This run-of-river hydropower plant is located in the Rubirizi District in Western Uganda. During 2018, irresponsible construction practices along sections of the headrace canal resulted in substantial, adverse environmental and social impacts. Consequently, a financial penalty was applied in the form of a subsidy reduction and the Project was threatened with further financial penalties if construction practices did not improve.
Regrettably, the environmental damage arising from poor practices created a barrier to upstream fish migration. The threat of further subsidy reductions persists into Q1 2019.
The potential to cause further adverse environmental and social impacts also led to a partial construction stop being imposed, with the developer requested to reconsider the design and construction approach in two key locations where the blasting and excavation of substantial volumes of rock were planned. As a result, the dam and intake structure were relocated approximately 0.5 km downstream from the originally planned location, which resulted in an increased dam height and reservoir footprint and a corresponding reduction in canal length, as well as the introduction of a substantial canal aqueduct section. As a consequence, the Project was further delayed and the construction of the dam is now critical to the Project achieving commercial operation, which is currently planned during Q2 2019. The construction of all other project structures had otherwise progressed well during the year.