Umeme Pushes for Network Expansion Amidst Impending End of Contract

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Umeme Ltd, the largest energy supplier in Uganda, distributing about 97% of all electricity used in Uganda, is planning an increase in power connections throughout the country over the second half of this year despite the pending end of its concession in 2025.

Umeme partnered with the government of Uganda, the Electricity Regulatory Authority (ERA), and the Uganda Development Bank to unveil a new “Hybrid Connections” scheme that made it easier and more affordable for people to get connected to the grid.

Discussions are underway with the government to roll out a World Bank-funded Scale-up Connections project that will involve adding 1 million new customers to the grid, the company revealed.

To achieve the goal, Umeme said it has spent UGX8.13 billion ($2.19 million) to hire 737 additional staff, expanding its number of employees to 2,301 from 1,564, a 47% increase.

The corporation attributed the increase in workforce numbers to corporate reorganisation, claiming that more employees will result in a better client experience.

“The programme intends to add a million connections to the grid. The additional connections require re-enforcement investments in the capacity of the backbone distribution infrastructure,” Umeme stated in a 2022 report.

Umeme says that the Hybrid Connections scheme will help increase the number of people with access to electricity in Uganda. The company currently has about 1.5 million customers, but it aims to have 2 million customers by 2025.

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