Environmental Group Analysis PPA

1 November 2002

The International Rivers Network (IRN) commissioned the Prayas Energy Group, a policy analysis organization based in Pune, India, to review the PPA.

The analysis found that the capital cost of the project is "excessively high." It also contended that "a number of unusual requirements will be detrimental to Uganda." In particular, the study said the Ugandan government will have to make yearly payments of up to $132 million for the project (and not $111 million as claimed in the World Bank’s Project Appraisal Document and the PPA)." The study also alleged that the Bank published misleading or wrong information on issues related to the PPA.

IRN is recommending against continued funding for the project.

The independent review of the Bujagali PPA and the new report on the international experience with private power projects and PPAs are also available on IRN’s website at http://irn.org/programs/bujagali/bujagalippa-review.pdf (review of Bujagali PPA) and http://irn.org/programs/bujagali/bujagalippa-background.pdf (report on international experience). The actual Bujagali PPA is available at http://irn.org/programs/bujagali/bujagalippa.pdf.

Be Sociable, Share!

Filed under: IFTI Watch

ABOUT IFTI WATCH

In this column, Washington, D.C.-based journalist Toby J. McIntosh reports on the latest developments in information disclosure in International Financial and Trade Institutions (IFTI).
Contact: freeinfo@gwu.edu or
1-(703) 276-7748