Govt to pay Rwf10bn compensation for Rusizi III hydropower project
Thursday, July 23, 2026
The 206 MW Ruzizi III Regional Hydropower Project will be constructed along the Ruzizi River. Courtesy MININFRA

About $7 million (approximately Rwf10 billion) will be paid to households affected by the 206MW Rusizi III Hydropower Project as preparations for construction of the regional power plant gathers pace, project developers have told The New Times.

The compensation will cover land, homes and other assets that will be acquired for the project and related infrastructure. Once completed, the hydropower plant is expected to strengthen electricity supply in Rwanda, Burundi and the Democratic Republic of the Congo (DRC).

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The $800 million Rusizi III Regional Hydropower Project is advancing with renewed momentum. Across Rwanda and the DRC, the Resettlement Action Plan (RAP) is estimated to cost about $21 million, with roughly $7 million allocated to affected households in Rwanda, according to information obtained from Ruzizi III Energy Limited.

The signing of compensation agreements in Rwanda began on July 20, 2026.

The exercise covers all project-affected persons whose land and assets were inventoried during the September 2025 valuation exercise and whose names appear on the official list published after the June 8, 2026 cut-off date declaration.

The cut-off date marks the deadline after which any new developments or assets on affected land are not eligible for compensation, preventing attempts to inflate compensation claims.

According to a notice issued by the project, each affected person will have the opportunity to review the compensation agreement, verify the recorded assets and compensation amount, and seek clarification before signing.

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The exercise is being conducted in phases, starting in Nzahaha Sector before moving to Bugarama Sector, both in Rusizi District.

The process began at Groupe Scolaire Ruhoko in Murya Cell, Nzahaha Sector. The start date for Bugarama Sector, where signings will take place at Groupe Scolaire St Paul, will be announced after the Nzahaha exercise is completed.

To ensure an orderly process, each project-affected person will be notified at least three days before their scheduled signing date.

Compensation payments will be made after all affected persons have signed the agreements.

Project officials also reminded beneficiaries that legally married couples must both be present to sign the compensation forms. Participants are required to present identification and relevant supporting documents, including national identity cards, land titles, marriage or widow certificates where applicable, and certificates of single status.

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According to Mohsin Tahir, Project Director at Ruzizi III Energy Limited, about 1,232 households on the Rwandan side are expected to qualify for compensation.

"The project is currently projected to benefit around 30 million people, many of whom live in areas with limited access to electricity. Once commissioned, Ruzizi III is expected to nearly double Burundi&039;s installed electricity generation capacity, increase Rwanda's renewable energy capacity by almost 30 per cent, and provide reliable renewable baseload power to eastern DRC," Tahir said.

Beyond electricity generation, the project also includes a Local Area Development Plan to support surrounding communities.

"Lenders are working towards financing up to $30 million for this programme, with $10 million expected to be allocated to each participating country," he added.

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Support for land title processing

Project developers said they are working with Rusizi District to help affected residents whose land title processing is still pending so they can complete the compensation process without unnecessary delays.

The Rusizi III project is expected to be financed through a mix of concessional public funding and private investment. Financing partners include the World Bank, African Development Bank, European Union, European Investment Bank, Agence Française de Développement, KfW, International Finance Corporation, and British International Investment, among others.

Last year, U.S.-based Anzana Electric Group expressed interest in acquiring a 10 per cent equity stake in Rusizi III Holding Power Company Limited (RHPCL). The company later signed a Letter of Intent that would allow it to acquire the stake once a final agreement is concluded.