Rwanda, in its bid to make available, affordable energy for its teeming population, has secured the approval of $150m (approximately Rwf142bn) by the World Bank Group to finance energy access for households, enterprises and public institutions in the country.
Half of the allocated funds will be disbursed in form of grant while the other half will be given on credit, according to a statement.
The funding approved by the World Bank Board of Directors is aimed at building on energy sector gains.
The funding is part of the Rwanda Energy Access and Quality Improvement Project which is tailored to advance Rwanda’s progress towards achieving UN Sustainable Development Goal 7 (SDG7) to ensure access to affordable, reliable, sustainable and modern energy for all.
The initiative also aims at reducing reliance on cooking fuel by 50 per cent.
Rolande Pryce, the World Bank Country Manager said that the funds seek to support the country’s goals of universal energy access by 2024 as well as universal access to clean cooking by 2030.
“The proposed project is well-timed to build on the World Bank’s decade-long support to the Government’s energy sector agenda. It will contribute directly to Rwanda’s push towards universal energy access by 2024 and universal access to clean cooking by 2030,” she said
The project will also enhance the availability and efficiency of low-cost renewable energy by restoring capacity at the Ntaruka Hydro-Power Project, reducing voltage fluctuations on transmission lines, and supporting the national smart meter program.