HOW ONE MAY SET UP A MINI/OFF GRID POWER PLANT/HYBRID/SOLAR PLANT OF 50 KW AND ABOVE IN RURAL AREAS OF RWANDA.(how one may obtain a license to set up a power plant in rural areas of Rwanda)

HOW ONE MAY SET UP A MINI/OFF GRID POWER PLANT/HYBRID/SOLAR PLANT OF 50 KW AND ABOVE IN RURAL AREAS OF RWANDA.(how one may obtain a license to set up a power plant in rural areas of Rwanda)

Laws applicable include

• THE LAW N°21/2011 OF 23/06/2011 GOVERNING ELECTRICITY IN RWANDA ESPECIALLY
• ELECTRICITY LICENSING REGULATIONS NO. 002/ENERGY/EL/RURA/2013
• REGULATION N^O 01/R/EL-EWS/RURA/2015 GOVERNING THE SIMPLIFIED LICENSING FRAMEWORK FOR RURAL ELECTRIFICATION IN RWANDA.
• LAW N° 09/2013 OF 01/03/2013 ESTABLISHING RWANDA UTILITIES REGULATORY AUTHORITY (RURA) AND DETERMINING ITS MISSION, POWERS, ORGANIZATION AND FUNCTIONING
• AMONG OTHERS depending on the circumstances

For one to engage in electricity Productions, generation, transmission, distribution, supply, purchase and or sale in Rwanda whether of grid, on grid or mini grid he or she must be licensed by RURA in accordance to articles 4,5,6 and 7 Of the electricity law of Rwanda,Articl4 of Electricity licensing regulation and article 3 REGULATION N^O 01/R/EL-EWS/RURA/2015 GOVERNING THE SIMPLIFIED LICENSING FRAMEWORK FOR RURAL ELECTRIFICATION IN RWANDA.

Whereas this article is only concerned with the procedure I find out incidental to define herein the following activities as per article 2 of The Electricity Law Rwanda.

• electricity  is defined as electric power generated fromwater, oil, gas, peat, solar energy, wind energy, nuclear energy and any other;
• distribution of electric power is defined as the use of adistribution network meant for delivery of electrical power from supply points of the distribution network to end-use customers and comprising electric lines, stations, transformers and other electric components whose function is the retail distribution of electrical power;
• Production of electric power is defined as the generationof electricity in any power plant connected to transmission or distribution networks and any
• Off- grid is defined as an act of distribution of electric powerout of the public grid;
• Sale of electric power is defined as the sale to third partiesor to end-use customers;
• Transmission of electric
• Power is defined as theexploitation of a transmission network meant for the transport of electric power from production sources to the supply point of the distribution network and comprising electric power lines, stations, transformers as well as other electric components;

In the event that you are interested in any of the activities defined above you may proceed as follows,

1. in case you have not incorporated a company ,proceed to register one and include power/electricity production.transmission.sale among others as one of the objectives
2. Obtain the following documents

a. copy of Company registration certificate specifying that electricity services are one of the businesses to carry out;

• A copy District Authorization approving planned activities at the site;
• Where applicable, an Environmental Impact Assessment Certificate;
• A description of any interactions with government institutions on the project to date, including a copy of any supporting documents obtained;
• A Business Plan outlining the applicant’s financial and technical capacity to carry out proposed activities; and
• A proof of payment of the application fee as prescribed in Schedule 2 of this Regulation.
• Investment license
• Tax clearance.

2. Obtain the application for license from RURA.

3. Complete the application for the license with necessary information including

1. Applicant’s name and a list of applicant’s affiliated companies;

1. Applicant’s internal organizational structure;

1. Description of the geographic territory planned to host activities for which the applicant requests a simplified license;

1. The qualifications of key employees responsible for supervision of the preparation for the project; and

• Any other information deemed necessary by the Authority for decision making at any phase of the proceeding

• A sufficient description adequately specifying the actual or proposed location of each generating plant operated or intended to be operated under the simplified license if granted;

• The number of generating plants operated or to be operated;

• The date when any proposed generating plants are expected to be commissioned;

1. The maximum power (kW, kVA, kVAr) expected to be available from each generating plant at any one time;

• A sufficient description adequately specifying the actual or proposed locations of the electric supply lines constituting the intended distribution system and the area to which the application relates;

• An indication of the extent to which, and the locations in which, those electric supply lines will be placed underground and overhead;

• Particulars of the person from whom, and the points at which, the applicant to receive the electricity which he will distribute as well as particulars of the expected connection points and quantities;

• Point of interconnections to the transmission or other distribution systems ( if any);

• Forecasted annual maximum demands in his distribution system (kW) and energy (kWh) to be distributed; and

• The detailed list of current physical facilities to be covered by the license, with tables of the technical standards schemes and parameters of the facilities.

• Verify the information filled in to be true.
• Prepare also a cover letter requesting for the license.
• Assess your application at any of Rwanda revenue AUTHORITY or its agents for fees payment.
• Attach all the documents mentioned above on the application for the license.
• Proceed to submit your application with all the attachments to Rwanda untilities Regulatory authority (RURA).
• Upon receipt of a simplified license application, the Director General of the Authority shall cause a docket to be opened to track the application.
• The docket shall reflect all procedural and substantive decisions on the license application;
• The Authority may upon scrutiny of the application notify and require the applicant to furnish such additional information or particulars or documents as considered necessary for the purpose of assessing the application;
• For Small isolated grid, If the Authority determines that the simplified license application is complete it may proceed to consider it and make a decision within 30 days.
• The decision shall be communicated to the applicant in writing.
• For the medium and large min grid license applications,If the Authority determines that the simplified license application is complete, it shall put a public notice of the simplified license application in a newspaper of general circulation in the Republic of Rwanda.
• The notice shall include a brief summary of the proposed license application and inform the public how, when and where to submit comments on the proposed license. Notice shall also be posted on the Authority’s website and at its headquarters;
•  Directly affected parties and local authorities shall be invited to lodge with the Authority objection within a specified time being not less than Fourteen (14) days after the publication;
• The Authority shall strive to complete consideration of a simplified license application within thirty (30) days for Small Isolated Grid and sixty (60) days for Medium Size Isolated Grid or Small Power Distribution from the day of receipt of the application. The thirty (30) and sixty (60) days’ period does not include the time for the applicant to respond or the Authority to request for additional information. This time limit is an internal administrative goal and not an enforceable deadline.
• The Regulatory Board shall make a final decision on the simplified license application relying upon applicable rules and regulations;
• The Regulatory Board members shall decide to either issue the simplified license, with or without conditions, or to deny the simplified license;
• The Regulatory Board shall issue its decision as promptly as possible, but in no event later than sixty (60) days following receipt of a complete application, except where unusual circumstances require a longer period of review in order to render a fair and reasonable decision;
• In the case where the Authority requires additional time for decision in order to obtain information from third parties, to resolve technical or legal issues, or similar reasons, the Authority shall provide a written notice to the applicant, with an explanation of the cause for the delay;
• In case the application is rejected the applicant may appeal against the decision.

NB .PLEASE NEVER ENGAGE IN ANY OF ELECTRICITY /POWER ACTIVITIES WITHOUT A LICENSE BECAUSE IT IS CRIMINAL BESIDES YOU ARE BARRED BY THE LAW TO ENFORCE ANY CONTRACT ARISING FROM THE SAID ACTIVITIES DESPITE THE OTHER PARTY HAVING A RIGHT TO ENFORCE HIS RIGHTS AGAINST YOU UNDER THE SAME CONTRACT.

Authored by OKUMU MARTIN , A regional transactions legal consultant (ADVOCATE) at NOA REGIONAL ASSOCIATED ADVOCATES AND LEGAL CONSULTANTS
Email address: onlinetransactionconsultancy@gmail.com.

Contacts. +250787311255,+256788105242

Whatsapp +250787311255.

+256788105242

NOTE: whereas the author has made necessary efforts to ensure the accuracy of this post, it is not intended to provide specific legal advice to a particular individual as individual situations may differ.

For specific/individual  legal transaction advice on this subject matter and related subject, you may contact the author at online consultancy fee, or contact any transaction legal consultant of your choice.
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