An audit by the Auditor General has raised concerns over the state of Umeme’s power distribution network in northern and eastern Uganda, highlighting potential risks to equipment and the safety of people in the vicinity. The audit revealed that almost half of the transformers on five out of the 13 distribution lines sampled under Umeme’s network were not in satisfactory condition.
The report identified faulty surge arrestors on distribution lines, compromising the safety of equipment and leading to oil leakages, thereby increasing the risk of equipment damage and fire hazards. It also pointed out power quality issues, particularly along long feeder lines like Mbarara North-Kabale 33 kV and Ishaka–Rukungiri 33 kV, suggesting a higher voltage drop that raises the likelihood of faults and failures.
Umeme operates under a 20-year concession, leasing assets from Uganda Electricity Distribution Company Limited (UEDCL), with the concession set to expire in March 2025. The Auditor General emphasized the need for Umeme to address observed deficiencies, conduct necessary repairs, and ensure the proper maintenance, installation, and modification of the distribution network in accordance with the lease and assignment agreement.
However, the government has indicated its intention to regulate Umeme’s investments in the grid to control the growth of the buyout cost at the end of the concession. Umeme is responsible for repairing, maintaining, installing, retiring, and modifying certain assets, with costs recovered through tariffs. The government will cover investments not recovered through tariffs at the concession’s expiration and has proposed setting up a company to take over the distribution function from Umeme.
The audit also highlighted safety and occupational risks, such as high voltage lines (33 kilovolts) constructed across residential house roofs in Ibanda-Kazo-Rushere and voltage drops on various power lines, including Kabale-Kisoro, Ibanda-Kazo-Rushere, Kitgum-Palabek-Padibe-Lokung, Opuyo Moroto, and Masindi-Waki-Buliisa.
For now, the government aims to ensure Umeme addresses the identified issues to enhance the reliability and safety of the power distribution network.
