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Energy

Home Investment opportunities Energy
  • Overview
  • Targets
  • Strategies
  • Investment Opportunities
  • Institutional set-up
  • Investment Process
  • Incentives to private developers in the power sector
  • Implementation of the Rural Electrification Strategy
  • Tariffs ( Excluding VAT)
  • Key Energy Private Players (IPP’s)
  • Contact Us
  • Overview

    • Total installed power generation capacity of 224.6MW
    • Electricity Access rate estimated to 51 % (37 on-grid and 14 % off-grid).
  • Targets

    • Biomass (wood energy) to drop from 79.9% to 42 % by 2024
    • Access to electricity to expand to 100% by2024 (where by 52% will be on grid and 48% off-grid)
    • Productive users to be connected 100% by 2022
    • Rwanda plans to achieve 556MW installed power generation capacity by 2024
  • Strategies

    • The Rural Electrification Strategy approved and currently in implementation;
    • Involvement of the private sector companies to accelerate and achieve the targeted off-grid Electricity Access
    • Availability of Cooperation Agreement between Independent Power Producers with EDCL for supplying, installation and provision of after sales services for two years.
  • Investment Opportunities

    • Standalone solar systems for households and other users
    • Mini-grid systems to be installed from different resources solar, hydropower, and biomass ( 20 sites identified, and the feasibility is completed)
  • Institutional set-up

    • Ministry of Infrastructure (for policy and strategy formulation)
    • Rwanda Energy Group (implementing Company, providing technical assessment, cooperation and Power Purchase Agreements. It has two subsidiary companies: EDCL and EUCL)
    • Rwanda Development Board (Investment process, guidance, facilitation, leading negotiations, issuing EIA, and providing incentives)
    • Rwanda Utility Regulatory Authority (setting tariffs, regulate the sector, and provision of licenses in the sector).
    • Energy Private Developers Association/EPD (grouping and advocating for the needs of energy private companies)
  • Investment Process

    The process of engaging off-grid suppliers and /or Independent Power Producers to work with the Government is done through the normal procurement procedures;

  • Incentives to private developers in the power sector

    • Provision of investment certificate for the investor’ special treatment
    • A variety of non-fiscal and fiscal incentives (tax exemption including VAT on importation of equipment, investment allowance up to 50%, free repatriation of profits, 100% written-off development and research costs, preferential corporate income tax of 15%, Corporate income tax holiday of up to seven (7) years for Energy projects producing 25MW with 50M investment)
    • Provision of RDB aftercare support to registered projects with Investment certificate
  • Implementation of the Rural Electrification Strategy

    Stand Alone Systems

    • Tier 1: Lighting (3 lamps), one radio and 2 phone charging
    • Tier 2: Tier 1 + TV
    • Tier 3: Tier 2 + refrigerator

    Mini-Grid Systems

    • Tier 4: Tier 3 + high power appliances

    Grid Extension

    • Tier 5: 24/7 high power suited for commercial and industry use
  • Tariffs ( Excluding VAT)

    Industries

    • Large industries 94 Rwf/kWh
    • Medium industries 103 Rwf/kWh
    • Small industries 134 Rwf/kWh

    Flat rates for Industries without smart meters

    • Large industries 106 Rwf/kWh
    • Medium industries 123 Rwf/kWh
    • mall industries 151 Rwf/kWh

    Ordinary Consumers

    • Residential 89 Rwf/kWh for 0-15kWh/Month, 212 Rwf/kWh for btn 15-50 kWh/Month, and 249 Rwf/kWh for capacity above 50kWh/Month
    • Non-Residential 227 Rwf/kWh for 0-100kWh/Month and 255 Rwf/kWh for 100kWh + capacity/Month
    • Telecom towers 201 Rwf/kWh, Water Treatment plants and Water pumping station 126 Rwf/kWh, Hotels 157 Rwf/kWh, Health Facilities 186 Rwf/kWh and Broadcasters 192 Rwf/kWh
    • Small Industries 134 Rwf/kWh for ≤ 22,000 kWh/Year, Medium Industries 103 Rwf/kWh for 22,000- 660,000 kWh/Year capacity and Large Industries 94 Rwf/kWh > 660,000 kWh/Year capacity
    • Commercial Data centers 179 Rwf/kWh
  • Key Energy Private Players (IPP’s)

    • KivuWatt developing 100MW from methane by Contour Global (US)
    • Hakan developing 80MW from peat (Turkey)
    • Symbion Power to develop 50MW from Methane (US)
    • Gigawatt Global operating 8.5 MW from solar (US)
    • Mobisol supplying standalone systems (GERMANY)
    • Rwanda Mountain operating Micro hydropower (Rwanda)
    • Ngali Energy developing Micro hydropower (Rwanda)
    • Ignite Power supplying standalone systems
    • Bboxx Capital supplying standalone systems
  • Contact Us

    For any further details/information you may require, please contact:

    Chris Picton Shyaka
    Sector Marketing Analyst
    Investment Marketing Department
    Rwanda Development Board
    Email: chrispicton.shyaka@rdb.rw

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