Uganda sets new electricity tariffs for 2024

Umeme reduces electricity tariffs as new financial year starts
Users of Umeme should expect to get reduced electricity bills

Kampala, Uganda | By Michael Wandati | The Ministry of Energy and Mineral Development has announced a revised annual tariff base and the rates for the first quarter spanning January to March 2024.

Dr. Sarah Kanaabi, the Chairperson of the Electricity Regulatory Authority Board, unveiled the approved electricity tariffs at the Uganda Media Centre in Kampala.

She clarified that these tariff determinations were grounded in several assumptions, including the anticipated commissioning of the Karuma Hydro Power Plant this year.

Dr. Kanaabi highlighted ongoing preparatory activities aimed at ensuring a seamless transition of the distribution network to the new operator by the conclusion of the Umeme concession in March 2025.

For domestic consumers, the cost of the initial 15 units will remain at Shs 250 per unit, while a 1% reduction has been applied to units beyond the lifeline (16-80), now priced at Shs 797.

In the commercial sector, tariffs have been reduced from 611 shillings and eight cents to 600 shillings and six cents per unit, reflecting a 1.8% decline.

Medium industrial consumers will experience a 2.8% reduction, with tariffs dropping from 461 shillings and eight cents to 448 shillings and seven cents, according to Dr. Kanaabi.

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“For commercial consumers, we have reduced the tarrifs from 611 shillings and eight cents to 600 shillings and six cents per unit, representing 1.8% decline. For the medium industrial consumers, we have reduced the tarrif from 461 shillings and eight cents to 448 shillings and seven cents, representing 2.8% reduction,” Dr Kanaabi said.

Notably, electricity tariffs for large and extra-large industrial consumers have seen reductions, except for street lights, which remain unchanged at Shs 370 per unit.