- E & S
- ACADEMIC CORNER
20 MW biomass (bagasse from sugar production) plant in Jinja District, Eastern Uganda. The plant is expected to deliver up to 147 GWh/year to the grid. Total investment is USD 57M with about USD 7.1M in GET FIT commitments.
Kakira Sugar Ltd. signed the GET FiT financing agreement in April 2015, and reached official COD when the PPA was signed in mid-2015. Consequently, Kakira Sugar Ltd. became the first recipient of a GET FiT premium payment in September 2015.
In 2016, the total energy production from Kakira has been much lower than anticipated. While planned annual production for the plant is at 147 GWh, delivered energy accumulated to less than 60 GWh over the past year. This is due to a reduction in availability of sugar cane, caused mainly by increased local competition in the sugar cane market. The latter affects Kakira operations and fuel supply to the generation facility, as a significant share of sugar canes are purchased from outgrower farmers.
The future annual production levels for Kakira is expected to depend on the outcome of ongoing discussions regarding regulatory issues for the sugar market.