UETCL in Spotlight Over Uganda-Tanzania Fibre Connection

What the report says

Parliament is scrutinizing the Uganda Electricity Transmission Company Limited (UETCL) over the cancellation of an open bidding process for a partner to commercialise its fibre optic network and the later move to prepare a proposal for Samanga Utilities Limited. According to Nile Post, the issue came up when UETCL officials, led by Acting Executive Director Richard Matsiko, appeared before the Committee on Commissions, Statutory Authorities and State Enterprises (COSASE) to answer questions linked to the Auditor General’s 2024/25 report.

The committee, chaired by Muwada Nkunyingi, is seeking clarity on why firms that had shown interest were dropped from consideration and how Samanga entered the process. The article says the Uganda-Tanzania fibre project followed a presidential directive and subsequent instructions from the Ministry of Energy and Mineral Development. A State House letter cited in the report said President Yoweri Museveni had urged ministers to explore a route through Tanzania, which he described as potentially cheaper than Uganda’s existing internet route through Kenya.

Nile Post reports that the Energy Ministry later instructed UETCL to end the existing procurement exercise and draft a new request for proposals for Samanga, with attention to value for money and technical requirements. The reporting says Samanga had proposed a special purpose vehicle to run the fibre assets under a long-term concession. The matter now sits within broader COSASE inquiries into UETCL’s financial management, including large receivables and court awards noted in the Auditor General’s report.