Uganda Hits Major Electricity Milestone with Karuma Hydropower Plant
Updated September 19, 2025 – Uganda has achieved a significant milestone in its energy sector, hitting a total electricity generation capacity of 2,052 megawatts (MW) following the successful completion of the Chinese-built 600-MW Karuma Hydropower Plant. This development is not just a number; it reflects the country’s ambitions to secure affordable electricity to spur economic growth and even export surplus power to neighboring regions.
Importance of the Karuma Plant
Ruth Nankabirwa, Uganda’s Minister of Energy and Mineral Development, emphasized the project’s significance during a recent press briefing. She indicated that the Karuma Hydropower Plant will not only provide a reliable power source for domestic demand but also pave the way for electricity exports, particularly aimed at funding ongoing infrastructure projects, such as the Uganda-South Sudan interconnection project.
Historical Context
The Karuma Hydropower Plant, commissioned by President Yoweri Museveni, adds another feather to Uganda’s cap in the energy landscape. It follows the completion of the 183-MW Isimba Hydropower Plant, also funded by Chinese investments, underscoring a strategic partnership aimed at bolstering Uganda’s energy capabilities.
Project Overview
- Name: Karuma Hydropower Plant
- Location: Karuma Town Council, Kiryandongo District
- Capacity: 600 MW
- Contractors/Developers: Sinohydro and Alstom
- Cost: $1.688 billion
- Commencement Date: 2013
- Completion Date: 2024
Geographically, the Karuma plant is strategically located, featuring a 284-kilometre transmission line extending to Kawanda in Kampala and additional lines reaching Olwiyo and Lira City. This setup ensures efficient power distribution across the nation.
Significance of Energy Security
Dr. Ruth Nankabirwa Ssentamu reiterated the importance of this project, stating, “Karuma represents a major milestone in our national energy strategy.” This initiative enhances not just power generation capacity but substantially boosts energy security and drives sustainable development.
With hydropower being Uganda’s primary energy source, boasting a potential of over 4,100 MW, the Karuma plant allows the nation to exceed its peak demand, which fluctuates between 900 MW and 1,000 MW.
Progress in Electrification
The peak electricity demand in Uganda has undergone a remarkable surge, rising from 257 MW in 2004 to approximately 988 MW in 2024. This growth has been fueled by economic development and initiatives aimed at expanding electrification. Access to electricity has also seen significant improvements, jumping from only 5% in 2004 to approximately 57% in 2023.
Eng. Irene Pauline Bateebe pointed out Uganda’s ambitious target of generating 52,000 MW by 2040, aligning with the Sustainable Development Goal (SDG) 7, which promotes universal access to energy. Projects like Karuma play a crucial role in helping the nation achieve these critical objectives.
Local Impact
The local community has also benefitted immensely from the Karuma project. Joseph Oryem Lilly, the LC1 Chairperson of Karuma Central Ward, praised the project for positively transforming the lives of local residents. The influx of new inhabitants and businesses has stimulated sectors such as hospitality, resulting in job creation and improved livelihoods.
A Look Back at Uganda’s Energy Journey
President Museveni noted that Uganda’s hydropower journey began with the inauguration of the Owen Falls Dam in 1954, laying the groundwork for the country’s energy sector. Subsequent projects, including the Kiira Hydropower Station in 2003 and the Isimba Hydropower Project in 2019, have further solidified Uganda’s energy landscape.
The Karuma Hydropower Project represents the most ambitious stride in this ongoing energy evolution. Securing $1.4 billion from the Exim Bank of China in 2011, along with $353 million in counterpart funding, the project has been executed over a period of 12 years, totaling an investment of $1.688 billion.
Infrastructure Developments
As of July 2024, Uganda boasts a total grid length of 4,496.4 km, equipped with 42 substations and a transformation capacity of 6,945.5 MVA. The Karuma plant stands as the country’s largest power installation and is recognized as Africa’s largest underground power plant, fulfilling a significant role in Uganda’s broader development agenda under the National Development Plan III.
Future Prospects
The successful commissioning of the Karuma Hydropower Plant opens a new chapter in Uganda’s energy narrative, reinforcing the country’s intention to transition from a largely agrarian economy to a more prosperous, industrialized nation by 2050.
For those eager to read more about energy advancements and other significant projects, the following links may be informative: