Uganda's Geothermal Potential: Challenges and Future Plans
Uganda aims to harness its geothermal potential of 1,500 MW for electricity by drilling wells in Kibiro and Panyimur by 2026/2027. The government targets 150 MW by 2030 and 1,500 MW long-term, but high costs and risks hinder development.
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Uganda has significant geothermal potential estimated at approximately 1,500 megawatts for electricity generation. The government plans to drill four exploration wells each in Kibiro and Panyimur during the next financial year 2026/2027.
Total costs for establishing a 50 MW power plant can reach $200 million, including exploration. The Commissioner for Geothermal Resources indicates that the cost of each well ranges from $5 million to $7 million, with a minimum of eight wells needed for initial development.
Unlike hydro, geothermal is not affected by weather, making it suitable for base load generation. Kenya, with 1,000 MW of geothermal energy, offers expertise, highlighting the collaboration potential for Uganda.
Risks associated with dry wells make private investment challenging, necessitating government-led exploration. The government has established clear targets for geothermal development as part of its energy transition agenda.
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