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The Electricity Regulatory Authority (ERA) announced the new electricity tariffs for the period of April to June 2025, as Uganda Electricity Distribution Company Limited (UEDCL) officially took over power distribution operations from UMEME on Monday, March 31st.
The new tariffs, which take effect from midnight today, show a slight reduction across most categories of end-user charges.
These changes reflect ongoing efforts to make electricity more affordable for Ugandans while also considering factors like demand growth and currency fluctuations.
Dr. Sarah Wasagali Kanaabi, ERA's Board Chairperson, explained that the tariff adjustments were based on several key considerations, including the anticipated 10.4% annual growth in electricity demand in 2025.
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The USh 0.25% appreciation of the Uganda Shilling against the US Dollar, currently at Shs 3,679 as of February 2025, also influenced the decision to revise the tariffs. The reduction comes as the country prepares to transition from UMEME’s management, with UEDCL now overseeing the distribution of power in Uganda.
Tariff Reductions Across Various Sectors
Following public feedback and a thorough review of the application, ERA approved the following end-user tariffs for UEDCL’s operations in the upcoming quarter:
The lifeline tariff remains unchanged at Shs 250 per unit for qualifying domestic customers.
Domestic tariff has decreased slightly from Shs 775.7 to Shs 756 per unit for consumption beyond the first 15 units.
Commercial tariffs have also dropped, from Shs 572 to Shs 546 per unit.
Medium industrial tariffs have seen a reduction from Shs 417 to Shs 355 per unit.
Large industrial customer tariffs have been adjusted as follows:
Block 1: from Shs 351.5 to Shs 304 per unit
Block 2: from Shs 333.9 to Shs 282 per unit
Extra-large industrial service tariffs are now set at Shs 203 per unit, down from Shs 299.
Public amenities tariff remains unchanged at Shs 360 per unit.
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All other charges remain unaffected by the changes. The reductions come at a time when Uganda continues to push for energy sector reforms and increased access to affordable electricity, making this adjustment a step towards supporting both domestic consumers and the industrial sector.