Between FY 2018/19 and FY 2021/22, Uganda's National Water and Sewerage Corporation (NWSC) raised water production from 134.9 million m3 to 164 million m3, an increase of 21.6%. Its spending on energy rose 12.1% over the same years, from UGX 66 billion to UGX 74 billion.
Less energy spend per cubic meter
Energy spend per cubic meter produced fell from UGX 489 in FY 2018/19 to UGX 451 in FY 2021/22. The weighted electricity tariff NWSC paid barely moved in that period: 338 UGX/kWh in FY 2018/19 and 327 UGX/kWh in FY 2021/22. The lower cost per cubic meter was therefore not the result of cheaper power.
A large share of the budget
Energy still takes close to a fifth of NWSC's spending. It was 19.5% of expenditure before depreciation in FY 2019/20, 19.8% in FY 2020/21 and 18.7% in FY 2021/22.
The tariff is moving again
The gains face a new test. NWSC's weighted electricity tariff rose from 327 to 355 UGX/kWh in FY 2022/23, an increase of 8.6% in one year. NWSC's water tariff structure is adjusted periodically for changes in input costs, and the domestic water tariff reached UGX 5,096 per m3 in July 2026, up from UGX 4,307 in July 2024.
Every cubic meter lost after pumping carries its energy cost with it, and NWSC's non-revenue water was 34% in FY 2024/25.
How NWSC's metering, climate exposure and financing plans bear on these costs, and what to watch in the FY 2024/25 and FY 2025/26 annual reports, are covered in the full report. The full report, Water Utility of the Future: National Water and Sewerage Corporation, is available for USD 499. For a free overview, read the National Water and Sewerage Corporation Utility Snapshot.