Rwanda’s delegation will present the country’s ambitious climate action plan, highlight why Rwanda is an ideal location for ecological investment, and introduce new initiatives to scale up green growth at the 28th UN Climate Change Conference (COP28) in Dubai from November 30 to December 12.
The country is set to showcase what it has achieved in terms of electric vehicle adoption, among other solutions, according to Jeanne d’Arc Mujawamariya, the Minister of Environment.
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A world-first agreement to eliminate CO2-emitting fossil fuels is awaited at the summit. Rwanda’s priorities to be highlighted at COP28 include electric vehicles and financing for their adoption. Achieving full adoption of electric vehicles and related solutions in Rwanda will require up to $900 million, and is one of the projects that will help Rwanda reduce greenhouse gas emissions by 38 percent in 2030.
"What we want at COP28 are solutions to climate change. Our priority is to showcase the solutions we have committed to scale up for green growth. For instance, we exempted electric vehicles from taxes to encourage their adoption,” Mujawamariya said.
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To accelerate the transition to electric vehicles and reduce greenhouse gas emissions from vehicle transportation, incentives for electric and hybrid vehicles and electric motorcycles to pay an import duty rate of zero will be extended.
Energy costs were reduced for electric vehicle charging stations. Rwanda also exempted import and excise duties on electric vehicles, spare parts, batteries, and charging station equipment. The incentives also include zero-rated Value Added Tax (VAT) for electric vehicles, spare parts, batteries, and charging station equipment.
Electric vehicles’ adoption process in the country will also be facilitated by rent-free land for charging stations for land owned by the government, further reducing the cost of set up and maintenance.
To increase the chances of Rwanda being a producer of electric vehicles, batteries, and other inputs, the government rolled out incentives in the investment code such as a 15 percent Corporate Income Tax (CIT) and tax holiday for companies manufacturing and assembling electric vehicles.
Rwanda seeks to convert 20 percent of its public transportation to electric vehicles by 2030. The target, according to the Rwanda Environment Management Authority (REMA), will reduce 72,000 tonnes of carbon emissions.
In June, the Government of Rwanda and Vivo Energy signed a deal that aims to introduce more than 200 electric buses in the country, marking a significant step towards sustainable mobility.
In November, Go Green Transport, an e-mobility company in Rwanda, initiated a pilot phase with the introduction of 10 full electric mini-buses, each with a capacity of 23 seats.
Carbon market
Mujawamariya said the country is also eyeing the carbon market.
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Rwanda will launch a carbon market framework at COP28.
"We have so many projects for the carbon market,” she said.
Clean cooking technologies, renewable energy projects, green transport projects, and forestry projects are among many potential projects on the carbon market.
Carbon is one of the channels that some countries are using to mobilize climate finance.
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Rwanda seeks $11 billion to implement a 10-year climate action plan up to 2030. The Rwanda Green Fund, a groundbreaking environment and climate change investment fund, was established in 2012 to mobilize climate finance, particularly the Ireme Invest fund – a strategic initiative by the government to address local market gaps in the financing of green and climate-resilient projects.
Rwanda plans to plant 63 million indigenous and exotic tree seedlings to be able to tap into the carbon market.
"We have committed to replacing wood fuel with cooking gas,” Mujawamariya noted.
A natural gas plant is being constructed.
The $530 million plant will produce compressed natural gas for cooking, vehicles, and industries from Lake Kivu methane gas.
The project will produce 990,000 cubic metres per day of which between 35 per cent and 40 per cent will be cooking gas as a clean energy.
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Renewable energy targets
The COP28 Presidency, the International Renewable Energy Agency (IRENA), and the Global Renewables Alliance, on October 30, published a joint report outlining key enablers to triple global renewable power capacity to 11,000 GW and double average annual energy efficiency improvements by 2030.
In this context, Rwanda wants renewable energy to take 60 per cent of energy in general by 2030 to be able to reduce the use of fossil fuels.
Patricie Uwase, the Minister of State at the Ministry of Infrastructure, on November 14 told senators that hydropower and solar energy projects that are underway will help achieve the target.
"We will, by the end of this year, inaugurate the completed Rusumo hydropower project with 80 MW that will be shared by three countries; namely Rwanda, Tanzania, and Burundi. There is also Nyabarongo 2 power plant which will be the largest hydropower plant under construction inside the country,” she said.
She said there is also Ruzizi III, a 147MW hydropower project being developed on the Ruzizi River along the borders of the DR Congo, Burundi, and Rwanda.
This story was produced with assistance from MESHA and IDRC Eastern and Southern Africa Office for science journalists reporting on COP28.