By Our Reporter
NATIONAL
UMEME has informed the government of Uganda that it will issue a Notice of Dispute over the Buyout amount that it was compelled to receive which is way below its expectations.
In a public Notice dated 30th March, 2025, UMEME says that though government has compelled it to handover the distribution rights to UECDL after payment of the USD 118,385,603, it intends to issue a Notice of Dispute.
The dispute arises from the Buyout amount: Whereas UMEME had submitted an estimated Buyout amount of USD 234 Million, government on recommendation of the Auditor General paid them USD 118,385,603 plus excluded costs of USD 9,785,298 pending verification.
However, UMEME announces that it will be handing over Electricity Distribution System to Uganda Electricity Distribution Company Limited today, Monday, 31st March, 2025.
In the meantime, UMEME will continue to engage government over the disputed Buyout amount during the 30 days good faith negotiations period and no consensus is arrived at, it pursue the matter with Arbitral Tribunal in London, UK.
