UEGCL moves to enhance operational efficiency

The company’s shift towards an Operation and Maintenance (O&M) model supports its vision to become “Africa’s leading electricity-generating utility

Kampala, Uganda | THE INDEPENDENT | Uganda Electricity Generation Company Limited (UEGCL) has unveiled an Internal Performance Contract for the Namanve Thermal Power Plant (TPP), marking a significant step in its strategic plan for 2023-2028.

The event, held at the plant premises in Kiwanga, Mukono District, on April.18, was attended by Minister of State for Energy, Sidronous Okaasai Opolot, along with UEGCL’s Board, top management, and operations & maintenance staff.

This initiative aligns with UEGCL’s newly unveiled strategic direction, which places a strong emphasis on enhancing operational efficiency across all its power stations.

The company’s shift towards an Operation and Maintenance (O&M) model supports its vision to become “Africa’s leading electricity-generating utility”. The O&M model, approved by the board in 2019, fosters a partnership between the asset holder and operator, aimed at boosting operational efficiency through internal performance contracts.

Similar operational models have been successfully adopted by regional utilities such as Tanzania Electricity Supply Company (TANESCO) and Rwanda Energy Group (REG), demonstrating growth and efficiency improvements.

Since transitioning from Jacobsen in February 2022, UEGCL has been managing the 50MW Namanve TPP with a fully Ugandan staff under its indigenous O&M Business Model. This approach has proved to be cost-effective and pivotal for maintaining high operational standards, essential for the plant’s role as an emergency power provider.

“The implementation of the Internal Performance Contract is expected to bring about cost rationalization, improved asset management, enhanced staff capacity building, and achievement of targets for plant availability, reliability, and operational compliance,” said Eng. Proscovia Njuki, UEGCL Board Chairperson.

Okaasai, menwhile, commended UEGCL for its innovative approach to enhancing efficiency across its operations, highlighting the strategic importance of thermal power plants like Namanve TPP.

He said these plants are critical for ensuring energy security alongside renewable sources, particularly in the face of unpredictable climate changes.

The launch event also included the introduction of the Project Development Guidebook and the commissioning of the Namanve rehabilitation project.