Projects such as the 250MW Bujagali hydropower project, currently the largest power plant in the country, is run under a take-or-pay model.
In a significant move to expand its presence in Africa’s renewable energy sector, TotalEnergies has acquired a 28.3% stake in the Bujagali hydropower plant in Uganda. The company signed an agreement with Scatec, a Norwegian renewable energy company, to acquire 100% of its subsidiary SN Power, which holds interests in renewable hydropower projects in Africa.
The Bujagali hydropower plant, currently in operation, has a capacity of 250 MW, covering over 25% of Uganda’s peak electricity demand. This acquisition marks a significant milestone in TotalEnergies’ strategy to increase its presence in Africa’s renewable energy sector and contribute to the continent’s energy transition.
The Bujagali hydropower plant is a run-of-river power station located on the Victoria Nile River, approximately 15 kilometers north of Jinja, Uganda. The plant harnesses the energy of the Nile River to generate electricity, using a dam to divert water into a 1.5-kilometer canal, which drives five turbines to produce electricity. The plant’s output is fed into the national grid, providing clean and reliable electricity to homes, businesses, and industries across Uganda. The plant’s reservoir has a storage capacity of approximately 55 million cubic meters, allowing for a stable and consistent power supply throughout the year.
TotalEnergies will also acquire minority stakes in two projects under development in Rwanda (260 MW) and Malawi (360 MW). This move demonstrates the company’s commitment to investing in renewable energy projects across Africa, supporting the continent’s efforts to increase access to electricity and reduce its reliance on fossil fuels.
The acquisition is subject to certain conditions and is part of TotalEnergies’ ambition to reach net zero by 2050. The company is building a world-class portfolio of renewables and flexible assets to deliver clean firm power to its customers.
Patrick Pouyanné, Chairman and CEO of TotalEnergies, stated, “We are delighted to become a player in hydro power in Uganda, a country where we are also developing a major oil project. This acquisition reflects our desire to contribute to the continent’s energy transition by bringing electricity to the people of African countries.”
The Bujagali hydropower plant is a critical component of Uganda’s energy infrastructure, providing over 25% of the country’s peak electricity demand. The plant’s output will help support Uganda’s economic growth and development, powering homes, businesses, and industries across the country.
TotalEnergies’ investment in the Bujagali hydropower plant demonstrates the company’s commitment to supporting Uganda’s energy transition and reducing its carbon footprint. The acquisition is expected to boost Uganda’s energy sector and increase access to electricity in the country, supporting the government’s efforts to achieve universal electricity access by 2030.
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