Reading: End Of An Era: UMEME Officially Hands Over Electricity Distribution To UEDCL After 20-Year Concession

End Of An Era: UMEME Officially Hands Over Electricity Distribution To UEDCL After 20-Year Concession

End Of An Era: UMEME Officially Hands Over Electricity Distribution To UEDCL After 20-Year Concession

Published on 31/03/2025

After two decades of managing Uganda’s electricity distribution network, Umeme Limited has officially handed over operations to the Uganda Electricity Distribution Company Limited (UEDCL).

The transition, which marks the end of Umeme’s 20-year concession agreement with the government, took place earlier today at Umeme’s electricity substation in Industrial Area, Kampala. The handover ceremony was attended by top government officials and key players in the energy sector.

The Minister for Energy and Mineral Development, Hon. Dr. Canon Ruth Nankabirwa Ssentamu, presided over the event, confirming that Umeme’s assets are now under the management of UEDCL.

She assured Ugandans that the transition is structured to ensure a smooth and uninterrupted supply of electricity across the country.

To facilitate this shift, the Minister urged former Umeme customers to adapt to the new payment system. She announced that the familiar “Yaka” payment option has been replaced, and customers should now look for “UEDCL Light” on telecom menus to purchase electricity tokens. She further emphasized the importance of following the updated procedures to avoid any service disruptions.

Speaking during the hand over, the Managing Director at UEDCL, Paul Mwesigwa highlighted the company’s readiness to embrace the opportunities and challenges that come with taking over electricity distribution assets, emphasising that the organisation is well-prepared to manage the transition effectively.

“The government’s decision to allow us to take over power distribution was mainly based on our presentation as UEDCL and demonstration of governance, efficiency, financial sustainability, digital operation environment, and more,” Mwesigwa said.

He assured Ugandans that UEDCL is dedicated to ensuring business continuity, seamless service delivery, and the efficient management of the country’s electricity distribution network following the conclusion of Umeme’s concession.

He further emphasized UEDCL’s commitment to maintaining a stable and reliable electricity supply, highlighting that the transition is part of a broader strategy to strengthen public sector oversight in energy distribution, enhance service efficiency, and improve customer satisfaction.

He also extended appreciation to UMEME’s management, staff, and board for their cooperation throughout the transition period. He emphasized the cordial relationship between the two entities and expressed optimism for continued collaboration in the energy sector.

“UEDCL is grateful to UMEME management, the staff, and the board for the support accorded during and before the transition. We have enjoyed a cordial relationship and look forward to more collaboration,” he added.

Meanwhile, several stakeholders in the energy sector have also expressed optimism about the transition, highlighting that UEDCL’s takeover will pave the way for greater investment in infrastructure and expanded access to electricity, particularly in rural areas. The government has promised to prioritize system upgrades and customer service enhancements to address past challenges.

According to Nankabirwa, the Ministry of Energy and Mineral Development will closely monitor the transition to guarantee efficiency and accountability. She urged Ugandans to embrace the change and assured them of continued engagement in addressing any concerns that may arise during the transition period.

As Uganda moves forward with UEDCL at the helm of electricity distribution, consumers are encouraged to stay informed about new policies and service procedures.

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