Rwanda is fifth place globally in creating opportunities for clean energy investment

Rwanda is fifth place globally in creating opportunities for clean energy investment

Rwanda has been ranked fifth globally among countries that have created opportunities for investments in clean energy, according to the to the latest Climatescope findings published by BloombergNEF (BNEF).

According to the survey, Rwanda’s burgeoning off-grid market helped propel it ahead of all its African peers in this year’s Climatescope edition.

“Through 2017, over 185,000 solar home systems and nearly 300,000 solar lanterns have been distributed throughout the country. The national utility, Rwanda Energy Group, has been cooperative in establishing demarcation zones specifically allocated for off-grid development, in order to help the country work towards a 48 per cent off grid electrification rate by 2024,” the report reads in part.

Clean energy has been made priority as Rwanda, through the ministry of infrastructure, continues to pursue an ambitious agenda to have 100 per cent of homes connected to electricity by 2024.

Already, significant strides have been made, where Rwanda’s electrification rate quadrupled in the past seven years, from 10 per cent in 2010 to 44 per cent in 2017 and this has been enabled by the involvement of on-grid and off-grid energy solutions.

Speaking at the Africa Green Growth Investment Forum that is underway in Kigali, Winifred Ngangure, Head of Investment Promotion at Rwanda Development Board (RDB) said that the Bloomberg New Energy Finance’s Climatescope report is an indication that you don’t need to have the largest market to promote investment in key areas such as green growth.

“I am pleased to share that Bloomberg New Energy Finance’s Climatescope report, published today, shows that developing nations are leading the global clean power transition and that Rwanda was ranked 5th in the world,” Ngangure said.

She added, “This demonstrates that you don’t need to have the largest market to promote investment in key areas such as green growth. Rather, it requires a long term vision, clear targets, a plan for attracting investments and a regulatory framework that encourages innovation, but discourages activities that pose a threat to our health and that of the environment.”

According to Ngangure, the time is now for Africa to increase its green growth and circular economy investments, place young people in green jobs and promote continued and consistent improvements in resource use and efficiency.

“We also need to find new and innovative ways to invest in activities that clean our air, ensure our people are healthy, and that expand opportunities for all,” she said.

“The health and wealth of our continent requires that we prioritise green growth. Not only to increase jobs and grow our economies, but to create a future in which future generations can realise their hopes and dreams,” she added.

Rwanda’s energy scope 2018 according to BNEF

• Rwanda’s power mix is based heavily on hydro, at just under 50% as of June 2018, but other technologies, such as solar, natural gas and diesel are represented.

• Growth in Rwanda’s energy sector has been driven by two major targets: 563MW of generating capacity by 2018 and 100 per cent electrification by 2024.

• The country has quadrupled its electrification rate from 10 per cent in 2010 to over 44% in 2018 and increased generating capacity from 85MW to 216MW over the same period.

• Most future investment in Rwanda’s energy market is expected to go toward expansion of the grid to meet this oversupply and to off-grid companies working with communities that won’t have grid access in the near future.

 

Read more at https://www.newtimes.co.rw/rwanda/rwanda-fifth-place-globally-creating-opportunities-clean-energy-investment