The Uganda Electricity Distribution Company Limited (UEDCL) has taken over management of rural electricity distribution managed by Ferdsult Engineering Services.
In February Ferdsult Engineering Services, a private firm active in electricity distribution, announced that it will no longer be involved in providing this service in Uganda due to the high cost of delivery. Ferdsult was distributing electricity to parts of rural western Uganda, including the Kibaale, Kyenjojo, Rukungiri, Kanungu, Masaka, Rakai, and Isingiro districts.
The company said it is too expensive to distribute power to rural areas, stating to have lost Shs1.4 billion ($389,438) as a result.
According to the Monitor, Ferdsult attributed the loss to ‘non-technical losses’, adding that vandalism of electrical transformers to extract either transformer oil or copper windings for resale was another cause of high financial losses.