Scaling-Up Energy Access Project


Overview

  • Reference: P-RW-FA0-006
  • Approval date: 26/06/2013
  • Start date: 19/05/2014
  • Appraisal Date: 03/03/2013
  • Status: OngoingOnGo
  • Implementing Agency: ELECTRICITY, WATER AND SANITATION AUTHORITY (EWSA)
  • Location: Rulindo, Gifurwe, North & Western Zones

Description

Upgrading and rehabilitation of substations:- This component will address persistent supply issues in the Rulindo and Gifurwe districts, such as supply bottlenecks and low or fluctuating voltage levels, to reach the required transfer capacity and supply quality for the targeted electrification program and existing customers. The investment will focus on:

(i) rehabilitation and upgrading of the existing, yet since 1994 not functional, 110/30 kV Gifurwe substation from the current 0 MVA to 10 MVA; and

(ii) relocating and upgrading of the 110/30 kV Rulindo substation from 3 MVA to 20 MVA. This component will mainly be implemented on a turnkey contract basis.

Access scale-up:- this component will finance extension of the existing national grid to previously unconnected areas, chosen through the government and the implementing agency's prioritization policy, through construction of 464 km of MV distribution lines and 710 km of LV network and connection to 25,438 households. The investments include procurement of the required poles, conductors, transformers, energy meters, and other connection hardware and local installation services. This component will mainly be implemented on a turnkey contract basis, other than household connections and procurement of energy meters. This component addresses access to electricity in the Northern and Western provinces.

Project administration and management:- this subcomponent This subcomponent will finance the required consultancy services for the project. It will comprise review of design, technical specifications, and bidding documents; supervision of construction; contract management; and supervision of implementation of ARAP. The consultant will assist EARP during bid clarification, evaluation, and contract negotiation with the selected/awarded bidders/contractors and will be responsible for overall project supervision and management.

Technical assistance and capacity building: This subcomponent will finance technical assistance and capacity building to ensure adequate management at the EARP Project Implementation Unit, sufficient operational capacity within EWSA, and sustainable institutional and sector capacity within MININFRA. It will also finance a capacity building and training program for MININFRA, EWSA, and EARP to develop a strong sector and improve these institutions' investment planning, technical, operational, finance and support services functions. It will also finance a program for newly electrified areas to teach consumers how to use electricity safely.

Implementation of ESMP/ARAP: The project has been categorized in AfDB environmental and social category II. This component consists of implementation of mitigation measures and compensation of people affected by the project through the Environmental and Social Management Plan (ESMP) and Abbreviated Resettlement Action Plan (ARAP).


Rationale

The Scaling Up Energy Access Project should be supported for a number of reasons:

i)The GoR's long-term development strategy (Vision 2020) and medium-term Economic Development and Poverty Reduction Strategy (EDPRS) focus on rapidly expanding access to electricity as the key means to achieving the country's vision of rescuing itself from poverty. The Project is a direct response to one of the three flagship programs called for in the EDPRS-1 -"economic transformation to create employment and generate exports"-and responds to its key priority, rapidly expanding access to electricity.

ii)The EDPRS-2 covering the period 2013 - 2018 is designed to accelerate the progress already achieved through the EDPRS-1 and will sustain a focus on infrastructure development for economic transformation. Moreover, the project will contribute to the revised GoR target for the electricity sector to reach an access ratio of 70% by 2017.

iii)The Project is designed to support the Government's strategic vision and will contribute to:

(i) improved access to electricity for households and priority public institutions in the Northern and Western provinces of Rwanda,

(ii) sustained reliable electricity supply; and

(iii) support scaling up "inclusive and green" connections through the use of Compact Florence Lamps in future connections and free distribution and installation of "ready-boards," which come with two sockets and one lamp holder, targeting the most vulnerable households.

iv)The Scaling-up Energy Access Project is also in line with the Bank's Long Term Strategy of "green and inclusive" growth through the use of compact fluorescent lamps (CFL) by newly connected households and through the free distribution and installation of "ready-boards for the most vulnerable households (which account for around 10% of the total number of households).

v)The project is also consistent with the Bank's energy sector policy approved in October 2012, as well as with the joint AfDB/Government of Rwanda Energy Sector Review and Action Plan (2012), whose core principle is "ensuring energy security and increasing access for all".


Benefits

The key project beneficiaries will be an estimated 25,438 rural households living in both Northern Province (Rulindo and Gicumbi districts) and Western Province (Ngororero, Rusizi, Nyamasheke, Nyabihu and Karongi districts), representing around 127,000 people. In addition, public infrastructure will be significantly improved, as the project will provide access to modern, reliable energy to 179 schools, 29 health centers, and 25 sector administration offices. Finally, markets, business centers, and other major consumers will be given priority in the routing as per the program design. It is therefore expected that small-scale businesses and the few large commercial and industrial clients located in the area will benefit from the program.


Key contacts

RICHARD Humphrey Ndwiga - ONEC2


Costs

Finance source Amount
ADFUAC 27,365,000
GovernmentUAC 2,596,000
TotalUAC 29,961,000