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Uganda Rural Electricity Access Project - Investment Grant

Eastern Africa
Grant Amount
EUR 10,740,000
Total project cost
EUR 112,845,000
PFG Lead Financier

The Government of Uganda has approved the 10-year Rural Electrification Strategy and Plan (RESP-2) in June 2013 with a target to increase access to electricity in rural areas from 7% to 26%. The Uganda Electricity Access Project is one of several projects designed under RESP-2 and will: (i)  build about 1,147 km of medium voltage and 808 km of low-voltage distribution networks, (ii) last-mile connections to 58,206 rural households, 5,320 business centres and 1,474 public institutions (schools, health centres and administration offices) to the grid; and (iii) procure additional 99,077 connection materials, ready-boards and pre-paid energy meters to intensify the last-mile connections near to the existing grid in already electrified rural and urban areas that do not require grid extension. Its beneficiaries are mainly rural Ugandans, who will gain access to reliable and affordable electricity and related improved services.

The project has four main components: (i) Grid extension and last-mile connections through construction of distribution networks, (ii) Project Administration and Management, (iii) Technical Assistance and Capacity Building, and (iv) Environmental and Social Management.

As of 31st December 2016, the project has finalized the recruitment of project engineering and supervision consultant, the procurement processes for recruitment of a consulting firm to conduct feasibility studies for future rural electrification projects and the shortlisting of consulting firms to conduct electricity cost of service and affordability of tariffs have been finalized.

The EU-AITF Investment Grant will finance the investment of last-mile connections for the project. As at December 2016, (i) the  project implementing agency has finalized the evaluation of technical and financial proposals and the contract negotiation with the selected/recommended consulting firm has been concluded, (ii)  In order to start the disbursement from the IG, the implementing agency has completed the procurement of small quantity of connection materials and the disbursement from the IG has been started within the IG validity period; and (iii) the  implementing agency has also finalized the evaluation of technical and financial proposals.