Just In: ERA Slashes Electricity Tariffs For Third Quarter Of 2021

Just In: ERA Slashes Electricity Tariffs For Third Quarter Of 2021

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By Spy Uganda

Kampala: Using sections 10 and 75 of the Electricity Act, 1999, (Chapter 145 of the Laws of Uganda), the Electricity Regulatory Authority has approved a schedule of Electricity End-User Tariffs to be charged by Umeme Limited for the supply of Electrical Energy in the Billing Period from July to September 2021.

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According to the New Tariffs, Domestic Consumers will pay UGX 250 for the First 15 Units under the Lifeline Tariff and thereafter pay UGX 747.5 for the next Units purchased, a reduction from UGX 750.9 in the previous quarters whereas, commercial consumers will pay UGX 616.6 from UGX 639.8, medium industrial consumers – UGX 526.9 from UGX 556.0, large industrial consumers – UGX 355.0 from UGX 361.0, Extra Large Consumers – UGX 300.2 from UGX 301.7, while the tariff for street lighting has been maintained at UGX 370.0.

Julius Wandera, the ERA Director Corporate and Consumer Affairs says the approved Electricity End-User Tariffs represent a Weighted Average Reduction of 2 per cent, relative to the Tariffs of the Second Quarter of 2021.

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According to Eng Ziria Tibalwa Waako, the ERA Chief Executive Officer, ” the commercial consumers and medium industrial consumers are the biggest direct beneficiaries of the reduction in tariffs applicable for the period July to September 2021, with a reduction as much as 23.2 per unit and Shs29.1 per unit of electricity consumed for the two consumer categories respectively.”

This is the third time in a row that the Authority is reducing Tariffs for the two (2) Consumer Categories, with the aim of supporting the Electricity Consumers to recover from the effects of the COVID-19 Pandemic.

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Previously, the Authority determined the Electricity End-User Tariffs for the Second Quarter of 2021 based on changes in the Macro-Economic Factors of the International Price of Fuel, Exchange Rate of the Uganda Shilling against the United States Dollar, Core Consumer Price Index, and Energy Generation Mix.

However, this time the authority says new End-User Tariffs are as a result of; appreciation of the Uganda Shilling against the United States dollar, increment in the International Fuel Prices, the Total Quarterly Energy expected to be purchased by UETCL, which is 1,220.32 GWh.

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