The Independent Uganda: You get the Truth we Pay the Price
A section of residents that The Independent spoke to said the ongoing developments in both Kayunga and Kamuli would not be in existence with the absence of Isimba dam.
One of such residents is Daisy Kisakye, a resident of Nampanyi Village, Busaana Town Council in Kayunga District.
She told The Independent that she can now access water close to her home in a borehole, reducing on the many kilometres she had to trek to fetch water in the river.
“Our lives have been eased with these boreholes,” she said.
Another resident we found at Buluya Health Centre II in Kamuli District revealed that it has been tough for them to access various health services especially those that required specialized treatment. Now, the resident said, access to health services has been eased.
Eng. Proscovia Njuki, the board chairperson of the Uganda Electricity Generation Company Ltd, a government agency behind dam construction, revealed to energy minister, Gorretti Kitutu, during a visit to Isimba hydropower station that work on 19 sites which include classroom blocks, health facilities, sanitary facilities and accommodation for teachers and health workers is at an overall physical progress of 75%.
Njuki said that though these projects under the multi-billion dollar fund, Community Development Action, were meant to cost approximately Shs5.5billion, there was a budget shortfall of Shs16.5bn in the Financial Year 2019/20.
Evacuated electricity so far
Meanwhile, total energy dispatched from Isimba from January to December 2019 stood at 717.2 GWh with an average Plant Availability of 98%.
This, Njuki, said is testament to the sector’s success in job creation for especially the country’s youth while keeping a low tariff of US 4.16 Cents per kWh.
“On a daily basis, the average power taken by UETCL is 90MW of the 183MW, therefore, we are still experiencing a low demand of power being taken from the power plant,” she said.
“We implore you to continue Government’s quest for industrialization and last mile domestic connections – which will invariably spur demand for electricity.”
In relation to sales, the total revenue collected from the sale of energy from January to December 2019 stood at US$29.9million less value added tax, Njuki said.
“However, if Electricity Regulatory Authority had allowed UEGCL to bill in accordance to the Power Purchasing Agreement (PPA), we would have collected USD 36.8million less Value Added Tax,” She said.
“Therefore, we have a revenue shortfall of US$ 6.9million because we are not allowed by the Regulator to bill on a Capacity / Take-or-Pay basis in accordance with the PPA and Financing Agreements.”
This financial shortfall, Njuki, said severely affects UEGCL’s ability to pay back the loan.
Kitutu said the government is happy with the progress so far recorded as the electricity generation will supplement the government’s industrialisation.
“The bridge will connect the two districts (Kayunga and Kamuli) and thus offering an alternative crossing points but also boost trading activities,” she said.
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