AfDB lends $113 mln for East African hydropower project
28 November 2013, 12:17
Dar Es Salaam - The African Development Bank (AfDB) has approved a $113 million loan to fund a cross-border hydro-power project aimed at easing chronic energy shortages in Tanzania, Rwanda and Burundi.
Lack of access to electricity is a major constraint to economic growth in the region.
The loan will fund construction of electricity transmission facilities for the 80-megawatt Rusumo Falls project on the Tanzania-Rwanda border.
"Construction of the transmission facilities is expected to be completed by August 2018; the three countries will share the power generated equally," AfDB said in a statement late on Wednesday.
The estimated cost of the project is $468.6 million, with the AfDB funding the transmission facilities.
The World Bank said in August it had approved a $340 million loan for construction of the hydropower plant.