Eskom hands over 380MW Nalubaale, Kira power stations to UEGCL
The Ugandan government has officially received the Nalubaale and Kiira Power Stations from Eskom, which had operated the plants for over 20 years. The handover ceremony took place in Jinja, with Hon Peter Lokeris, the State Minister for Energy, thanking Eskom for their successful management of the hydropower complex.
Under the Concession and Assignment Agreement signed on November 26th, 2002, the Uganda Electricity Generation Company Limited (UEGCL) assigned its rights and interests in the Nalubaale (180MW) and Kiira (200MW) hydropower complex to Eskom (U) Ltd (EUL) for a 20-year period starting from April 1st, 2003. The plants contribute 380MW to the country’s generation capacity, which is currently at 1378.1 MW, and are expected to rise to 2,000 MW with the commissioning of Karuma.
Minister Lokeris noted that the current concession period will naturally expire on March 31st, 2023 and that Eskom is required to re-transfer the complex to UEGCL before the end of the concession term. The Ministry of Energy and Mineral Development is conducting an audit to inform the government of any potential buy-out amount at the end of the concession period.
UEGCL has completed its recruitment process for the key staff who will take over the operations of the plant post-transfer, with over 96% of the Eskom staff taken over by UEGCL. The minister urged UEGCL to emulate Eskom and maintain the plant in the best working conditions for the rest of its lifespan as a key security of the power supply complex on the Grid.