Kampala — UGANDA loses over sh198b in electricity theft every year, the Electricity Regulatory authority (ERA) boss has revealed.

Eng. Frank Sebbowa, the ERA chief executive officer, on Friday told MPs that the country loses 33% of every 100 units of power released during distribution and 4% in transmission.

Appearing before the committee on commissions, statutory and state enterprises to answer queries raised in the Auditor General's report, Sebbowa said that on estimate, one percentage unit of power is equivalent to $3m (sh6b) per year, meaning that the country loses $99m (about sh200b) a year.

The loss, he said, is the highest in the East African region, with Tanzania ranked second with 20% loss, Rwanda third with 17% and Kenya with the least power loss of 15%.

"Compared to other countries in the region, we are doing very badly. We lose a lot of money in power loss, which is mainly due to power theft," Sebbowa said.

He attributed the loss to theft of electricity equipment in Jinja, Iganga, Mbale, Masaka and in Kisenyi, a Kampala suburb.

He also told a committee chaired by Reagan Okumu (Aswa County MP) that officials within Umeme connive with clients to have their bills reduced through meter bypass.

To a small extent, some losses are incurred due to overheating of wires and overloading of transformers, Sebbowa said.

"Power theft is rampant and it costs us dearly. The cost of replacing a transformer is sh20m. Sometimes we replace a transformer fives times in three months," he said.

Theft of electricity equipment, especially cable wires and oil from the transformers, has hit the country and the eastern region is the most affected. Recently, a group of thugs in the east were arrested for stealing power cables.

Sebbowa explained that Kenya, Rwanda and Tanzania have reduced power theft by using strict and tough laws, unlike Uganda, where the prosecution process is long and suspects are given light punishments, according Okumu.

He noted that power loss remains a problem, years after Umeme took over from the Uganda Electricity Board.

"Why do we have Umeme? Why don't you terminate their contract? Power tariffs were much lower in the days of UEB," Okumu noted.

On the recent national outcry and the investigations of top Umeme bosses by the Police over high power tariffs, Sebbowa said power hikes are with the contract the company signed.

However, he commended the move to investigate Umeme, saying it could unearth a lot of things.