A Review of the Nigerian Energy Industry

Rwanda to increase water, electricity tariffs

Technicians from Rwanda Energy.
Technicians from Rwanda Energy.

08 August 2015, Kigali – Rwanda Utility Regulatory Authority (RURA) has released new tariffs for water and electricity.

The new tariffs, to be effected in September, will see consumer prices for water increase by 19 per cent, while electricity tariff for low voltage will increase by 35 per cent.

Speaking at a media conference in Kigali, yesterday, Patrick Nyirishema, the director-general of RURA, said the new tariffs are in line with changing market prices.

“The government is sparing no effort to ensure increased access and affordability of basic utility to all Rwandans.

Since the last tariff revision of 2006 and 2012 for water and electricity, respectively, the prices on the market have seen a considerable upsurge. This is a low increase in comparison with prices on the market,” Nyirishema said.

Electricity tariff will increase by 35 per cent for low voltage users, including residential and non-residential consumers, where the price will go up from Rwf134 per kilowatt to Rwf182 per kilowatt.

For the medium voltage rates (industrial consumers), the tariff will remain Rwf126 per kilowatt.

Water tariff will increase by 19 per cent in general but the price will go up accordingly to monthly use ranges.

‘Offsetting costs’

RURA says the increase is meant to offset the water cost, which used to be subsidised by electricity.

The increase is also meant to help cater for rehabilitation and maintenance of water networks and purchase of chemicals for water treatment.

For public taps, the flat fee will increase from Rwf240 per cubic metre to Rwf323 per cubic metre.

Residential and institutions consuming between zero and five cubic meters per month, the price will rise from Rwf240 to Rwf323 per cubic metre.

Residential and institutions with a monthly water consumption of between six and 20 cubic metres, the price will rise from Rwf300 to Rwf331 per cubic metre, while for residential and institutions consuming between 21 and 50 cubic metres per month, the price will rise from Rwf400 per cubic metre to Rwf413 per cubic metre.

Residential and institutions using between 51 and 100 cubic metre per month will see the price go up to Rwf736 per cubic metre from the current Rwf650 per cubic metre, while for those consuming between 101 cubic metre and above per month the price will go up to Rwf847 per cubic metre from the currentRwf740 per cubic metre.

For factories, the flat fee will go up to Rwf736 from the current Rwf593 per cubic metre.

The new tariffs, to apply to all consumers connected to the National Utility Water Network, will come into effect on September 1.

Coletha Ruhamya, the chairperson of the RURA board, said new prices are not intended to fix the problem of water shortage but an indication that the government is working hard to deal with the issue.

“The problem of water shortage is not to last forever. The government is working hard to find solutions to the problem but in the meantime we need to have effective regulation of utilities we have,” Ruhamya said.

For electricity, 70 megawatts are intended to be added to national power grid by 2016, including 25 megawatts to be generated from Kivu Lake, 30 megawatts to be imported from Kenya and 15 to be generated from pit.

For water, 25000 cubic metres are intended to be added to the daily water production in Kigali from the current 65,000 to 90,000 per cubic metres by the end of 2015.
*Theogene Nsengimana – The New Times

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