Uganda’s ERA now permits manufacturers to buy power directly from generators, cutting costs and boosting industrial competitiveness.
🔌 Uganda Approves Direct Power Deals for Manufacturers
KAMPALA, Uganda – February 6, 2025 – In a transformative regulatory move, the Electricity Regulatory Authority (ERA) has issued new rules allowing large-scale manufacturers to purchase electricity directly from generation companies, bypassing intermediaries such as Umeme and the Uganda Electricity Transmission Company Limited (UETCL).
Outlined under the newly gazetted Electricity (Supply of Electricity in Bulk to Specified Consumers) Regulations, 2025, the framework took effect on February 6, 2025, and targets consumers with an average demand of at least 1,500 kVA.
“By enabling direct power purchases, we aim to reduce electricity costs for manufacturers, thereby enhancing their competitiveness both regionally and globally,”
— Ziria Tibalwa Waako, CEO, ERA
🏭 How Manufacturers Benefit
The Uganda Manufacturers Association (UMA) has long advocated for the change.
“Direct access to power generators is a game-changer for our industry. It not only lowers costs but also ensures a more reliable power supply,”
— Daniel Birungi, Executive Director, UMA
Key advantages for manufacturers include:
- Lower production costs
- Improved power reliability
- Fewer transmission losses
- Increased investor interest in Uganda’s industrial parks
⚙️ Industrial Competitiveness and Investment Appeal
The shift supports Uganda’s industrial development agenda, including:
- Attracting foreign direct investment (FDI)
- Boosting exports by cutting input costs
- Enhancing competitiveness of Uganda’s manufacturing output in regional markets like EAC and COMESA
This aligns with the country’s Vision 2040 to transform from a peasant to a modern and prosperous nation.
📞 Contact ERA
For inquiries or guidance on applying for direct power purchase eligibility:
Electricity Regulatory Authority (ERA)
📧 Email: info@era.go.ug
📞 Phone: +256 414 341 852
🌐 Website: www.era.go.ug
🏢 About ERA
The Electricity Regulatory Authority (ERA) is the statutory body mandated to regulate, license, and supervise the generation, transmission, distribution, sale, export, and importation of electrical energy in Uganda.
ERA is central to ensuring Uganda’s power sector operates efficiently and transparently in support of industrialisation and economic growth.
