Uganda: Muzizi hydro financing signed

The government has signed a €70m ($76m) agreement with Germany’s KfW and the Agence Française de Développement to develop the Muzizi hydro project at the southern end of Lake Albert. The financing comes from the Mutual Reliance Initiative, a joint cooperation framework established by KfW, the AFD and the European Investment Bank. The AFD is providing €45m, while the government is providing €21m and KfW €4m. The project consists of two interconnected dams, Muzizi A (26MW) and Muzizi B (18.7MW), plus a new substation, feeding into a new 132kV transmission line from Hoima to the Mputa area continuing to Fort Portal and on to Nkenda sub-station in Kasese.