Hydropower in Rwanda: Ongoing Initiatives & New Investment Opportunities. Yves Muyange Director General Energy Water & Sanitation Authority

Transcription

1 Hydropower in Rwanda: Ongoing Initiatives & New Investment Opportunities Yves Muyange Director General Energy Water & Sanitation Authority

2 Rwanda: A Thousand hills between the two Major Drainage Basins of Africa Major Rivers: 1. Akagera, Nyabarongo, Mukungwa, Rukarara, Akanyaru Rivers 2. Rusizi River 1

3 Hydropower Development in Rwanda Total Existing Hydropower installed capacity (July 2011) = MW (57.4%) Total Hydropower Capacity under construction= 44.0 MW Total New capacity (feasible & identified) = 232 MW Total Contribution by 2017 = MW 2

4 Existing Installed Hydro Capacities as at Jan Category Name Installed Capacity (MW) On-grid Hydro Power Available Capacity (MW) Remarks, Ownership, etc Ntaruka Public Mukungwa Public Gihira Public, Rehab Gisenyi Public, on rehab Rukarara 9 9 Public Rugezi Public, Commissioned end June 2011 Nkora, Keya, Cymbili Public, Commissioned end July 2011 Murunda (REPRO) Private Imported/Shar Rusizi I (SNEL) Public ed Hydro Rusizi II (SINELAC) Public Power Off-grid Micro Nyamyotsi I Public Hydro Power Mutobo Public Agatobwe Public Nyamyotsi II Public Rushaki Private Total

5 Hydropower Projects Under Construction: Public, PPP & Private No. Hydropower Site Installed Capacity (MW) Developer/ Promoter Mode of Implementation 1 Nyabarongo I 28 GoR Public 2 Mukungwa II 2.5 GoR Public 3 Nyirabuhombohombo 0.5 GoR Public 4 Gashashi 0.2 GoR Public 5 Nyabahanga 0.2 GoR Public 6 Janja 0.4 GoR Public 7 Nshili 0.4 GoR Public 11 Rukarara II 2 GoR Public 12 Rubagabaga Calimax PPP 13 Musarara SOGEMR PPP 14 Giciye 4.0 RMT PPP 15 Mazimeru 0.5 ENNY Private Total

6 Planned Hydropower Projects (Nyabarongo (II) 17 MW) Nyabarongo (II) 17 MW multipurpose project (power, water supply and irrigation). Feasibility study was completed in 2008 with the assistance of the Korean Water Resources Agency. Project being reviewed and may be structured as a PPP. The project consists of 48 m high concrete gravity dam with crest length of 228 m, and a surface power station with 2x8.5 MW Kaplan turbines just situated at the dam toe. The project may be structured either as Publicly financed or PPP. Planned Start Date: 2013/14 Appr. Investment Cost: USD 150 Million as per KOICA2008 Report, Public/PPP 5

7 Planned Hydropower Projects (Rusizi III Hydropower) Rusizi III is a 145 MW hydropower project shared by Burundi, DRC and Rwanda (48 MW Rwanda share) and situated on Rusizi River and is structured as a PPP. The project is being developed under CEPGL umbrella for Rwanda, Burundi and DRC. The project consist of 105 m long dam crest whose height is 20.5 m, 2.82 km Headrace Tunnel and a surface power station with 3x50 MW Francis Units Approx. Cost :US$ 565 Million and can be Private Public Partnership The Project is structured as a Public Private Partnership Planned Start Date: 2013 A Transaction Advisor is in place and preparing Tender document for recruitment of a preferred Investor 3 investor candidates have been prequalified National negotiators have been appointed in order to conduct negotiations with the would be selected Investor 6

8 Planned Hydropower Projects (Rusizi IV Hydropower) Rusizi IV is a 287 MW hydropower project (96 MW Rwanda share) utilizing 224 m natural head and the power output will be shared equally by three countries of Burundi, DRC and Rwanda. The project will be developed under CEPGL umbrella for Rwanda, Burundi and DRC. The project has a pre-feasibility study completed and may be developed as a PPP. The project is envisaged to consist of 80 m feed channel, 4.5 km long low pressure tunnel, surge shaft and a surface power station with 4x72 MW Francis units. US$ 432 Million as Study Report 2009 and may be structured as a PPP Planned Start Date: 2016/17 7

9 Planned Hydropower Projects (Rusumo Falls HEP) Rusumo Falls, a 90 MW hydropower project, is to be jointly publicly developed by Tanzania, Burundi and Rwanda (30 MW Rwanda share). The project is being developed under NELSAP umbrella for Rwanda, Burundi and Tanzania. Rusumo Falls Hydropower Project is planned to generate 90 MW and the power output will be shared equally by three countries. The project consists of concrete dam with crest length of 150 m whose height is 14.5 m, Headrace Tunnel of 460 m and a surface power station with 3x30 MW Kaplan turbines. The Project is structured as a Publicly Financed but privately managed Planned Start Date: 2013 Draft Feasibility Study Report and Institutional Framework complete with support from WB Tripartite Agreement signed between the three Governments in Feb 2012 Procurement process of Owners Engineer commenced Financing: US$ $400m Million, Public Financed but Privately Managed 8

10 Planned Hydropower Projects (Akanyaru Hydropower Project) Akanyaru Hydropower Project whose feasibility study was completed by SOGREAH Engineers in 1992 and is a 4 MW resource and may be developed as an IPP The project will be developed under IPP arrangement and is planned to generate 4 MW and the power be fed into the Rwanda National Grid. The project consists of 35 m high dam with crest length of 125 m, Headrace Tunnel of 383 m long, Surge Chamber, Penstock 110 m long and a surface power station with 2 x2 MW Francis turbines Planned Start Date: 2014/15 Appr. Investment Cost: USD 13 Million as per SOGREAH Engineers 1992 Report 9

11 Planned Hydropower Projects (Ntaruka A Hydropower Project) Ntaruka A with 2 MW site is available for development and is located on Ntaruka River, Busanze Sector in Nyaruguru District, Southern Province. The project is to be developed under IPP arrangement and is planned to generate 2 MW and the power fed into the National Grid. The project consists of diversion weir with crest length of 14 m, Headrace Canal 258 m, Penstock 30 m long and a surface power station with x2 MW Francis turbines. The Project may be structured as an IPP Approx. Investment Cost: and its cost is estimated at USD 10 Million and has a feasibility study report Planned Start Date: 2013/14 10

12 Planned Hydropower Projects (20 SITES TOTALING 9 MW TO BE BID AS 4 BUNDLES OF PROJECTS) The sites are situated in Northern, Western and Southern Provinces of Rwanda These are mini hydropower potential sites that so far have their Pre-Assessment Studies and costing reports prepared. Est. planned completion: Expected investment: US$25-30 Million. Envisaged to be developed as IPPs 11

13 Why Invest in Hydropower? Hydropower is a proven commercial technology. The low cost of hydropower, especially for the planned regional projects, is critical for Rwanda to supply low cost power to its citizens Rwanda is keen to develop its hydropower resources as part of its strategy to substantially increase installed power capacity in the country through the development of domestic energy resources The available REFIT scheme is attractive Hydropower is environmental friendly Rwanda has a low hydrology risk 12

14 Investment Opportunities in Hydropower? (I) AA: Micro-Mini hydropower Akanyaru 4 MW Hydropower site is available for development and its investment is est. at USD 13 Million Ntaruka A with 2MW site is available for development and its cost USD 10 Million and has a feasibility study report 20 projects totaling 9 MW to be bid as 4 bundles of projects. Pre-feasibility and costing reports prepared. Expected investment: $25-30 million. Planned completion: Bundled bids of 10 MW of projects to be bid every year for 3 years from Pre-feasibility and costing reports are ongoing. BB: Medium hydropower 17 MW Nyabarongo II has a Feasibility report completed. Expected investment: $80m. Planned Completion:

15 Investment Opportunities in Hydropower (II) CC: Regional Shared Projects 145 MW Rusizi III shared by Burundi, DRC and Rwanda (49 MW Rwanda share) i. Expected investment: $565m. Planned Completion: ii. 2016/2017 Project is seeking investment partners and financing iii. Project will need EPC contractors 287 MW Rusizi IV is planned (96 MW Rwanda share). 90 MW hydropower project, is to be jointly developed by Tanzania, Burundi and Rwanda (30 MW Rwanda share). i. Investment cost is about USD 400 Million. ii. Private sector management contract planned for O&M iii. Project will need EPC contractors 14

16 Investment Opportunities in Hydropower (III) Privatization/Management Contract of GOR plants GOR intends to privatize some of its existing small hydropower assets (totaling 16.8 MW) by placing them under private sector management. These are: i. Rukarara 9 MW ii. Rugezi 2.2 MW iii. Mutobo 200 kw iv. Nyamyotsi I & II 200 kw v. Mukungwa 2.5 MW vi. Gashashi 200 kw vii. Nyabahanga 200 kw viii. Nyirabuhombohombo 500 kw ix. Nshili I 400 kw x. Janja 200 kw xi. Keya (2.2 MW), Nkora (0.68MW) & Cymbili (0.3MW) 15

17 Investment Opportunities in Hydropower (IV) Hydropower Financing Opportunities: Regional hydropower projects will need financing to complement existing commitment from EIB, KfW, FMO, AfDB and WB Group IPP projects to be developed with equity and debt capital on the basis of a PPA from EWSA or other National Utilities for regional projects Financing institutions such as AfDB, WBG (WB, IFC, MIGA), EU and other bilateral donors and development partners will support eligible projects GOR will consider providing other incentives Risk mitigation instruments including PRI, PRG, PCG, from AfDB, the WB, and MIGA will be available to eligible projects and developers 16

18 Solar Energy Projects in Rwanda Opportunities for Investment in Rwanda 17

19 Solar energy resource in Rwanda Background Rwanda is located in East Africa at approximately 2 degrees below the equator. It boarders with Burundi in the south, Democratic Republic of Congo in the west, Tanzania in the East and Uganda in the North. Existing Solar Energy Projects Rwanda is generally characterised by Savannah climate and its geographical location endows it with sufficient solar radiation intensity approximately equal to 5kWh/m 2 /day with the peak sun hours of approximately 5 hours. 250 kwp Solar PV plant : Construction activities started in 2006 and it was commissioned in It is connected to the grid and since then it has been operating successfully. Off grid Solar PV projects: Currently 300 Schools and 50 Health centres, all located in rural areas where the grid has not extended yet are being equipped with solar PV installations. 18

20 Investment Opportunities Construction of 10MW Solar PV plant The Government of Rwanda has identified 25 hectors of land and reserved it, for the construction of 10 MW solar plant. This site is located in North Eastern part of the country, in Eastern Province, Nyagatare District approximately 190 Km from Kigali The plant (10MW solar plant) will be connected to the grid and will be constructed on IPP basis. 19

21 Investment Opportunities (cont ) Existing infrastucture Access road of about 2.4 Km is available and connects the site to main road (Kigali Kagitumba). Within the site there is a 30 KV transmission line and a 50KVA transformer that will be up graded to evacuate the power generated from the 10 MW plant. There is a telecommunication to tower (antenna ) installed in the site whose security is offered by military men and which will also be an opportunity to the solar plant. 20

22 Investment Opportunities (cont ) Policy, Law & Regulation GOR is in the process of developing a Solar Energy Policy and Solar Map. REFIT scheme for Solar Energy is under revision and approval. Currently, for any interested investor, a purchase price is negotiated. Why invest Solar Energy in Rwanda? Rwanda is keen to develop solar Energy as part of its strategy to substantially increase installed power capacity and reduce the quantity of fuel ( Diesel and Heavy fuel Oil) used in thermal generators. An purchase price is negotiated Solar Energy is a clean energy and environmental friendly. Rwanda is located in the region of Africa with good potential for solar energy. 21

23 Conclusion The Government of Rwanda invites interested investors to come do feasibility study, construct, operate and own the 10 MW solar plant in Rwanda. 22

24 THANK YOU ALL + Q&A 23