Uganda’s main power distributor, Umeme Limited, said Thursday the government has declined to renew its concession when the current one expires in 2025.
Umeme said in a statement that it formally received written communication from the government about the decline to renew the concession.
According to local media New Vision, Umeme’s remarks came after the minister of state for Energy said Umeme’s fate was sealed in a recent cabinet meeting, ending years of speculation on the government’s renewal of the concession.
The company operates a 20-year electricity distribution concession which became effective on March 1, 2005.
Minister of State for Energy last month told a parliamentary committee that plans are underway to form a state-run company to manage the electricity sector. Enditem