According to officials, the updated framework is designed to balance household affordability with the need to strengthen national production, encourage industrial efficiency, and support investment in green infrastructure.
In a statement released on Wednesday, RURA Director General Evariste Rugigana announced the expansion of the first block of household consumption from 15 kilowatt hours to 20 kilowatt hours per month, while the tariff for this essential band remains unchanged at 89 Frw/kWh.
This measure is intended to protect vulnerable households and promote universal access to electricity. Beyond this, however, significant adjustments are introduced: households consuming between 20 and 50 kWh will now pay 310 Frw/kWh, up from 212 in 2020, while those using more than 50 kWh per month will pay 369 Frw/kWh, compared to 249 under the previous schedule.
For non-residential customers, tariffs have also been reviewed upwards. Those consuming up to 100 kWh will now pay 355 Frw/kWh, while usage above 100 kWh is charged at 376 Frw/kWh, compared to 227 and 255 respectively in 2020.
At the same time, RURA has introduced preferential rates for health facilities, schools and higher learning institutions, setting their tariff at 214 Frw/kWh, significantly below the general non-residential rate to ease operating costs for critical services.
Sector-specific customers will also see changes. Telecom towers will now pay 289 Frw/kWh, up from 201, while broadcasters face an increase from 192 to 276 Frw/kWh. Hotels have been split into two categories: those consuming less than 660,000 kWh annually will pay 239 Frw/kWh, while larger hotels are grouped with small industries and charged at 175 Frw/kWh. Commercial data centres, which paid 179 in 2020, will now also pay 175 Frw/kWh.
Industries face a mix of higher energy charges but also new incentives to shift usage to off-peak hours. Small industries will now be charged 175 Frw/kWh, up from 134, while medium industries rise to 133 Frw/kWh from 103.
Large industries move to 110 Frw/kWh, compared to 94 previously, while steel, mining and cement industries consuming more than one million kWh annually will pay 97 Frw/kWh.
Crucially, while maximum demand charges during peak and shoulder hours remain unchangedâ€"11,017 Frw/kVA for small industries, 10,514 for medium, and 7,184 for large industries during peak hoursâ€"off-peak demand charges have been cut to zero.
Previously, industries were required to pay between 886 and 1,691 Frw/kVA for off-peak consumption. This represents a major policy shift designed to encourage night-time production and reduce strain on the grid during peak hours.
For industrial customers without smart meters, prepaid flat rates have also risen. Small industries will pay 175 Frw/kWh, up from 151, medium industries 156 Frw/kWh compared to 123, and large industries 124 Frw/kWh up from 106.
Speaking after the announcement, Minister of Finance and Economic Planning, Yusuf Murangwa, said the new tariff adjustments are intended to boost national production by guaranteeing factories affordable and reliable power. He underscored that the Government of Rwanda remains committed to ensuring that households retain affordable access to electricity despite the increases in higher consumption bands.
Murangwa further noted that the tariff revision is only one element of a broader energy strategy. He pointed to ongoing efforts to expand Rwanda's electricity grid and highlighted the country's exploration of nuclear energy development as part of long-term plans to diversify supply, improve reliability, and lower costs.
By combining household protection, targeted social sector support, and industrial incentives, the revised tariff framework is expected to provide a more sustainable foundation for Rwanda's energy sector. RURA emphasised that the changes also align with the country's climate and economic goals, particularly by promoting investment in green infrastructure and e-mobility charging stations.
Wycliffe Nyamasege
Source : https://en.igihe.com/business-62/article/rura-electricity-tariff-adjustments-what-has-changed
