Ibrahim Kasita
23 November 2008
Kampala — THE partners of the Bujagali hydropower project are satisfied with the progress of the construction works and other related activities at the Jinja-based plant.
The dam is on track, ahead of the commissioning expected in mid-2011.
Kaliisa-Kabagambe, the energy permanent secretary, told a team of international lenders in Kampala last week that the Government was satisfied with the manner in which the project was being implemented. "We are particularly happy that it (project) is on track or even slightly ahead of schedule.
"We are pleased to note that all partners are playing their part and giving the necessary cooperation and any issues that may arise going forward can be addressed within the existing framework. We therefore do not see any cause for delays," Kabagambe said.
The representatives from the World Bank Group, European Investment Bank, African Development Bank, Netherlands Development Finance Company - FMO, Germany's KFW and Absa Capital, were in the country to monitor the project's progress, including compliance with lender environmental and social standards and safeguard requirements.
Representatives from the Standard Chartered Bank were also present.
Specifically, the lenders wanted to ascertain that the issues agreed on with the Government and the Bujagali Energy Limited (BEL), the sponsors of the project, prior to the commencement of the work, were being taken care of.
The lenders expressed satisfaction with the manner in which BEL and the Government had prioritised environmental and social aspects of the project.
They also hailed the commitment by the contractor, Salini, and BEL to deliver the project for commissioning by early 2011.
The unit-by-unit commissioning, will allow power to be generated into the national grid, enabling early retirement of expensive rental thermal generation starting in the second half of 2010. Glenn Gaydar, the BEL project director, indicated that the lenders' representatives assessed the progress of the project to make sure that "everything is moving in the right direction and there is involvement of the local community and those environmental issues were being properly addressed."
Gaydar explained that no effort had been spared in ensuring compliance with the relevant lender environmental and social issues.
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