Fortis Green Renewables and AXIAN Energy have acquired stakes in Gigawatt Global Rwanda Ltd, the company operating a solar farm at the Agahozo-Shalom Youth Village. Under the new ownership structure, Fortis Green holds a 51% stake, while AXIAN Energy’s subsidiary, NEA Rwanda Ltd, owns the remaining 49%. Operational since 2014, the 8.5 MW DC plant provides power to around 140,000 people.
Expansion of Renewable Energy Resources
In a significant move for Africa’s renewable energy sector, Fortis Green Renewables Investment Management and AXIAN Energy have announced their acquisition of stakes in Gigawatt Global Rwanda Ltd. The solar plant is located at the Agahozo-Shalom Youth Village in Rwamagana, Rwanda. The deal, finalised on July 30, 2024, gives Fortis Green a 51% stake, while NEA Rwanda Ltd, an AXIAN Energy subsidiary, holds 49%. This strategic investment enhances Fortis Green’s Green Fund I portfolio and marks AXIAN Energy’s first venture into the Rwandan market.
Operational since 2014, the Gigawatt Global Rwanda solar plant has an 8.5 MW DC capacity, serving approximately 140,000 people. Spread across a 50-acre site, the facility includes over 28,000 solar panels and has been a cornerstone of clean energy access in the country. It operates under a 25-year power purchase agreement with the Rwanda Energy Group, supported by project debt from FMO and the Emerging Africa Infrastructure Fund (EAIF).
The transaction was finalised following share purchase agreements signed in late 2023 and early 2024, with Hogan Lovells providing legal counsel to the buyers.
Solar Acquisition: Result of Effective Partnership
Benito Grimaudo, Managing Director of Fortis Green Renewables Investment Management, expressed enthusiasm for the deal: “We are pleased to add Gigawatt Rwanda to the Green Fund I portfolio, our second operational asset in the Rwandan market. Fortis Green Renewables is committed to developing and operating clean and renewable energy for the African continent, and this asset fits perfectly into our vision.”
Jonathan Shafer, another Managing Director at Fortis Green, emphasized the value of strong partnerships. “Great partners are the key to our success and we could not be more pleased to be entering into this transaction with the team at AXIAN Energy,” he stated. “Additionally, we are honoured to be partnering with the Agahozo-Shalom Youth Village – an organisation doing incredible work with the most vulnerable children in Rwanda.”
Benjamin Memmi, CEO of AXIAN Energy, highlighted the acquisition’s strategic significance. “The acquisition of shares in the Rwamagana solar farm marks our first operation in the Rwandan market,” Memmi said. “We are thrilled about this collaboration with our local partner Fortis Green Renewables, with whom we share a common ambition: to provide sustainable and accessible energy solutions that improve the daily lives of local communities.”
Impact of the Solar Farm
As the first grid-scale solar farm connected to the local power grid, the Gigawatt Global Rwanda project stands as a pioneering effort in the region. Its success demonstrates the potential for renewable energy to meet power needs in underserved communities, providing reliable electricity and supporting the Rwandan government’s sustainable development goals.
Gigawatt Global Rwanda: The region’s first grid-scale solar farm, powering local communities and supporting sustainable energy goals.
The solar farm is situated approximately 60 km east of Kigali on land owned by the Agahozo-Shalom Youth Village (ASYV). Established as a sanctuary for youths orphaned during and after the 1994 Genocide against the Tutsi, this residential community now serves as a haven for Rwanda’s most vulnerable young people. The village provides education, medical and mental health services, extracurricular activities, and a nurturing family environment, with the solar plant significantly contributing to its sustainability and operational efficiency.
This acquisition by Fortis Green Renewables and AXIAN Energy marks a significant step for East Africa’s renewable energy landscape. By expanding their solar power investments, both firms are contributing to increased energy access and sustainable development across the continent.
Looking ahead, the companies plan to leverage their expertise to enhance the plant’s capacity and efficiency, ensuring continued benefits for the local community. This partnership is also set to explore further opportunities to drive the transition to cleaner energy sources in Africa.
