The country loses an average of Shs100b annually on account of power theft, power distributor Umeme has said.
Mr Peter Kaujju, the Umeme corporate and communications manager on Monday at Mutundwe substation, said power theft contributes to a substantial financial loss to the country.
“Within a period of 12 months, we lose an average of about Shs100b only in power theft and this is a lot of money if looked at in terms of investment to improve the network,” he said.
Of the Shs100b, Kampala alone contributes Shs40b.
Power theft, which makes up commercial energy losses is one of the causes of deaths by electrocution and inadequate power supply as transformers are overloaded by unaccounted for customers.
Worth noting is that the loss is entirely not an expense of Umeme.
The power sector regulator, Electricity Regulatory Authority sets a target of energy losses that can be recovered by Umeme through tariffs.
This means that the higher the target set by the regulator, the more the burden placed on the already paying customers through tariffs to make up for those stealing the power.
Energy losses are classified into technical and commercial losses with the former implying that losses made as electrons are being distributed through the network such as wires transporting power over long distances.
Commercial losses are those inflicted by human behaviour such as power theft.
The subject of power losses remains delicate in the sector after it drew President Museveni’s attention to rein fury on Umeme. A leaked letter authored by the President years back warned Umeme to address the issue of power losses or risk losing the concession.
Mr Kaujju was speaking on the sidelines of the relaunch of Komboa; an operation of the power distributor in collaboration with the police to apprehend and arrest those found illegally connected.
The operation was halted after the onset of Covid-19 and the political season as there were limitations to physical contact in a bid to mitigate spread of the virus.
Mr Kaujju said the operation had registered some success in reducing energy losses to 13 per cent, which have since risen to nearly 18 per cent.
The operation was relaunched in Kampala as the pilot area because the city is home to many known hotspots for power theft such as Rubaga and Nakawa division.
The exercise will be rolled out to other regions after Kampala.
Representing the Inspector General of […]
