Uganda

Uganda, commonly known as the “Pearl of Africa”, is recognized in sub-Saharan Africa for its electricity regulatory framework and encouraging private investment in the electricity sector. Despite these positive features, in 2016, only 22% of the population enjoyed access to electricity in Uganda, with only 11% of the rural population having access to power.

To help the Government of Uganda address these limitations, USAID and Power Africa initiated a three-year activity in 2017, the Power Africa Uganda Electricity Supply Accelerator (the Activity) to support the Government of Uganda’s efforts to accelerate investments in cleaner energy. ESG managed the Activity which focused on providing transaction advisory services and technical assistance to enhance the enabling environment for energy, reduce sector risks, and mobilize resources to help increase power generation capacity and expand electricity access among both rural and urban communities.

Key Results:

• 850,000 new electricity connections reaching over 4.1 million people.
• 500,000+ off-grid connections, including 6,000 productive use of energy systems.
• 2,257km distribution lines constructed.
• Over $50 M mobilized for clean energy projects.
• Supported over 50 clean energy projects, with cumulative capacity of 1,200 MW.
• Over 6,500 energy professionals, government employees and farmers trained in clean energy and energy finance.
• Collaborated with over 65 public and private sector partners to achieve activity objectives.
• 13 power sector studies produced to support the enabling environment.
• 29 risk mitigation tools used to support clean energy transactions.
• 50 energy audits of healthcare facilities conducted.
• 5 mini-grid feasibility studies developed.

Select Relevant Activities:

• Provided capacity building to the Government of Uganda and service providers on project finance for evaluating, negotiating, and monitoring infrastructure projects.
• Updated the Power Sector Investment Plan and provided capacity building on the Integrated Resource and Resilience Plan for the Ministry of Energy and Mineral Development.
• Created and initiated a public awareness campaign to increase the Government’s Electricity Connections Policy (ECP) participation and developed a national IT tracking system to provide government agencies with timely information on current ECP connections which allows accurate tracking of ECP investments, payments, and progress.
• Conducted stakeholder seminars and workshops to develop networks between finance providers and project developers.
• Conducted an organizational assessment of the Uganda Electricity Distribution Company Limited to identify capacity building and technical assistance needs to improve financial performance.
• Developed a customer outreach strategy and implementation plan for a national DISCO.
• Provided technical assistance to develop application and product standards for the Uganda Energy Credit Capitalization Company to enable lending to institutional and small-scale finance providers and product distributors for off-grid clean energy products.
• Connected rural coffee cooperative’s members to solar companies and financial institutions to train them on opportunities to both utilize solar products and finance these products for productive use of energy applications on farms.
• Provided capacity building and productive use of energy support to mini-grid developers and operators on developing new business models.
• Developed a framework and legal review for Public Private Partnerships to develop transmission lines.
• Supported the national solar energy association growth and expansion.

Case Studies:

• Increasing Grid Connections Through Public Information Campaigns: The Electricity Connections Policy in Uganda
• Accelerating Productive Use of Electricity in Rural Uganda Through Solar Home Systems and Water Pumping: The Alur Highlands Coffee Alliance
• Increasing Productive Use of Electricity on Uganda’s Bugala Island
• Supporting Ugandan Electricity Service Providers Promote Productive Use of Electricity by Enhancing Consumer Engagement
• Supporting the Development of Uganda’s Solar Sector Through the Uganda Solar Energy Association