Govt confident of meeting electricity targets

Leave a comment / By: manifel / 05 June, 2021 15:00:32PM
Govt confident of meeting electricity targets

The Minister of Finance and Economic Planning, Uzziel Ndagijimana has assured that Rwanda will achieve 100 per cent electrification target by 2024 as it is set in the National Strategy for Transformation (NST1).

He was responding to media questions after signing a financing agreement worth US$84.2 million (Rwf82.1 billion) with African Development Bank (AfDB to increase electricity distribution in the districts of Gisagara, Huye, Nyamagabe, Nyanza, Nyaruguru and Ruhango. 

The country has just three year to meet its universal access to electricity. 

Last month, the Rwanda Energy Group (REG)’s Chief Executive said that the Energy Development Corporation Limited (EDCL) said the utility body need more funding to meet this goals. 

Ndagijimana, on Friday, June 4, allayed concerns saying that they are diversifying sources of funding.

“We are on track to achieve the target. We have brought together all development partners supporting energy program for harmonisation and put together all resources for energy which are now over $670 million,” he said.

He said that there are other major financing partners in addition to AFDB.

Of these, he said; include the World Bank, OPEC Fund for International Development (OFID), Saudi Fund for Development (SFD), Agence Française de Dévelopement (AFD), the European Investment Bank (EIB) and Korean EXIM Bank among others.

“All these will accelerate energy access. We have also off-grid solutions such as solar home solutions that have to be scaled up to people who are very far in rural areas,” he said.

63 per cent energy access as of May 2021

He said that the current access to energy has increased to 63 per cent from 37 per cent three years ago.

“The energy sector in Rwanda has made important progress. The financial agreement we signed today will significantly contribute to our ultimate goal of ensuring every Rwandan citizen has access to electricity by 2024,” he added.

The agreement signed with AFDB on Friday include construction of a total of 595 km of medium voltage and 1,620 km low voltage connections which will result in connection of 77,470 households in Gisagara, Huye, Nyamagabe, Nyanza, Nyaruguru and Ruhango districts.

The project will also support distribution network reinforcements, substation, and a transition line construction, environmental and social management framework.

Aissa Toure, AfDB Country Manager for Rwanda said; “The project will provide first-time electricity connection to 77,470 households to the grid, entailing the construction of 595 km of medium voltage distribution lines and 1,620 km of low voltage distribution networks in six southern Rwanda districts.

The project will also see the upgrade, rehabilitation, and extension of 1,720 km of low voltage network, and distribution of transformers in secondary cities with high load”.

The project is part of the Rwanda Universal Electricity Access Program, a multi-donor program with an estimated envelope of more than US$670 Million financing to support Rwanda’s universal coverage which aims to achieve 100 percent electrification by 2024 as per the National Strategy for Transformation target.

AfDB’s contribution will represent close to 40 per cent of the program costs with a development objective to improve network reliability/stability countrywide and increase electricity access for productive users and households

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