A growing global movement that addresses one of the world’s most pressing concerns, sustainability is taking the world by storm. Renewable energy in Rwanda, in particular, has improved the country in several ways.

Rwanda, known for its picturesque landscapes, presently has significant economic challenges. As of 2023, 56.5% of the population lives below the international poverty line. Some reasons for this poverty include the 1994 genocide as well as an overall limited access to education and health care. Many Rwandans unfortunately do not have access to essential resources and services. 

Despite these challenges, however, renewable energy is Rwanda’s silver lining. Using natural resources like sunlight and wind, renewable energy can bring about positive change to Rwanda’s poverty problem. Rwanda generated 62.3% of its power via renewable means, and the nation has created means to fight poverty in three main ways using these sustainable energy solutions.

Job Creation

One of the main reasons for unemployment (which, in turn, leads to poverty) in Rwanda is the 1994, which, according to the International Labor Organization, “impaired all socio-economic activities in Rwanda.” The country seems to have had a difficult time bouncing back in terms of employment. In 2022, in fact, the World Bank claims that around 13% of Rwandan’s workforce was unemployed.

Of course, employees are required to set up renewable energy power plants. This creates jobs and fights unemployment, one of the three stages in the vicious circle of poverty. Jobs could include technical workers, such as engineers and electricians, and would require roles such as project managers, as well as other professionals relevant to renewable energy.

Several components are necessary for renewable energy plants, including solar panels. These high-end components have to be produced, creating jobs as a result. For example, the Global Green Growth Institute’s executive summary of one such renewable energy initiative stated that it would create 31,000 direct jobs. Creating jobs and increasing employment is therefore one major way to combat poverty while fighting for renewable energy in Rwanda.

Energy Cost Reduction

The price that the average impoverished family pays for energy is also important to keep in mind. Switching to renewable energy can, in many scenarios, lower the financial burden faced by many lower-class households.

Renewable energy in Rwanda is no exception. At first, it seems counterintuitive that something as expensive to create as solar panels is more economically viable than using fossil fuels. Although most renewable power plants, such as solar, wind and geothermal, have high initial costs, their high efficiency makes them far superior to fossil fuels in the long run. 

In addition, unlike fossil fuel consumption, renewable energy taps into free resources like sunlight and wind, while mining and transporting fossil fuels can have high prices. According to scientifically conducted models through computer simulations, renewable energy is cheaper when compared to traditional forms of energy. The cost of renewable energy in Rwanda is a major reason for its success in alleviating poverty

Basic Service Accessibility Improvement

Renewable energy in Rwanda has improved access to basic services for impoverished communities. Reliable electricity, for many impoverished people in Rwanda, is a lifeline that has been extended thanks to the advent of renewable energy. Basic services like electricity, step by step, will improve this accessibility further and will make Rwanda develop faster than it already is.

Electricity has spurred many Rwandan businesses. For example, Mbonimana Jean Pierre began a lucrative welding business when his home village of Bweyeye connected to electricity. According to the World Bank, “on average, he makes more than 150.000 RwFr per month (around $165), far more than he used to earn in the city, but more importantly, he is with his family.”

Although this access to electricity was not directly a result of renewable energy, one can argue that it often leads to a large amount of power needed to supply such ventures. This beautiful story exemplifies how positive development in basic services such as electricity can lead to thriving businesses and significant strides against poverty. 

The Link Between Renewable Energy and Poverty Reduction

It is not a secret that renewable energy can help fight against poverty. In fact, the International Monetary Fund (IMF) lists pursuing a “green economy” as one of the main priorities of Rwanda’s economic transformation. Overall, renewable energy in Rwanda, a mission that has already begun, is an underrated hero in helping in the fight against global poverty. Not only does renewable development create jobs and spur industrial production, but it also reduces the cost of energy for many impoverished people, all while improving access to basic services like electricity.

In Rwanda, renewable energy serves not only as a solution to the world’s environmental challenges but also as a means to fight against poverty. As Rwanda uses free resources like wind and sunlight to light up homes and power industries, the nation certainly has a bright future in store.

– Advait K. Mishra
Photo: Flickr