Rwanda Secures Rwf430 Billion to Expand Energy Access

Rwanda's initiatives to enhance electricity infrastructure and access to clean energy have gained a fresh momentum, with €260.76 million (approximately Rwf435 billion) allocated for a related project—the Rwanda Energy Sector Result-Based Financing (RBF II) program, as stated in a July 17 release by the African Development Bank (AfDB) Group. The funding comprises €173.84 million (approximately Rwf290 billion) approved by the AfDB Group on July 14, along with an additional €86.92 million (approximately Rwf145 billion) from the Asian Infrastructure Investment Bank. ALSO READ: Rwanda needs $1.5bn to achieve universal energy access by 2029 The AfDB mentioned that the program funds will be used to expand electricity access—both grid-connected and off-grid—modernize electricity infrastructure, promote clean cooking technologies, and strengthen institutional capacity. Regarding the anticipated impact, it mentioned that it will connect 200,000 households and 850 productive use customers to the national grid, add 50,000 new electricity connections through off-grid solutions, provide clean cooking devices to 100,000 households and 310 public institutions, and install street lighting on 200 kilometers of roads in secondary cities across Rwanda. ALSO READ: Kwibohora 31: Rwanda’s electricity access rose from 1% to 83.2% in three decades The AfDB noted that the RBF II program is based on Rwanda’s Energy Sector Strategic Plan (ESSP II 2024–2029) and aims to improve residents' quality of life, drive economic growth, and reduce poverty through targeted investments in the energy sector. It said that the Board approval marks the African Development Bank’s second result-based energy sector operation in Rwanda, following a program funded at $305 million (approximately Rwf438 billion at current exchange rates) approved in September 2018. This indicates Rwanda's preference for a performance-based financing approach in closing power infrastructure gaps, the AfDB observed. The RBF II program, the AfDB pointed out, is a key deliverable under the Bank’s High-5 priority areas of “Light up and Power Africa” and “Improve the Quality of Life of the People of Africa.” Additionally, it will contribute to achieving the Mission 300 Initiative of the African Development Bank and the World Bank to connect 300 million Africans to electricity by 2030. Trends in energy generation and access According to Rwanda’s Energy Sector Strategic Plan (ESSP II 2024–2029), developed by the Ministry of Infrastructure, the baseline for generation capacity by the end of 2023/2024 was 400 MW. Over the period of 2024–2029, the goal is to steadily increase the generation capacity to more than 410 MW by 2025/26 and 615.303 MW by the end of the 2028/29 period. This "ambitious target will significantly contribute to meeting the growing demand for electricity, thereby supporting economic growth, enhancing living standards, and promoting sustainable development," the blueprint states. During the seven-year implementation of the first National Strategy for Transformation (NST1), which started in 2016/2017 and ended in 2023/2024, the government made substantial investments in the energy sector. As a result, electricity access increased, reaching 76.2 percent of Rwandan households. ALSO READ: Over 1.5m new households connected to electricity since 2017 – PM Meanwhile, data from the Rwanda Energy Group shows that the cumulative connectivity rate in Rwanda is 82.2 percent of Rwandan households, as of the end of February 2025—comprising 57.4 percent connected to the national grid and 24.8 percent accessing through off-grid systems (mainly solar). One of the main targeted interventions outlined in the ESSP is connecting over 1.1 million new households to the grid, an initiative aimed at extending the benefits of electricity access to previously underserved areas, thereby improving the quality of life for millions of people, according to the strategic plan. The productive user access to electricity was projected to gradually increase from the current 86 percent in 2023/24 to 100 percent by the end of 2028/29, it is indicated. As noted, achieving this goal will have a profound impact, boost economic activities, and foster an environment conducive to entrepreneurship and innovation.

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NEPRA Orders Discos to Refund Rs0.50 per Unit, K-Electric to Pay Rs4.03 to Consumers

The National Electric Power Regulatory Authority has instructed the state-owned power distribution companies (Discos) and K-Electric to return Re0.50 per unit and Rs4.03 per unit respectively to customers, as they had charged extra based on the reference monthly fuel costs. NEPRA has also turned down the Ministry of Energy's proposal to delay K-Electric's FCA process, stating that the MoE's request to postpone the FCAs is premature without any official decision from the cabinet.

In two separate rulings, the regulatory body has approved a negative adjustment of Re0.50 per unit against the positive adjustments of Re0.10 per unit that the DISCOs had requested, concerning the May monthly FCA. Conversely, regarding the negative adjustments of Rs4.69 per unit sought by KE, the authority has permitted a refund of Rs4.0349 per unit to consumers based on the April FCA. In a petition filed on behalf of the former WAPDA Distribution Companies (DISCOs), the Central Power Purchasing Agency Guarantee Limited (CPPA-G) stated that the actual fuel cost in May was Rs7.4940 per unit, which is Re0.1015 per unit more than the reference cost of Rs7.3925 per unit for that month.

However, following multiple calculations, the regulator determined that the real fuel cost for May was Rs.6.8972 per unit, which is Rs 0.4952 per unit lower than the reference tariff of Rs.7.3925 per unit. The regulator has instructed the Discos to return Re0.4952 per unit to consumers in the July bill.

The CPPA-G has asked for Rs57.333b in fuel cost elements from different plants for May 2025, but the regulator approved Rs51.847b after subtracting Rs5.486b, due to the latest NEPRA decisions on applicable fuel cost components for the same month. K-Electric had requested NEPRA's approval for a refund of Rs4.69 per unit to consumers, which would affect Rs7.713 billion, as a result of the April 2025 monthly FCA.

However, after setting aside Rs0.8 billion related to partial load, open cycle, and degradation curves along with startup costs for the period from July 2023 to April 2025, the regulator has approved a refund of Rs4.0349 per unit. K-Electric had requested Rs16 billion for the same reasons during the period from July 2023 to April 2025. The Authority has already temporarily set aside Rs15.2 billion from monthly FCAs between November 2024 and March 2025 to avoid placing an excessive burden on consumers in the future for these outstanding costs. Therefore, as of April 2025, Rs0.8 billion remains pending due to partial load, open cycle, and degradation curves along with startup costs, according to K-Electric's claims.

In line with the principle of not overburdening consumers at a later stage and ensuring timely recovery of reasonable costs, the Authority has decided to temporarily withhold the pending amount of Rs.0.8 billion from the immediate FCA of April 2025. 31. Based on the above discussion and after considering the adjustments mentioned earlier, the Authority has calculated a negative FCA of Rs4.0349/unit, resulting in a negative impact of Rs6,176 million for the month of April 2025, which will be passed on to consumers in the billing month of July 2025. 32. The aforementioned negative FCA of Rs.4.0349/unit is being provisionally allowed, subject to adjustment once the MYT of KE for the period FY 2024-30 is announced. Any difference in cost, if applicable, will be adjusted in future revisions. NEPRA has also turned down the federal government's request to delay the KE's FCA process for April, stating that provisional FCA proceedings have been ongoing for about two years, yet the MoE never raised any objection to the reference FCC of Rs15.9947/unit. The proceedings for the FCA of April 2025 were initiated through an advertisement dated 12.06.2025, and the hearing was rescheduled twice, but the MoE has not managed to submit any policy guidelines or obtain Cabinet approval. The regulator stated that the MoE's request to delay the FCAs is premature without any formal decision from the Cabinet. Furthermore, under Section 31(7) of the NEPRA Act, the Authority may, on a monthly basis and no later than seven days, make adjustments to the approved tariff due to variations in fuel charges, although these timelines are considered advisory rather than mandatory.

The NEPRA Act ensures consistent tariffs for public sector licensees, but the NE Policy 2021 states that the government can also maintain a uniform consumer tariff for K-Electric and state-owned distribution companies (even post-privatization) by including direct or indirect subsidies. Hence, it is yet to be determined if the NEPRA Act and other relevant documents permit uniformity in FCAs or not. Moreover, the delay in MLRs does not prevent the Authority from continuing with FCA proceedings, as there is no suspension in place. The regulator has instructed KE to refund Rs4.0349 per unit to consumers in the July bill.

Provided by SyndiGate Media Inc. (Syndigate.info).

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Precise oil and gas measurement boosts economic stability

Engineers and Brew Solutions Limited has positioned itself as a top provider of creative solutions within the oil and gas sector. The company's recent organization of the first Oil and Gas Measurement and Metering Summit in Accra highlights its dedication to fostering transparency and responsibility in the industry.

The summit, themed “Revealing Worth via Precise Measurement: The Secret to Optimized Performancegathered together industry professionals to talk about the significance of precise measurement and suggest methods to enhance the sector.

Professionals recommend accuracy to minimize damages and enhance openness

The conference provided a venue for professionals in the field to exchange insights and optimal methods related to measurement and metering, highlighting the significance of accuracy within the oil and gas industry. Focusing on reliable metering can help Ghana reduce losses, increase income, and promote openness in the sector.

In his speech during the summit, Mr. Reynolds Brew, the Managing Director of Engineers and Brew Solutions, highlighted that precise measurement is essential for improving efficiency, delivering value to stakeholders, and reducing waste and expenses.

He briefly mentioned, "Precise measurement is not only a technical necessity, but also a crucial business factor that can determine the success or failure of oil and gas projects. We need to focus on accurate measurement to realize the maximum potential of our sector."

Mr. Reynolds Brew also emphasized the major economic consequences of incorrect metering, referencing the PIAC 2024 report which stated that Ghana lost about US$170 million as a result of flaring 28.5 billion cubic feet of natural gas in the upstream oil industry. This loss signifies a considerable gap in revenue that might have been directed toward other beneficial uses.

Mr. Emmanuel Bedzrah, head of the Select Committee on Energy, urged the government to quickly obtain its own metering systems to guarantee high-quality and efficient operations within the oil and gas sector, along with effective monitoring and evaluation.

As per his statement, it would offer an autonomous way to confirm information from international oil producers and protect the country's resources.

"Those who have been conducting the measurements for us are no longer here, so they now handle their own measurements, and the only individual present is either from customs or GRA. We don't have any government-provided metering equipment to verify the producer's measurements or ensure accuracy. Therefore, we need to invest in metering systems and ensure quality to increase revenue," he said.

Mr. George Nii Tettey, a measurement engineer based in the UAE, emphasized the significance of precise metering in minimizing losses. He provided an example of an oil field that produces 100,000 barrels daily, where a 1% error in the metering system leads to an annual loss exceeding US$20 million.

"We should return to the fundamentals and examine the metering systems we've put in place over the years," Mr. Tettey stated. "Are they being checked? Are they being adjusted? Are they even approved before installation?" He highlighted the importance of ongoing reviews and controls to guarantee precise measurement.

The summit also addressed the importance of implementing advanced metering systems, including ultrasonic meters and co-release meters, within oil and gas operations. Mr. Tettey proposed check metering, in which one meter performs the primary measurement while another verifies the readings, as a method to detect and correct inaccuracies.

Present at the summit were leading figures from the oil and gas industry, CEOs and managers of specific companies, government officials, and more.

About Engineers and Brew Solutions Limited:

Leveraging its knowledge and dedication to quality, Engineers and Brew Solutions provides a variety of services such as detailed EPCI solutions, emission control and tracking, design and upkeep of metering stations, calibration support, and integration of SCADA systems.

Guided by the fundamental principles of accuracy, enthusiasm, and excellence, the company's team of specialists exceeds expectations, guaranteeing clients the most effective solutions tailored to their requirements. Having a demonstrated history of successful local and global projects, Engineers and Brew Solutions is the preferred collaborator for professionals in the oil and gas sector, offering dependable and effective solutions for metering and measurement requirements.

Provided by SyndiGate Media Inc. (Syndigate.info).

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