Uganda, renowned for its burgeoning surplus of energy, is poised to enter the regional electricity market by November next year.
However, the Uganda Electricity Transmission Company Limited (UETCL) has expressed concerns over the lack of essential supporting infrastructure necessary to actualize cross-border electricity trade.
During the recent Power and Electric International Expo, Jenkins Miiro, a representative from UETCL, underscored the critical need for infrastructure to facilitate seamless electricity exchange among neighboring countries.
"The regional market is slated to commence next year around November. The primary obstacle we face currently is the inadequate supporting infrastructure," stated Miiro.
He emphasized that despite these challenges, interconnected countries will still be able to engage in electricity trade.
Miiro highlighted Uganda's surplus power as a pivotal advantage in regional trade discussions.
"There have been discussions about Uganda having surplus power. This surplus not only positions us favorably in the regional market but also presents an opportunity for us to leverage our generation capacity," he explained.
The absence of a dedicated market operator for day-to-day monitoring and the ongoing development of market rules were also noted as critical ongoing tasks by Miiro.
These elements are crucial for ensuring the efficient functioning of cross-border electricity trade.
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Reports indicate that Uganda is currently engaged in studies to interconnect with several neighboring countries including South Sudan, Democratic Republic of Congo (DRC), Tanzania, and Rwanda.
This move is bolstered by the fact that a staggering 97% of Uganda's electricity is sourced from renewable sources, giving it a substantial advantage over many other countries in the region.
Eng. Willy Kiryahika, a renewable energy consultant, stressed the importance of government investment in renewable energy infrastructure to capitalize on the potential of regional electricity trade.
"Given Uganda's strategic central location, our existing transmission infrastructure can effectively transmit electricity to neighboring countries such as South Sudan and Rwanda, thereby opening up opportunities for revenue generation through export," suggested Miiro.
The concept of 'wheeling,' where Uganda could utilize its transmission network to transport electricity to neighboring countries and charge a transmission fee, was highlighted as a potential strategy to capitalize on the surplus power.
While Uganda stands poised to become a significant player in the regional electricity market, the journey is fraught with challenges, primarily centered around the need for robust supporting infrastructure.
The development of this infrastructure is not only crucial for the operationalization of cross-border electricity trade but also for maximizing Uganda's renewable energy potential on the international stage.
As preparations intensify and regional partnerships evolve, the spotlight remains on Uganda's ability to overcome infrastructure hurdles like lack of power transmitters and emerge as a powerhouse in the regional energy landscape.
