The construction cost of the proposed hydro power project, which is valued to be around $2bn, will be completed in the next five years, reports the Reuters.
Uganda Energy Minister Simon D’ujanga was quoted by the site as saying that the country had begun discussions with China in order to secure funding for the hydro power project.
The proposed hydro power, when completed, will be the biggest hydro-electric dam in the country, after the recently operated Bujagali dam. The electricity generated in the country is mostly generated using hydro power.
The internal rate of return for energy projects in the country is attractive at between 15-18%, higher than South Africa’s 12-14%.
