China Eximbank provides RMB 1.499 billion government concessional loan for the construction of the 43.5 MW Nyabarongo II Hydropower Plant and 110kV Evacuation Transmission Line Project

China Eximbank provides RMB 1.499 billion government concessional loan for the construction of the 43.5 MW Nyabarongo II Hydropower Plant and 110kV Evacuation Transmission Line Project On February 7, 2020, the Government of Rwanda and the People’s Republic of China signed a preferential loan framework agreement for the 43.5 MW Nyabarongo II Hydropower Plant and 110kV Evacuation Transmission Line Project.

Then, on June 22, 2020, China Eximbank and the Government of Rwanda signed an RMB 1,499,000,000 ($214,027,700.11) government concessional loan (GCL) agreement [CHINA EXIMBANK GCL NO. (2019) 17 TOTAL NO. (688)] for the 43.5 MW Nyabarongo II Hydropower Plant and 110kV Evacuation Transmission Line Project.

The borrower is expected to use the proceeds of the GCL to finance a $214,027,700.11 commercial contract [ID# 1l.07.023/7386/18/MD-EDCLIFG/rjg/ng] between the Energy Development Corporation Ltd (EDCL) and Sinohydro Corporation Limited, which was signed on June 6, 2018 and amended on April 2, 2019. The project is expected to provide water supply, irrigation, and electrical power generation.

It is also expected to mitigate the perpetual flooding downstream of the Nyabarongo River that has proved to be hazardous in recent years.

The project consists of 48 meter high concrete gravity dam — located near the town of Shyorongi, in Rulindo District, in the Northern Province of Rwanda (exact locational coordinates: -1.876667, 29.940278) — with crest of 228 meters and a surface power station with 2*8.5MW Keplan turbines just situated at the dam toe.

The Nyabarongo II Multipurpose Dam, is a multipurpose dam under construction across the Nyabarongo River in Rwanda.

The dam will measure 48 meters (157 ft) high and 228 meters (748 ft) long, creating a reservoir with storage capacity of 846,000,000 cubic meters (2.9876208046×1010 cubic ft).

The reservoir is also expected to provide irrigation water to an estimated 20,000 hectares (49,000 acres) of land, downstream of the dam site.

In addition, the dam will host Nyabarongo II Hydroelectric Power Station, with installed generating capacity of 43.5 megawatts.

In addition to the dam and power station, the project involves: (a) a bridge across the Nyabarongo River (b) a switchyard and a 110kV substation (c) a 110kV transmission line measuring 19 kilometers (12 mi), from the power station to the substation at Rulindo, where the energy will enter the national grid and (d) a permanent road to the site of the dam.

The project is expected to create jobs to Rwandans during and after construction of the power plant. During peak period of construction, the project is expected to employ more than 700 Rwandans. Sinohydro Corporation Limited is the EPC contract responsible for implementation. On May 23, 2022, the groundbreaking ceremony was held with an expected completion in 2027.

As of July 10, 2023, the power plant successfully intercepted the water flow, marking an important milestone in its construction. In November 2024, the plant reached 40% completion, and is expected to be completed in 2025.