Uganda’s electricity regulator has kept tariffs broadly unchanged for the second quarter of 2026, as a strengthening shilling offset a modest rise in global fuel prices.
The Electricity Regulatory Authority said the approved end-user tariffs for April to June reflect a shift in underlying macroeconomic drivers, but one that ultimately leaves pricing largely stable.
The Ugandan shilling strengthened to Shs3,599.64 against the US dollar as of 27 February, from Shs3,624.91 in the previous quarter, easing pressure on dollar-denominated generation costs. International oil prices rose to an average of $67.90 per barrel in February, according to OPEC, from $64.46 previously, partially offsetting the currency gains.
For domestic consumers, the tariff structure remains unchanged: the lifeline tariff for the first 15 units is maintained at Shs250 per kWh; consumption between 16 and 80 units is charged at Shs756.2 per kWh; units between 81 and 150 kWh are billed at Shs412.8; and consumption above 150 units reverts to Shs756.2.
Read: Understanding your electricity bill, and how power tariffs for domestic consumers work
The outcome mirrors the first quarter, when the regulator also held tariffs steady amid offsetting macroeconomic pressures. The latest review suggests that, despite some movement in underlying variables, the balance between exchange rate gains and fuel costs has again limited the need for adjustment.
Industrial tariffs show a similar pattern of continuity. Large and extra-large consumers retain relatively low off-peak rates, sustaining a pricing structure designed to support energy-intensive manufacturing and encourage demand growth.
This stability is set against the backdrop of a continued surplus of generation capacity, primarily from hydropower, which continues to weigh on system utilisation. Predictable tariffs are intended to support industrial planning while gradually absorbing surplus supply.
ERA said that tariffs are reviewed quarterly based on changes in the exchange rate, inflation, the generation mix and international fuel prices. The current quarter indicates that these factors remain broadly balanced.
Read: Uganda shilling weakens sharply as oil prices and global risk sentiment shift
