Three members of the Uganda Electricity Transmission Limited, have become the thorn in the fresh of the entity, according to investigations made about the bulk energy buyer.
The agency is one of the biggest budget entities valued at more than a trillion shillings in annual expenditures.
In a petition dated August 9, 2021; Ms Sarah Irumba Muhumuza, Engineer Abdon Atwiine, and Richard Santo Apire unleashed dirty linen on their chairman of the board as well as the agency’s managing director.
Sources close to the trio, however indicate that Engineer Atwiine wants to get the managing director’s position. While Ms Muhumuza and Mr Apire, are scheming to become ‘board chairman’. Mr Apire is a former board chairperson of Electricity Regulatory Authority (ERA), who surprisingly landed on the board of UETCL!
The individuals targeted by the three board members include board chairman Mr Peter Ucanga, Managing Director for UETCL George Rwabajungu, and company secretary Ms. Georgina Kugonza Musisi, who has since been ousted. It is said that the three board members even as far as asking regulator, ERA, to remove the position of Company Secretary.
The self-interest of the above board members, have opened a can of worms, with different parties in the power transmission entity exposing one another, or fighting to defend themselves. However, these actions, have stalled the activities of the bulk power buyer, which has compromised the efficiency of the organization.
With the UETCL board said to be the busiest team in Uganda, since they sit twice a week, the agency tasked to buy power from generators and transmit it across the country, suffers bureaucratic redtape.
According to sources, the managing director, cannot even sign a transaction of more than sh300 million without the Board’s approval, which actually make the accusations of the trio above, laughable, since the board usurped the financial functions of the agency which spends in billions of shillings.
This has left several players in dissatisfaction with the manner in which board members executing the entity’s operations.
However, the line ministry, Finance and planning, has ignored the contradictions at UETCL, yet, the ministry of Energy and Mineral Development cannot do much since they don’t have supervisory mandate over UETCL, since it owned by the ministry of Finance.
Energy minister Ms Ruth Nankabirwa could be new to the docket, but the number of complains at UETCL on her desk is overwhelming.
But it not Nankabirwa alone, the warrior board members has stormed the ministry of Public Service, asking Mr Mululi Mukasa of causing the firing of the managing director of UETCL, even if it is clearly inappropriate.
The UETCL board stands accused or, accuses itself of fraud, insolence, negligence of duty, intrigue, all of which point to a broader category of mismanagement of the entity.
Whereas the Petition was signed by Members including Sarah Irumba Muhumuza, Engineer Abdon Atwiine, and Richard Santo Apire, investigations point to the fact that it is the ambition of the above, that is causing instability. This website is compiling how each of the board members is antagonizing UECTL operations in our future publications, including how they joined the board, how much they have earned from the agency, their business interests in the agency as well as relatives recommended to up jobs in the organisation.
It is a fact that some board members have fallen short of professional ethics, something which has thrown the progression of company in limbo. Conflict of interest, dishonesty, impartiality, lack of commitment exhibited by some board members, all overshadowed the day to day activities of the entity, tainting its image in the broader mainstream society.
Back and forth letters flying between UETCL, the ministry of Energy, ministry of Finance or the Auditor General among others, there are counter accusations rising from the board itself, as well as people and agencies outside the bulk power buyer.
According to the litany of grievances and complaints raised are cases of intrigue, connivance selfish interests, fraud, nepotism, to mention a few, which have undermined efforts of management to run the entity efficiently.
The fights between board members, and the agency’s management has greatly soiled the credibility of the entity.
The divisions in the board led the troublesome members of the board to complain to the Minister of Energy, complaining about the relationship between the Board chair, the managing director and the company secretary.
“Over time, we have also noted a close relationship between the chairman of the board, the managing director, and Mrs Geogina Kugonza Musisi, the company secretary which has caused unhealthy relations in the board and management, covering one another, and defending one another whenever they do wrong” reads the petition.
The Board members opposed to the chairman, and managing director ended up forcing the company secretary out, who has since dragged the power agency in court over wrongful termination.
In the letter Watchdog Uganda website has seen, the chairman pleads to defend the unlawful suspension of the company secretary, however, the board went ahead to dismiss her despite the chairman disagreement.
The three board members, to hide their tracks, wrote to the minister accusing the chairman, managing director and company secretary of caucusing.
“Honourable minister, from our observation, the chairman of the board always takes different positions favouring management to the detriment of the company, a move which makes it difficult for the board to enforce accountability and discipline against culpable staff as we shall high light below”.
The petition, which sounds petty, and superfluous, accuses the board chairman of either being on his phone or reading newspapers, during board meetings.
In the complaint, the trio want to show the board chairman as having total lack of interest and commitment to the business of the company.
Among accusation against the board chairman is the case of attempted double compensation for Nyabo Academy, in which some UETCL staff colluded with PAP to make a fresh valuation in an attempt to make double payment.
This was later discovered by the Remuneration and Technical Committee (RCT) of the board and the transaction was stopped, saving the company over UGX 450 million.
In 2016 following a tip-off by the whistleblower, the RCT foiled a scheme by technocrats in UETCL in collusion with the consultant and alleged Project Affected Persons (PAPs) to claim about UGX. 26b in wetlands and lakeshores along Luzira-Namanve transmission line, and Mutundwe- Entebbe Transmission lines which are under construction.
Watchdog website, on Friday morning, spoke to Attorney General, Kiryowa Kiwanuka who defended the transaction as lawful. He explained that the wetland owners had legitimate titles and compensation would still take place regardless.
A renegotiation with land owners, ensure government saved some billions of shillings.
Kiryowa however, said, neither the ministry of lands or Finance have sought the AG’s opinion on how to sort out the mess at UETCL.
It stands that UETCL reports to the Ministry of Finance. Minister Kasaija has however failed to sort out the mess at UECTL despite trillions of shillings, especially of donor money stand to be lost when the confusion continues at the agency.
These and many other fraudulent deals executed by the chairman in collusion with others, intended to rob the UETCL of crucial operational funds, aimed at acquiring illicit wealth were cited by these concerned stakeholders, to seek the minister’s fast intervention to restore sanity and credibility of the entity.
This would be effected among other ways, through weeding out the negative elements, or masterminding disciplinary action to ensure the value of money for UETCL projects, proper board performance and accountability.
Audit recommendations
Last year, upon the demand of the World Bank Group in Uganda, the Ministry of Energy, through a private firm—Empower Consults Ltd—conducted a detailed assessment of operations at the energy transmitter.
The report said thus: “There is no record seen to show that the board has been evaluating its performance and its composition has not changed over the period under review. There is an apparent lack of boundaries between the UETCL board of directors and ERA, which affects the operations of UETCL negatively in pursuit of the delivery of the corporate mandate.”
In their recommendations, the auditors asked that the membership term duration at the UETCL board be strictly three years.
It also proposed membership rotation enshrined in the board charter.
Other recommendations included reduction of board meetings to allow management time to implement the various set goals. It suggested six full board meetings and five committee meetings per committee inside a calendar year. It also emphasised that board member competency evaluation be carried out to ensure quality membership.
During the audit, the most senior experienced board members from the three transmission utilities—UETCL, KETRACO (the Kenyan Transmission Company) and STATNETT (the Norwegian Transmission Company)—were compared.
It was discovered that while KETRACO required a ‘sitting’ PS (Energy ministry) and Cabinet Secretary as Board members, UETCL sought out senior members in society who had previously held such levels of seniority.
UETCL role
Uganda Electricity Transmission Company Limited (UETCL), has a major role in developing an efficient electricity sub-sector in Uganda through planning, developing, and maintaining an efficient transmission grid to meet the national electric power requirements within the allowable national and regional standards.
It owns, operates, develops, and maintains the high voltage transmission grid. The grid connects power generation plants to load centres throughout the country, as well as interconnection with neighbouring countries.
Presently, the transmission grid comprises 150km of 220KV (initially operated at 132KV), 1443km of 132KV, 300m of 132KV underground cable, 35.2km of 66KV high voltage transmission lines, and 20 substations (includes Kabulasoke and Nalubaale switching stations).
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