Analysis of power sector financing on Uganda's economic development

Abstract

The main objective of this research study was to establish the performance of financing the power sector in relation to Uganda’s economic development. The study adopted a purposive and quantitative research design aimed at investigating the contributions and the impact of financing the power sector to the economic development of Uganda. The sample size of the study consisted of one company (UETCL) which is considered to be one of the major players in Uganda’s power sector. The study found that the variable being power sector financing directly influenced Uganda’s economic development. The results showed that high power tariffs are associated with less energy consumption in the economy. The research study concluded that there is a negative correlation between bulk supply tariffs and energy consumption which has ultimately affected economic development due to high costs of doing business in Uganda.