Museveni directs on electricity tariffs

KAMPALA, UGANDA – Manufacturers are to enjoy lowered electricity tarrifs following a presidential directive aimed at increasing investment in processing and manufacturing industries.

President Museveni Yoweri pledged to lower electricity costs for industrialists. “I have given strict instructions that industries should buy electricity at US$4-5 cents per unit. There will be no compromise on this. Manufacturers need a competitive price to operate. I don’t care about nightclub goers – those ones can pay high electricity bills,” he added

Officiating at the opening of the Acacia Mall at Kisementi, Kampala; President Museveni did not say who the directive was directed to.

When contacted Henry Rugamba, the UMEME head of communications said “The largest component in the tariff is generation. We are excited by the Government’s commitment to building more hydro dams which will give us cheaper electricity and greater supply for us to distribute and will drive the tariff down.”

“Manufacturers contribute 70% of electricity revenues and we strongly support the Government policy.” He added

President Museveni also called for increased investment in maize processing in Uganda to take advantage of an anticipated boom in maize production.

Officiating at the launch of Acacia Mall, Museveni said “We need more investors because there are big opportunities here. The big problem now is maize. There is going to be a lot more production of maize very soon, so we need serious investors in maize. What Ugandans produce are small quantities for eating but they are starting to wake up and produce maize in large quantities.”

“There are also fruits, which will sort out the problem of land fragmentation because you don’t need a lot of land. From one acre of fruit you can get a lot,” he added.

The President said the government was also addressing transport costs by entering into an East African railway arrangement, which would encourage more industry.

After touring the Mall, a multi-million US Dollar investment under Mukwano subsidiary company Gulf Stream Investments Limited, President Museveni commended the Mukwano Group on the successful completion of the project.

“These are serious Ugandans,” Museveni said.

Alykhan Karmali, the Managing Director Mukwano Group, in his speech said the mall stood out as a “paragon in Uganda as an architectural achievement, a lifestyle destination, and a fuel of local, Ugandan retail commerce.”

“When we envisioned this mall, we wanted to create a space that communicated the aspirations of Ugandans who truly believe that it is possible to live in Kampala with the same aspirations as any person living in another global capital,” he added

The mall was funded and built by Mukwano Group of Companies, and is managed by global property and real estate agents Knight Frank.

Knight Frank Managing Director, Judy Rugasira Kyanda, said the mall had been built to the highest standards in Uganda.

“Acacia Mall has raised the bar for retail development in Uganda, and we are proud to be associated with a world class development right here in Uganda,” she said.

By Paul Tentena, Saturday, June 21st, 2014


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