SEMINAR ON SUPPORTING SUSTAINABLE DEVELOPMENT GOAL 7, TARGET 7.1: BY 2030, ENSURE UNIVERSAL ACCESS TO AFFORDABLE, RELIABLE AND MODERN ENERGY SERVICES UNCC MR-H, Bangkok, Thailand 21-23 June 2016 The Perspective of Uganda By Peter Opio Uganda Bureau of Statistics ubos@ubos.org www.ubos.org 1
OVERVIEW Mandate of The Energy sector in Uganda: To increase: electricity generation capacity and transmission access to modern energy services through rural electrification and renewable energy development and promotion of efficient utilization of energy. ubos@ubos.org www.ubos.org 2
OVERVIEW Uganda has one of the lowest electricity consumption per capita in the world. It was estimated at 75 kwh per capita in 2012. Accordingly, 92% of the population depends on traditional biomass for cooking, 7% depends on fossil fuels and only 1% depends on electricity. Most of the biomass energy is from wood, which is consumed in the form of charcoal and firewood ubos@ubos.org www.ubos.org 3
POLICY AND LEGAL FRAMEWORK The Electricity Act, 1999 To provide a framework for regulation of the generation, transmission, distribution, sale, export, import of electrical energy in Uganda. The Energy Policy for Uganda (2002), Guides plans of the energy sub-sector. Its main policy goal is to meet the energy needs of the Ugandan population for social and economic development in an environmentally sustainable manner. ubos@ubos.org www.ubos.org 4
POLICY AND LEGAL FRAMEWORK Renewable Energy Policyfor Uganda, 2007: The overall goal is to increase the use of modern renewable energy, so that its proportionate use increases from the current 3.8% to 61% of the total energy consumption by the year 2017. ubos@ubos.org www.ubos.org 5
ACCESS TO ENERGY: Undertaking by Government GoU s plans to increase access to modern energy services through rural electrification and renewable energy development Access to electricity stands at about 20% nationally: Uganda Population and Housing Census, 2014 The growth in electricity demand is at 10% per year which in the past has not had matching supply resulting in a deficit which had to be met using thermal power. ubos@ubos.org www.ubos.org 6
ACCESS TO ENERGY To meet the growing energy demand, GoU has had to provide additional generation capacity at competitive prices to meet the growing energy demand ubos@ubos.org www.ubos.org 7
STRATEGIES TO INCREASE ACCESS TO ENERGY IN UGANDA A: INCREASE GENERATION CAPACITY Large Hydro Power Projects: Isimba 183MW, Karuma 600MW, To be completed in 2018/19. Ayago 840MW (est. 2022) Small Hydro Power Projects ranging 1-20 MW. To add an additional 180MW Geothermal Energy Exploration is on going. Potential so far of about 450MW ubos@ubos.org www.ubos.org 8
B. RURAL ELECTRIFICATION The Projects implemented are categorized as follows: σ Large and medium scale grid extension projects σ Small community schemes within proximity of service provider footprints σ Independent grids for closely settled communities which cannot access the grid in the near future σ Provision of solar Photo voltaic systems for dispersed households or buildings ubos@ubos.org www.ubos.org 9
RURAL ELECTRIFICATION, con d GoU has put in place a Rural Electrification Strategy and Plan for the period 2013 2022. Currently about 100,000 connections per year are achieved. To achieve universal access by 2030, taking into consideration the growth in population, 570,000 connectionsper year will be needed. ubos@ubos.org www.ubos.org 10
RURAL ELECTRIFICATION High reliability in the expansion and densification of the national grid does not guarantee the possibility of overarching universal access by 2030 (due to affordability challenges and reliability of supply). To achieve the ambitious target by 2030, Uganda s SE4All Action Agenda proposes a balanced approach between on-grid and offgrid connections to build on the current approach that focuses on on-grid connections. ubos@ubos.org www.ubos.org 11
SE4All Actionable Area (AA) Proposals Solar home systems (SHS): This target population living under the poverty line with SHS because even if they are connected on on-grid, they may not be able to pay for their energy bill. The targeted households may be up to 34% of rural households and 11% of urban households living therein. Assuming this distribution is kept until 2030, the potential of households to be given SHS would be 160,052 urban and 2,906,525 rural households, i.e. a target of 195,062 SHS annually over the period 2015-2030, achieving 30% of the households.ubos@ubos.org www.ubos.org 12
SE4All AA Proposals, con d Mini- and micro-grids: Development of mini and micro-grids combined with productive uses of electricity in agriculture (land irrigation, food transformation/conservation, fisheries landing sites), telecommunication etc. in rural areas, where feasibility studies show good results. Mini-grids - ideal alternative to grid electricity in remote villages that do not have grid connectivity. ubos@ubos.org www.ubos.org 13
SE4All AA Proposals, con d Mini- and micro-grids (Con d): σ And because mini/micro grids are independent entities, they can also be controlled and managed easly than conventional grid. Such distributed energy systems also provide reliable electricity, because outages or interruptions to electricity supply can be quickly identified and corrected. Additionally, distribution losses are reduced since the site of power generation is closer to the load center. ubos@ubos.org www.ubos.org 14
Electricity Access Trends towards SE4All 2030 in Uganda thousands 14000 12000 Households with access Number of households Electricity access rate Electricity access trend towards SE4ALL 10000 8000 6000 4000 2000 0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 ubos@ubos.org www.ubos.org 15
Financing Renewable Energy and Energy Access GoU has established the Uganda Energy Credit Capitalisation Company (UECCC) to provide credit support to companies developing renewable energy technologies and also help them to achieve financial closure so that projects can be developed. ubos@ubos.org www.ubos.org 16
Financing Renewable Energy and Government has put in place incentives Energy Access (Con d) to promote the use of alternative renewable energy technologies. These include tax exemption on solar energy products coming into the country ubos@ubos.org www.ubos.org 17
CHALLENGES High upfront cost of renewable energy technologies like solar Inadequate regulatory capacity and enforcement to keep sub-standard solar products off the market. High electricity tariffs, a situation that is not helped by relatively low income levels further exacerbates the challenge of increasing access and environmental degradation. Non-integration of SE4All in policies of Sectors other than Energy; The Global initiative under SE4All envisions fast tracking of activities to achieve universal access ubos@ubos.org www.ubos.org 18
THANK YOU ubos@ubos.org www.ubos.org 19