ERA Reduces Electricity Tariffs by 5.2% to Boost Affordability

Electricity Will Cost Less in Uganda.

The group that controls electricity prices in Uganda has good news. They say the cost of power will go down from January to March 2025.

People who use little electricity each month will pay the least. If they use less than 100 units, they will pay 250 shillings for each of the first 15 units.

Most homes will pay 775.7 shillings per unit. That's down from 796.4 shillings last year.

Businesses like stores and welders will also pay less. Their price dropped from 599.9 to 575.2 shillings per unit.

Factories will see big savings, too. The price for them went down by about 30 shillings per unit.

Places like hospitals and street lights will pay 360 shillings. That's 10 shillings less than before.

The head of the electricity group said these new prices will save the country 155 billion shillings.

Lower power bills help the economy a lot. When electricity is cheaper, companies can make things for less money, and they might decide to expand and hire more people.

The government wants the price to be even lower in the future. They told the energy minister to try to get it down to 5 cents per unit for factories.

The electricity group decided on the new prices after considering many factors. They expect people to use about 10% more power in 2025 than in 2024.

They also considered some big changes happening this year. One power company's agreement ends in March after 20 years. A new hydropower plant will start working. The West Nile area was connected to the main power grid.

The electricity group also considered other factors, such as inflation, the value of the Ugandan shilling compared to the U.S. dollar, and fuel prices.
 

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