued at about Shs90.4 billion, is being implemented in collaboration with the German government through the Kreditanstalt für Wiederaufbau (KfW) Development Bank and the European Union.

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Dubbed the Climate Resilience and Water Infrastructure for Refugees and Host Communities in Northern Uganda project, the initiative will focus on enhancing living conditions in Arua City and the surrounding districts of Maracha and Terego.

It will prioritize the rehabilitation and expansion of water supply systems, sanitation networks, and boreholes, while also tackling urban infrastructure needs.

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National Water and Sewerage Corporation Uganda Refugees Maracha District Terego District Germany KfW Water and Sanitation Urban Infrastructure european union arua city

Speaking at the grant signing ceremony in Kampala on Wednesday, NWSC Managing Director Silver Mugisha praised the collaboration, describing it as a milestone in Uganda’s water and sanitation sector.

“The Government of Uganda, working through NWSC, is implementing this project to support refugee settlements and the surrounding host communities,” Mugisha said.

“This innovative approach, which includes working with Arua City Council authorities and the Ministry of Water and Environment, will be key to achieving collective success.”

He expressed gratitude to the Government of Germany, the European Union, and other development partners for their continued support towards Uganda’s vision of universal access to safe water and improved sanitation.

KfW Development Bank’s Head of Governance and Stabilization for Water in Eastern Africa and the African Union, Andrea Johnson, reaffirmed the bank’s long-standing partnership with Uganda.

“We have implemented a number of projects with NWSC and reiterate our unwavering support towards their water and sanitation for all agenda,” she said.

Johnson emphasized the importance of supporting refugee communities, adding, “It’s for this reason that KfW has unwaveringly backed this initiative to improve the livelihoods of the people of Arua and the surrounding areas.”

The financing structure of the project includes a Shs 36 billion grant from the Government of Germany through KfW, and a Shs54.4 billion grant from the European Union.

The government and NWSC are contributing an additional Shs5.54 billion to ensure successful implementation.

The scope of the project is wide-ranging. It will rehabilitate and expand the existing water treatment plant and pumping mains, while extending the water supply network by about 70 kilometers.

In terms of sanitation, the project will rehabilitate and extend sewer networks as well as improve lifting stations.

Beyond water and sanitation, the initiative will address broader urban infrastructure needs, including storm water management, solid waste management, and the preparation of physical development plans for Arua City.

 

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