NILENILE BASINBASIN INITIATIVE INTIATIVE Equatorial Lakes Subsidiary Action Program

Regional Rusumo Falls Hydroelectric and Multipurpose Project (RRFP)

THEMATIC AREAS

Energy

PROJECT DETAILS

EXECUTING AGENCIES NBI/NELSAP in collaboration with the Governments of Burundi, and

PROJECT DURATION Phase I: (Studies): Three Years

START/CLOSING DATE Studies duration: until May 2010 Setting up financing structure: 2010 - 2011 Project Implementation: 2011- 2015

BUDGET (Studies)

PROJECT DESCRIPTION Studies: US $ 9.72 Million (AfDB, World Bank, Sweden, Norway, NBI) The Regional Rusumo Falls Hydroelectric and Multipurpose Project aims to increase power production in Burundi, Rwanda and Tanzania by developing a common hydropower facility of Implementation: Investment cost 60-70 MW in the basin, along with associated transmission lines. Additionally, the for both generation plant and transmission lines is estimated to project will contribute to community development near the project area through related social about USD 350 Million (source and environmental programs that might include, for example, watershed management or improved Pre-feasibility reports). access to electricity. GEOGRAPHIC LOCATION The RRFP is being developed within the overall Kagera Basin Integrated Development Framework, which is part of the and NELSAP. The Energy Ministers of The power generation infrastructure Burundi, Rwanda and Tanzania signed a communiqué on March 22, 2005, in Kigali, Rwanda will be located at Rusumo Falls on declaring their commitment to: the border between Tanzania and Rwanda and is shared among “jointly develop the Rusumo Falls Hydroelectric and Multipurpose Project and Burundi, Rwanda and Tanzania. accompanying activities such as water resources management, catchment The transmission lines will are management, and environmental management to protect and enhance the planned to extend from the power hydroelectric power investment, and investment in increased productive ventures to generation plan to Gitega (Burundi), allow for the sharing of immediate benefits of the project to citizens locally, in the three Birembo (Rwanda), and Nyakanazi countries and the wider NELSAP region.” (Tanzania).

The Ministers went on to sign a Joint Project Development Agreement (JPDA) in 2006 to carry out CONTACT INFORMATION optimization and feasibility studies. These studies – which will further explore the technical, financial, social and environmental aspects of the proposed project – are underway and expected NELSAP – CU to be completed in 2010. These studies will be followed by more detailed project development P.O Box 6759 Kigali, Rwanda and efforts to secure project financing. Tel: +250 788305195 Fax: +250 (0) 252 580100 E-mail: [email protected] PROJECT RATIONALE ii) Transmission lines connecting the hydroelectric power plant of Rusumo Falls to the national grids of Rwanda, Burundi, The people of the Kagera River Basin suffer from the aftermath of and Tanzania, and the related project area development. This years of civil strife and limited investments in social, infrastructure will contribute to increased economic activity and private sector and environmental assets. There is a strong commitment among development while the “transmission backbone” would allow the Basin governments towards addressing the regional energy for flexibility in each country’s power system and promote crisis, expanding electricity access, and supporting development, regional power trade linking with Eastern DRC to the countries to break out of a downward spiral of land degradation, of the East African Community (EAC). unsustainable use of water, low access to public infrastructure iii) A jointly owned utility / institutional mechanism for the and services, and constraints to private sector development. co-management of power generation and distribution to Provision of electricity will be key in advancing economic and national utilities. Such a joint institution might also be social development in this region. responsible for social and environmental management.

IMPACT STATEMENT CONSTRAINTS/CHALLENGES

The project will develop renewable hydroelectric power as part • Ensuring studies result in best possible of a broader program to support sustainable management of the recommendations for project design – in areas of Kagera river basin and promote growth and poverty reduction. technical, financial, social and environmental aspects This approach will provide more electricity to growth centers • Securing financing for the project implementation while ensuring that environmental assets are managed and • Mitigating potential environmental and social impacts benefits of power production shared. It is expected that the project related to hydropower development and reservoir creation will lead to an increase in economic activity, private sector • Ensuring that the benefits of the project are shared by the development, and investments in social infrastructure and people of the three countries services made possible by improved access to electricity. KEY OUTPUTS FOR THE OPTIMIZATION AND FEASIBILITY STUDIES: PROJECT COMPONENTS (i) Feasibility studies Reports for both Power Generation i) A hydroelectric power generation plant at the Rusumo Plant and Transmission Lines, including plans for Falls of 60-70 MW capacity to be shared between the three mitigation of social and environmental impacts; countries, accompanied by local area development focused (ii) Detailed Design and Tender Documents for on social and environmental management. The specifics Transmission Lines; of this local area development program will be identified (iii) Further definition and specification of the community and further developed during project preparation and in development aspect of the project; consultation with national and local governments and (iv) Financial closure. communities.