The German government has given EUR10 million to the Uganda's Ministry of Energy and Mineral Development for investment in energy projects. The fund will be used to complement the financing of West Nile rural electrification, extension of the mini grid hydro power in Pakwach, rehabilitation of the mini hydro power plant in South West Uganda (Maziba) and constructing a 132 kilovolt transmission line at Mutundwe, Kampala.
Gabrielle Geier, the Germany head of delegation, said that the Uganda-Germany cooperation focuses on promoting renewable energies and improving energy efficiency.
“Placing access to modern energy for Ugandans will contribute towards eradicating poverty,” Geier said.
“The multiple sources of energy will reduce the burden of fetching firewood especially by women who are neglected in rural areas”.
Engineer Simon Dujanga, the minister of State for Energy said that the major challenges included the growing demand for electricity which does not match the supply.
The power supply deficit is still low at 5%. 93% of the energy comes from biomass sources with a majority of the population using local technologies to access energy in rural areas.
As per reports, the previous funds of EUR12 million, are being used for dissemination of more than 600,000 energy stoves to school, prisons, and households in Bushenyi, Rakai, Mbale and northern Uganda.
The funds are also being used to construct the Olewa mini hydro power project. The project will generate power and transmission line will be laid between Mutundwe, Kampala and Entebe. The line will reduce load shedding and cater for the increasing demand for power in Entebbe.