The African Development Bank (AfDB) is set to give $9 million for the construction of Uganda’s Buseruka hydropower dam to increase rural electrification. The dam will be built and operated by Hydromax.
The 9 MW power plant, estimated to cost $27 million, will attempt to provide economical and reliable power to remote areas in order to increase the country’s development and meet energy demands.
Energy Minister Hillary Onek said that the project would help the government’s efforts to increase rural electrification to 10% (currently at 2%) by 2012. He said, “This will make the countrywide coverage about 25%. Energy will improve the quality of life in households.”
PTA Bank will provide $10 million while Hydromax will invest $8 million, with the remainder to be provided by the AfDB.