Regulator raises Umeme electricity tariffs

Umeme Limited employees and officials from the Electricity Regulatory Authority of Uganda inspect a power station.
© Umeme Limited

The Electricity Regulatory Authority said Wednesday it had increased domestic tariffs for electricity supplied by Umeme Limited by 2.7 per cent in the second quarter, and overall tariffs by an average of 2.5 per cent, the second consecutive quarterly increase.

The tariff increase was due to the depreciation of the shilling against the dollar and an increase in underlying inflationary pressures as reflected in the core consumer price index. The regulator adjusts electricity tariffs on a quarterly basis based on changes in global fuel prices, the exchange rate of the Ugandan shilling against the dollar, consumer inflation, and the generation mix.

However, while the regulator has kept to the timetable for the tariff plans, it has not published the methodologies behind them for a year.