Rwanda launches construction of $530mn natural gas plant

Rwanda is gearing up for the completion of a groundbreaking project that promises to revolutionize the country's energy landscape. The construction of a state-of-the-art plant to produce compressed natural gas from Lake Kivu's methane gas is underway in the Karongi district. This ambitious initiative, valued at $530 million, is set to create employment opportunities for over a thousand people and leverage cutting-edge technology. In a recent interview with CNBC Africa, Ted Kaberuka, a Partner at Centrix Group, shed light on the project's significance and potential impact on Rwanda and the broader African region. Despite facing delays due to the COVID-19 pandemic, the project is now back on track, with an expected completion timeline of two years. Kaberuka highlighted the project's role in diversifying Rwanda's energy sources and reducing its reliance on imported fuels. The natural gas extracted from Lake Kivu will serve a variety of purposes, including cooking, transportation, and industrial use, offering a sustainable and cost-effective solution. Moreover, the project is poised to boost Rwanda's economy by creating job opportunities, reducing the country's natural gas import bill, and potentially serving as an export commodity to the region. By attracting private sector investments through various incentives such as tax exemptions and investment protection, Rwanda aims to position itself as a hub for energy production activities. The successful implementation of this project not only reflects Rwanda's commitment to sustainable development but also sets the stage for a transformative shift in the energy sector across the region.