Gov't takes over Namanve Thermal Power plant,power tariffs to reduce.

The Government of Uganda through Uganda Electricity Generation Company Ltd UEGCL has taken over Namanve Thermal Power Plant from Jacobsen Uganda Power Plant Company Ltd to manage and undertake the operation and maintenance of the Thermal plant.

Speaking during the handover of the plant the minister for Energy and Mineral Development Ruth Nankabirwa said that Thermal plants such as Namanve are strategic in nature as they provide an emergency backup and enhance energy security to the existing renewable energy sources in case of failure due to foreseen climate change factors.

She notes that the take-over will benefit the government by saving 7.7 billion shillings per year for the first three years and an 18% reduction in the generation tariff.

Nankabirwa revealed that the government will also be taking over the responsibility of running Nalubale power dam from the current managers ESKOM by next year after taking of Karuma hydropower Dam mid this year.

"Once the government takes responsibility for this dam there will be about 18% in the generation tariff thus making electricity affordable for domestic use and industries,"  says Nankabirwa.

On his part and the Chief Executive Officer of UEGCL Dr. Harrison Mutikanga said that the takeover will enhance the internal capacity of UEGCL to independently operate and maintain power plants using its indigenous workforce and thereby contribute to the empowerment of the local manpower.

He says maintenance and operation of the 50MW Namanve Power plant from Jacobsen Uganda Power Plant Company Ltd to UEGCL with all the above merits contribute to the government’s vision for the social Economic transform of the Ugandan economy.