The split has led to the formation of the Uganda Electricity Distribution Company (UEDC), Uganda Electricity Transmission Company (UETC) and the Uganda Electricity Generation Company (UGENCO). The companies began operating on 1 April 2001.

The UEB split comes after the company reduced its power supply outages following the May 2000 commissioning of Kiira power station, which was previously known as the Owen Falls extension.

The old Owen Falls station was constructed in the 1950s, with an installed capacity of 150MW. It was rehabilitated and upgraded in the 1990s, and its output increased by 30MW. The extensive rehabilitation was financed by DFID and supervised by PB Power.

The station was renamed Nalubaale at the same time as the new Kiira Power Station was inaugurated in August 2000.

Kiira has been commissioned with two 40MW, with bays for three more. Once fully commissioned, Kiira will have a total capacity of 200MW.