Work starts on Rwanda’s 27MW power plant

Construction work for a 27.5 MW Nyabarongo hydro power plant, has begun in Ngororero District in Rwanda’s Western Province as the country explores ways of boosting its energy needs.

According to the country’s State Minister for Energy Albert Butare, the project, which will cost $99.7 million — will also force the government to spend $7.3 million in relocating about 4,200 people in Ngororero, Karongi and Muhanga districts.

Rwanda, which is also assessing the potential of geothermal and wind energy power production, is currently facing an energy deficit.

Though electricity supply is currently stable without any significant load-shedding, only 10.2 per cent of the country’s households are connected to the national grid.

Only 6 per cent of Rwanda’s population is connected to electricity and the country projects that by 2020, at least 35 per cent of the population will be connected while the consumption of wood will decrease from the current 94 per cent to 50 per cent of national energy consumption.

According to Electrogaz, the utility institution in charge of distribution of electricity, power supply only reaches around 110,000 clients, including 70,000 households. Electrogaz statistics show that 70 per cent of the energy is consumed in the capital, Kigali.

The construction of the 27.5 MW hydropower plant is one of the specific strategic interventions that are currently being developed to increase access to electricity through extension of the national grid and the setting up of isolated grids from micro-hydro plants and decentralised energy sources such as solar energy.

The country is targeting to increase connections by 65 per cent from 70,000 to 350,000 households by 2012.

The government also projects to connect about 300 administrative centres and service delivery points such as 1,000 schools and 180 health centres countrywide by the stipulated period.

The Ministry of Finance and Economic Planning, while releasing its Economic Development and Poverty Reduction Strategic projections last year, said the overall target of the government is to increase the total capacity from 45 MW to 130 MW by 2012.

The Lake Kivu methane gas reserve project is expected to produce 30 MW of energy by the end of this month.

Government officials told The EastAfrican that the Nyabarongo hydropower plant will be financed partly by India’s Axim Bank in a $80 million line of credit to be repaid in 20 years.

Vinod Tharamal, the Indian consul general in Kigali, said recently the project is being executed by a consortium of two Indian companies — Bharat Heavy Electricals and Angelique International Ltd — under an engineering, procurement and construction agreement.

“I have confidence that the expertise and experience of both Bharat Heavy Electricals and Angelique International will ensure that the project is completed within the stipulated time, Mr Tharamal said.

Mr Butare said the country has for the past two years conducted studies on rivers in the country that can produce energy and came up with an estimated value that can be generated.