Facts about violated World Bank and African Development Bank Policies in the controversial Bujagali Project

The World Bank and African Development Bank and other International Finance Institutions (IFIs) are trying to help Uganda develop additional power generation capacity to meet the growing electricity demand, which has exerted strain on the existing power generation capacity that has resulted in severe loading shedding and power-cuts, which in turn is retarding economic growth and negatively affecting natural resources use and management. Government’s fixation on the development of a controversial Bujagali hydropower dam at the expense of alternative and better energy options has aggravated the energy crisis in the country.

The apparent desperation to develop additional generation capacity has resulted in the installation of very expensive thermal (100MW) systems that are draining national treasury reserves, worsening the economy situation and depriving the citizens of other social services and goods, increasing poverty, causing pollution and contributing to climate change problems. This desperation has also cajoled the Banks and other IFIs into taking short-cuts and making omissions in the Bujagali project in violation of established Banks’ policies and procedures. 

This publication contains the facts about the policies of the World Bank and African Development Bank that were violated in the Bujagali project, which also formed basis for the civil society request for the investigation of the project by the World Bank Inspection Panel and the African Development Bank Independent Review Mechanism.

With support from Wetlands International Under the Wetlands and Poverty Reduction Project (WPRP) financed by the Dutch Ministry of Foreign Affairs (DGIS).