Global mobile access on the rise

Half of the country’s population owns a phone.

The International Telecommunication Union (ITU) predicts that there will soon be as many mobile phone subscriptions as people inhabiting the planet, with the figure set to nudge past the seven billion mark early in 2014.

According to ITU’s 2013 latest global ICT report, by the end of this year overall mobile penetration rates will have reached 96 per cent globally, 128 per cent in the developed world, and 89 per cent in developing countries.

Presently, mobile access rate stands at 6.8 billion with more than half in the Asia-Pacific region (3.5 billion). In Africa its about 700 million subscriptions.

Rwanda’s mobile phone penetration rate seems to be improving greatly, as 55 per cent of the population now has an access to the devices.

In December 2012, the mobile phone subscription was at 53.1 per cent, an indication that the penetration has increased by 1.9 per cent within one month.

Latest statistics from Rwanda Utility Regulation Authority (Rura) indicate that out of a population of 10.5 million, a total of 5, 902, 630 Rwandans now have access to a mobile phone.

Mobile applications not only empower individual users, they enrich their lifestyles and livelihoods, and boost the economy as a whole.

Rura statistics show that by January, about 3,454,270 had subscribed to MTN Rwanda, followed by Tigo, a subsidiary of Luxembourg-based Millicom International Cellular SA (MICC), with 1,877,621 and a new player in the market, Indian telecom giant, Airtel has 570,739.

“I thank the people who invented mobile phones and their applications because now I can use my phone to communicate with my family back in Rwamagana without going there,” said Louis Karemera, 37, a motorist operating in Kigali City.

He talked of how the phone applications like mobile money have changed his life.

 “Whenever I get money I send it to my wife for the family needs like education and other necessities,” Karemera added.

Speaking to The New Times, yesterday, Jean Philbert Nsengimana, the Minister of Youth and ICT said government’s target was indeed to achieve 55 per cent mobile phone subscription by June 2013, adding that, the target may even be surpassed due to the importance of mobile phone use among the people.

“Mobile phones have transformed our lives greatly, both economically and socially. We can use them for business transactions, emergency care and safety alerts among others,” he said.

Extraordinary progress 

“We haven’t reached where we want to, in terms of penetration in the country, because there is still a challenge of affordability among the local population. All our efforts are geared towards addressing the issue of affordability,” Nsengimana explained.

Nevertheless new figures from ITU confirm strong sustained demand for ICT services, with uptake spurred by a steady fall in the price of broadband Internet.

ITU estimates that 2.7 billion people – or 39 per cent of the world’s population – will be using the Internet by end of 2013.

Mobile Internet access, however, will remain limited in the developing world, with only 31 per cent of the population projected to be online at the end of 2013, compared with 77 per cent in the developed world.

Europe will remain the world’s most connected region with 75 per cent Internet penetration, largely outpacing Asia and the Pacific (32 per cent) and Africa (16 per cent).

“Increased penetration of mobile phone ownership in Rwanda is really encouraging considering the fact that many government and private sector services are delivered over mobile phones. It makes the ideal platform for service delivery in the country,” said Alex Ntale, Director ICT Chamber Private Sector Federation.

In the regional countries mobile subscriber base stands at 72.2 per cent in Kenya, Tanzania 56 per cent and Uganda 47 at per cent.

“We have made the most extraordinary progress in the first 12 years of the new millennium…and yet we still have a long way to go,” said ITU Secretary-General Dr Hamadoun I. Touré in a statement.

Mobile broadband is clearly going to be a vital part of the solution, and we must continue to ‘mobilise’ to ensure that the entire world’s people have affordable land, equitable access to the Internet.”

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Huye District rewards village leaders for exemplary work

 

Forty two Village leaders selected from 14 sectors in Huye District have been rewarded during good governance week for being exemplary among other village leaders.

This came after comparing their services with that of agriculture sensitizers and youth in national service in all sectors that make Huye district.

Exemplary village leaders were given bicycles to facilitate their work and help them in their personal life.

Anysie Gahongayire from Ruhashya sector says the bicycle is worth the work I have done since 1995.

She explains “I am in charge of fighting gender based violence, family conflicts, I love children, sensitize residents on banana planting and maize growing, making kitchen gardens. I am a peasant and exemplary in my village.”

“What is good about the gift is that my fellow leaders will be motivated to work hard after they see my prize bicycle,” highlights Anysie.

Theoneste Kamizikunze, Agateme village leader in Tumba sector asserts that in his village, residents made a general kitchen garden, planted 13 fruit trees at Intashyikirwa Street.

Theoneste denotes “Whenever the government gives you a gift for hardworking, even if it’s a certificate, it makes you feel the value of appreciation.”

Though we haven’t covered medical insurance 100 percent, we managed to get the coverage at 90 percent in the first three months and first in our sector, Kamizikunze adds.

In addition, my village is an example of parents evening implementation because evening talks were mingled with credit scheme groups.

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AfDB boosts Africa info highway

The african Development Bank (AfDB) has launched a programme to improve data management and dissemination in Africa. 

The ultimate goal of the programme is to facilitate wider public access to official statistics and to support countries in their efforts to improve data quality and dissemination for better policy formulation, monitoring and evaluation. It is part of the broader statistical capacity building programme in Africa. 

Work has been going on concurrently in several African countries and institutions and has been completed in 13 countries, including Cape Verde, the Democratic Republic of Congo, Rwanda, South Sudan and Tanzania among others. 

The programme involves the development and installation of common IT platforms in all 54 countries and 16 sub-regional and regional bodies in Africa by July. 

The initiative provides a unique opportunity for African countries to take the lead in implementing statistical standards at a regional level and to make their data easily accessible through a common platform.

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Rwanda’s investment potential showcase in South Africa

South Africa has played host to a conference on investment opportunities in Rwanda. The conference, in Johannesburg at the weekend, aimed to attract more investments from the host country to Rwanda.

Hosted by Africa Exchange in collaboration with KPMG and the German Chamber of Commerce, the conference attracted more than 50 company representatives, who showed keen interest to invest in Rwanda’s energy, retail, real estate, health and tourism sectors.

The investors listened to presentations from Rwanda’s High Commissioner to South Africa, Vincent Karega, who was flanked by Claude Nikobisanzwe, the first secretary in the high commission, a statement said in part.

Other notable presenters included KPMG representative, Paul Runge, Managing Director of Africa Project Access, Robert Onyango, Chairman of SMRC International, Victor Kgomoeswana, among others.

The High Commission said it will pursue similar efforts in other South African cities to stimulate a shift from promise to real investment.

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Govt unveils new electrification plan

Prime Minister Pierre Damien Habumuremyi during the Local and Central government meeting which reviewed progress and challenges in the government’s decentralisation programme. Left is Local Government minister James Musoni. The Premier commended the progress made so far in the areas of agricultural development and decentralisation of the commercial sector.

 

Government yesterday unveiled a new plan to light villages countrywide, singling out solar panels and mini-grids to drive the process.

The government had set out an ambitious national electrification plan to extend power to at least 70 per cent of the population by 2017.

However, a study conducted by the Ministry of Infrastructure, with the current pace of national electrification, only 33 per cent of Rwandans who live within the grid reach would have electricity by 2017.

The repackaged plan was presented by the State Minister in Charge of Energy, Emma-Francoise Isumbingabo, at a Local and Central Government meeting in Kigali yesterday. The meeting was chaired by Prime Minister Pierre Damien Habumuremyi and reviewed the progress and challenges in the government’s decentralisation programme.

Isumbingabo said government put reasonable subsidies on solar panels as well as support for private sector development of mini-grids in addition to extending the grid throughout the country.

“We came up with a plan to have 100 per cent of Rwandans access electricity but this will require delivering 100,000 biogas digesters that are fully subsidised to the poorest families in categories 1 and 2 as per Ubudehe classification. Also, government should provide financing support for other categories of the population,” said Isumbingabo.

The plan indicates that government will have to spend US$17.6 million (Rwf11.1bn) for fully subsided 22,990 biogas digesters for the poorest families while US$2.1 million (Rwf1.3bn) would be spent on loans for 76580 biogas digesters.

The study, however, indicates that to ensure a total connection, people will have to be relocated to community settlements closer to the grids.

Extending the electricity network across the entire country, would involve connecting those households within reach of the network at a cost  of US$408 million (Rwf258.2bn) for 366,000 connections.

“Once the network is in place to reach 70 per cent connection we will need to add around 850,000 new connections; of these around 750,000 households would have to relocate in order to be able to connect,” said the state minister.

Solar system

The fresh plan indicates that one of the major alternatives is the use of Solar PV system which can be installed anywhere in the country.

“We have categorised solar into two, the basic system which cost about US$70 (Rwf44,370) and have the ability to power two bulbs and charge  a phone while the second category is top of the range and this costs US$200 (Rwf126,811) and has a stronger ability and could also power a TV and can as be installed quickly anywhere,” Isumbingabo added.

The use of mini-grids which would connect villages is another alternative the ministry came up with that would be used to increase accessibility.

The mini-grids are small grids connecting multiple households to one generation source, typically hydro. It can supply higher voltage power than home Solar PV systems.

The repackaged plan as presented by the state minister has several benefits, including a lot of money that the government and people would save by use of alternative methods for universal access of electricity.

“These alternative methods are cheaper and would save the average rural family around $60 per year (Rwf38,044), Solar PV free from fumes from candle and kerosene. Our proposal to disseminate 1.2 million solar systems could save up to US$80 million (Rwf50.7bn) in kerosene imports over 5-years,” added Isumbingabo. 

According to the ministry, there are 192 potential hydro sites that have been identified in the Hydro Atlas that would power the mini-grids. 

The study was completed last month.

Ultimately, the money that the government will spend on the universal access to electricity is lower than the initial amount that would have been spent to connect the 70 per cent households.

This time, the government would spend US$621 million (Rwf393.1bn) for universal access compared to the almost $800m (Rwf506.4bn) initially planned under the Electricity Access Role out programme (EARP).

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Kenya polls: Kenyatta in early lead

A voter casts her vote at the Kenyan High Commission in Kigali yesterday. Kenyans took to the polls to vote for a new leader to replace outgoing President Mwai Kibaki. By press time, Jubilee’s Uhuru Kenyatta was in the lead with only 10 per cent of the votes counted. In Kigali, Raila Odinga garnered 295 votes while Kenyatta got 234 votes.

Kenyans living in Rwanda thronged the Kenya High commission in Kigali to participate in the general election.

The sole polling station in Kacyiru saw a long queue of Kenyans with their documents waiting to cast their vote. More than 4,000 Kenyan nationals live in Rwanda, although the majority of them returned home to participate in the exercise.

“It’s my democratic right and national duty to vote. I want democratic change in my country such that we can end the impunity,” Peter Andere, an insurance consultant, said after casting his vote.

Elizabeth Karua, an auditor, said it is imperative for the nationals to decide a visionary leader, who would move the country ahead, adding that she would go with whoever will win.

“If I had remained home I would be the one to blame; we are always complaining that we, the Diaspora, don’t participate in the development of our country, that’s why I wanted to be part of this process and I am happy I played my part,” Karua said.

Of the 654 voters who registered, only 578 turned up.

After tallying, CORD’s Raila Odinga led the Rwanda Diaspora poll 295, followed by Uhuru Kenyatta with 234.

Peter Kenneth came in third position with 29 votes, Martha Karua had 11 as Musalia Mudavadi got 5 votes, with James Ole Kiyiapi scrapping 3. The rest did not get any vote.

“There was transparency in the whole process, we have been watching since morning; people showed commitment and we did not experience any problem,” Isaac Nkundabantu, an electoral observer said.

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Revenue body threatens legal action against tax defaulters

Clients queuing at RRA head offices to pay taxes. The body is calling on businesses in the Northern Province to clear their arrears.

Rwanda Revenue Authority (RRA) says it may consider legal action in a bid to recover accumulated tax arrears from several traders in the Northern Province.

Officials say that seizure of traders bank accounts and personal property are some of the probable options that maybe taken against such tax payers if nothing is done to clear the debts.

Richard Dada, the tax body’s Deputy Commissioner in charge of small and medium tax payers’ office, issued the warning yesterday during a consultative meeting with regional tax payers held in Musanze district.

The Northern Province has two major RRA stations located in Gicumbi and Musanze districts.

Available statistics indicate that the station in Musanze has accumulated over Rwf600 million in tax arrears.

“Auctioning your property or freezing bank accounts is the last resort but we may be tempted to apply the provision if that’s what it takes to recover the debts,” he said.

Dada said that among other hindrances, traders in the region are still reluctant to register their businesses or declare legitimate records indicating taxable incomes.

“This affects our accountability and enforcement measures in tax collection procedures,” he noted.

The Deputy Commissioner also pointed out that some big business owners who are already as  registered tax payers are sometimes hesitant to declare their actual income so as to be charged Value Added Tax (VAT).

Provisional laws stipulate that any trader who earns an annual income of over Rwf20 million or Rwf5 million in a period of three months is liable to pay VAT. Out of 5,386 tax payers, only 294 are VAT registered.

Under normal circumstances, upon registration, a tax notification is issued to a trader and is expected to be cleared in eight days.

Once the time elapses, a grace period maybe accorded upon consultation with RRA giving explanations on how one intends to pay the imposed tax.

Some traders who declined to be named admitted that at times they deliberately decline to declare valid documents because their profits are too meagre.

Fabien Nararibonye, RRA’s regional coordinator in the Northern Province, disclosed that wines and liquors often cross into the country without tax stamps from neighbouring countries.

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