National Water and Sewerage Corporation (NWSC) Managing Director Dr Eng Silver Mugisha has asked Danish pump manufacturer Grundfos to partner with Uganda’s National Enterprise Corporation (NEC) to manufacture water pumps and spare parts locally, in a move aimed at reducing import dependence, cutting maintenance costs and positioning Uganda as a regional supplier.
Mugisha made the proposal during a meeting with Grundfos executives on the sidelines of the International Water Association (IWA) World Water Congress and Exhibition in Glasgow, Scotland, where he also sought affordable financing from the World Bank and research and sanitation support from the Gates Foundation.
The proposed partnership would see Grundfos work with NEC to establish local manufacturing and assembly capacity, enabling NWSC to access replacement parts more quickly while creating opportunities to supply other water utilities across Africa.
Mugisha said NWSC currently imports spare parts for most of its pumps, leaving the corporation vulnerable to delays associated with international shipments.
“For sustainability, if I work with you, I should be able to get your parts locally and not endure long waits to get parts from abroad,” Mugisha said.
He argued that NEC had the capacity to manufacture the required components, adding that local production could create a supply network serving water utilities beyond Uganda.
“With NEC producing these spares, we can have a network supplying Africa,” he said.
NWSC pushes for local pump manufacturing and technology transfer
Beyond manufacturing, Mugisha asked Grundfos to study NWSC’s hydraulic systems and develop energy-efficient pumps suited to Uganda and the wider East African market.
He also proposed collaboration on technologies such as prepaid water meters, which could be adapted to the Ugandan market, alongside technical training to strengthen the skills of local engineers.
The NWSC chief said the corporation was moving towards competence-based training and wanted to tap into Grundfos’s experience in electromechanical engineering to build local technical capacity.
He further asked the Danish company to support the African Water and Sanitation Academy, operating under the African Water and Sanitation Association (AfWASA), to promote innovation, professional development and knowledge-sharing among water and sanitation practitioners across the continent.
Grundfos officials said the company had previously collaborated with water utilities, the IWA and AfWASA on learning initiatives and pledged to examine NWSC’s proposals.
The company also outlined a potential financing model in which its investment could be recovered through savings generated by more energy-efficient pumping systems.
Grundfos officials indicated that intelligent pumps and monitoring systems capable of automatically detecting faults could help NWSC reduce energy consumption, operating expenses and non-revenue water — treated water that is produced but does not generate revenue because of factors such as leaks, inaccurate metering or unauthorised consumption.
Dr Rose Kaggwa, NWSC Senior Director of Business and Scientific Services, also asked Grundfos to become the principal sponsor of the IWA Water and Development Congress and Exhibition, scheduled to take place in Uganda in November 2027.
NWSC Board Chairman Prof Eng Dr Henry Alinaitwe pledged the board’s support for management as it pursues the proposed industrial, technological and financing initiatives.
NWSC seeks cheaper World Bank financing
In a separate engagement, Mugisha presented NWSC’s performance record, including audited financial reports, to World Bank officials as he sought long-term, low-cost financing for the corporation’s infrastructure and operational priorities.
He said NWSC was working with local banks and Uganda’s Ministry of Finance to mobilise funding for expanding water infrastructure, improving operational and energy efficiency, promoting sanitation and reducing non-revenue water.
Mugisha said the high cost of borrowing remained a major challenge and called for financing arrangements that would make water infrastructure investments more affordable.
“The cost of financing is high, and the Government of Uganda is looking at low-cost financing and is doing away with expensive financing,” he said.
He asked the World Bank to provide flexible funding arrangements that would allow NWSC to undertake its own engineering designs, implement community-based service delivery models and engage affordable contractors.
According to Mugisha, such flexibility would help the corporation stretch available resources further and extend essential services to underserved communities.
“We want to give people more water, reduce water-borne diseases, reduce the distance for fetching water and reduce the cost of access to clean, safe water,” he said.
He added that the proposed investments were aligned with the government’s broader socio-economic transformation agenda.
The NWSC managing director also pointed to efforts to mobilise domestic financing through instruments such as bonds and funding from the National Social Security Fund (NSSF), with the aim of supporting locally implemented projects.
World Bank officials described NWSC as a well-performing utility and said the institution would assess the risks associated with the proposed financing.
They indicated that the bank could consider supporting the corporation if it demonstrated the capacity to implement projects independently. They also said the bank works with local financial institutions in Africa and could consider channelling financing through Ugandan lenders.
The officials explained that the bank supports government utilities through different financing instruments, including bonds and grants for projects focused on climate change, water supply and sanitation infrastructure.
They said due diligence on Uganda would be a necessary next step in determining the appropriate financing options.
NWSC Deputy Managing Director for Finance and Corporate Strategy Francis Owot said the corporation had the capacity to manage the proposed funding in collaboration with the Ministry of Finance and other stakeholders.
Owot urged the World Bank to consider working through local banks to lower financing costs, adding that the bank’s assessment should help identify the most suitable mix of financing for Uganda’s water sector.
Gates Foundation approached over research and sanitation
Mugisha also held discussions with the Gates Foundation, seeking support for NWSC’s research and development programme, sanitation initiatives and the 50 Towns Water Supply Improvement Project.
He said NWSC had strengthened its research and development department and wanted the foundation to support it as an innovation hub for tackling water and sanitation challenges in Uganda and across Africa.
One of the areas highlighted was sludge management at NWSC facilities, alongside wider efforts to improve sanitation services and develop practical solutions to challenges facing water utilities.
Mugisha said water demand was outstripping supply in some towns, making investments in resilient water systems increasingly important.
The 50 Towns Water Supply Improvement Project is intended to strengthen water supply resilience in towns served by NWSC. Mugisha asked the foundation to support efforts to improve water availability and on-site sanitation in these communities.
He also called for support for the African Water and Sanitation Academy, which Uganda hosts, arguing that the institution could help develop skills and generate solutions applicable to water and sanitation challenges across the continent.
Alinaitwe said supporting NWSC’s research and development work would also benefit university students pursuing water and sanitation engineering by strengthening collaboration between the utility and academic institutions.
Gates Foundation officials pledged to support Uganda’s preparations for the IWA Water and Development Congress and Exhibition in November 2027.
They said the foundation wanted to make a meaningful impact in Africa and viewed established water utilities such as NWSC as important partners in delivering that ambition. They described NWSC as a pace setter in water and sanitation on the continent.
Uganda positions itself as a regional water sector hub
The engagements in Glasgow reflect NWSC’s broader push to strengthen the water sector through industrial partnerships, affordable infrastructure financing, technology transfer and locally driven research.
A partnership between Grundfos and NEC could reduce dependence on imported pump components while creating opportunities for domestic manufacturing, technical skills development and regional exports.
Meanwhile, access to affordable long-term financing would help NWSC expand infrastructure and improve service delivery, particularly in towns where demand for clean water continues to rise.
Support from the Gates Foundation could strengthen research, sanitation and innovation initiatives, while the planned 2027 IWA congress offers Uganda an opportunity to showcase its water sector and deepen cooperation with international partners.
The proposals will, however, depend on the development of concrete partnership arrangements, financing commitments and implementation plans following the discussions in Glasgow.
