Kiba Hydropower Project plans are gaining urgency as Uganda races to avoid future electricity shortages driven by rapid industrialisation, rising domestic demand and expanding regional power commitments.
The Minister of Energy and Mineral Development, Ruth Nankabirwa, has convened consultancy professionals to accelerate the feasibility study for the proposed 400MW hydropower facility.
Government officials say the move comes at a critical moment for Uganda’s electricity system, which is operating with an increasingly narrow reliability margin despite significant installed generation capacity.
Uganda currently has installed electricity generation capacity of about 2,094.1MW. However, not all of that power is consistently available because of hydrological variability, transmission constraints, plant outages, operational reserve requirements and intermittent solar generation.
According to Uganda Electricity Transmission Company Limited, firm available capacity is estimated at around 1,450MW. That figure sits only slightly above the peak system demand of 1,337.15MW recorded in February 2026.
Kiba Hydropower Project Targets Supply Stability
Electricity demand in Uganda is rising at a pace that is beginning to outstrip system expansion.
In 2025, domestic electricity demand increased by 19.86%, while total system demand grew by 20.82%. Officials say the rapid growth reflects rising industrial consumption, new data centre investments and increasing export obligations within the regional power market.
Nankabirwa warned that failing to prepare additional base-load generation capacity early could force Uganda into expensive emergency measures.
She said delays could expose the country to load shedding, reduced electricity exports and increased dependence on thermal power generation, which remains significantly more expensive.
The financial risks are substantial. Government estimates suggest Uganda could lose about Shs 416.98 billion in unrealised revenue from unserved electricity demand. Export curtailment could cost another Shs 115.09 billion, while additional thermal generation expenses may rise to nearly Shs 1.034 trillion.
Officials fear those pressures could eventually push up the Bulk Supply Tariff and raise electricity prices for consumers and businesses.
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Government Prioritises Long-Term Base-Load Power
The Kiba Hydropower Project has now become a strategic priority under the National Development Plan IV and the ruling party’s manifesto.
While the government continues to support solar projects, plant optimisation and demand-side management programs, officials argue that such interventions cannot fully replace reliable base-load generation.
Nankabirwa said the feasibility study must position the government to move quickly into engineering, procurement, financing and construction once completed.
She stressed that the study must remain technically sound, commercially bankable and practical enough to respond to the urgency surrounding Uganda’s future electricity needs.
To improve coordination, the consultancy team will work closely with the Ministry’s Electrical Power Department.
Government has also established a multi-sectoral Project Technical Committee involving several agencies and ministries. These include the Ministry of Finance, Planning and Economic Development, Ministry of Water and Environment, Ministry of Works and Transport, Uganda Electricity Generation Company Limited, UETCL, National Environment Management Authority, Uganda Wildlife Authority, the National Planning Authority and the Electricity Regulatory Authority.
Kiba Hydropower Project Located Along Nile Corridor
The Kiba Hydropower Project is strategically planned along the Nile corridor within the broader Murchison Falls National Park ecosystem.
Government officials say the project forms part of a wider cascade hydropower development strategy aimed at strengthening Uganda’s long-term energy security.
Because the project lies within a sensitive environmental zone, authorities say environmental and social safeguards will play a major role throughout the development process.
The committee overseeing the project will also coordinate work related to other major hydropower developments, including Oriang and Ayago, together with associated transmission infrastructure.
Preliminary projections indicate that the Kiba facility could generate approximately 2,686.6GWh of electricity annually.
Engineers estimate the plant will operate with a design discharge of roughly 1,190 cubic metres per second and a gross head ranging between 36 and 42.4 metres.
The facility is expected to operate at a load factor of around 80.7%. Electricity generated at 11kV would later be stepped up to 400kV for transmission into the national grid.
Uganda Power Demand Continues Rising
Uganda’s growing industrialisation agenda is placing increasing pressure on the national power system.
Large manufacturing investments, expanding urbanisation and the emergence of energy-intensive facilities such as data centres are driving electricity consumption higher each year.
Energy planners increasingly view the Kiba Hydropower Project as essential for maintaining long-term grid reliability while supporting economic growth and regional electricity trade.
Officials believe timely development of the project could help Uganda avoid future supply instability while strengthening its position as a regional energy exporter in East Africa.
