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Tullow Oil has farmed down most of its stake in the Uganda oil development to its partner Total, in a $900m deal that it says will significantly reduce development costs and give the project new impetus following a series of delays. “Farming down to Total was the ideal choice. They are a fantastic operator, and they will drive this project forward very, very quickly,” Tullow chief executive Aidan Heavey told a 11 January conference call to discuss the sale. Tullow has agreed to transfer 21.57% of its 33.33% in exploration areas 1, 1A, 2 and 3A to Total for $900m.

The 10MW Soroti solar plant was formally inaugurated on 12 December. The $19m project was developed under the Global Energy Transfer Feed in Tariff (GET FiT) scheme, a dedicated support scheme for renewable energy projects managed by Germany’s KfW Development Bank in partnership with Uganda’s Electricity Regulatory Agency and funded by the European Union and the governments of Norway, Germany and the United Kingdom.

Uganda and Tanzania are preparing to sign an inter-governmental agreement in December to build a 1,443km crude oil export pipeline from Hoima district in western Uganda through Bukoba in northern Tanzania to Tanga on the Indian Ocean coast. The $3.5bn, 24-inch pipeline is expected to transport 200,000 b/d of crude oil to Tanga.“The signing of the intergovernmental agreement in December will enable the two countries to choose a contractor to carry out a front-end engineering and design (FEED) study of the pipeline,” the East African newspaper quoted Uganda’s acting petroleum director, Robert Kasande, as saying.

President Yoweri Museveni’s decision to appoint Electricity Regulatory Authority (ERA) chief executive Benon Matumbi as permanent secretary in the Department of Internal Affairs will test the theory that competent, honest technocrats can improve governance in even the most political of departments. Museveni in early November changed several powerful permanent secretaries, including sacking Fred Kabagambe-Kaliisa, who had held the post at the Ministry of Energy and Mineral Resources for over 20 years. Government sources said he was seeking to mobilise party and national consensus following his re-election in February amid concerns over corruption.

The Ministry of Health is seeking bids for solar systems for health centres in 25 districts under a project funded by the World Bank Group’s International Development Association for the supply, installation, commissioning and maintenance of 100W-1,280W solar photovoltaic systems in 373 health centres through its Energy for Rural Transformation Project III. Bidding will be in three lots. Lot I includes 357 solar systems for 155 health centres in Kapchorwa, Kaliro, Kamuli, Buyende, Kween, Manafwa, Namutumba, Namayingo, Busia and Butaleja districts. Lot II is for 358 systems for 104 centres in Hoima, Kiboga, Kyankwanzi, Nakasongola, Alebtong, Lira and Otuke districts.

The African Development Bank and the EU-Africa Infrastructure Trust Fund are funding cost of service and tariff affordability studies in Uganda and seeking expressions of interest from consultants. The work is part of the Uganda Rural Electricity Access Project. The studies will develop a framework for economic regulation of the sector which ensures both sustainability of funding and affordability of the tariff.

The government is set to transfer executive powers for development of the Karuma hydropower project on the Victoria Nile to Uganda Electricity Generation Company Limited (UEGCL), as the final part of measures to improve management of the country’s largest construction project. Ondrej Voborny of AF-Consult Switzerland told delegates at the Hydro 2016 conference, organised by Aqua-Media International in Montreux on 10-12 October, that the transfer of executive powers to UEGCL from the Ministry of Energy and Mineral Development (MEMD) is expected to streamline the line of command.

Netherlands development agency FMO has arranged a $14.7m senior loan for the financing of the 10MW Tororo solar photovoltaic project. The plant will be developed and owned by Italy’s Building Energy. FMO acted as mandated lead arranger of the facility, half of which was syndicated to the Emerging Africa Infrastructure Fund. The project is being developed under the KfW-led Global Energy Transfer Feed-in Tariffs (GET FiT) facility. FMO is also financing a similar scheme at Soroti, which began construction in March.

After failing to agree terms with the two leading bidders for its flagship refinery scheme, the government is restructuring the 60,000 b/d project and seeking a new investor. Ugandan officials spent more than three years negotiating with a Russian consortium led by RT Global Resources before talks collapsed in June and reserve bidder SK Engineering & Construction indicated that it was no longer interested in the project. Ministry of Energy and Mineral Development assistant commissioner Dozith Abeinomugisha told the Uganda Chamber of Mines and Petroleum annual general meeting in Kampala that the government was looking for a new investor to take a smaller share.

The Ministry of Energy and Mineral Development on 30 August granted petroleum production licences to Tullow Oil and Total for oil fields in areas EA2 and EA1. Production licences for the Ngiri, Jobi-Rii and Gunya areas were granted to Total as operator of EA1. Evaluation of applications for the Mpyo and Jobi East discoveries in EA1 is ongoing, while the Lyec discovery is being appraised, the ministry said. Five production licences were granted to Tullow as operator of EA2 for Kasamene-Wahrindi, Kigogole-Ngara, Nsoga, Ngege and Mputa-Nzizi-Waraga.

Japan’s Toshiba Corporation on 27 August signed a memorandum of understanding (MoU) with the Ministry of Energy and Mineral Development outlining a partnership to develop geothermal power projects and training. Under the agreement signed at the Sixth Tokyo International Conference on African Development in Nairobi on 27-28 August, Toshiba will collaborate in the development and supply of equipment for a geothermal power plant, create operation and management guidelines, and assist with the training of personnel.

The government has halted negotiations with a RT Global Resources-led consortium on a planned 60,000 b/d refinery at Hoima and invited South Korea’s SK Engineering & Construction for talks on the project. A consortium led by RT Global Resources was selected in February 2015 as preferred bidder for the project. Other members were Russia’s Telconet Capital Limited Partnership, financial services company VTB Capital, oil company Tatneft and South Korea’s GS Engineering & Construction Corporation. The SK Engineering consortium was selected as reserve bidder.

The Ministry of Energy and Mineral Development has invited Australia’s Armour Energy and Nigeria’s WalterSmith Petroman Oil, Oranto Petroleum International and Niger Delta Petroleum Resources for negotiations on five production-sharing agreements (PSAs) following Uganda’s first licensing round last year. Armour Energy Limited of Australia will negotiate for the Kanywataba Block, WalterSmith will negotiate for the shallow and deep plays in the Turaco area, and Oranto and Niger Delta will negotiate for the shallow and deep plays in the Ngassa area.

Germany’s Voith has signed a contract to supply electromechanical equipment to the 42MW Achwa River hydropower project on the border of Gulu and Pader districts. Work includes design, manufacturing, supply, transportation, testing and commissioning of all electromechanical parts. Achwa River is owned by Maji Power, a special purpose vehicle entirely owned by the Africa Renewable Energy Fund, which is managed by Berkeley Energy. It will comprise four vertical Francis turbines and vertical synchronous generators.

Berkeley Energy, manager of the Africa Renewable Energy Fund (Aref), is seeking expressions of interest from consultants to produce technical and environmental studies for the planned 42MW Achwa I hydropower project in Pader and Gulu districts of northern Uganda. All of Aref’s projects in Uganda are held by its wholly owned subsidiary Maji Power.