Electrifying Rwanda: Progress & sustainable energy initiatives

Rwanda, a country in East Africa, has made significant strides in electrification, reaching 80 percent coverage as of November 2024. This remarkable achievement has been driven by a mix of hydropower, solar energy, and active involvement of the private sector in renewable energy initiatives. Major projects such as the 203 MW Rusizi Power Plant 3 and the expansion of e-vehicle infrastructure underscore Rwanda's commitment to clean and sustainable energy solutions. In an exclusive interview with CNBC Africa, Fidele Abimana, the Permanent Secretary in the Ministry of Infrastructure, shed light on Rwanda's electrification journey and the steps taken to ensure a sustainable energy future. Despite facing challenges due to global conflicts and the COVID-19 pandemic, Rwanda has made significant progress in improving access to electricity for its citizens. Abimana highlighted that Rwanda's long-term vision has always been universal access to electricity. The target was initially set at 100 percent during the National Strategy for Transformation One. While the target was not fully achieved within the specified timeframe due to external factors, Rwanda has now reached an impressive 80 percent electrification rate. The government remains committed to closing the remaining gap and ensuring access to electricity in all local districts. One of the key pillars of Rwanda's energy mix is hydropower, which serves as a primary source of electricity generation. The country also leverages off-grid sources, primarily solar energy, which accounts for 21 percent of the energy mix. Abimana emphasized the importance of promoting renewable energy to minimize carbon emissions and drive sustainable development. The ministry has been actively investing in infrastructure to boost renewable energy capacity. Projects like the Nyabarongo 2 hydroelectric plant, the regional Rusizi 3 project with DRSC and Burundi, and collaborations with Tanzania highlight Rwanda's commitment to expanding its energy sources. By fostering partnerships with private sector operators, Rwanda aims to diversify its energy mix and enhance energy security. In terms of policy and regulatory environment, Rwanda has prioritized creating a conducive climate for private sector engagement in the energy sector. By encouraging investments in mini-grids and renewable energy projects, the government aims to support a private sector-led economy. Initiatives like the Shema power plant, which extracts methane gas from Lake Kivu, demonstrate Rwanda's innovative approach to energy generation. Addressing environmental sustainability, Rwanda has implemented various ESG (Environmental, Social, and Governance) principles to reduce carbon emissions and promote clean energy solutions. The country focuses on reducing biomass usage through clean cooking initiatives and promoting immobility to lower emissions from the transport sector. Rwanda's transition to electric vehicles is a significant step towards achieving a greener economy. The government has incentivized the adoption of electric vehicles by waiving taxes and duties on imported electric vehicles. Plans are underway to promote the use of electric motorbikes in public transport, aligning with the goal of reducing dependence on fossil fuels. Looking ahead, Rwanda is exploring additional renewable energy sources such as geothermal and nuclear power to further diversify its energy mix. The country's long-term vision includes increasing energy generation to support economic growth and attract investments. As Rwanda continues its journey towards universal electrification and sustainable energy development, collaborative efforts between the government, private sector, and international partners will play a crucial role in shaping the country's energy landscape and driving inclusive growth.