Rwanda, UK energy deal to boost off-grid power supply in rural areas

Rwanda has signed a memorandum of understanding with UK government as part of efforts to boost off-grid power supply to rural households.

Thursday, December 03, 2015
Minister Musoni and Hurd sign the power deal in London on Wednesday. (Courtesy)

Rwanda has signed a memorandum of understanding with UK government as part of efforts to boost off-grid power supply to rural households. The agreement, which is part of the Energy Africa campaign, was signed by the Minister for Infrastructure, James Musoni, and Nick Hurd, the UK International Development minister during the Global African Investment Summit in London on Wednesday.

Rwanda becomes the six country to join the campaign that seeks to accelerate universal energy access in sub-Saharan Africa by boosting the continent’s household solar market. Others are Nigeria, Sierra Leone, Somalia Ghana and Malawi.

According to the Ministry of Infrastructure, the agreement will help power up the emerging household solar market in Rwanda and across Africa.

Rwanda targets to increase its installed power generation capacity to about 563MW by 2018 and to extend power supply to 70 per cent of the population, up from over 22 per cent presently.

Rwanda’s installed power generation capacity is presently at 161.2MW, but only 119.38MW is available.

Of this, 97.37MW is hydro power; thermal power contributes 51.7MW, methane 3.6MW, while 8.75MW is produced from solar energy. However, the government is promoting a green economy, which makes the UK support a timely intervention to help realise this objective that is part of the country’s development blueprint, the second Economic Development and Poverty Reduction Strategy (EDPRS II).

Speaking at the deal signing event, Hurd said many families are forced to rely on kerosene, which is toxic and expensive. He added that children cannot study after dark as they lack safe power supply.

"According to the current projections, the African continent will not achieve universal energy access until 2080. That is why we must act to kick-start a solar revolution across Africa,” Hurd told reporters in London on Wednesday.

He added that with the cost of solar panels going down, and battery technology improving, while appliances are becoming more efficient, now is the time to invest.

"British businesses are already combining solar and mobile phone technology to bring clean energy to people in Africa.

"Together, with African governments, investors, businesses, NGOs, think–tanks and other donors, DFID will work to increase investment in off-grid energy firms, help overcome regulatory barriers, foster innovation, and accelerate delivery of solar energy systems to households across Africa,” Hurd noted.

Commenting on the deal, Robert Nyamvumba, the director of the energy division at the Ministry of Infrastructure, said the campaign will assist Rwanda in its efforts to achieve universal energy access by 2020.

Nyamvumba said, under partnership agreement, the UK government, through DFID, will mobilise funds required for the implementation of the Energy Africa campaign in Rwanda.

According to the agreement, both parties committed to championing Sustainable Development Goals objective seven on increasing access to clean and affordable energy.

They will work together in the implementation of the household solar component of Rwanda’s off-grid rural electrification strategy. Both sides also agreed on the policy actions that need to be developed and implemented to accelerate the household solar market.

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