The Uganda government has embarked on a process to take over Namanve Thermal Power Plant following the expiry of the concession of Jacobsen, which has been operating the plant.
The Namanve thermal power plant was constructed by Norwegian power production company, Jacobsen Electricity Company (Uganda) Ltd at a cost of $92m in 2008. The Jacobsen concession expired in August 2020.
Speaking during a visit to the thermal plant in Namanve, Mukono District, on Monday, Energy minister Ruth Nankabirwa underlined government’s intention to take over the plant.
She said the Uganda Electricity Generation Company Limited (UEGCL), that oversees electricity generation in the country, will be running the thermal plant.
Dr. Eng. Harrison E. Mutikanga, the UEGCL chief executive officer, said they have the capacity to operate the plant.
“UEGCL has a mandate to own electricity generation assets on behalf of and we have adequate capacity to operate this plant. Our staff will work with the Jacobsen staff to ensure a seamless transfer process,” Dr. Eng. Mutikanga said.
Eng. Pauline Irene Batebe, the Energy ministry Permanent Secretary, said they plan to absorb the existing staff at Namanve Power Plant.
“As we think through the takeover of the plant, we will work with UEGCL to ensure we absorb the existing staff at Namanve Power Plant once the transfer arrangements are concluded,” she said.
The thermal plant, alongside the Tororo-based Electromaxx in Tororo, provide most expensive electricity that government buys at a unit cost of at $18 cent (about Shs666.04).