Uganda’s Electricity Regulatory Framework has for the Second time been ranked No. 1 in the Electricity Regulatory Index (ERI) for Africa 2019, released by the African Development Bank.
The ERI is a composite index that measures the level of development in the Electricity Sector Regulatory Frameworks in African Countries against International Standards and Best Practice. Uganda’s Regulatory Framework emerged No. 1, as a result of the good and conducive Regulatory Environment put in place by the Electricity Regulatory Authority.
Thirty Four (34) African Countries participated in the Index. Uganda, Tanzania, Kenya, Algeria, and Rwanda were the top Five (5) performing countries, indicating well-developed Electricity Regulatory Frameworks that are being implemented effectively. Uganda achieved the highest Electricity Index scores at 0.748 vis-a-vis the lowest at 0.267 achieved by Liberia.
The index was composed of three sub-indexes on:
- Regulatory Governance, which is concerned with the existence and content of Electricity Regulations;
- Regulatory Substance, which assesses how well the Regulatory Framework is implemented; and,
- Regulatory Outcome, which assesses the outcomes of Regulatory Processes from the point of view of Regulated entities and power consumers, providing insights into how the actions of Regulators affect the performance of the Sector.
The aspect that stood out for Uganda was the formulation and implementation of the Quality of Service and Supply Standards which enable Electricity Distribution Companies to offer Quality Electricity Services to Electricity Consumers.
The Index, however, noted critical areas of improvement relating to the consistent application and implementation of Regulations and improved Institutional Capacity to support Sector performance, in order to drive improvements in Electricity Access and the Quality of Supply in all countries.
The major aim of the Index is to diagnose and identify key gaps in Electricity Sector Regulations; and to help Regulators benchmark their own performance and progress against African peers and International Best Practices.
The Electricity Regulatory Index for Africa is a product of the Power, Energy, Climate Change and Green Growth Complex of the African Development Bank. The first edition of the Index was published in June 2018, covering 15 countries where Uganda was ranked No. 1.