MAKERERE UNIVERSITY
ALTERNATIVE ENERGY INFRASTRUCTURE FOR UGANDA
BY
PAUL BYANGIRE RUSOKE
2012/HD/4579U
A RESEARCH REPORT SUBMITTED TO THE COLLEGE OF BUSINESS AND
MANAGEMENT STUDIES IN PARTIAL FULLFILMENT OF THE REQUIREMENTS FOR
THE AWARD OF DEGREE OF MASTERS OF PUBLIC INFRASTRUCTURE MANAGEMENT
OF MAKERERE UNIVERSITY
June 2015
DECLARATION
I, Paul Byangire declare that this research report is my own original work, and it has never been
presented to any University or Institution for the award of any academic qualification.
Signature: ________________________ Date: ________________________
Paul Byangire Rusoke
2012/HD/4579U
i
APPROVAL
This is to certify that this research report has been submitted with my approval as a University
Supervisor.
Supervisor:
________________________
Dr. Charles Ssendyona
Supervisor
ii
DEDICATION
Commitment, effort and dedication were fundamental elements in the completion of this
dissertation, but even more was the support of my family, to my parents, wife and children. Today
I dedicate to them this achievement because without their presence and support I would not have
achieved my goal.
iii
ACKNOWLEDGEMENT
I am specifically delighted to mention the following; my supervisor Dr. Charles Ssendyona for his
encouragement, patience, good will and professional guidance; my family who have been my rock
through the times. My classmates who have patiently endured the challenging times we have gone
through with a constant cheer. Also special thanks go to my lecturers at the University whose
wealth of knowledge has shown that all is possible with determination.
iv
ABBREVIATIONS/ACRONYMS
AGR
-
Advanced Gas-cooled Reactor
BWRs
-
Boiling Water Reactors
CVI
-
Content Validity Index
EAP&L
-
East African Power and Lighting Company
ERA
-
Electricity Regulatory Authority
ERT
-
Energy for Rural Transformation
ESMAP
-
Energy Sector Management Assistance Program
GWh
-
Giga Watts
IPP
-
Independent Power Producer
IPP
-
Independent Power Provider
LWR
-
Light Water Reactor
MEMD
-
Ministry of Energy and Mineral Development
MW
-
Mega Watts
O&M
-
Operations and Maintenance
PPAs
-
Power Purchase Agreements
PPP
-
Public Private Partnership
SCWRs
-
Supercritical Water Reactors
SPSS
-
Statistical Package for Social Sciences
UBOS
-
Uganda Bureau of Statistics
UBOS
-
Uganda Bureau of Statistics
UEB
-
Uganda Electricity Board
UETCL
-
Uganda Electricity Transmission Company Limited
US$
-
United States Dollar
v
TABLE OF CONTENTS
DECLARATION ............................................................................................................................................ i
APPROVAL ................................................................................................................................................... ii
DEDICATION .............................................................................................................................................. iii
ACKNOWLEDGEMENT ............................................................................................................................ iv
ABBREVIATIONS/ACRONYMS ................................................................................................................v
LIST OF TABLES ......................................................................................................................................... ix
ABSTRACT .....................................................................................................................................................x
CHAPTER ONE..............................................................................................................................................1
1.0
Background of the study......................................................................................................................1
1.1
Statement of the Problem ....................................................................................................................6
1.2
Purpose of the study ............................................................................................................................7
1.3
Objectives of the study ........................................................................................................................7
1.4
Scope of the Study ...............................................................................................................................7
1.4.1
Geographical Scope .............................................................................................................................7
1.4.2
Content scope ......................................................................................................................................8
1.4.3
Time Scope ..........................................................................................................................................8
1.5
Research Questions .............................................................................................................................8
1.6
Significance of the study .....................................................................................................................8
1.7
Limitations of the Study ......................................................................................................................9
CHAPTER TWO......................................................................................................................................... 10
LITERATURE REVIEW .......................................................................................................................... 10
2.0
Introduction ....................................................................................................................................... 10
2.1
History of Uganda’s power production; generation/demand growth ................................................ 10
2.1.1
Independent Power Provision in Uganda .......................................................................................... 17
2.2
Regulatory framework of Uganda’s power sector and its conduciveness on investments in the
sector ................................................................................................................................................. 18
2.2.1
Licensing of Electricity generation in Uganda .................................................................................. 20
2.2.2
Uganda’s Energy Policy .................................................................................................................... 22
2.2.3
Generation tariffs in Uganda ............................................................................................................. 23
2.2.4
Types of nuclear reactors .................................................................................................................. 25
vi
2.3
Uganda’s infrastructure for nuclear energy as an alternative power source ..................................... 27
2.4
Conclusion ........................................................................................................................................ 30
CHAPTER THREE .................................................................................................................................... 31
METHODOLOGY ...................................................................................................................................... 31
3.0
Introduction ....................................................................................................................................... 31
3.1
Research Design ................................................................................................................................ 31
3.2
Study Population ............................................................................................................................... 32
3.3
Sampling Design and Sample size .................................................................................................... 32
3.4
Data Sources ...................................................................................................................................... 32
3.4
Data Collection Methods and Analysis Techniques ............................................................................. 33
3.6
Validity and Reliability Tests .............................................................................................................. 34
3.6.1
Validity Test ...................................................................................................................................... 34
3.6.2
Reliability Test .................................................................................................................................. 34
3.7
Ethical Considerations ....................................................................................................................... 35
3.8
Conclusion ......................................................................................................................................... 35
CHAPTER FOUR ....................................................................................................................................... 36
DATA PRESENTATION AND ANALYSIS ........................................................................................... 36
4.0
Introduction ....................................................................................................................................... 36
4.1
Description of Tools of Analysis ......................................................................................................... 36
4.2
Presentation and Analysis of Data ....................................................................................................... 37
4.2.1
Respondent Category by Gender ....................................................................................................... 37
4.2.2
Respondent Category by Age Group ................................................................................................ 38
4.2.3
Tenure of Employment ...................................................................................................................... 39
4.2.4
Respondent Category by Level of Education .................................................................................... 40
4.2.5
Distribution According to Position Held ........................................................................................... 41
4.3
Empirical Findings ............................................................................................................................ 41
4.3.1
Research Objective One: Uganda’s power production; generation/demand growth ........................ 42
4.3.2
Research Objective Two: Regulatory framework of Uganda’s power sector and its
conduciveness on investments in the sector ...................................................................................... 45
4.3.3
Research Objective Three: Uganda’s infrastructure for nuclear energy as an alternative power
source................................................................................................................................................. 47
4.4
Interpretation of Results in the Context of the Research Problem ......................................................... 49
vii
4.4.1
Uganda’s power production; generation and demand growth .......................................................... 49
4.4.2
Regulatory framework of Uganda’s power sector and its conduciveness on investments in the
sector ................................................................................................................................................. 51
4.4.3
Uganda’s infrastructure for nuclear energy as an alternative power source ..................................... 52
4.5
Conclusion ......................................................................................................................................... 53
CHAPTER FIVE ......................................................................................................................................... 55
CONCLUSIONS AND RECOMMENDATIONS ................................................................................... 55
5.0
Introduction ....................................................................................................................................... 55
5.1
Summary of the Research Findings .................................................................................................. 55
5.1.1
Summary of the Findings on Sample Characteristics ....................................................................... 55
5.1.2
History of Uganda’s power production; generation/demand growth ................................................ 56
5.1.3
Regulatory framework of Uganda’s power sector and its conduciveness on investments in the
sector ................................................................................................................................................. 56
5.1.4
Uganda’s infrastructure for nuclear energy as an alternative power source ..................................... 56
5.2
Conclusions ....................................................................................................................................... 56
5.3
Policy Recommendations .................................................................................................................. 57
5.4
Suggestions for further research ........................................................................................................ 59
APPENDIX I .................................................................................................................................................. 59
APPENDIX II ................................................................................................................................................ 61
viii
LIST OF TABLES
Table 4.1: Gender Distribution ............................................................................................................... 37
Table 4.2: Age Distribution .................................................................................................................... 38
Table 4.3: Tenure of Employment Distribution ..................................................................................... 39
Table 4.4: Level of Education................................................................................................................. 40
Table 4.5: Position Held ......................................................................................................................... 41
Table 4.6: Uganda’s power production; generation/demand growth ..................................................... 43
Table 4.7: Regulatory framework of Uganda’s power sector and its conduciveness on investments in
the sector ................................................................................................................................................. 46
Table 4.8: Uganda’s infrastructure for nuclear energy as an alternative power source ......................... 48
ix
ABSTRACT
The study sought to examine Uganda’s power infrastructure and the country’s preparedness for
nuclear power production as an alternative source. The study was guided by the following
objectives; to examine the history of Uganda’s power production; generation/demand growth; to
examine regulatory framework of Uganda’s power sector and its conduciveness on investments in
the sector; and to assess Uganda’s infrastructure for nuclear energy as an alternative power source.
Data was collected using self-administered questionnaires and it was analyzed using the Statistical
Package for Social Scientists (V18) which was used to generate tabulations of frequencies, item
means and standard deviations. The findings validate that there was a growing power production in
the country as a result of several dams being commissioned. This also contributed to the increased
generation of power so as to meet the high demand for power in the country. This implied that
emphasis on exploiting other types of energy such as nuclear energy was paramount in enhancing
power production and generation in the country. According to the findings on the regulatory
framework of Uganda’s power sector and its conduciveness on investments in the sector, it was
revealed that there were still gaps in the development of the required policies such as those for
nuclear energy which undermined effective regulation of the sector and its consequent
development. The findings established that Uganda’s infrastructure for nuclear energy as an
alternative power source was still in its infancy stage and therefore countered several challenges in
regard to training, costs and regulation. The recommends that measures should be put in place to
conserve the current energy that is being produced and generated as away of promoting efficiency
in the sector. Similarly, there should be formation Public Private Partnerships away of pooling
resources to promote infrastructural development in the sector.
x
CHAPTER ONE
INTRODUCTION
1.0
Background of the study
Uganda produced electricity for the first time in 1954 after commissioning of the Owen
Falls hydro power dam at Jinja. At that time the country’s population was 6 million people
(Uganda Bureau of Statistics Supplement, 2012). The number of households connected to
the national grid then stood at 2%. Shortly before and after independence, the country
underwent massive industrial development. There was therefore demand for power for
industrial development and for domestic consumption. The only source of electricity was
the Owen falls dam, producing 180MW. Much as the domestic demand was not fully met,
the country exported electricity to Kenya 30MW.
1
Fig. 1.1: The Owen falls Dam
Between the periods 1971 to 1986, the country suffered economic collapse and most
factories closed and so was power infrastructure (Kapika and Eberhard 2013). There were
no arrangements to build additional dams or other energy generation sources to cater for
future demand. It is therefore not surprising that up to 1986, the country still had only one
hydro power dam. After 1986, Uganda’s economy greatly recovered and so was industrial
and plantation rehabilitation. Coupled with an increased population whose welfare was
improving, Uganda’s demand for electricity increased.
In 1994, government under took to build a second Hydro power dam at Bujagali falls along
River Nile of 250MWcapacity. By that time, Uganda’s electricity demand by 1996 stood at
177MW (Uganda Bureau Of Statistics, UBOS Statistical Abstract of December 2001).
However, the project did not receive funding. This greatly affected the energy
infrastructure of the country as the project never took off at that time. Because of increased
demand growth rate of 9% today Ministry of Energy and Mineral Development 2013
statistical abstract), the country started experiencing “load shedding”. It was clear that
interventions had to be made immediately to stop the electricity shortage from
deteriorating. Later in 2003, Kiira Hydro Power dam was commissioned, a parallel dam
was built at Owen falls with an output capacity of 200MW.That is how the two dams at this
point of the river came to be named as Nalubaale (the first dam) and Kiira (the second
dam).
However, the hydrology of River Nile was found to be insufficient to run both dams. At
one time, the problem had been presented as a drought issue that had caused the reduced
flow of River Nile, but even with floods being reported in the country, the problem of low
2
power production due to poor river flow has persisted. In 2004, Uganda’s total installed
capacity was 303MW Uganda Bureau of Statistics (UBOS), 2006 Statistical Abstract), the
government resumed the program for construction of Bujagali Hydro power dam. The
Government took to the Public Private Partnership (PPP) with Bujagali Energy Ltd to fund
the dam construction. The dam was finally commissioned in 2012 with a capacity of
250MW. However, the total demand in the country stood at 2451GWh (Ministry of Energy
and Mineral Development 2012 statistical abstract),
Fig 1.2: Bujagali Falls before the construction of Bujagali Dam.
3
Fig. 1.3: 250 MWBujagali Dam upon completion in 2012
In order to address the acute power demand, in 2005, the government permitted thermal
power generation from diesel generators and thermal plants were established at Tororo
22MW, Jinja 50MW, Namanve 50 MW and at Mutundwe 50MW. However, the costs of
thermal power have been high, compared to hydro power. The arrangement had become
too costly as the level of subsidy payment for thermal power had reached unsustainable
levels and the cumulative amount of subsidy paid out in 2011 was Ush. 115 Billion
(Umeme Annual Report 2012). Government was to later remove subsidy on the thermal
generated power on January 15, 2012 (Umeme Annual Report 2012).
By the year 2030, Uganda’s population is projected to be 80 million (National Planning
Authority Report 2013) up from the current population of 33 million people given the
population growth rate of 3.2%. Currently, 13% of the total population lives in urban areas.
4
To date, the country’s source of energy is biomass- 90% (Energy for Rural Transformation,
ERT) and this transforms into a high stress on the forest cover.
Uganda embarked on construction of the 600 MW Karuma dam in 1995. However,
procurement delays saw the project launched in 2013. All these contradictions do not spell
a bright future for Uganda’s electricity sector.
Fig. 1.4 Karuma Falls to drive the 600MW dam.
There has also been widespread publicity of construction of other hydro dams in the
country like the 600 MW Ayago dam to be funded by the Turkish investors and the
140MW Isimba dam to be funded by the government of India. But it should be
remembered, that even after commissioning the 250 MW Bujagali dam, the total power
output on the national grid rose to 700MW, yet load shedding remains a problem to date
(MEMD Annual Report 2012).
5
The problem is amplified in the West Nile region. Since 2003, the region has been relying
on a private company WENRECO that was licenced by government to produce and sell
power in the region. WENRECO has been operating a 8MW diesel generator in Arua town.
Because of this low production, the West Nile region only enjoys power from 6:00 am to
Mid-night. It had been hoped that with Nyagak Hydro dam getting commissioned and
operated by WENRECO, the power situation in West Nile would improve and the cost of
power would be less. However, as of April 2013, the locals were up in arms protesting the
proposed tariff increments by the operator by 15%, (Wesonga, 2014).
1.1
Statement of the Problem
Reliable and affordable electricity is key for industrial development. However, the main
source of electricity in Uganda has been hydropower dams. Other sources that have been
considered so far include Thermal energy and Biomass (bagasse from sugar cane husks).
The alternative sources mentioned above have been found to be either more costly than
Hydro dams or have low yield like the Biomass power plants. Despite of all alternatives of
power generation tried, electricity in Uganda has remained in short supply and costly in
comparison to developed countries. Built in 1954, the Owen falls dam was been Uganda’s
first hydro power dam with a capacity of 180MW and from which the country could export
power to Kenya and Rwanda. Power production at this dam and other combined sources
that have been developed alongside totalling to 818.5MW as of March 2014 (MEMD
Annual Report 2012) have not managed to fulfil Uganda’s electricity demand and its export
potential. It is therefore due that a careful study is undertaken to establish the country’s
power infrastructure needs and production potential with focus on the domestic and
regional market. Furthermore, the capacity of a hydro power dam is a function of the flow
6
of the river and height of the falls. However, the water sharing agreement of River Nile
restricts the flow of Uganda’s main source of hydro power downstream. Therefore, for a
sustainable power sector development, it is necessary that alternative power sources are
explored.
1.2
Purpose of the study
To examine Uganda’s power infrastructure and the country’s preparedness for nuclear
power production as an alternative source
1.3
Objectives of the study
i)
To examine the history of Uganda’s power production; generation/demand growth.
ii)
To examine regulatory framework of Uganda’s power sector and its conduciveness
on investments in the sector.
iii)
1.4
To assess Uganda’s infrastructure for nuclear energy as an alternative power source.
Scope of the Study
Scope of the study was categorized as geographical, content, as well as time scopes.
1.4.1 Geographical Scope
The study was conducted at Ministry of Energy and Mineral Development in Kampala
district. This was because the headquarters of the ministry are located there and the district
is composed of the highest number of other government agencies that are tasked to
regulate, generate and distribute energy in the country. The study was restricted to the staff
at the ministry of energy and mineral development, Electricity Regulatory Authority,
Eskom (U), Bujagali Energy Ltd, National Planning Authority, Uganda Electricity
7
Generation Company Ltd, Uganda Chamber of Mines and Petroleum and Atomic Council
of Uganda.
1.4.2 Content scope
The study focused on examination Uganda’s power infrastructure and the country’s
preparedness for nuclear power production as an alternative source. The study was in
particular centered on the history of Uganda’s power production; generation/demand
growth; the regulatory framework of Uganda’s power sector and its conduciveness on
investments in the sector; and Uganda’s infrastructure for nuclear energy as an alternative
power source.
1.4.3 Time Scope
The study covered the period 2006 to 2013; this is a period during which the country has
encountered high energy needs due to the ever increasing urbanization and foreign
investment and opening up of the East African Community.
1.5
Research Questions
i)
What is the history of Uganda’s power production; generation/demand growth?
ii)
What is regulatory framework of Uganda’s power sector and its conduciveness on
investments in the sector?
iii)
1.6
What is Uganda’s readiness for nuclear energy as an alternative power source?
Significance of the study
i)
The findings of the study may provide a descriptive analysis on the relevance of
nuclear power production as an alternative source in Uganda’s energy sector.
8
ii)
The findings of the study may contribute and also add useful information to that
which already exists in regard to determinants of nuclear power production as an
alternative source.
iii)
It is hoped that the findings of the study may guide policy makers on the prominent
issues required to improve the efficiency of nuclear power production as an
alternative source in the energy sector where challenges of energy are still being
faced.
iv)
It is hoped that the findings of the study might guide future research in the energy
sector in nuclear power production as an alternative source.
v)
It is hoped that the findings of the study might also promote the existing knowledge
in understanding nuclear power production as an alternative source in energy sector.
1.7
Limitations of the Study
i)
Unwillingness of respondents to fill questionnaires. The researcher ensured constant
liaison with the respondents and made sure reminders were sent to them to fill the
questionnaires.
ii)
Respondents withholding information due to fear of being victimized, the
researcher convinced them that the information they provided would be kept
confidential.
iii)
Respondents having a view of not obtaining any direct benefit from the research
results. However the researcher tried to convince the respondents to spare time to
answer the questions and assure them the result would in future benefit them
through policy formulation.
9
CHAPTER TWO
LITERATURE REVIEW
2.0
Introduction
This chapter presents the study literature related to the history of Uganda’s power
production; generation/demand growth; the regulatory framework of Uganda’s power
sector and its conduciveness on investments in the sector; and Uganda’s infrastructure for
nuclear energy as an alternative power source.
The literature review highlights the key concepts that were used in the study to guide the
researcher gain more insight in power infrastructure and the country’s preparedness for
nuclear power production as an alternative source. The review started with a survey of the
available literature and what has been written about the subject. The topics were broken
down according to the variables (objectives) and each variable was reviewed with a view of
identifying the gaps left by such studies so that they may be filled by the current study.
This chapter helped broaden the researcher’s understanding of the variables under study, as
well as form the foundation for the methodology.
It also assisted the researcher in
designing the research tools to be used in the study.
2.1
History of Uganda’s power production; generation/demand growth
For decades Uganda has suffered from inadequate power supply. A disruptive civil war
(from 1971 to 1986) and decreasing water levels in Lake Victoria, the main reservoir for
the country’s hydro dominated electric power system, exacerbated this problem and led to a
60 per cent decrease in the country’s available generating capacity. It is therefore not
surprising that as at 2009, overall access to electricity in Uganda was a low 11 per cent
10
(41% urban, 4% rural), resulting in one of the lowest per capita electricity consumption
rates in Africa according to http://www.eac.int/energy/index.php. Another feature of the
supply crisis is the high level of distribution losses which were measured at 40 per cent in
1988, and has remained above 30 per cent (Umeme, personal communication, 2009) ever
since.
According to Gore (2009), Uganda first generated electricity in 1938 using 2 thermal
generators installed in Kampala and Entebbe by a Kenyan – based East African Power and
Lighting Company (EAP&L) firm.
Later, a third thermal generating station was
commissioned by EAP&L at Jinja east of Kampala. EAP&L’s presence in Uganda lasted
only until 1948, when the state-owned Uganda Electricity Board (UEB) was formed, and
took over its operations. With demand for electricity projected to rise, the government
decided to build a large hydropower plant at Nalubaale (Jinja) on the White Nile.
Construction commenced in 1950, and in 1954, the first two generators were
commissioned, each with a capacity of 15MW (Engurait, 2005). Over time additional units
of similar rating were added until the tenth and last one, installed in 1968, brought total
capacity at the plant to 150MW (Engurait, 2005). At the time, this was sufficient to meet
the country’s demand and to provide a surplus for export.
The 1971 coup d’état, that saw the emergence of Idi Amin as leader and the start of civil
war, marked the beginning of a period of decline for the power sector. By 1986, when
political stability was restored (Khadiagala, 1993), the UEB was in serious operational and
11
financial difficulty, and available generation capacity at Nalubaale had fallen to a paltry
60MW (Engurait, 2005).
As Uganda’s economy began to grow again in the late 1980s, demand for power quickly
outstripped supply, and by 1988 load-shedding had to be introduced (Engurait,2005).
Rehabilitation, upgrading and expansion of the power system were initiated, and when the
first of several World Bank-funded projects was completed in 1996, the installed
generating capacity of the Nalubaale plant was increased to 180MW. Realizing that this
would still be insufficient to meet demand however (Engurait, 2005), another project
partially funded by the World Bank, the 200MW Kiira (Owen Falls Extension) project,
consisting of five 40MW units was embarked upon. The first two units were commissioned
in 2001, the third in 2002 and the last two in 2007 (World Bank, 2009). These additions
reduced the need for load shedding to a degree, but not entirely.
By 1993, almost a decade after the end of civil war, UEB’s performance continued to be
poor. Most of the issues that had been highlighted in the 1988 Energy Sector Management
Assistance Program, ESMAP audit continued to plague the utility. System losses remained
high at over 30 per cent, and from 1991 to 1993, the number of employees increased by
over 50 per cent (World Bank, 2002). Electricity tariffs that had not been adjusted for many
years were increased to an average of USh7.3/kWh in 1993. But, in what Gore (2009)
describes as the ‘most glaring illustration’ of UEB’s poor financial performance, the
collections rate was just 58 per cent in 1997, and dropped even further to 50 per cent in
12
1998, largely on account of non-payment of electricity bills by government (Government of
Uganda 1999).
Given the UEB’s financial and operational difficulties, it is not surprising that poor quality
and inadequacy of supply were highlighted as the most binding constraints on privatesector investment Uganda’s economy (World Bank, 2000). It has been estimated that, as
the economy began to pick up, firms lost an average of 90 operating days per annum due to
power cuts – in fact, so many businesses installed standby power generators that their
combined capacity at the time was approximately one third of that of the UEB (Engurait,
2005).
In June 1999, the government released the Uganda Power Sector Restructuring and
Privatisation: New Strategy Plan and Implementation Plan (Government of Uganda,
1999).The new strategic plan was developed to enable government to: make the power
sector financially viable without subsidies; increase efficiency; improve commercial
performance; meet the growing demand for electricity and increase the coverage area;
improve the reliability and quality of supply; attract private capital; and take advantage of
opportunities to export electricity (Government of Uganda 1999). According to ESAMP
(1998), in order to turn to turn the fortunes of the sector around, the strategic plan outlined
a series of proposals and in particular to generation, transmission, distribution, rural
electrification and regulation such that
13
Generation: the development of new generation facilities would be facilitated through
international competitive bidding by the private sector on an independent power provider
(IPP) basis. The facilities at the Nalubaale and Kiira power stations would continue to be
owned by the public sector, but they would be let out to the private sector through
concession agreements. Co-generation would be encouraged. Transmission: a separate
transmission company would be established, and be responsible for network maintenance,
system operations and dispatch, planning and bulk purchase, and the supply of electricity.
Bulk purchase and supply (the single-buyer function) would be undertaken by a ring fenced
business unit operating within the transmission company that would purchase capacity
from competing providers under long-term power purchase agreements (PPAs). It was
envisaged that the transmission company would initially be state-owned and run, and that it
would be let out to the private sector under a concession arrangement, in the medium term.
Distribution: the restructuring of the distribution system to make it financially viable and to
improve its commercial performance was seen as the key to the success of the reform
programme. It was proposed that a number of financially viable distribution companies be
created out of the UEB’s existing distribution structures. While it was recognised that this
could result in some loss of economies of scale given the small size of the Ugandan market,
the government was swayed by the view that any losses would be outweighed by the
benefits of ‘benchmark competition’ that would arise. Rural Electrification: when the new
strategy was published, only one per cent of the population in rural areas had access to
electricity. The government intended to increase this level through a focus on private sector
14
participation with the aim that rural communities would have access to electricity either
from the national grid or isolated power networks.
Regulation: this was identified as a key component of the reform strategy in helping to
rebuild confidence of the private sector and consumers in the electricity sector. It was
proposed that an authority be established to carry out the regulatory function independent
of political influence. The stated objectives of regulation were to protect consumers, ensure
the financial viability of companies operating in the electricity sector, promote competition,
and collect and disseminate information.
According to Kapika & Eberhard (2013), In 2001, two years after the approval of the
strategic plan, the US-based AES Corporation announced that the Ugandan government
had granted final approval to its subsidiary, AES Nile Power (AESNP), and its local
partner, Madhvani International, for the 200MW US$550 million Bujagali project on the
White Nile, 10 kilometers north of Lake Victoria.20 The announcement, which coincided
with the World Bank’s approval of a US$215 million funding package for the project
(World Bank 2001), followed lengthy negotiations that had taken place following the 1994
signing of a memorandum of understanding between AESNP and the government (World
Rain Forest Movement 2002).
The Bujagali project faced significant resistance however from non-governmental
organisations and environmentalists. These included the International Rivers Network,
which launched a global campaign against the project, arguing that Bujagali was
15
environmentally and socially harmful, and would produce power that would be too
expensive for most Ugandans. So intense was this opposition that a few months before
AESNP and Madhvani’s December announcement, the National Association of
Professional Environmentalists, the Save Bujagali Crusade and other organisations wrote to
the World Bank’s Inspection Panel seeking a review of the project in order that funding
could be withheld. While the review took place, funding was not withheld. Instead, in June
2002, the Executive Board of the World Bank approved measures proposed by its
management in response to the Inspection Panel’s report (World Bank, 2002b).
The government did not give up, however, with the energy minister stating the that the
project would proceed, even in the absence of AES. Also significant was a statement by the
World Bank, made soon after the AES pull out, indicating that it remained committed to
Bujagali in view of its potential benefits for Uganda. In efforts to find a new developer, the
government, departed from the single sourcing process used in the AES deal, and instead
opted to follow a competitive-bidding process. Bids were invited in 2004 and, after
prequalification, three bids were successfully submitted. The following year, a consortium,
Bujagali Energy Ltd, led by Nairobi-based Industrial Promotion Services, was announced
as the winning bidder. This was the second power development project in the country and it
was finally commissioned in 2011. Therefore, even by this time, it was not in
Government’s strategy to consider generation by nuclear power. The focus was still on
Hydro power generation.
16
2.1.1 Independent Power Provision in Uganda
As of 2010, the largest IPP in operation in Uganda was the 50MW heavy-fuel-oil fired
Namanve Power Station that is situated on the outskirts of Kampala. There are six other
IPPs in operation in Uganda all of which have arguably been less contentious. Two of these
were set up by state-owned mining companies, Kasese Cobalt and Kilembe Mines, and
have been generating electricity in Uganda’s Kasese District for their own use, and both
feed surplus electricity into to the national grid. Kasese District is also home to the 13MW
Bugoye Power Station owned by Tronder Power Ltd and commissioned in 2009 at a cost of
US$55 million (NORAD, 2010).
Also in 2009, Electro-Maxx built a 20MW heavy-fuel-oil-fired plant, Tororo Power
Station, at a cost of over US$32 million. The other two IPPs are Kakira Sugar Works and
Kinyara Sugar Ltd. Both are co-generation plants, fired by bagasse, the residue from sugarcane processing. The capacity of the Kakira plant is in excess of 20MW but only 12MW is
sold on to the power grid with the remainder reserved for their its own use. Similarly, at
state-owned Kinyara, installed capacity is 7.5MW of which 5MW is sold on to the grid
(ERA, 2008). Kakira began supplying the grid in 2008 and Kinyara in 2009. Power sector
reform in Uganda has therefore not only opened up the sector for standard IPPs, but also
for co-generators that provide useful capacity additions for overcoming the power supply
deficit.
From the review of literature, the history on Uganda’s power production, generation and
demand growth shows that the countries level of power production and generation has
been growing for the last two decades due to energy sector economic reformation.
17
However, the available literature shows that much as there has been growing power
production and generation, this has not been able to satisfy the increasing demand for
power in the country. The growing demand for power resulting from growth in the
manufacturing sector and domestic market supersedes the current supply of power
which has constrained economic growth in the country. Therefore, the researcher will
seek to examine Uganda’s power production, generation and demand growth.
2.2
Regulatory framework of Uganda’s power sector and its conduciveness on
investments in the sector
There are two distinct types of regulation, namely, economic regulation and competition
regulation. The first mode of regulation is now applied to the power sub-sector and the
other applies to the petroleum supply sub-sector. The new regulatory system for the power
Sub-sector is based on UEB unbundling, private concession for generation and distribution,
and “single buyer” model. It is conceived to give confidence to both private sector
participants and consumers that the new power system will function under an agreed and
transparent set of rules and procedures. Regulation is through the new Electricity
Regulatory Authority – an independent industry-specific regulatory body – whose powers
are defined under the Electricity Act, 1999.
Uganda has a clear legislative framework for electricity regulation that is anchored by the
Electricity Act of 1999. The Act established the ERA, set out its functions and powers and
provided for key elements of its administration. The Act also provided the legal basis for
the liberalisation of the electricity sector and the unbundling of the vertically integrated and
state-owned UEB.
18
The ERA became operational in 2000, and its functions as set out in Clause 11 of the
Electricity Act are as follows:
• To issue licences for the generation, transmission, distribution or sale of electricity, and
for the ownership or operation of transmission systems;
• To receive and process applications for licenses;
• To prescribe conditions and terms of licences issued under the Act;
• To modify licences issued under the Act;
• To make and enforce directions to ensure compliance with licences issued under the Act;
• To establish a tariff structure and to investigate tariff charges, whether or not a specific
complaint has been made for a tariff adjustment;
• To approve rates of charges, and terms and conditions, of electricity services provided by
transmission and distribution companies;
• To review the organisation of generation, transmission and distribution of electricity to
the extent that the organisation affects or is likely to affect the operation of the electricity
sector and the efficient supply of electricity;
• To develop and enforce performance standards for the generation, transmission and
distribution of electricity;
• To encourage the development of uniform electricity industry standards and codes of
conduct;
• To establish a uniform system of accounts for licensees;
• To advise the minister regarding the need for electricity sector projects;
• To prepare industry reports and to gather information from generation, transmission and
distribution companies;
19
• To prescribe and collect licence fees;
• To provide for the procedure for investment programmes by transmission and distribution
companies;
• To approve standards for the quality of electricity supply services provided;
• To approve codes of conduct in respect of the operation of transmission and distribution
systems;
• To acquire information and carry out investigations relating to any of its functions; and
• To perform any other function that is incidental or consequential to its functions.
From this list, it is clear that Uganda’s regulatory authority, follows established best
practice, and, with the exception of dispute resolution, which falls under the jurisdiction of
the Electricity Disputes Tribunal, is empowered to facilitate market access through
licensing, set tariffs at economically efficient levels, and to develop, promulgate and
monitor technical standards. The issue of independence versus accountability is an issue for
all regulatory organisations. As in other countries the legal, financial and administrative
independence of the ERA has to be delicately balanced with issues of transparency, public
accountability and the fact that ultimately it reports to the government.
2.2.1 Licensing of Electricity generation in Uganda
When electricity generation and distribution were privatised, the government negotiated
concession and other agreements with Eskom Uganda and Umeme, the concessionaires.
These agreements were concluded prior to the issuance of licences by the ERA. The license
conditions have therefore generally been made consistent with the provisions of the
concession agreements. As a result, the ERA’s regulatory discretion has been curtailed, and
20
a significant degree of regulation in Uganda occurs by contract. The concessionaires in the
draft model agreement need to be examined to find out whether there was consideration for
nuclear power generation. The prospective licensee (applicant) submits a project brief to
the ERA that contains:
• the financial and legal status of the applicant, their experience and their technical and
industrial competence;
• a description of the project and the time-line for its implementation;
• a review of the land use involved in the project and its relation to local authorities;
• a review of public and private measures necessary to carry out the project;
• Information relating to permissions required from public authorities;
• a description of the impact of the project on electricity supply, socio-economics, cultural
heritage, the environment, natural resources and wildlife; and
• any other relevant information that the ERA may request.
Upon receipt of the project brief, the ERA is required to publish it in the national press and
solicit comments from the public and all directly affected parties. After the project brief has
been published and comment solicited, the ERA issues a permit to the prospective licensee.
The permit enables relevant studies and other activities necessary for the preparation of a
licence application to be conducted.
These are required to contain:
• the legal and financial status of the applicant;
• a technical and economic description of the project;
21
• a description of how the projects fit in with the existing and planned power-supply
system;
• the planned time of commencement and completion of the construction of the project;
• a view of the project’s adaptation to the landscape, including necessary maps and
drawings;
• the impact of the project on public interest and possible mitigation;
• the results and reports of assessments, including environmental impact assessments, and
any other studies carried out;
• the potential impacts of the project on private interests, including the interests of affected
landowners and other rights holders; and
• all relevant consents and permits required under any other law.
The licence application should also include an evaluation of all the comments received at
the permit stage. If the licence application is deemed complete by the ERA, the applicant
may be required to execute some form of security for the performance and observance of
the conditions to which the licence may be subject, or take out insurance cover against
liabilities that may occur. Thereafter the ERA publishes a notice of the licence application
in the government gazette. The application can then be objected to by affected parties and
the public.
2.2.2 Uganda’s Energy Policy
Uganda’s energy policy was passed in 2002 with a goal of meeting the energy needs of
Uganda’s population for social and economic development in an environmentally
sustainable manner. Generation and distribution businesses were leased out to private
22
operators on long-term concession while transmission will remain a public function in the
medium term. Under a concession arrangement the existing assets will remain in public
ownership, whilst the right to operate the assets and invest in their expansion will be let to
an experienced private sector power company. New generation capacities will be
developed as Independent Power Producer (IPP) projects. It is further seen that licensing in
Uganda’s power sector focuses on only Hydropower plants. Because nuclear power plants
produce beyond 10MW, the current licensing regime may discourage investment in the
area.
2.2.3 Generation tariffs in Uganda
A significant portion of regulation in Uganda occurs as a result of existing concession
agreements, and methods for the determination of tariffs are set out in those contracts. The
power purchase agreement between Eskom Uganda and UETCL for example provides for a
capacity-only, take-or-pay tariff, the capacity price. The core components of this are: an
allowance for a return on capital investment that Eskom Uganda puts into the plant, which
is allowed to earn a return of 12 per cent; operations and maintenance (O&M) costs as
originally bid for; and the concession fee. The O&M component is adjusted quarterly for
the US Dollar/Uganda Shilling exchange rate and inflation. The effective capacity payment
is inversely proportional to the target availability for the plant, which is set by the ERA,
and was at 96.5 per cent in 2009.
A nuclear power plant is a thermal power station in which the heat source is a nuclear
reactor. As is typical in all conventional thermal power stations the heat is used to generate
steam which drives a steam turbine connected to a generator which produces electricity.
23
Nuclear power plants are usually considered to be base load stations, since fuel is a small
part of the cost of production. When four hydrogen atoms join to form helium in the
atmosphere, a large quantity of heat is released in a thermal nuclear fusion reaction.
Similarly, when Uranium explodes, nuclear fission occurs dissipating large quantity of
heat. The heat is used to produce steam that drives steam turbines that generate electricity.
The isotopes of Uranium U235 and Plutonium P 239 are nuclear fuels in a nuclear plant
generating heat in chain reactions. The kind of energy from Uranium is just like the energy
obtained from coal or oil. The end result is electricity which can be sent through the same
transmission network as the electricity obtained from any power plant.
However, nuclear plants have some special problems that make them different from fossilfuel plants. This is because of the way a uranium reactor works. According to Milton A.
Rothman, Where there is a mass of U235, consisting of millions and millions of atoms close
together, along comes a neutron created by a cosmic ray from outer space. It penetrates one
of the U235 nuclei, causing it to break up into two parts. While doing so, it gives off two or
three neutrons. These neutrons are free to bounce around among the uranium atoms. They
may simply escape without doing anything. There is a good chance though, that one of
them will be captured by another U235 nucleus, causing it to fission also and two or three
more neutrons are born.
If the volume of Uranium is too small, most of the neutrons will simply bounce harmlessly
out of the uranium. However, if the mass of Uranium is great enough (greater than the
critical mass), at least one neutron from each fission will remain inside and cause another
fission to take place. Thus we have what is called a “chain reaction” and the number of
24
fissions will grow rapidly in an explosive burst of energy. A few pounds of Uranium can
release an amount of energy equal to that produced by thousands of tons of dynamite, an
ordinary chemical explosive. According to John Blunden et al, estimates of total available
energy from Uranium are even more commercially and politically sensitive. The fission of
U235 3.2 x 10
-11
J per nucleus, translates into 8 x 1010J per gram. This is 2 x104 times
greater than that from combustion of the same mass of coal.
2.2.4 Types of nuclear reactors
Advanced Gas - Cooled reactor (AGR)
An advanced gas-cooled reactor (AGR) is a type of nuclear reactor. These are the second
generation of British gas-cooled reactors, using graphite as the neutron moderator and
carbon dioxide as coolant. The AGR was developed from the Magnox reactor, operating at
a higher gas temperature for improved thermal efficiency, requiring stainless steel fuel
cladding to withstand the higher temperature. Because the stainless steel fuel cladding has a
higher neutron capture cross section than Magnox fuel cans, enriched uranium fuel is
needed. All AGR power stations are configured with two reactors in a single building.
Pressurized Water reactor (PWR)
These constitute the large majority of all nuclear power plants and are one of three types of
light water reactor (LWR), the other types being boiling water reactors (BWRs) and
supercritical water reactors (SCWRs). In a PWR, the primary coolant (water) is pumped
under high pressure to the reactor core where it is heated by the energy generated by the
fission of atoms. The heated water then flows to a steam generator where it transfers its
thermal energy to a secondary system where steam is generated and flows to turbines
25
which, in turn, spin an electric generator. In contrast to a boiling water reactor, pressure in
the primary coolant loop prevents the water from boiling within the reactor. All LWRs use
ordinary water as both coolant and neutron moderator.
Burner reactors
Most conventional nuclear reactors use U235 for fuel, and are what we would call “burners”
– they use the fuel until it can no longer keep the reactor critical.
Breeder reactors
A breeder reactor is a nuclear reactor capable of generating more fissile material than it
consumes. These devices are able to achieve this feat because their neutron economy is
high enough to breed more fissile fuel than they use from fertile material like uranium-238
or thorium-232. However, breeder reactors have not yet been developed to the point where
they are used commercially much as they are able to use all the uranium fuel instead of
only the U235 part of it.
From the reviewed literature on regulatory framework of Uganda’s power sector and its
conduciveness to the investment sector, the literature showed that Uganda had made efforts
to develop the required regulatory framework of the power sector in regard to licensing of
power generation, energy policy, generation tariffs among others. However much of the
regulatory framework is benchmarked on developed countries due to the fact that there are
very few countries that are currently generating nuclear power making it almost impossible
to come up with effective policies that can suit the developing countries scenario. This has
26
made the regulatory framework less applicable in Uganda’s case and therefore less
conducive to the investment sector.
2.3
Uganda’s infrastructure for nuclear energy as an alternative power source
According to Dr. El-Gazzar, Mohamed et al the question is to what extent should Africa
rely on hydropower development in the face of a changing climate? Already droughts
regularly disrupt electricity supplies. For example, in February 2006 a drought had reduced
Uganda’s hydropower capacity by one third, causing a severe electricity shortage. Climate
models suggest that in parts of Africa, river flows will see significant reductions through
climate change. Reduced flows, as well as increased competition for water resources
(especially from irrigation) are likely to affect the viability of hydropower plants. Clearly,
an over reliance on hydropower, as is the case in a number of African countries, carries
considerable risk and a more balanced energy portfolio is desirable in those countries, as
elsewhere.
Worse still, construction of hydro dams leads to disappearance of falls along the river,
greatly affecting the tourism industry. The effect of revenue lost from tourism continues to
hurt the national economy. But also, hydro dams require wide areas and this leads to
massive displacement of the population. A full menu of options should be considered for
providing energy services: renewable energy sources, nuclear power sources, traditional
biomass and fossil fuels, combined with cleaner, more efficient energy as “one solution
does not fit all”. Through better management and regulation of the energy sector in Africa
there should be improved access to an increased choice of appropriate, affordable energy
services and increased efficiency of energy provision and use.
27
Among all options, nuclear power emerges as one of the most appropriate solutions for
adequate energy supply in Africa while improving environmental conditions and
contributing significantly to combating climate change. According to MacKenzie et al, the
nuclear power debate is about the controversy which has surrounded the deployment and
use of nuclear fission reactors to generate electricity from nuclear fuel for civilian
purposes. The debate about nuclear power peaked during the 1970s and 1980s, when it
"reached an intensity unprecedented in the history of technology controversies", in some
countries.
Proponents argue that nuclear power is a sustainable energy source which reduces carbon
emissions and can increase energy security if its use supplants a dependence on imported
fuels. According to Benard Cohen, proponents advance the notion that nuclear power
produces virtually no air pollution, in contrast to the chief viable alternative of fossil fuel.
Proponents also believe that nuclear power is the only viable course to achieve energy
independence. They emphasize that the risks of storing waste are small and can be further
reduced by using the latest technology in newer reactors, and the operational safety record
in the Western world is excellent when compared to the other major kinds of power plants.
Opponents say that nuclear power poses many threats to people and the environment.
These threats include health risks and environmental damage from uranium mining,
processing and transport, the risk of nuclear weapons proliferation or sabotage, and the
unsolved problem of radioactive nuclear waste. They also contend that reactors themselves
are enormously complex machines where many things can and do go wrong, and there have
been many serious nuclear accidents (Giugni, Marco 2004).Critics do not believe that these
28
risks can be reduced through new technology. They argue that when all the energyintensive stages of the nuclear fuel chain are considered, from uranium mining to nuclear
decommissioning, nuclear power is not a low-carbon electricity source (Jim Green,
Kleiner, Kurt, Mark Diesendorf).
Therefore, all energy sources bring their own problems. The challenge is thus to find
appropriate and reliable solutions for providing energy sources for social and economic
development and meeting the needs of the majority of poor Africans who live in rural
areas. The fuel required per unit of electricity produced by nuclear energy is tiny in mass
and easy transport, so this allows nuclear stations to be sited wherever required and helps to
overcome the problem of the inadequate transmission grid.
Extant literature that was reviewed by the researcher revealed that Uganda had already
ventured into the possibility of using nuclear energy as an alternative power source and was
in the process of making arrangements to develop the necessary infrastructure. Much as
Uganda had made some strides towards the use of nuclear energy as an alternative power
source, the country was not making the much needed progress as expected. Some of the
reasons deterring this progress include the capital intensive nature of the projects,
unavailability of the required human resources, environmental effects, and international
regulation among others. This has left the country still suffering from inadequate power
causing slow economic development and lack of employment to the available skilled and
semi-skilled labour force.
29
2.4
Conclusion
Under this chapter, a review of existing literature on power infrastructure and the country’s
preparedness for nuclear power production as an alternative source were done. Identifying
the gaps in the existing literature made it possible to clearly understudy the contribution of
power infrastructure on the country’s preparedness for nuclear power production as an
alternative source of power. An analysis of the existing literature on the history of
Uganda’s power production, generation and demand growth; regulatory framework of
Uganda’s power sector and its conduciveness on investments in the sector; and assess
Uganda’s infrastructure for nuclear energy as an alternative power source. Literature on the
history of Uganda’s power production, generation and demand growth was reviewed and
established that Uganda’s power production and generation had tremendously increased in
regard to the available demand resulting from the manufacturing sector and domestic use.
However, there was a mismatch between power production and generation compared to the
existing demand for power. In regard to the regulatory framework of the power sector and
its conduciveness on investments in the sector, the literature revealed that the regulatory
framework governing the power sector was well streamlined although there were still
emerging challenges in regard to its conduciveness in the investment sector. An assessment
of Uganda’s infrastructure for nuclear energy as an alternative power source revealed that
although efforts had been made to realise this, the entire process was still in its infancy
stage.
30
CHAPTER THREE
METHODOLOGY
3.0
Introduction
This chapter focused on the techniques that were used to obtain the required data on the
history of Uganda’s power production; generation/demand growth; regulatory framework
of Uganda’s power sector and its conduciveness on investments in the sector; and Uganda’s
readiness for nuclear energy as an alternative power source. The chapter comprised of the
research design, population of the study, sampling procedure, sample size and selection,
sample techniques, data sources, data collection methods, instruments for data collection,
data collection procedure, validity and reliability of the instruments, data processing and
analysis, ethical consideration and limitations to the study.
3.1
Research Design
The study adopted a cross-sectional case study approach to help explain the current
situation on nuclear energy production and analyze the inherent problem when dealing with
quantitative data. Cross sectional case study is a research design in which one or more
samples of the population is selected and information is collected from the samples at one
time. It makes a detailed examination of a single subject, group or phenomenon and
enables collection of sufficient data regarding effects of nuclear energy production
(Mugenda and Mugenda, 1999). A cross-sectional case study design was adopted because
the study was only carried at Ministry of Energy and Mineral Development and other
agencies since it is Uganda’s regulator of the energy sector. The design was descriptive and
analytical in nature. For qualitative data, the study adopted the field research method where
31
the researcher went to the field took extensive field notes which were subsequently coded
and analyzed in a variety of ways (Sekeran, 2003).
3.2
Study Population
The population of the study was 177 consisting of the different categories of staff at
MEMD headquarters and selected agencies in the energy sector. The researcher believed
that this category of people was knowledgeable enough about her area of study and was
able to avail him with the necessary data about the study.
3.3
Sampling Design and Sample size
Given that the study population was large, a sample size was selected from the population
and used to represent the views of the entire population. A total sample size of 125 was
selected from the population size of 177. The sample size was obtained by using the
Krejcie and Morgan’s (1970) table of population sampling. The sample size was
determined basing on the table for determining sample size because for every population, it
provided a corresponding sample size. The respondents were selected using purposive
sampling given that the data needed is technical in a way. Individuals regarded to be
concerned with the study were the ones to be interviewed. The sample size was limited to
specific persons regarded to provide key information to the study like the Technical
directors/managers, Chief Executive Officers and Focal point managers in the institutions.
3.4
Data Sources
Primary data was obtained through the use of a self-administered questionnaire and an
interview guide while collecting data from the respondents following systematic and
established academic procedures. Secondary data was used to enhance the investigation
32
and it was obtained from existing literature by use of a documentary checklist. The
reviews, according to Amin (2005), was a viable tool of investigation because they
provided and reliable information.
3.4
Data Collection Methods and Analysis Techniques
The data collection methods are techniques of collecting data and since in this research
both quantitative and qualitative methods were used. Quantitative data were collected
through a survey using a questionnaire. The researcher developed a questionnaire that
answered specific objectives of the study for respondents to complete in writing. The
questionnaire was structured (close ended). The researcher adopted a closed ended
questionnaire because it elicits specific responses, which are easy to analyze, compare
among different groups and are economical in terms of time and energy. The structured
questionnaires elicited specific response, which is easy to analyze as per Amin (2005). It
gave an accurate profile of the situation and the data provided described who, what, how,
when and where of the variables in the study. The questionnaire survey was used to select
data from technical directors/managers and focal point managers.
To collect qualitative data, Face-to-Face interviews were conducted. Interviews are a good
tool as they enable the researcher gather in-depth information around the topic to meet
specific needs. The researcher was also able to clarify unclear issues in the questionnaire to
the respondent (Amin 2005). This method was used to collect data from key informants in
this case the executive officers.
33
3.6
Validity and Reliability Tests
3.6.1 Validity Test
To establish validity qualitatively , the instruments were given to two experts (supervisors)
to evaluate the relevance of each item in the instrument to the objectives and rate each item
on the scale of very relevant (4), quite relevant (3), somewhat relevant (2), and not relevant
(1). The purpose of qualitative research was to describe or understand the phenomena of
interest from the participant's eyes, therefore the researcher allowed the participants to
legitimately judge the credibility of the results. Validity was determined by using Content
Validity Index (C.V.I).C.V.I = Total items rated correct divided by the total number of
items in the questionnaire. Kathuri & Pal (1993) argues that items with validity coefficients
of at least 0.70 are accepted as valid and reliable in research. From the results all the
content validity indices ranged from .707 to .859, therefore meeting the acceptable
standards.
3.6.2 Reliability Test
For quantitative data, the researcher during data collection exercise ensured that the data
recorded from interviews reflect the actual facts, responses, observations and events. The
researcher also took multiple measurements, observations or samples and also checked the
truth of the record with an expert/ lecturer to verify response consistency and customize
questions so that only appropriate questions are asked. The experts also helped to confirm
responses against previous answers where appropriate and detect questions likely to elicit
inadmissible responses. A pretest of the instrument in a time lapse of 2 weeks was carried
out to establish consistence in responses. According to Amin (2005), test-retest reliability
34
can be used to measure the extent to which the instrument can produce consistent scores
when the same group of individuals is repeatedly measured under same conditions. The
results from the pretest were used to modify the items in the instruments.
3.7
Ethical Considerations
When carrying out research the following ethical considerations were observed. Permission
of the people who were to be studied was sought to conduct research involving them. This
was done by attaining an introductory letter from the University introducing the researcher
to the management of the bank. Written or verbal informed consent from all respondents
was sought before interviews were conducted and the purpose and objectives of the study
were carefully explained to the respondents. The researcher was careful not to cause
physical or emotional harm to respondents and ensure objectivity during the research so as
to eliminate personal biases and opinions. Likewise to ensure confidentiality of the
respondents, the researcher designed the tools in such a manner where the respondent was
not required to provide personal details such as names.
3.8
Conclusion
The chapter introduced and explained the methodological aspects that were followed when
constituting the population, selecting the sample the sampling methods to be used, the data
collection methods and instruments to be employed during the study, quality control of the
instruments, data management and processing and ethical. This set ground for chapter four
which dealt with presentation and analysis of the results of the study.
35
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
4.0
Introduction
The chapter comprised of the description of tools of analysis, presentation of data, analysis
of data and interpretation of results in the context of the research problem. The chapter is
comprised of four sections. Section one presents the introduction, section two represents
the response rate, section three dealt with the demographic characteristics which include
gender, age group, tenure of employment, level of education, nature of employment and
position held using frequency tabulations. Section four, dealt with empirical findings on the
study objectives using percentages and item mean analysis. The study targeted 125
respondents to provide the information of the study and 125 questionnaires were distributed
to the respondents who composed the sample size of the study. Out of the 125 distributed
questionnaires, 97 usable questionnaires were returned giving a response rate of 77% which
was acceptable for the study according to Sekaran (2003).
4.1
Description of Tools of Analysis
To present the results on the demographic characteristics which include gender, age group,
tenure of employment, level of education, nature of employment and position held using
frequency tabulations. In statistics, a frequency distribution is a table that displays the
frequency of various outcomes in a sample. Each entry in the table contains the frequency
or count of the occurrences of values within a particular group or interval, and in this way,
the table summarizes the distribution of values in the sample. The frequency tabulation is a
very popular method for summarizing data because even very large data sets can be
36
condensed to a manageable form without substantial loss of information. Item mean
analysis was used to assess the level of agreement or disagreement on the different items by
the respondents. Here an average response rate for each item used to measure the different
study objectives was computed to assess the respondent level of agreement or
disagreement.
4.2
Presentation and Analysis of Data
This section of the study discusses the characteristics of the respondents at the Ministry of
Energy and Mineral Development such as gender, age group, tenure of employment, level
of education, nature of employment and position held. The researcher adopted frequency
tabulations to present and discuss the results of the sample characteristics below. The
rationale of using frequency tabulation was to ascertain the categories of the different
characteristics in relation to the responses of the respondents.
4.2.1 Respondent Category by Gender
In order to present the respondent category and gender distribution categories of the
respondents, frequency tabulation was used by the researcher. Table 4.1 below presents the
results:
Table 4.1: Gender Distribution
Gender
Male
Female
Total
Frequency
Percentage
61
62.9
36
97
37.1
100.0
Source: Primary data (2014)
37
The results from Table 4.1 above show that 62.9% of the respondents were male whereas
37.1% were female. From the findings, it is apparent that the males were more responsive
compared to their female counterparts implying that, there were more male staff at the
ministry and other agencies involved in energy production and regulation compared to the
female staff. The high composition of male respondents is a justification that the
organisations recruited more male employee compared to the female. The reason for this is
that the roles that are performed at the organisations require a lot of flexibility where by
staff can be transferred from one department or branch or region to another at any given
time which might be difficult for female staff who also have the responsibility of taking
care of their families. Likewise, since also bank roles demand that staff work for long
hours, this is unfavourable for the married female staff who have to also take care of the
children and the family at large.
4.2.2 Respondent Category by Age Group
Frequency tabulation was used by the researcher to present the age distribution of the
respondents. Table 4.2 below presents the results:
Table 4.2: Age Distribution
Age
Frequency
Percent (%)
23-25 yrs
8
10
26-30 yrs
27
27.8
31-35 yrs
35
36.1
36-40 yrs
19
19.6
40 yrs and above
8
8.2
Total
97
100.0
Source: Primary data (2014)
38
The results in the table 4.2 revealed that the majority of the respondents fell in the age
brackets of 31-35 years and 26-30 years with percentages of 36.1% and 27.8% respectively
whereas, 8.2% accounted for those respondents in the 40 years and above age group. The
results implied that the composition of the respondents was made up of staff who were
mature enough to understand the importance of nuclear energy production as an alternative
energy source.
4.2.3 Tenure of Employment
Frequency tabulation was used by the researcher to present the tenure of employment
distribution of the respondents. Table 4.3 below presents the results:
Table 4.3: Tenure of Employment Distribution
Tenure
Frequency
Percent (%)
Less than 1 year
11
11.3
2 – 3 yrs
22
22.7
4 – 5 yrs
10
10.3
6 – 10 yrs
35
36.1
Above 10 yrs
19
19.6
Total
97
100.0
Source: Primary data (2014)
From the results in table 4.3 above, it was observed that 36.1% of the respondents had
worked with the bank for some 6-10 years, 22.7% had been employed for 2-3 years, 19.6%
had worked for the organisations for over 10 years, 11.3% had worked for less than 1 year
whereas, 10.3% had worked with the organisations for 4-5 years. This could imply that the
majority of the staff had served the different organisations for at least more than 6 years
39
which was confirmation that they possessed the required experience to provide information
for the study.
4.2.4 Respondent Category by Level of Education
Frequency tabulation was used to present the level of education distribution of the
respondents. Table 4.4 below presented the results:
Table 4.4: Level of Education
Frequency
Percentage
Diploma
9
9.3
Postgraduate diploma
22
22.7
Degree
39
40.2
Masters
19
19.6
Others
8
8.2
Total
97
100.0
Source: Primary data
According to the results in Table 4.4, the majority of the respondents (40.2%) possessed
degree level of education, 22.7% were postgraduate diploma holders, those who had
attained masters level of education accounted for 19.6%, the diploma holder accounted for
9.3% and 8.2% held other qualifications. From the findings, the majority of the responses
were acquired from degree holders and postgraduate holders which was justification that
the respondents possessed the required qualifications to perform their duties in an effective
and efficient manner.
40
4.2.5 Distribution According to Position Held
Frequency tabulation was used by the researcher to present the distribution according to
position held of the respondents. Table 4.5 below presents the results:
Table 4.5: Position Held
Designation
Frequency
Percent (%)
Top manager
5
5.2
Middle manager
15
15.5
Supervisor
42
43.3
Officer
35
36.1
Total
97
100.0
Source: Primary data (2014)
From the results in the table 4.5, the majority of the responses were acquired from
supervisors (43.3%) and top leaders were the least in providing responses (5.2%).
The fact that information was acquired from top managers to officers, this justifies
that the staff holding different positions were able to provide their views regarding
the study.
4.3
Empirical Findings
The findings in this study are based on the study objectives. The variables are measured
using a five point Likert scale and the results are presented in descriptive tables, showing
percentages and item means of responses under each variable. The results from the
quantitative source are compared with qualitative ones. Statistical tables were used for
easier understanding and interpretations.
41
4.3.1 Research Objective One: Uganda’s power production; generation/demand growth
The item means on Uganda’s power production; generation/demand growth were generated
to assess the level of agreement and disagreement among the respondents. Responses were
based on Likert scale ranging from one which represented strongly disagree to five which
reflected strongly agree, although these were thereafter categorized into agree and disagree
sections. The resulting summary statistics are in Table 4.6;
42
Table 4.6: Uganda’s power production; generation/demand growth
Items
Min
Max
Mean
Std. Dev
Through goal setting, the responsible organs have been able to meet
market demand
There has been a continuous growth in the amount of power that is
generated over the years
There is monitoring of the amount of electricity that is generated
1
5
2.20
.677
1
5
3.77
.736
1
5
4.29
.652
The public is made aware about power production
1
5
3.11
.62
There is involvement of all stakeholders during decision making
1
5
3.22
.72
The interests of the public come first when carrying out power
production and generation
Incase of any shortcomings in power transmission, the public is
informed
During power production emphasis is put on goal achievement
1
5
3.02
.680
1
5
3.83
.615
1
5
3.89
.790
The companies contracted to generated and produce power can be
relied on by the public for effective power production
There has been growing infrastructural development that supports
power production.
The reforms in the energy sector have enhanced power production in
the country.
Privatization of the energy sector has helped to increase power
generation in the country.
As a result of reforms in the sector resulted into public -private
partnerships
The energy sector provides a major contributor to the treasury.
1
5
3.48
1.08
1
5
3.98
.720
1
5
4.05
.548
1
5
3.62
.671
1
5
3.06
.681
1
5
3.98
1.01
Liberalisation of the power sub-sector has attracted private sector
investments in the country
Electricity demand has grown over the years in the country
1
5
3.65
.687
1
5
3.89
.785
The increase in demand for electricity is attributed to heavy load
shedding
The reform programme aimed at providing adequate, reliable and leastcost power supply to meet demand.
There is public awareness about the usefulness of nuclear power.
1
5
3.22
.802
1
5
3.95
.684
1
5
3.43
1.15
There is a nuclear power roadmap development strategy
1
5
3.69
.679
A prefeasibility study on nuclear power plant was done
1
5
3.48
1.08
Source: Primary data (2014)
43
The majority of respondents agreed that there has been a continuous growth in the amount
of power that is generated over the years (mean=3.77). In relation to whether there is
monitoring of the amount of electricity that is generated (mean=4.29), most respondents
agreed and also consented that incase of any shortcomings in power transmission, the
public is informed (mean=3.83).
From the results, the respondents agreed that during power production emphasis was put on
goal achievement (mean=3.89), there has been growing infrastructural development that
supports power production (mean=3.98), reforms in the energy sector had enhanced power
production in the country (mean=4.05) and privatization of the energy sector has helped to
increase power generation in the country (mean=3.62). Much as there was disagreement
that through goal setting, the responsible organs had not been able to meet market demand
(mean=2.20).
The respondents agreed that the energy sector was a major contributor to the treasury
(mean=3.98), liberalisation of the power sub-sector had attracted private sector investments
in the country (mean=3.65), electricity demand had grown over the years in the country
(mean=3.89), the reform programme aimed at providing adequate, reliable and least-cost
power supply to meet demand (mean=3.95) and there was a nuclear power roadmap
development strategy (mean=3.69).
44
4.3.2 Research Objective Two: Regulatory framework of Uganda’s power sector and
its conduciveness on investments in the sector
The item means on regulatory framework of Uganda’s power sector and its conduciveness
on investments in the sector were generated to assess the level of agreement and
disagreement among the respondents. Responses were based on Likert scale ranging from
one which represented strongly disagree to five which reflected strongly agree, although
these were thereafter categorized into agree and disagree sections. The resulting summary
statistics are in Table 4.7;
45
Table 4.7: Regulatory framework of Uganda’s power sector and its conduciveness
on investments in the sector
Min Max Mean Std. Dev
There is a procedure that is followed when applying to generate and operate
nuclear power plants in Uganda.
There is a Nuclear Energy Policy for Uganda.
The regulatory framework of the power sector is widely understood by staff
The nuclear power generation and operation policies are widely understood by all
stakeholders
The nuclear power generation and operation policies are accessible to the public
Opinions, views and data relating to current policies and processes are accessible
to the public.
Stakeholders know the procedures followed when applying to generate and
operate nuclear power
Assistance/guidance is available to stakeholders seeking information on nuclear
power generation and operation.
The processes followed when applying to generate and operate nuclear power
plants in Uganda are clear.
The nuclear power generation and operation structures are clearly defined by
government.
Current structural arrangement in the power sector promotes a conducive
investment climate in nuclear power generation.
License requirements for nuclear power generation are well defined according to
policy.
Standards are set by government for nuclear power plants generation.
The generation tariffs for nuclear power are clearly stipulated by the energy
sector governing laws.
There is an enabling environment for private sector investments in generation and
distribution of power
There is absence of a formal institutional and legislative framework for
regulating atomic energy activities.
1
5
3.66
.776
1
1
1
5
5
5
3.85
2.89
2.25
.780
1.05
1.00
1
1
5
5
3.58
2.02
.897
.798
1
5
3.65
1.04
1
5
3.54
1.20
1
5
3.68
.693
1
5
3.75
.677
1
5
3.20
.685
1
5
3.66
.795
1
1
5
5
3.52
3.60
1.10
.686
1
5
3.11
1.32
1
5
3.77
0.632
Source: Primary data (2014)
Basing on the study results in table 4.7, There was agreement from the respondents that
there was a procedure that was followed when applying to generate and operate nuclear
power plants (mean=3.66), Nuclear Energy Policy was in existence in Uganda (mean=3.85)
46
and stakeholders knew the procedures followed when applying to generate and operate
nuclear power (mean=3.65).
Likewise, the processes followed when applying to generate and operate nuclear power
plants were clear (mean=3.68), the nuclear power generation and operation structures were
clearly defined by government (mean=3.75) and license requirements for nuclear power
generation were well defined according to policy (mean=3.66).
On the other hand, the respondents disagreed that the regulatory framework of the power
sector was widely understood by staff (mean=2.89), the nuclear power generation and
operation policies were widely understood by all stakeholders (mean=2.25) and opinions,
views and data relating to current policies and processes were accessible to the public
(mean=2.02). Much as there was agreement that the generation tariffs for nuclear power
were clearly stipulated by the energy sector governing laws (mean=3.60) and there was
absence of a formal institutional and legislative framework for regulating atomic energy
activities (mean=3.77).
4.3.3 Research Objective Three: Uganda’s infrastructure for nuclear energy as an
alternative power source
The item means on Uganda’s infrastructure for nuclear energy as an alternative power
source were generated to assess the level of agreement and disagreement among the
respondents. Responses were based on Likert scale ranging from one which represented
strongly disagree to five which reflected strongly agree, although these were thereafter
categorized into agree and disagree sections. The resulting summary statistics are in Table
4.8;
47
Table 4.8: Uganda’s infrastructure for nuclear energy as an alternative power
source
Min Max Mean Std. Dev
Privatization of the energy sector has promoted infrastructural development in the 1
5 3.05 .766
sector.
The lack of investment and finance accounts for the slow nuclear energy
1
5 3.98 .793
infrastructural development
There is limited private-sector participation in nuclear energy infrastructural
1
5 4.02 .684
development
There are limitations in regulatory and institutional capacity to promote nuclear
1
5 4.31 .771
energy infrastructural development
There are shortcomings in technical capacity and local resources to support nuclear 1
5 4.58 .656
energy infrastructural development
Nuclear energy infrastructural development is costly
1
5 4.58 .650
Nuclear energy infrastructural development requires high credit capitalization
1
5 4.66 .759
Inadequate physical infrastructure is a major constraint in the growth of power
1
5 4.54 .650
infrastructure development
There is inadequate skilled human resource to support nuclear infrastructural
1
5 4.48 .750
development
Lack of commitment by top management has undermined nuclear infrastructural
1
5 4.51 .764
development
There is reluctant by management to meet the cost sharing by government on
1
5 4.46 .653
procurements of equipments and trainings.
Source: Primary data (2014)
The results in Uganda’s infrastructure for nuclear energy as an alternative power source
showed that there was agreement that the lack of investment and finance accounts for the
slow nuclear energy infrastructural development (mean=3.98), there was limited privatesector participation in nuclear energy infrastructural development (mean=4.02), there were
limitations in regulatory and institutional capacity to promote nuclear energy infrastructural
development (mean=4.31) and there were shortcomings in technical capacity and local
resources to support nuclear energy infrastructural development (mean=4.58).
48
On the other hand, the respondents revealed that nuclear energy infrastructural
development was costly (mean=4.58), nuclear energy infrastructural development required
high credit capitalization (mean=4.66), inadequate physical infrastructure was a major
constraint in the growth of power infrastructure development (mean=4.54) and there was
inadequate skilled human resource to support nuclear infrastructural development
(mean=4.48). Likewise, the respondents revealed that lack of commitment by top
management had undermined nuclear infrastructural development (mean=4.51) and there
was reluctant by management to meet the cost sharing by government on procurements of
equipments and trainings (mean=4.46).
4.4
Interpretation of Results in the Context of the Research Problem
Under this section the interpretation of results in the context of the research problem was
carried out so as to assess what is explained by the results of the study.
4.4.1 Uganda’s power production; generation and demand growth
From the findings, it was evident that there was continuous growth in the amount of power
that was being generated (mean=3.77) which was justification that government understood
the importance of having adequate power supply as this had a positive impact on the
economy. There was also agreement to the fact that there was monitoring of the amount of
electricity that was generated (mean=4.29) and where any shortcomings a rose during
transmission, the public was informed (mean=3.83). This is justification government kept
close watch of power generation and ensured that all the power that was generated was
transmitted to consumers much as there were shortcomings during in these processes.
49
The findings revealed that during power production emphasis was put on goal achievement
(mean=3.89) and there has been growing infrastructural development that supports power
production (mean=3.98). This is revelation that government focused to achieving set targets
for power production and to realize this it continued to develop power production
infrastructure which even supported transmission of power. This explains why the findings
revealed that reforms in the energy sector had enhanced power production (mean=4.05) and
privatization of the energy sector has helped to increase power generation (mean=3.62).
This is confirmation that outsourced some of the power production activities from the
private sector through its programmes so as ensure a steady growth in power generation.
Although this was the case, the responsible organs had not been able to meet market
demand (mean=2.20).
The findings showed that the energy sector was a major contributor to the treasury
(mean=3.98) and liberalization of the power sub-sector had attracted private sector
investments in the country (mean=3.65). This is justification that as a result of involvement
of other external stakeholders in the energy sector, this had benefited government
financially as well as effectiveness in the production of power. This explains why
government carried of the reformation of the power sector so as to provide adequate,
reliable and least-cost power supply to meet demand (mean=3.95), much as the demand for
power was rising day by day (mean=3.89). To ensure that this demand is met by power
needs, the government had embarked on a nuclear power roadmap development strategy
(mean=3.69).
50
4.4.2 Regulatory framework of Uganda’s power sector and its conduciveness on
investments in the sector
The findings revealed that there were procedures that were followed when applying to
generate and operate nuclear power plants (mean=3.66), a policy on nuclear energy had
been formulated (mean=3.85) and stakeholders knew the procedures followed when
applying to generate and operate nuclear power (mean=3.65). The findings justify that to
venture into other energy sources such as nuclear energy, government had taken the liberty
to put in place the proper procedures and policies that should be adhered to by those
interested in the generation and operation of nuclear plants in the country. This was
common information that could be accessed by those seeking information on nuclear
energy generation and operation of nuclear plants.
According to the findings, the processes followed when applying to generate and operate
nuclear power plants were clear (mean=3.68), there were clear nuclear power generation
and operation structures (mean=3.75) and license requirements for nuclear power
generation were well defined according to policy (mean=3.66). This is confirmation that all
the legalities required by investors in the nuclear energy sector were clearly streamlined out
in regard to policy, structures and licensing. Therefore, the nuclear energy sector was open
to those who were able to comply and adhere to the set framework.
Much as there were still challenges faced by the staff working in the sector in
understanding the regulatory framework (mean=2.89). This explains why the nuclear
power generation and operation policies were not widely understood by all stakeholders
(mean=2.25) and opinions, views and data relating to current policies and processes were
not accessible to the public (mean=2.02). Given the sensitive nature of the information on
51
nuclear energy and the likelihood that it can be used for wrong purposes, this may explain
why government secures this information from easy accessibility.
In spite of that, the findings showed that generation tariffs for nuclear power were clearly
stipulated by the energy sector governing laws (mean=3.60) and there was absence of a
formal institutional and legislative framework for regulating atomic energy activities
(mean=3.77). This is justification that despite government’s capability in developing the
legal framework governing nuclear energy, the structures to support nuclear production
were not yet in place. This clearly shows that Uganda’s nuclear sector was still in its
infancy stage.
4.4.3 Uganda’s infrastructure for nuclear energy as an alternative power source
The findings on Uganda’s infrastructure for nuclear energy as an alternative power source
showed that there was lack of investment and finance accounted for the slow nuclear
energy infrastructural development (mean=3.98). This is due to the fact that nuclear energy
ventures were capital intensive in nature. This explains why there was limited privatesector participation in nuclear energy infrastructural development (mean=4.02). On the
other hand, the findings revealed that there were limitations in regulatory and institutional
capacity to promote nuclear energy infrastructural development (mean=4.31) and there
were shortcomings in technical capacity and local resources to support nuclear energy
infrastructural development (mean=4.58). It is practical that nuclear energy needs a lot of
investment in regard to financial and HR resources to set up a nuclear power station. It is
52
not always possible by the developing countries to afford such a costly source of alternative
energy.
On the other hand, the respondents revealed that nuclear energy infrastructural
development was costly (mean=4.58), nuclear energy infrastructural development required
high credit capitalization (mean=4.66), inadequate physical infrastructure was a major
constraint in the growth of power infrastructure development (mean=4.54) and there was
inadequate skilled human resource to support nuclear infrastructural development (mean =
4.48). This is justified by the high construction costs due to complex radiation containment
systems and procedures, high subsidies needed for construction and operation, as well as
loan guarantees and long construction time. The findings showed that lack of commitment
by top management had undermined nuclear infrastructural development (mean=4.51) and
there was reluctant by management to meet the cost sharing by government on
procurements of equipments and trainings (mean=4.46). The fact that nuclear is a
centralized power source requiring large infrastructure, investment, and coordination where
decentralized sources can be more efficient, less costly, and more resilient, this calls for
government support in the provision of resources that are required.
4.5
Conclusion
This chapter analyzed Uganda’s power infrastructure and the country’s preparedness for
nuclear power production as an alternative source. The findings indicated that power
production; generation/demand growth, regulatory framework of Uganda’s power sector
and its conduciveness on investments in the sector and infrastructure for nuclear energy as
an alternative power source were paramount in enhancing the country’s preparedness for
53
nuclear power production as an alternative source. This provided a basis for chapter five
which considered the summary of the findings, conclusions and recommendations.
54
CHAPTER FIVE
CONCLUSIONS AND RECOMMENDATIONS
5.0
Introduction
This chapter presents the discussion of results presented in chapters four and conclusions
drawn from the presentation. The chapter presents a short summary of the purpose of the
study and the research findings, followed by the set of recommendations, limitations of the
study and areas of further research.
5.1
Summary of the Research Findings
The study sought to examine Uganda’s power infrastructure and the country’s preparedness
for nuclear power production as an alternative source. The study was guided by the
following objectives; to examine the history of Uganda’s power production;
generation/demand growth; to examine regulatory framework of Uganda’s power sector
and its conduciveness on investments in the sector; and to assess Uganda’s infrastructure
for nuclear energy as an alternative power source. Data was collected using selfadministered questionnaires and it was analyzed using the Statistical Package for Social
Scientists (V18) which was used to generate tabulations of frequencies, item means and
standard deviations.
5.1.1 Summary of the Findings on Sample Characteristics
The findings on the sample characteristics revealed that most of the respondents were male,
the majority belonged to 26-30 years and 31-35 years age groups, most of them had tenure
55
of 6-10 years. The majority of the respondents possessed first degrees and in regard to
positions held by the staff the majority of the respondents were officers.
5.1.2 History of Uganda’s power production; generation/demand growth
The findings validate that there was a growing power production in the country as a result
of several dams being commissioned. This also contributed to the increased generation of
power so as to meet the high demand for power in the country. This implied that emphasis
on exploiting other types of energy such as nuclear energy was paramount in enhancing
power production and generation in the country
5.1.3 Regulatory framework of Uganda’s power sector and its conduciveness on
investments in the sector
According to the findings on the regulatory framework of Uganda’s power sector and its
conduciveness on investments in the sector, it was revealed that there were still gaps in the
development of the required policies such as those for nuclear energy which undermined
effective regulation of the sector and its consequent development.
5.1.4 Uganda’s infrastructure for nuclear energy as an alternative power source
The findings established that Uganda’s infrastructure for nuclear energy as an alternative
power source was still in its infancy stage and therefore encountered several challenges in
regard to training, costs and regulation.
5.2
Conclusions
In conclusion, the findings validate that although there was increasing power production
and generation, this did not correspond with the growth in demand for power. This implied
that emphasis needed to be put on other forms of energy such as nuclear which is important
56
in stirring investment in the manufacturing sector as a away of meeting the energy needs in
the country. The findings on regulatory framework of Uganda’s power sector and its
conduciveness on investments in the sector revealed that there were still inadequacies in the
current policies that are used in the energy sector. From the findings it was established that
Uganda’s infrastructure for nuclear energy as an alternative power source was still in its
infancy stage and a lot had to be done by the different stakeholders such as government,
nationals, development partners and international community to develop the required
infrastructure.
5.3
Policy Recommendations
In light of the research findings, the following main recommendations were made:
i)
The findings on power production, generation and demand growth revealed that
much as there was growth in power production and generation, this was still below
the current demand for power in the country. This calls on government to carryout
research and development in other forms of energy such as solar, nuclear, biomas
among others so as to harvest enough energy that can meet the current demand for
power.
ii)
Likewise, in order to promote infrastructural development, government together
with development partners can form Public Private Partnerships so as to put in place
the necessary infrastructure that is required during power production, generation
and distribution.
iii)
From the findings there were several factors affecting the regulatory framework for
the energy sector proposed by the respondents. Therefore government should
benchmark from other countries that have been able to develop effective and
57
efficient policies to govern their energy sectors so as to improve the current policies
used in Uganda’s energy sector.
iv)
The management of the organisations that are involved in the production,
generation and distribution of energy in the country should put emphasis on
ensuring that monitoring and evaluation systems are in place so as to mitigate
energy wastage and theft in the country so as to put to effective used of the energy
that is produced, generated and distributed in the country. Early detection of illegal
connections normally mitigates wastage of power.
v)
There should be continuous reviews of the operations of energy production,
generation and distribution processes through monitoring and evaluation at all
stages as this will ensure checks and balances and also help identify the gaps that
are still eminent in the processes.
vi)
Having in place effective governance structures will greatly contribute to the
closure of the existing gaps in the regulatory framework. Thus, government should
ensure that the current structures provide for backward and forward linkages.
vii)
Likewise, the internal causes of losses can be further classified into those that can
be resolved or addressed
through the use or deployment of new technology and
those that can be resolved through addressing of the human resource issues.
viii)
On the other hand, there should be strengthening of the law and imposing tighter
and heavier legal sanctions to make it painful if one is caught stealing power, or
vandalizing electrical installations. This must however be accompanied by
strengthening the enforcement institutional mechanism so that the tougher laws are
not only in the books but are enforced as well.
58
ix)
However deterrence alone through enforcement of the law is inadequate to solve all
the power problems the country is facing. There would still be need to undertake
consumer education and sensitization and mobilization of communities and civic
leaders about the need to preserve electricity installations and compliance with the
terms of electricity supply. There is a need to create a sense of ownership or
understanding of their role as stakeholders by understanding how stolen electricity
or vandalizing of electricity installations eventually impacts on them.
5.4
Suggestions for further research
i)
The researcher only focused on Uganda’s power infrastructure and the country’s
preparedness for nuclear power production as an alternative source not considering
other factors affecting nuclear energy generation. Each of these factors that
were not dealt with has broad areas which can be researched on.
ii)
The study took a form of cross sectional study but to study the true nature of the
relationship between power infrastructure and the country’s preparedness for
nuclear power production as an alternative source, a longitudinal study is more
appropriate, given the complex nature of the field of nuclear energy production.
iii)
A similar study may be carried out on the energy sectors of other developing
countries in the region to assess how they have been able to exploit nuclear energy
as an alternative power source.
APPENDIX I
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Bernard Cohen. "The Nuclear Energy Option". Retrieved 2009-12-09.
59
Chairman, NPPA(2)/Egypt, Eng. Bedrous, Maher Aziz Counsellor for Environmental Studies,
EHC(3)/Egypt
Energy And The Future – Milton A. Rothman 1975
Energy, Resources and Environment – John Blunden And Alan Reddish 1991.
Giugni, Marco (2004). Social protest and policy change: ecology, antinuclear, and peace movements in
comparative perspective. Rowman & Littlefield. pp. 44–.
Greenpeace International and European Renewable Energy Council (January 2007). Energy Revolution: A
Sustainable World Energy Outlook, p. 7.
Hydro And Nuclear Power For African Less-Carbon Development- Dr. El-Gazzar, Mohamed Executive
Chairman, HPPEA(1)/Egypt, Dr. IBRAHIM, Yassin Mohamed Executive
Jim Falk (1982). Global Fission: The Battle Over Nuclear Power, Oxford University Press.
Jim Green . Nuclear Weapons and 'Fourth Generation' Reactors Chain Reaction, August 2009, pp. 18-21.
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Sovacool, Benjamin K. (2008). "The costs of failure: A preliminary assessment of major energy accidents,
1907–2007". Energy Policy 36 (5): 1802–20.
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March 2006.
Yoichi Funabashi (March 11, 2012). "The End of Japanese Illusions". New York Times. Retrieved 201204-13.
60
APPENDIX II
QUESTIONNAIRE
Dear respondent,
I am Paul Byagire, a student at Makerere University i. I am carrying out a research study on
“Alternative Energy Infrastructure for Uganda”. The study is being conducted in fulfillment of the
requirement for the award of a degree of Master of Public Infrastructure Management. This
questionnaire is seeking information on the study. Therefore the information provided in this
questionnaire will be used for academic purposes only and shall be accorded utmost
confidentiality. Therefore, your contribution towards filling in this questionnaire will be a great
contribution to my academic endeavor. Thank you.
Section I:
Demographic Data
1. Gender
Male
Female
2. Age of the Respondent
25 yrs & below
26-30 yrs
31-35 yrs
36-40 yrs
41 yrs & above
3. Tenure of employment
Less than 1 year
2 – 3 yrs
4 – 5 yrs
6 – 10 yrs
Above 10 yrs
4. Highest level of education attained
Diploma
Degree Masters
postgraduate diploma
5. Position held in the Organization
61
professional qualification
PhD
Management
Middle Manager
Supervisory
Section I: Power production, generation and demand growth: Please indicate the extent to
which you agree with the statements below (SD-strongly disagree, D-disagree, NS- not sure, Aagree and SA-strongly agree)
SD D NS A
Through goals setting, the responsible organs have been able to meet
1
2
3
4
market demand
There has a continuous growth in the amount of power that is generated
1
2
3
4
over the years
There is monitoring of the amount of electricity that is generated
1
2
3
4
The public is made aware about power production
1
2
3
4
There is involvement of all stakeholders during decision making
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2
3
4
The interests of the public come first when carrying out power production
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4
and generation
Incase of any shortcomings in power transmission, the public is informed
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2
3
4
During power production emphasis is put on goal achievement
1
2
3
4
The companies contracted to generated and produce power can be relied on
1
2
3
4
by the public for effective power production
There has been growing infrastructural development that supports power
1
2
3
4
production.
The reforms in the energy sector have enhanced power production in the
1
2
3
4
country.
Privatization of the energy sector has helped to increase power generation
1
2
3
4
in the country.
the electrification rate in the country is low
1
2
3
4
As a result of reforms in the sector resulted into public -private partnerships 1
2
3
4
The energy sector provides a major contributor to the treasury.
1
2
3
4
Liberalisation of the power sub-sector has attracted private sector
1
2
3
4
investments in the country
Electricity demand has grown over the years in the country
1
2
3
4
The increase in demand for electricity is attributed to heavy load shedding
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2
3
4
The reform programme aimed at providing adequate, reliable and least-cost
1
2
3
4
power supply to meet demand.
There is public awareness about the usefulness of nuclear power.
1
2
3
4
There is a nuclear power roadmap development strategy
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2
3
4
A prefeasibility study on nuclear power plant was done
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3
4
62
SA
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
Section II: Regulatory framework of the power sector and its conduciveness on investments
in the sector: Please indicate the extent to which you agree with the statements below (SDstrongly disagree, D-disagree, NS- not sure, A-agree and SA-strongly agree)
Item
SD D NS A
There is a procedure that is followed when applying to generate and operate
1
2 3
4
nuclear power plants in Uganda.
There is a Nuclear Energy Policy for Uganda.
1
2 3
4
The regulatory framework of the power sector is widely understood by staff
1
2 3
4
The nuclear power generation and operation policies are widely understood by 1
2 3
4
all stakeholders
The nuclear power generation and operation policies are accessible to the
1
2 3
4
public
Opinions, views and data relating to current policies and processes are
1
2 3
4
accessible to the public.
Stakeholders know the procedures followed when applying to generate and
1
2 3
4
operate nuclear power
Assistance/guidance is available to stakeholders seeking information on
1
2 3
4
nuclear power generation and operation.
The processes followed when applying to generate and operate nuclear power
1
2 3
4
plants in Uganda are clear.
The nuclear power generation and operation structures are clearly defined by
1
2 3
4
government.
Current structural arrangement in the power sector promotes a conducive
1
2 3
4
investment climate in nuclear power generation.
License requirements for nuclear power generation are well defined according
1
2 3
4
to policy.
Standards are set by government for nuclear power plants generation.
1
2 3
4
The generation tariffs for nuclear power are clearly stipulated by the energy
1
2 3
4
sector governing laws.
There is an enabling environment for private sector investments in generation
1
2 3
4
and distribution of power
There is absence of a formal institutional and legislative framework for
1
2 3
4
regulating atomic energy activities.
SA
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
5
Section III: Explore Uganda’s infrastructure for nuclear energy as an alternative power
source: Please indicate the extent to which you agree with the statements below (SD-strongly
disagree, D-disagree, NS- not sure, A-agree and SA-strongly agree)
Item
SD D NS A SA
Privatization of the energy sector has promoted infrastructural development in
1
2 3
4 5
the sector.
63
The lack of investment and finance accounts for the slow nuclear energy
infrastructural development
There limited private-sector participation in nuclear energy infrastructural
development
There are limitations in regulatory and institutional capacity to promote nuclear
energy infrastructural development
There are shortcomings in technical capacity and local resources to support
nuclear energy infrastructural development
Nuclear energy infrastructural development is costly
Nuclear energy infrastructural development requires high credit capitalization
Inadequate physical infrastructure is a major constraint in the growth of power
infrastructure development
There is inadequate skilled human resource to support nuclear infrastructural
development
Lack of commitment by top management has undermined nuclear
infrastructural development
There is reluctant by management to meet the cost sharing by government on
procurements of equipments and trainings.
64
1
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4
5
1
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4
5
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4
5
1
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3
4
5
1
1
1
2
2
2
3
3
3
4
4
4
5
5
5
1
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5
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5
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5