The commissioning of the submarine power cable connecting Kalangala Island to the mainland via Bukakata in Masaka District is on hold as the government has not yet determined the power tariffs for the project, according to Kalangala Infrastructure Services (KIS), the power supplier overseeing the initiative.
The submarine power cable, extending 7km along the bottom of Lake Victoria, is set to supply 33 kilovolts of power to the sub-counties of Buggala and Bugoma. However, the delay in tariff determination by the Electricity Regulatory Authority (ERA) has resulted in a temporary standstill in the commissioning process.
Mr. Joseph Mulindwa, the KIS spokesperson, stated in an interview with Daily Monitor that the cable laying is complete, but the Energy minister cannot commission the power until the ERA finalizes the tariff-setting process.
KIS is hopeful that a flat tariff structure, where both domestic and commercial customers are charged at a fixed price per kilowatt consumed, could potentially shift power usage if the tariffs are set at a favorable rate.
Mr. Mulindwa added, “Joining the flat tariff structure under which we are currently opening to the mainland power grid means that the power tariff has to be restructured to have the off-pick tariffs that favor heavy commercial customers.”
The project is expected to benefit more than 33,000 households, including industries, in the Buggala and Bugoma sub-counties. Stakeholders anticipate that the submarine power cable will provide better and more stable power supply to Kalangala Island.
Despite the optimism surrounding the project, Mr. Rajab Ssemakula, the Kalangala LC5 chairperson, highlighted the importance of user-friendly tariffs for both businesses and residents. He mentioned that high power tariffs in the past had deterred potential investors, resulting in missed opportunities for economic growth on the island.
