KAMPALA, Uganda — UMEME Limited has officially handed over electricity distribution operations to the Uganda Electricity Distribution Company Limited (UEDCL), marking the end of UMEME’s 20-year concession.
Energy Minister Ruth Nankabirwa emphasized the government’s commitment to enhancing service delivery, reducing electricity tariffs, and ensuring widespread electrification. “The transition to UEDCL is part of our broader strategy to enhance efficiency, accountability, and affordability in electricity distribution. We appreciate UMEME’s contributions over the years, and we are now ready to take the next step in developing Uganda’s energy sector,” Nankabirwa said.
She further announced that UMEME’s assets had been officially transferred to UEDCL to ensure a smooth transition. Former UMEME customers are advised to look for “UEDCL Light” on telecom payment menus, replacing the familiar “Yaka” system. Consumers are urged to follow the updated procedures to continue accessing electricity services without disruption.
UEDCL Managing Director Paul Mwesigwa assured the public that the transition would be seamless, with no disruptions to electricity supply. He reiterated the government’s commitment to expanding electricity coverage, particularly in rural areas, and improving network reliability. “As we take over operations, our priority is to ensure a smooth transition that benefits all Ugandans. We are committed to strengthening infrastructure, addressing customer concerns, and making electricity more accessible and affordable,” Mwesigwa said.
Mwesigwa also welcomed former UMEME employees to UEDCL, revealing that 2,200 staff members had been absorbed into the government entity. “We would like to welcome UMEME staff to UEDCL. Among the more than 2,200 UMEME employees UEDCL has taken on, some moved to UMEME in 2005, and today, we welcome you back. We shall do everything possible to help you settle in,” he stated.
UMEME Managing Director Selestino Babungi highlighted the company’s achievements over the past two decades, including significant investments in infrastructure and improvements in service delivery. “After 20 years of powering Uganda, UMEME officially hands over to UEDCL. Since 2005, UMEME has expanded electricity access from less than 5% to 25%, reduced energy losses from 38% to about 15%, and invested over $800 million in infrastructure to boost reliability,” Babungi said.
He further reassured customers that the transition would not disrupt electricity services. “Customers will continue to access power without disruption, Yaka services remain unchanged, and the grid infrastructure is intact for sustained growth in the energy sector,” he added.
The transition to state-controlled electricity distribution has sparked mixed reactions from consumers and industry experts. While some welcome the move, hoping for lower costs and improved service, others express concerns over potential bureaucratic inefficiencies and financial sustainability.
Effective April 1, 2025, UEDCL will assume full responsibility for electricity distribution and customer service.
