The World Bank has approved a $12.5 million financing package to support Uganda’s Solar Energy Transformation for Universal Access (SET4UA) project. This funding, which includes a $10 million grant from the Green Climate Fund and $2.5 million from the Energy Sector Management Assistance Program (ESMAP), aims to provide reliable and sustainable electricity to approximately 1.4 million people across Uganda.
World Bank solar project Uganda expands solar energy access
The World Bank has approved a $12.5 million financing package to support Uganda’s Solar Energy Transformation for Universal Access (SET4UA) project. This funding includes a $10 million grant from the Green Climate Fund and $2.5 million from the Energy Sector Management Assistance Program (ESMAP).
Uganda’s solar energy project expands electricity access for 1.4 million people with $12.5 million World Bank funding.
The SET4UA project aims to provide reliable and sustainable electricity to approximately 1.4 million people across Uganda. It will focus on expanding the use of solar energy to reach areas that currently lack access to electricity or have limited access.
“The Solar Energy Transformation for Universal Access project is a significant step in our mission to ensure that all Ugandans have access to clean and affordable energy,” said Keith Hansen, World Bank Country Director for Uganda, Tanzania, Malawi, and Zambia.
Scaling up World Bank solar project Uganda solutions
The SET4UA project will implement several key solar energy solutions to increase electricity access. It will support the installation of solar mini-grids in off-grid areas, providing electricity to communities that are not connected to the national grid. These mini-grids will be particularly important for rural areas where extending the national grid is expensive and challenging.
Additionally, the project will promote the use of standalone solar home systems. These systems provide individual households with a reliable source of electricity for lighting, phone charging, and powering small appliances. The project will also support the distribution of solar-powered irrigation pumps, which will help farmers increase their crop yields and improve food security. For more insights on this initiative, check out Uganda Solar Pump Program.
The financing package will also support the development of solar-powered cold storage facilities. These facilities will help reduce post-harvest losses for farmers by providing a reliable way to store perishable goods. This is expected to have a significant impact on the agricultural sector, which is a major part of Uganda’s economy.
Supporting climate resilience through World Bank solar project Uganda
Uganda is highly vulnerable to the impacts of climate change, including rising temperatures and increasing frequency of extreme weather events. The SET4UA project is designed to address these challenges by promoting the use of renewable energy solutions that reduce greenhouse gas emissions and enhance climate resilience.
“The SET4UA project is not just about providing electricity; it’s about building resilience to climate change and supporting sustainable development,” said Denis Nikitin, World Bank Task Team Leader for the project. “By investing in solar energy, we are helping Uganda reduce its carbon footprint and prepare for the impacts of climate change.”
The project is expected to significantly reduce greenhouse gas emissions by replacing diesel generators and kerosene lamps with clean solar energy. It will also help reduce the pressure on Uganda’s forests, which are often cut down for firewood and charcoal. By providing alternative sources of energy, the project will contribute to the conservation of the country’s natural resources.
Economic and social impact of World Bank solar project Uganda
In addition to its environmental benefits, the SET4UA project is expected to have a significant impact on Uganda’s economy. By providing reliable electricity to businesses and households, the project will support economic growth and job creation. Access to electricity is essential for businesses to operate efficiently and for households to improve their quality of life.
The project will also have important social benefits, particularly for women and children. Access to electricity can improve educational outcomes by providing lighting for studying after dark. It can also reduce the time women spend on household chores, such as collecting firewood, allowing them more time for income-generating activities.
For further context on Uganda’s efforts in renewable energy, visit Prices of Renewable Energy Products Subsidised in Uganda.
The SET4UA project is expected to be implemented over the next few years, with the goal of achieving universal access to electricity in Uganda by 2030. The World Bank will work closely with the Government of Uganda, private sector partners, and local communities to ensure the success of the project.
The approval of this financing package marks an important step forward in Uganda’s efforts to achieve universal access to electricity and build a more sustainable and resilient energy sector.
