The Regional Rusumo Hydroelectric project was discussed and earmarked as a necessary project for the three member countries as early as 1970s. However, civil conflict, absence of a mechanism to coordinate the project and lack of capital prevented the implementation of the important project.
Upon its formation in 1997, the Nile Basin Initiative (NBI) invigorated the discussions around the need to implement the project. Discussions with member countries: Burundi, Rwanda and Tanzania. One of the key mandates of the NBI is to support riparian countries identify natural resources, harness these into potential investment projects. Also, NBI supports member countries in approaching potential development partners to invest in the identified projects. While resource mobilization for projects in third world countries has proved cumbersome in the past due to risks and political instabilities that characterize the region, mobilization for particularly the Regional Rusumo hydroelectric project has been different. The donor community was receptive when contacted after 2005 when the Energy ministers of the three member countries agreed to jointly develop the hydro power facility. This was due to the wider project benefits not only to the three direct benefiting countries but also to the region in general. While 80mW will be added to national grids of the three countries, more so the project will support regional cooperation and trade, political cooperation through the shared facilities, and the wider power trade.
The Local Area Development Plan (LADP) is a component of the project with $15.5m earmarked for livelihood restoration in the areas of agriculture, energy, transport and trade and to reduce the vulnerability of people living in the project area.
The development partners particularly the World Bank and the Nile Basin Trust Fund (NBTF) Grant supported the initial studies. The US$7.72 million NBTF grant was instrumental in bringing the project to its current status, by allowing the project to be prepared according to international practice for hydropower projects. The NBTF grant began in 2006 and concluded in 2012. It supported preparation of the project through facilitating regional cooperation and agreement, and through preparation of social and environmental instruments.
The preparation phase of the Project helped strengthen the relationship between the three countries at both technical and political levels. Project preparation also benefited from other NBTF-supported work, including the Comprehensive Basin Wide Study of Power Development Options and Trade Opportunities in the Nile Basin; and the Eastern African Power Pool Regional Power System Master Plan. As such, the Regional Rusumo hydroelectric project transmission lines will form a 'backbone system' that will allow linking the Great Lakes including to the Eastern DR Congo power grid to the East African Community countries and later to Southern Africa Power Pool, thus facilitating power trade among member countries and beyond.
The project has undergone three important designs phases starting with Full Development Scheme (FDS), to Intermediate Development Scheme (IDS) and of late the Run of River (RoR) Development Scheme which was the most preferred development option given its reduced economic and technical risks (less social and environmental) impacts. The construction of the 80mW power plant facility and its associated transmission lines are slated to start in the first quarter of 2015, while the first power unit will be commissioned in December 2018.
In emphasizing the importance of the Regional Rusumo Project to the member countries and the east African countries as a whole, the NELSAP Regional Coordinator said the project will bring forth the intended development agenda of the partner countries. He said that one of the objectives as to why the project was envisioned is to address the "acute, periodic power deficit which are constraining economic development in the Nile Equatorial Lakes region of Africa", said Mr. Sendama Antoine. The Regional Coordinator went ahead to add that low access electricity has meant limited options for business development necessary to increase income and reduce poverty in the NEL region.
The World Bank Team Leader for the Rusumo Project and Senior Energy Specialist, Paul Baringanire, said during the approval of $340m funding for the power plant facility in Washington that “the Regional Rusumo Falls Hydroelectric Project provides a fresh opportunity to unlock energy potential in the Great Lakes region, while safeguarding the environment.” “We look forward to speedy implementation so that the idea of sharing natural resources for mutual benefits becomes a reality and helps to build peace, stability and economic opportunity for all communities in the Great Lakes region.” It should be emphasized that countries significantly reduce costs when they cooperate and jointly develop infrastructure over shared resources.
Studies have shown that about ninety percent of energy use in many NEL countries is biomass for subsistence, with a relatively small share for productive use. Current power consumption in the NEL Region is 95 kWh/capita/year. This level is merely one-tenth of the annual per capita consumption of (930 kWh/capita/year) in Sub-Saharan Africa. Only a very small proportion of the population of the NEL Region, between two percent and nine percent, has access to electric power supply. As a result, this region has an underdeveloped manufacturing sector, a large share of the population engaged in subsistence livelihoods based on natural resources (fuel wood, agriculture, fisheries), limited opportunities for modernizing and improving the quality of key infrastructure (water supply, health care, social utilities, etc.), and deforestation due to high demand for fuel wood where there is no access to commercial energy. "Expanded access to electricity and improvements in power system reliability will help support the diversification of the regional economy, thus creating opportunities for increased incomes to meet the needs of the growing population in the region" added Mr. Sendama.
The Regional Rusumo hydroelectric project is one unique case study. Trans-boundary in nature, the project paused challenges associated with its impacts to communities, the sluggish implementation of activities, the lack of commitment of some member countries, among others. The face of commitment has however changed.
The World Bank approved the social and environmental studies early 2013 and the funding of the power plant facility on August 6, 2013. The 6th meeting of Energy ministers in Bukoba - Tanzania signed the most crucial documents; the Implementation Agreement and the shareholders Agreement. In November, 2013, the African Development Bank (AfDB) approved funding for the transmission lines which are the associated facility.
Speaking during the signing of the project agreements in Bukoba, the Rwandan Minister of Infrastructure Prof. Silas Lwakabamba emphasized the importance of regional cooperation as it helps to share and benefit from scarce resources. Speaking of the importance of Rusumo Project and electricity in particular, the Tanzanian Minister for Energy and minerals Prof. Sospeter Muhongo said that electricity was vital to spur economic development even though the region's consumption rates were still low compared to other parts like the southern African, Europe and United States.
Regional Rusumo hydroelectric project is a highly anticipated project. Stakeholders; development partners, countries and consumers of electricity alike are eagerly waiting for the official launch and ground-breaking when the project will start construction in the first quarter of 2015. Indications on ground seem well set for this long awaited occasion. The enumeration of assets of Project Affected people (PAPs) on both Rwanda and Tanzania side, the recruitment of the Owner's Engineer (OE) and the Contractor are all on schedule and are expected to be concluded before the end of 2014 to pave way for the construction activities in 2015.