The Dutch government has become the first development partner to fulfill its promise of contributing to the national electricity rollout programme.

On Thursday, the government of the Netherlands and Rwandan government signed an agreement that will see the Dutch release Euros 30m towards the realization of the project. 

USD 400m has been earmarked for the national electricity rollout programme.

Last march, government with assistance from World Bank and the African Development Bank launched the fund that will see the country increase power access from the current estimated six percent (110,000 total connections) to 16 percent (350,000) by 2012.

"We appreciate the Netherlands’ gesture to lead the group. As you promised and delivered, so shall we deliver on our part,” James Musoni, Finance Minister said at the signing, adding that the government is committed to honour its USD 40m pledge.

The Dutch envoy, Frans Makken, highlighted his country’s pleasure in helping Rwanda, a country, he noted was seriously starting a journey towards energy sustainability.

"The impact I think, will be very huge. It will open up possibilities for other economic activities, schools and hospitals will be connected and there will be indirect benefits for other areas,” he said.

The country’s Water and Electricity public utility, Electrogaz, also pledged "about” $27m.

Also expected to contribute $30m are a consortium of Arab banks – the Arab Bank for Economic Development in Africa (BADEA) and the OPEC Fund for International Development (OFID).

The World Bank group has also pledged$70m.

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