By Eng.

Norbert Semitala (Director, Technical Regulation ERA) In 1987, the Government of Uganda adopted the Economic Recovery Program in order to restore macroeconomic stability. The Economic Recovery Program included the liberalization of the financial sector and privatization of some state owned ent erprises. Privatization in particular was meant to get rid of the inefficient go vernment parastatals and replace them with more efficient private companies. The electricity sector as well was inefficient and loads of investment was requi red to move it to efficient levels. The Ministry of Natural Resources then, deve loped a strategic power sector plan that sought to lead to the provision of affo rdable and reliable electricity in order to enhance economic growth and developm ent. In June 1999, the GOU put in place the Power Sector Restructuring and Privatisat ion Strategy (PSRPS), whose principle objectives were having an efficient and fi nancially viable power sector, meeting demand and expanding coverage, improving quality of electricity and encouraging private and local investment into the sec tor.