Power woes that local manufacturers have been experiencing could soon come to an end, thanks to a power supply agreement that will see Rwanda import 30MW of electricity from Kenya.
Rwanda is set to start importing electricity from Kenya according to a statement from Rwanda energy group.
Chief Executive Officer (CEO) at Rwanda Energy Group Limited (REG LTD said in a statement that works on the power transmission line for the electricity from Kenya will be completed before this this month ends.
“We are also pushing the company working on the power substation at Nsango to speed up activities so that we start importing power by December,” he said.
Kenya Power said it would start selling 30MW of electricity to Rwanda in the next three months. Rwanda has bagged a $50 million syndicated loan from the African Development Bank (AfDB) and Japan International Cooperation Agency (JICA) to finance the project.
Even as the deal to import power from Kenya begins to take shape, Rwanda announced that the first gas samples on the KivuWatt methane to power the project have been extracted and were successfully tested signalling a major breakthrough for the multi-million dollar venture whose creation has lasted seven years.
According to the deal, Rwanda will pay $14 cents (Rwf50) per kilowatt of power imported. The contract will be reviewed after every two years. Rwanda also plans to import 400MW of power from Ethiopia by 2018, a move also aimed at increasing electricity supply in the country, especially for industrial use.
Rwanda currently has an installed power generation capacity of 161.2MW. The country hopes to increase this to 563MW of power by 2018 to improve access to electricity, especially in the rural areas.