The Uganda People’s Congress (UPC) has tasked the government to subsidize electricity costs following its takeover of power distribution from UMEME Limited to the Uganda Electricity Distribution Company Limited (UEDCL).
The call was made by UPC spokesperson Arach Oyat Sharon during the party’s weekly media briefing at Uganda House. She welcomed the government’s decision to take over electricity distribution but stressed that the government must go further to make power affordable for all Ugandans.
“We welcome the government’s decision to take over the distribution of electricity, but we urge them to go a step further and subsidize the costs to make it affordable for all citizens,” Arach said.
Under the new tariff structure, domestic consumers who qualify for the lifeline tariff (those using up to 100 units) will pay Shs250 per unit, while others exceeding this threshold will pay Shs756.2 per unit. Commercial consumers will pay Shs546.4 per unit, and medium industrial consumers will be charged Shs355.1 per unit. Large-scale manufacturing industries will face a tariff of Shs412.5 per unit.
For large industrial customers, a two-block tariff system will apply: block one will be charged Shs300.4 per unit, while block two will benefit from a declining block tariff, paying Shs282.9 per unit. Other large consumers will pay Shs348.7 per unit.
Arach emphasized that affordable electricity is essential not only for citizens but also for protecting the environment and combating climate change.
“This is one of the best ways of protecting our environment as we try to tackle the challenges of climate change,” she said.
The UPC also took issue with the National Resistance Movement (NRM) government’s economic model, particularly its privatization of key public enterprises. Arach criticized the government for dismantling and selling public corporations that were integral to the country’s development, particularly in the agricultural sector.
“The NRM/A government has dismantled key public corporations like the Uganda Transport Corporation (UTC), Uganda Cooperative Transport Union (UCTU), Uganda Railways Corporation (URC), Uganda Airlines, and Transocean Uganda Limited—essential services for the movement of goods and people,” Arach said.
She also criticized the removal of subsidies for key agricultural inputs, which she argued has negatively impacted farmers across the country.
“The demise of specialized marketing boards and the removal of subsidies for key agricultural inputs have forced our farmers out of business,” Arach stated. “We need to act as a country and get out of this scenario.”
The party emphasized that this approach requires boldness, dedication, and imagination to address the country’s economic challenges and ensure sustainable development, particularly in the energy and agricultural sectors.
