World Bank credit to transform Ugandas energy and ICT
WASHINGTON, D.C., 8 April 2009: The World Bank has approved a 75 million US dollar International Development Association (IDA) credit to finance the second phase of the Energy for Rural Transformation Program (ERT) in Uganda.
The first phase of the ERT program was approved in 2001 and was completed in February, 2009.
The ERT program seeks to facilitate significant improvements in the productivity of enterprises and the quality of life of households in the rural areas of Uganda by giving them access to modern services of energy, and information and communication technologies (ICT).
The key outcome of the first phase of the ERT project was the creation of a functioning, conducive environment and related capacity for commercially-oriented, sustainable service delivery of rural/renewable energy and ICTs.
– This is an important investment for Uganda because the program-supported facilities will provide access to modern services of energy, said Malcolm Cosgrove-Davies, World Bank Lead Energy Specialist and project Task Team Leader.
– Considering that rural growth centers and social services provision are constrained by lack of access to modern energy services, we expect this project to bring about both economic and social transformation in rural communities which will ultimately lead to improved quality of life and poverty reduction, Malcolm Cosgrove-Davies noted.
ERT II will also receive additional financing of 9 million dollar from the Global Environment Facility (GEF) to increase the use of renewable energy and promote energy efficiency.
– The ERT program is critical because it will harness local entrepreneurial capacity in expanding access of rural communities to modem energy sources, including renewable energy. We believe that with this second phase, you are going to see rural communities really being transformed, said Paul Baringanire, World Bank Power Engineer in Uganda.
ERT II has three main components:
The FIRST component (41 million) will focus on rural energy infrastructure, including rural renewable energy power generation and energy efficiency.
Examples of physical investments under this component include construction of small hydropower generation, construction of electricity lines to extend the national grid to the rural areas, electrifying communities within the areas served by the national grid, and small-scale co-generation facilities.
The SECOND component (8 million) will focus on ICT, especially rural telecom investments, such as setting up high speed internet, community information centers with charging facilities in addition to providing internet connections to schools and health centers and setting up ICT labs in rural schools.
The THIRD component (26 million) of the project will support cross-sectoral energy packages in health, agriculture, water, education, and local government.
About GEF:
The GEF unites 178 countries in partnership with international institutions, non-governmental organizations (NGOs), and the private sector to address global environmental issues while supporting national sustainable development initiatives.
Today the GEF is the largest funder of projects to improve the global environment. The GEF provides grants for projects related to biodiversity, climate change, international waters, land degradation, the ozone layer, and persistent organic pollutants.
Since 1991, GEF has achieved a strong track record with developing countries and countries with economies in transition, providing 8,3 billion dollar in grants and leveraging 33,7 billion in co-financing for over 2.200 projects in over 165 countries.
For more information about World Banks activities in Uganda visit:
http://www.worldbank.org/uganda
Kilde: Verdensbankens hjemmeside
