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Uganda Slashes Electricity Tariffs by 1.6% in Q1 2024, Saving Consumers Billions

Ssendaza Ismail by Ssendaza Ismail
January 5, 2024
in Business, News, Uganda
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Sarah Kanaabi Chairperson Electricity Regulatory Authority Board

Dr Kanaabi

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Kampala, Uganda | NOW THEN DIGITAL — The Ugandan Ministry of Energy and Mineral Development recently revealed a revised annual tariff base and rates for the first quarter of 2024, spanning from January to March. Dr. Wasagali Sarah Kanaabi, the Chairperson of the Electricity Regulatory Authority Board, made this announcement at the Uganda Media Centre in Kampala.

Waako CEO of Electricity Regulatory Authority
Eng. Ziria Tibalwa Waako, CEO of ERA

In her statement, Dr. Kanaabi unveiled a noteworthy tariff reduction of 1.6%, equating to a substantial saving of UGX 40.321 billion for electricity consumers. This reduction was carefully considered, taking into account various factors, including the anticipated commissioning of the Karuma Hydro Power Plant later this year.

Emphasizing the Authority’s commitment to a seamless transition, Dr. Kanaabi shed light on the ongoing preparatory activities aimed at transferring the distribution network to the new operator by the conclusion of the Umeme concession in March 2025.

For domestic consumers, the cost of the initial 15 units will persist at Shs 250 per unit. Beyond the lifeline (16-80 units), a 1% reduction has been applied, now priced at Shs 797. Meanwhile, in the commercial sector, tariffs have seen a 1.8% decline, dropping from 611 shillings and eight cents to 600 shillings and six cents per unit.

Medium industrial consumers are set to benefit from a 2.8% reduction, witnessing tariffs decrease from 461 shillings and eight cents to 448 shillings and seven cents, as highlighted by Dr. Kanaabi during the announcement.

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“For commercial consumers, we have reduced the tarrifs from 611 shillings and eight cents to 600 shillings and six cents per unit, representing 1.8% decline.” Dr. Kanaabi said.

She added: ”For the medium industrial consumers, we have reduced the tarrif from 461 shillings and eight cents to 448 shillings and seven cents, representing 2.8% reduction,”

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It is noteworthy that electricity tariffs for large and extra-large industrial consumers have witnessed reductions, except for street lights, which remain steadfast at Shs 370 per unit.

Eng. Ziria Tibalwa Waako, addressing the media during the tariff announcement for Q1 2024, underscored the Authority’s persistent efforts toward enhancing affordability through the realized reduction in tariffs for this quarter.

#PressBriefingontheESI#PowerTariffReduce#Thread
The Authority Chairperson @WasagaliSarah has announced a tariff reduction of 1.6% equivalent to a saving of UGX 40.321 billion to Electricity consumers. pic.twitter.com/yrhE7HjsWm

— ERA Uganda (@ERA_Uganda) January 5, 2024

Happening Now!!#Thread@EngWaako addressing the Media during the Tariff announcement of Q1 2024 at @UgandaMediaCent. In her remarks, she emphasized the Authority's efforts towards Affordability through a reduction in Tariff realized in this Quarter.@GCICUganda @UmemeLtd @UEDCLTD pic.twitter.com/tVYdvxHjAz

— ERA Uganda (@ERA_Uganda) January 5, 2024

Source: Now Then Digital
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Ssendaza Ismail

Ssendaza Ismail

A blogger that gives you the latest news and gossip on the hottest local and international celebrities. Previously, Ismail worked as a System Administrator at Pearl VoIP & 3GTelecommunication UK for 6 months as remote Network operations center engineer (NOC). Let's talk, WhatsApp: +256753659743

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