Uganda: UETCL Sees Ugx37.7 Billion Profit In 2022, Grows Assets By 10%

Ugandan Electricity Transmission Company Limited (UETCL) has registered a profit of Ugx37.7 billion (the equivalent of US$10,107,370) for the Financial Year that ended in June 2022, energynewsafrica.com can report.

The figure is lower than the Ugx 112 billion profit it recorded in the same period in 2021.

Giving accounts of the performance of the power transmission company at its 14th Annual General Meeting in Kampala, the Chief Executive of UETCL, Joshua Karamagi explained that the company’s profitability was impacted by the forex exchange losses of Ugx116 billion as of 30th June 2022.

Energy Sales

During the 2022 Financial Year, Mr Karamagi stated that the company’s energy sales increased to 5,055Gwh from 4,537Gwh recorded in the previous year.

This, he said is attributed to the increased 8.5 per cent system peak demand and the domestic peak demand.

Revenue

 According to the CEO, the company’s revenue for the year grew by 4.3 per cent to Ugx 1,350 billion mainly on account of an increase in electricity volume sales as a result of continued recovery that had a positive impact on electricity consumption.

Total Assets

The company’s total assets also grew by 10.1 per cent from Ugx4,911 billion in June 2021 to Ugx5,406 billion as of June 2022.

The total liabilities as of 30th June 2022 stood at Ugx3,642 billion. This demonstrates that the company is well-positioned.

Projects

As part of efforts to boost the transmission network, UETCL also executed several projects in 2022.

Some of the projects included the Opuyo-Moroto 132kV Transmission Line and Associated substations, the Karuma-Kawanda Transmission Line, the Namanve-North; Namanve-South Transmission Line and the upgrade of the Opuyo substation.

According to Mr. Joshua Karamagi, UETCL was faced with the challenge of the Covid-19 pandemic during the execution of the above projects, thereby, hampering the timely completion of the projects.

He added that they also faced rampant vandalism of some of their transmission infrastructure, thus, affecting grid availability.

“UETCL remains committed to grid availability of 98 per cent and focused on the strategies that enable it to take advantage of emerging opportunities for business growth and sustainability,’’ Mr. Karamagi assured.

In a tweet, Ruth Nankabirwa Ssentamu, Minister for Energy and Mineral Resources, who attended that Annual General Meeting as a shareholder, commended the Board and Management of UETCL for their performance.

Touching on the outlook for the coming years, Board Chairman Kwame Ejalu Ejuku said the company remains focused on strategies that would enable it to take advantage of emerging opportunities for business growth and sustainability.

He said the immediate focus of the company would be fast-tracking the implementation of both ongoing and planned system expansion in a bid to match the transmission capacity with the expected increase in generation capacity, as well as adopt strategies to improve system efficiency.

Source: https://energynewsafrica.com