The Uganda Electricity Generation Company Limited (UEGCL) held its 12th Annual General Meeting on 20th December 2022 at Kampala Serena Hotel to the company’s shareholders Hon. Dr Ruth Nankabirwa – Minister of Energy and Mineral Development and Hon. Matia Kasaijja – Minister of Finance, Planning and Economic Development who was represented by Hon. Amos Lugolobi – State Minister for Finance, Planning, and Economic Development.
During the meeting, the company’s board chairperson. Eng. Proscovia Margaret Njuki. presented UEGCL’s continued growth trajectory for the year 2022.
This was depicted in the Financial Year 2021/22 by a growth in revenue from UGX 169.7 bn to UGX 210.9 bn (24.3% growth), a growth in operating profit from UGX 54.7 bn to 66.3 bn (21% growth), and a growth in assets from UGX 7 trillion to UGX 7.2 Trillion (2.9%). This growth was enabled through continued operations of the flagship Isimba power project and the newly acquired Namanve (50MW) Thermal Power Plant (TPP).
UEGCL has now gained 3 years of hands-on operational experience, which has indeed proven that the indigenous model of UEGCL has borne the fruits of success. In summary, therefore, UEGCL is now a profitable going concern, and the future is very bright as we prepare to commission the Karuma (600 MW) Hydro Power Plant.
From the financial perspective, UEGCL for the fourth year running, continued to exhibit bottom-line profits, with Isimba continuing to be the cash cow of the Company.
“In line with the National Development Plan, government manifesto and Vision 2040, the Company’s strategy continues to prioritize increased installed capacity to support the generation of affordable electricity for socio-economic development,” said Eng. Proscovia Margaret Njuki – Chairperson, Board of Directors.
It should be noted that during the year, an additional revenue stream of Namanve Thermal Power Plant (TPP) was added, and this further boosted the income of the Company. Together, Isimba and Namanve accounted for 80% (UGX 169 billion) of the Company’s income.
The Nalubaale – Kiira Power Complex concession accounted for about 5% (UGX 10.5 billion), while other incomes accounted for 15% (UGX 31.5 billion). As earlier mentioned, the Company remained profitable during the year, posting a net profit of UGX 27.9 billion.
Once again, UEGCL was able to service its debt obligations on Isimba to the tune of UGX 129.8 billion (Principal and Interest).