Power Outages Threaten Production at Mbale Industrial Park

What the report says

Investors at the Sino-Uganda Mbale Industrial Park in eastern Uganda say recurring power cuts and voltage swings are damaging equipment, interrupting output and causing major financial losses. According to Nile Post, park administrators said the site is experiencing roughly 10 to 15 unplanned outages a month, while several factories have also reported unstable electricity supply.

The concerns were raised during a visit by Minister of State for Investment and Privatisation Amina Mukalazi, who toured factories and met park leaders and investors. Owen Jin, deputy managing director of Tian Tang Group, which manages the park, said the interruptions have affected businesses across the industrial hub. He cited a case involving Uni Steel, where a power fluctuation reportedly damaged machinery and production materials, leading to losses of about $108,000 in one day.

The industrial park, which the report says has expanded over eight years to host more than 40 factories making textiles, steel, electronics and other goods, has repeatedly raised the electricity issue with UETCL, UEDCL and the Ministry of Energy and Mineral Development. Government has allowed the park to use a 50-megawatt mobile substation, while investors say they are still waiting for a planned permanent 240-megawatt substation. Mukalazi said government is working on stabilising supply, including fast-tracking a STATCOM system, and pledged follow-up on wider concerns such as roads, waste disposal, security and healthcare.