2015 review: Power utility pledges more and reliable electricity supply in 2016

As the year comes to an end, ensuring constant and enough power supply should be one of the key priorities going into the New Year. Power utility, the Rwanda Energy Group (REG) and its two subsidiaries – Energy Utility Corporation Limited (EUCL) and Energy Development Corporation Limited (EDCL) – have their job cutout going into the coming year to ensure that complaints about low electricity supply and load shedding are at the minimum , especially to support industrial users. Is the power utility prepared to sufficiently handle the tasks ahead? Jean Bosco Mugiraneza, the REG chief executive officer, is confident 2016 will be a good year for them, noting that they will scale up power distribution and supply, as well as increase efficiency to meet increasing demand for electricity. Mugiraneza says this could translate into low power tariffs, and increased access to electricity that will drive growth. He notes that priority will be on reducing power losses going into the New Year by plugging loopholes and upgrading the network. To increase supply, Mugiraneza says the power utility will encourage use of off grid power solutions and energy saving technologies. He adds that they will also to ensure clean power audits to further make it possible for Rwandans to enjoy reduced power tariffs. A few months ago, government increased power tariffs by 35 per cent for low voltage users, including residential and non-residential consumers to Rwf182 per kilowatt, from Rwf134 per kilowatt. However, charges for industrial power consumers were not changed and remained at Rwf126 per kilowatt. The energy group chief told Business Times on Friday that more resources will be channeled towards development of alternative sources of power to increase access and reduce tariffs. Increasing power generation “Over the last 18 months, our generation capacity has increased by over 86MW, of which the Giggawatt Solar power plant will contribute 8.5MW, while diesel power plants at the Kigali Special Economic Zone will add 10MW. About 14MW will come from the CIMERWA plant in Rusizi, and Nyabarongo I hydropower plant generation capacity will increase by 28MW,” according to Mugiraneza. Other projects include Kivuwatt phase one that is expected to generate up to 25MW in the near future. It is currently supplying about 10MW to the national grid, which could be increased later this month. Mugiraneza says the utility has so far made about 520,000 on-grid electricity connections, translating into 24 per cent of the 70 per cent targeted connections (48 per cent on grid and 22 per cent off grid) by 2017/18 financial year. “We will ensure sector-focused and efficient operations to attract more investments, improve planning and accountability, besides improving access to services by the population as per the second Economic Development and Poverty Reduction Strategy (EDPRS II) and other national development goals,” Mugiraneza notes. Future projects According to him, the government is counting on projects like construction of the Gabiro substation, rehabilitation of the Kigali network, construction of the Rulindo–Gabiro–Musha transmission line that is expected to transmit 110kv, as well as construction of the 30MW thermal power plant to boost power supply. Rwanda is targeting to generate 563MW by 2018, while the current generation capacity is at about 161MW.And to achieve the targets, Odette Mbabazi, the EUCL managing director, said the electricity utilities will continue streamlining and upgrading power systems and networks. “We are working on interconnection lines to allow power trade in the region, but also to speed up domestic power transmission projects already underway to increase power dispatch. The interconnection lines under construction will allow power trade in the region. These include the 220kv Mirama–Shango line, which will cover 98km, and the 220kV Shango–Rubavu–Bwishyura–Karongi that will cover 180km between Rwanda and the DR Congo,” she said. Power transmission lines being constructed to supply local users include the 10kV Rukarara–Kilinda line and the 110kV Ntendezi–Bugarama that will cover 17.5km. According to Emmanuel Kamanzi, the Energy Development Corporation Limited managing director, this will boost efficiency and make it possible to transmit and distribute more power to Bugesera District for commercial purposes. Tackling challenges The electricity bodies will have to find ways to deal with some of the major challenges that affected power supply this year, including unpaid electricity bills, theft and vandalism of distribution infrastructure, and low power generation, among others. business@newtimes.co.rw

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2015 review: Power utility pledges more and reliable electricity supply in 2016