Rwanda is moving closer to completing the 43.5-megawatt Nyabarongo II Hydropower Project, a major infrastructure investment expected to strengthen electricity generation and improve the reliability of power supply as the country’s energy demand continues to grow.

Construction of the project has now reached 75 per cent, with commissioning expected by December 2027.

Once operational, Nyabarongo II will become Rwanda’s largest hydropower plant by installed capacity, surpassing the 28-megawatt Nyabarongo I Hydropower Plant.

The project is being implemented by the Energy Development Corporation Limited (EDCL), a subsidiary of Rwanda Energy Group (REG).

Speaking to the New Times in an Exclusive interview, Theoneste Higaniro, the Director of Generation and Transmission at EDCL described Nyabarongo II as a flagship national infrastructure project because of its scale and multipurpose design.

"Nyabarongo II is a flagship project because not only is it renewable energy, but it will also be the biggest hydropower plant in Rwanda. It will generate 43.5 megawatts, making it larger than any existing hydropower project in the country,” Higaniro said.

Unlike Nyabarongo I, which is a run-of-river hydropower facility, Nyabarongo II incorporates a large dam and reservoir that will allow water to be stored and regulated for power generation and other uses.

The reservoir is expected to improve the resilience of electricity generation during periods of low rainfall by allowing water accumulated during wetter periods to be managed for electricity production.

Construction progressing

Construction of the project is progressing across the dam, powerhouse, transmission infrastructure and other associated facilities.

The project includes a large dam and reservoir along the Nyabarongo River, as well as electromechanical equipment required for power generation.

A transmission line is also being developed to evacuate the electricity generated by the plant and integrate it into Rwanda’s national grid.

The project’s progress comes as Rwanda continues to invest in new generation and transmission infrastructure to meet rising electricity demand from households, businesses and the country’s expanding industrial sector.

Boost to electricity generation

Once commissioned, Nyabarongo II will add 43.5MW to Rwanda’s electricity generation capacity.

EDCL said the additional generation would make a significant contribution to the national power system.

"The impact will be huge because we don't currently have enough generation capacity to satisfy demand. There are provinces whose total electricity consumption is below 43.5 megawatts. Imagine one power plant being able to supply that level of demand. It will make a major contribution to our national generation capacity,” Higaniro said.

However, the project will not eliminate the need for additional generation investments, particularly as Rwanda’s economy and industrial base continue to expand.

More than electricity

Nyabarongo II is designed as a multipurpose infrastructure project, with benefits extending beyond electricity generation.

The reservoir will support water-resource supply, management, and flood control while creating opportunities for irrigation, tourism, recreation and inland water transport.

The artificial lake is expected to stretch approximately 67 kilometres, creating a significant new water body across five districts namely Gakenke, Kamonyi, Muhanga, Nyabihu, and Ngororero. Its large storage capacity is expected to provide additional opportunities for economic activities around the reservoir.

The proximity of the reservoir to Kigali could also create opportunities for investment in hotels, recreation facilities, tourism businesses and other lakeside developments.

According to EDCL, the reservoir could open opportunities for water transport, potentially improving the movement of agricultural produce between northern parts of the country and Kigali.

"We believe tourism will develop around the reservoir. It will become the closest large lake to Kigali and people can invest in hotels and other tourism facilities,” Higaniro said.

Potential renewable energy hub

Nyabarongo II could also become an important platform for further renewable energy development.

Feasibility studies and planning for the wider development have identified opportunities for additional hydropower and pumped-storage generation downstream of the project.

The reservoir has also been identified as having significant potential for floating solar power generation.

Government officials have indicated that floating solar installations could eventually provide up to 105 MW of additional clean generation capacity, subject to feasibility studies, financing and implementation arrangements.

The combination of hydropower, water storage and floating solar could transform the Nyabarongo II site into an important renewable energy hub and help diversify Rwanda’s electricity generation mix.

Challenges during construction

Like other large infrastructure projects, Nyabarongo II has faced challenges during construction.

These have included delays related to land acquisition and compensation, difficult weather conditions, particularly heavy rainfall affecting civil works, as well as disruptions to global supply chains that have affected the delivery of imported construction materials.

Rising costs of construction inputs and fuel have also presented challenges during implementation.

Despite these difficulties, construction has continued, with the project now 75 per cent complete and efforts focused on achieving the planned commissioning date.

Environmental safeguards

Environmental protection has been incorporated into the development of the project.

Measures include rehabilitation of borrow pits following the extraction of construction materials, catchment management and protection of areas surrounding the reservoir.

The project also incorporates systems to manage sediment accumulation and floating debris, helping to protect the hydropower infrastructure and maintain the long-term efficiency of the facility.

More than a power project

Nyabarongo II represents an investment not only in Rwanda’s electricity system but also in the country’s wider economic and infrastructure development.

The project is being implemented by Chinese contractor Sinohydro, with engineering and technical supervision provided by international consultants.

With an investment of approximately $230 million, the project is expected to deliver long-term benefits to Rwanda’s energy sector while creating opportunities for tourism, agriculture, water management, transport and private investment.

As Rwanda accelerates efforts to expand electricity access and support industrialisation, the completion of Nyabarongo II is expected to play an important role in strengthening generation capacity and improving the reliability of electricity supply.

For Rwanda, the project could ultimately represent much more than 43.5MW of additional power: it could create a new economic and tourism destination while demonstrating how energy, water resources and other infrastructure can be developed together to support the country’s long-term transformation.