Written By: Faith Jemosop
Anzana Electric Group, formerly known as Virunga Power, has signed a deal to acquire up to 10% equity in the $760 million Ruzizi III Hydropower Project. The transformative project is expected to produce 206 megawatts (MW) of renewable energy, benefiting power-starved regions of Burundi, Rwanda, and the eastern Democratic Republic of Congo (DRC).
This strategic investment by Anzana Electric underscores its growing influence in Africa’s clean energy landscape and marks a new era of regional cooperation in electricity generation and distribution. With the transaction set for completion by September, Anzana is asserting itself as a key partner in Africa’s shift to cross-border, sustainable infrastructure.
The Ruzizi III Hydropower Project: A Game-Changer for Regional Energy Security
The Ruzizi III Hydropower Project is one of Africa’s most ambitious renewable energy initiatives. Located on the Ruzizi River, which flows from Lake Kivu into Lake Tanganyika, the project taps into one of the few international waterways jointly shared by multiple African nations.
The plant is expected to supply power to at least three countries, Burundi, Rwanda, and eastern DRC, where energy access is critically low. According to the World Bank, less than 10% of the population in rural eastern DRC and Burundi has access to reliable electricity. In contrast, Rwanda has made significant strides in electrification, yet rural connectivity remains a major hurdle.
With an output capacity of 206 MW, Ruzizi III will not only help bridge these gaps but also support industrialization, education, and health services, while reducing dependence on diesel generators and other polluting fossil fuels.
Anzana’s Strategic Investment
Anzana Electric Group’s decision to acquire up to a 10% stake in the Ruzizi III project reflects a broader commitment to regional energy integration, climate action, and inclusive economic development. The firm, previously operating as Virunga Power, is known for combining innovative technologies with community-rooted business models that prioritize long-term impact.
By joining the consortium behind Ruzizi III, Anzana is not just injecting capital but also bringing development expertise and a proven track record of building energy solutions tailored to African realities. The company has worked extensively across East Africa, especially in rural electrification and mini-grid projects, gaining trust among communities and local governments.
This new move signals Anzana’s evolution from a local mini-grid operator to a regional utility player influencing high-level policy and infrastructure.
A New Model for African Energy Development
The cross-border nature of the Ruzizi III project offers a promising blueprint for future energy collaboration in Africa. Historically, infrastructure projects in Africa have been constrained by national boundaries and political silos, but shared energy infrastructure like Ruzizi III proves that regional cooperation can unlock greater efficiencies and resilience.
The project is co-owned by regional utility companies: REGIDESO (Burundi), EDCL (Rwanda), and SNEL (DRC), along with private sector partners and development institutions such as the African Development Bank (AfDB) and the European Investment Bank (EIB). Anzana’s entry brings additional private sector muscle to complement these multilateral efforts.
Such partnerships also encourage knowledge transfer, pooled resources, and harmonized regulatory frameworks, all of which are essential for Africa’s long-term energy security and economic integration under initiatives like the African Continental Free Trade Area (AfCFTA).
Clean Energy, Climate Action, and Sustainable Growth
Ruzizi III is a vital component of Africa’s broader climate strategy. As a hydropower project, it provides renewable energy that can help displace diesel and charcoal-based power sources, which are not only expensive but also harmful to the environment and human health.
With climate change already threatening water availability and food security in the Great Lakes region, investing in clean, reliable energy is a key adaptation and mitigation strategy. Hydropower, while requiring significant upfront investment, offers long-term low-carbon benefits and predictable generation, especially when paired with energy storage and grid modernization.
Anzana’s participation also reflects a broader trend in the private sector aligning with global climate goals, particularly the UN’s Sustainable Development Goal 7 (Affordable and Clean Energy) and Goal 13 (Climate Action).
Financing and Partnerships: Catalyzing Development Capital
The $760 million required for Ruzizi III is being financed through a combination of concessional loans, development finance, and private equity. Development finance institutions like the AfDB, EIB, KfW (Germany), and the World Bank are playing crucial roles in de-risking the project and making it bankable for private investors like Anzana.
By committing to the project, Anzana is helping to demonstrate that African infrastructure projects can be commercially viable and socially impactful. This is particularly critical in regions such as eastern DRC and Burundi, where fragile institutions and conflict history have often discouraged investment.
Anzana’s entry may thus open the door for more private investors to explore blended finance models that can accelerate infrastructure development while generating long-term returns.
A Vision for Inclusive Growth
Anzana Electric Group’s business model is deeply rooted in community impact. Beyond profits, the company focuses on building inclusive value chains by involving local workers, sourcing materials regionally, and supporting small businesses through access to electricity.
In its earlier identity as Virunga Power, the firm built mini-grids in partnership with local communities, offering them co-ownership and participation in decision-making. That ethos of inclusive development continues under the Anzana brand and is expected to shape its role in the Ruzizi III project as well.
Such inclusive models are critical for ensuring that infrastructure development doesn’t just serve national priorities but also uplifts ordinary citizens, farmers, schoolchildren, healthcare workers, who rely on energy to improve their daily lives.
Also read: How Can Africa Secure Its Energy Future?
The deal for Anzana’s stake in Ruzizi III is expected to be finalized by September 2025, marking a new chapter in the company’s growth. Upon completion, Anzana will join a powerful consortium driving one of Africa’s most important hydropower ventures.
For Anzana, this move signals a leap into large-scale utility operations with regional implications. For Africa, it’s another sign that the clean energy transition is not just a northern ideal, but an African reality being shaped by homegrown innovators, visionaries, and impact-driven enterprises.
