The Minister of Energy, Ruth Nankabirwa, has announced that some employees of Umeme Limited will inevitably lose their jobs as the government takes over electricity distribution roles.
She noted that this move aims to avoid duplication of duties, as some responsibilities currently handled by Umeme staff are already being performed by the Uganda Electricity Distribution Company Limited (UEDCL).
“The workers of Umeme, their applications were rejected. But the objective of restructuring was to make sure that we have a saving. On my side, the objective was to remove duplication and enhance efficiency. Where we find out your job is already taken and we already have it with UEDCL, your contract has ended with Umeme, we are looking for a slot with Umeme, but we have this person who has been working with UEDCL, do we throw that person out and we bring in the Umeme person? If we interview both of them, the Umeme one and UEDCL, one of them is bound to lose. So this is inevitable,” said Nankabirwa.
Nankabirwa made these remarks while appearing before Parliament’s Committee on Environment and Natural Resources.
The committee is considering a government request to borrow $50 million for UEDCL’s initial investment, following the expiration of Umeme’s concession on March 31, 2025.
Umeme’s concession, which began in 2005, will not be renewed. As a result, UEDCL will take over electricity distribution operations, effective April 1, 2025.
“To ensure a smooth transition, the government has set up a post-Umeme organizational structure, offering 2,712 employment positions exclusively for UEDCL and Umeme employees.” Nankabirwa said.
While some job losses are unavoidable, Nankabirwa emphasized the government’s commitment to supporting affected employees.
She encouraged eligible staff to express interest in the new positions, which will be advertised in the near future.
