Electricity Supply Industry Performance Report for the Year 2018

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Electricity Supply Industry Performance Report for the Year 2018 Performance of Uganda’s Electricity Supply Industry in 2018 ELECTRICITY SUPPLY INDUSTRY PERFORMANCE REPORT FOR THE YEAR 2018 Off Grid Grid Supply Supply Total =976.5 MW =7.5 MW =984.0 MW i | P a g e Performance of Uganda’s Electricity Supply Industry in 2018 TABLE OF CONTENTS ACRONYMS ....................................................................................................................... iv LIST OF FIGURES .................................................................................................................. v EXECUTIVE SUMMARY.................................................................................................. vii I.Peak Demand ................................................................................................................vii II.Installed Generation Capacity ...................................................................................vii III.Electricity Supply to the National Grid ......................................................................vii IV.Transmission ................................................................................................................. viii V.Electricity Distribution .................................................................................................. viii VI.Off-Grid Generation and Supply ................................................................................ix 1.0.BACKGROUND ............................................................................................................. 1 1.1.Introduction ................................................................................................................. 1 2.0.ELECTRICITY GENERATION ....................................................................................... 1 2.1.Installed Generation Capacity ................................................................................. 1 2.1.1.Power Plants Generating Electricity in Uganda .................................................. 2 2.2.Projects Under Construction ...................................................................................... 4 2.3.Energy Generated and Sold to the National Grid ................................................ 5 2.3.1.Generation from Large Hydro Power Plants ........................................................ 5 2.3.2.Generation from Small Hydro Power Plants ......................................................... 6 2.3.3.Generation from the Thermal Power Plants ........................................................ 7 2.3.4.Generation from the Solar PV Plants .................................................................... 8 2.3.5.Generation from Bagasse Power Plants ............................................................... 9 2.4.Staff in the Electricity Generation Segment ......................................................... 10 3.0.ELECTRICITY TRANSMISSION SEGMENT ................................................................. 12 3.1.Introduction ............................................................................................................... 12 3.2.The Electricity Demand and Supply Nexus ........................................................... 12 3.3.UETCL Energy Purchases .......................................................................................... 14 3.4.UETCL Energy Sales ................................................................................................... 15 3.4.1.UETCL Energy Sales by ToU ................................................................................... 16 3.5.Transmission Energy Losses ....................................................................................... 17 3.6.Staff in Transmission Sagement ............................................................................... 18 ii | P a g e Performance of Uganda’s Electricity Supply Industry in 2018 3.7.Transmission Network Assets (Transmission Length, Substations) ....................... 18 4.0.ELECTRICITY DISTRIBUTION ON THE NATIONAL GRID ........................................... 20 4.1.Introduction ............................................................................................................... 20 4.2.Energy Purchases and Sales by Distribution Utilities ............................................. 20 4.2.1.Energy Sales by Customer Categories ............................................................... 21 4.3.Energy Distribution Losses ........................................................................................ 22 4.3.Energy Losses for UMEME Limited ........................................................................... 23 4.3.2.Energy Losses for Mini-Grids .................................................................................. 24 4.4.Customer Growth ..................................................................................................... 25 4.5.Distribution Network Length .................................................................................... 26 4.6.Staff in the Distribution Segment............................................................................. 27 4.7.Transformation Capacity ......................................................................................... 27 4.8.Key Performance Benchmarks for UMEME LIMITED ............................................. 28 4.9.Key Performance Benchmarks for Mini-Grids ....................................................... 30 5.0.ELECTRICITY GENERATION AND DISTRIBUTION BY OFF-GRIDS ............................. 32 5.1.Introduction ............................................................................................................... 32 5.2.Energy Generation and Sales by the Major Off-Grids ........................................ 32 5.3.Staff, Customers and Distribution Network in Off-Grids ....................................... 34 6.0.TREND OF ESI-RELATED MACRO-ECONOMIC VARIABLES .................................... 35 6.1.Introduction ............................................................................................................... 35 6.2.Crude Oil Prices ......................................................................................................... 35 6.3.Inflation ....................................................................................................................... 36 6.4.Consumer Price Index (CPI) .................................................................................... 36 6.5.United States Producer Price Index (US PPI) ......................................................... 37 6.6.Exchange Rate .......................................................................................................... 38 7.0.RETAIL TARIFFS ............................................................................................................ 40 7.1.Grid Retail Tariff ......................................................................................................... 40 7.2.Retail Tariffs for Mini-Grid Customers ...................................................................... 41 iii | P a g e Performance of Uganda’s Electricity Supply Industry in 2018 ACRONYMS BEL Bujagali Energy Limited Bn Billion BoU Bank of Uganda CPI Consumer Price Index EIA Energy Information Administration EPRC Economic Policy Research Center ERA Electricity Regulatory Authority ESI Electricity Supply Industry GoU Government of Uganda GWh Gigawatt hours KCCL Kasese Cobalt Company Limited KIL Kilembe Investments Limited KRECS Kyegegwa Rural Electricity Cooperative Society Kwh Kilowatt hours kV Kilovolt Ltd Limited Mn Million MoFPED Ministry of Finance, Planning and Economic Development OPEC Organization of the Petroleum Exporting Countries PACMECS Pader Abim Community Multi-purpose Electric Cooperative Society PPI Producer Price Inflation PV Photovoltaic RETF Rural Electrification Trust Fund SAIL Sugar and Allied Industries Limited UBOS Uganda Bureau of Statistics UEDCL Uganda Electricity Distribution Company Limited iv | P a g e Performance of Uganda’s Electricity Supply Industry in 2018 UEGCL Uganda Electricity Generation Company Limited UETCL Uganda Electricity Transmission Company Limited UGX Uganda Shilling US United States USD United States Dollar WENRECO West Nile Rural Electrification Company LIST OF TABLES Table Description Page Number Table 1 Uganda's Electricity generation plants as of December 2018 3 Table 2 Licensed power generation plants under construction as at the end of 4 December 2018 Table 3 Growth in energy purchases and sales of distribution utilities 21 Table 4 Total Customers on the network as at the end of December 2018 26 Table 5 Key Performance Indicators for UMEME 29 Table 6 Key Performance Indicators for Minigrids in 2018 31 Table 7 Staff, customers and Network in off-grids 34 Table 8 Tariffs for the customers served by mini-grids 41 LIST OF FIGURES Figure Description Page Number Figure 1 Installed capacity by technology as at the end of December 2018 2 Figure 2 Distribution of Energy generated over years by utilities on national grid 5 by technology (GWh Figure 3 Energy dispatched by large hydro plants in GWh (2014-2018) 6 Figure 4 Annual generation from small hydro power plants (2015-2018)7 7 Figure 5 Distribution of energy generation from thermal power plants (2014- 8 2018) Figure 6 Energy dispatch from the solar PV plants on the national grid 8 Figure 7 Generation from bagasse power plants 9 Figure 8 Number of staff in electricity generation segment as at 31st 10 December 2018 Figure 9
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