The Government and European Union have signed a financing agreement worth Euros 23 million (about Rwf17.2 billion) to upgrade the country’s electricity network systems, to reduce unnecessary losses of the already scarce power produced.
The Government and European Union have signed a financing agreement worth Euros 23 million (about Rwf17.2 billion) to upgrade the country’s electricity network systems, to reduce unnecessary losses of the already scarce power produced.
Speaking after the signing in Kigali, yesterday, the Minister for Finance and Economic Planning, Amb. Claver Gatete, said the project will be implemented over a period of three years, and will see energy infrastructure overhauled to increase on-grid electricity reliability.
"This support will help improve and establish essential infrastructure that contribute to the reduction of technical losses and allow the transmission of electricity to the national grid while improving the security, reliability and quality of supply to the City of Kigali,” Minister Gatete said.
The project is in line with the national development blueprit, the second Economic Development and Poverty Reduction Strategy (EDPRSII), which aims to ensure reliable energy supply as prerequisite for development, Gatete added.
The blueprint envisages having at least 70 per cent of households connected to electricity by 2018.
The deal is also in line with global initiatives such as SE4All (Sustainable Energy for All) and supports government’s efforts by responding directly to the Energy sector’s goals.
Priority
The project will see the upgrading of the power substations of Mount Kigali, Birembo and Jabana as well as the construction of a new substation in Gahanga, Kicukiro District.
A 110kV powerline, covering 23 kilometres, will also be laid to connect the stations and to complete what is called the Kigali Ring.
Implementation of the project will be undertaken by Rwanda Energy Group, under the supervision of the Ministry of Infrastructure.
Germaine Kamayirese, the state minister for energy, said the support will see the energy burden in Kigali reduce to below 17 per cent from over 20 per cent.
"The funds will help us build the capacity of our power substations to be able to handle the kind of power we expect to generate and import. We will also try to establish new distribution lines while upgrading the existing power transformers to reduce on power leakages and losses,” Kamayirese said.
Rwanda’s current energy capacity stands at 155 megawatts and is expected to rise to 563 megawatts by 2017.
Amb. Michael Ryan, the head of the EU Delegation to Rwanda, said reducing power losses while focusing on generating more will help sustain the country’s energy sector and propel economic development.
"Energy is a new focal sector for the EU and we believe that this is a strong step toward creating a vibrant energy sector in the country,” Ryan said.
Efforts are underway to import 30 megawatts from Kenya and another 400 megawatts from Ethiopia.editorial@newtimes.co.rw