The Speaker of Parliament, Anita Among has disclosed that the US$190,988,556 (Shs700.218Bn) loan secured from Stanbic Bank for the Umeme buyout was excessively inflated by over Shs267.614Bn.
This comes after the Auditor General’s audit report indicated that the actual amount due to Umeme stands at only US$118m (Shs432.677Bn).
The report was officially presented to Parliament on Tuesday, drawing immediate reactions from lawmakers and the general public alike.
Speaker Among emphasized that Parliament had approved the loan on the strict condition that the amount to be paid to Umeme would be as verified by the Auditor General.
“Parliament agreed to pass the loan on condition that the amount to be paid to Umeme would be the one audited by the Auditor General. This excess of over Shs267.614Bn raises serious concerns about transparency and accountability in government financial dealings,” Speaker Among stated.
“When we last had a sitting in the house, what was brought on the floor for approval, the loan which was brought in the house was $190 million. I am aware that the audit is completed and the approved amount that has come out of audit is about $118 million. So we should be able to pay what Auditor General is reporting, not the estimate that we are given. And as we made a disclaimer that day, that we shall only pay based on the Auditor General’s report,” remarked Among.
Opposition MPs have already started calling for further scrutiny. “We need answers. This is not pocket change, it is taxpayers’ money. How did we arrive at such an inflated figure?”
Speaker Among expressed gratitude towards the Electricity Regulatory Authority (ERA) and Uganda Electricity Distribution Company Limited (UEDCL) for their cooperation with the Auditor General which expedited the completion of the audit.
“We also want to thank ERA for supporting the Auditor General by providing all the required documents to complete the audit. And we pray that as UEDCL takes over, we get better services,” Among added.
The government has been urged to ensure that UEDCL’s takeover of electricity distribution leads to improved services for Ugandans.
This transition comes at a time when the public is already frustrated with high electricity tariffs and inconsistent supply.
With this financial difference laid bare, the ball is now in Parliament’s court. The public eagerly awaits clarity on whether the excess Shs267.614Bn will be refunded or redirected to other pressing national needs.
Many are also questioning the checks and balances in place to prevent such a significant overestimation from happening again.
For now, Ugandans can only hope that this exposure of excess payment will lead to greater fiscal accountability in future government projects.
