By our reporter
Umeme, Uganda’s main electricity distribution company has responded to President Yoweri Museveni following his hard hitting letter where he ordered the Energy Minister Irene Muloni not to renew their contract.
In a letter dated 12 March, 2018, President Museveni said ““There should be no question of renewing Umeme’s concession. Let us look for a cheaper way of modernizing and expanding the transmission lines,”
Museveni’s letter copied to his deputy, Edward Kiwanuka Ssekandi, Prime Minister Ruhakana Rugunda, Finance Minister Matia Kasaija, Attorney General William Byaruhanga, Inspector General of Government (IGG) Irene Mulyagonja and the Auditor General John Muwanga.
The president further blamed officials at the Ministry of Energy and Minerals for messing up the concession agreements which led to the high electricity tariffs.
He also directed the IGG to take up investigations into the issues he raised, and also demanded for an explanation from Muloni.
However in response, Umeme has said it’s operating a 20 year concession to distribute and supply electricity until 1 March, 2025 thus confirming that it still has seven more years under the existing concession.
In a public notice, Umeme reveals that it commenced engagement with government on the extension of the concession period and the process is still ongoing.
“The process is ongoing and further comment on the same is premature at this point,” noted Shonubi, Musoke and Co. Advocates, the company’s secretary.
“The company is committed to working with the Government of Uganda, all key stakeholders and development partners to ensure development and improvement of the electricity distribution infrastructure, increase access to grid electricity , further reduction in energy losses and drive towards reduction in tariffs,”
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