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Unlocking Commercial and Industrial Captive Renewable Energy in Uganda: Market Sizing and Regulatory Reform

PALLADIUM INTERNATIONAL LIMITED

The UK Government's Partnering for Accelerated Climate Transitions (UK PACT) programme is inviting proposals from qualified suppliers or consortia to deliver technical assistance to Uganda's Electricity Regulatory Authority (ERA). Uganda's electricity sector is predominantly powered by renewable energy and demand is growing rapidly. However, uptake of commercial and industrial (C&I) captive renewable energy remains limited due to regulatory gaps, insufficient market data, and barriers to investment. This is particularly significant given the growing role of behind-the-meter renewable energy as a means of reducing diesel reliance, improving energy security, and supporting economic growth. The assignment will support ERA, in partnership with the Ministry of Energy and Mineral Development (MEMD) and electricity distributors UEDCL, WENRECO and KIS, to strengthen the enabling environment for C&I captive renewable energy. The work will establish an evidence base on market demand, existing captive generation and grid capacity, review Uganda's regulatory framework and international best practice, and develop targeted regulatory and market-enabling solutions. Key outputs are expected to include recommendations for a mid-tier regulatory framework, updated settlement and implementation guidance, standardised commercial documentation, and financing pathways to improve project bankability. The project aims to increase private-sector investment in captive renewable energy, accelerate deployment, reduce dependence on diesel generation, and strengthen Uganda's energy security and grid resilience. Interested suppliers are invited to review the documentation provided in this notice, and submit their applications to: targetedfund@ukpact.co.uk

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