Lack of access to electricity is one of the major impediments to growth and development of the
rural economies in developing countries. That is why access to modern energy, in particular to
electricity, has been one of the priority themes of the World Bank and other development
organizations. The purpose of this study is to reveal relations between access to electricity, job
creation and advancement in socio-economic conditions in rural areas of Bugesera District. As a
case study, we have analyzed 4 recently electrified rural areas in the District. This study departed
from the previous studies looking into several causes of rural underdevelopment but instead
endeavored to establish the impact that connection to the national grid had on the nonfarm
activities. To achieve the main objective, a survey in the 4 sampled cells of Bugesera was
conducted from a population frame of 100 households. The target population was from both farm
and nonfarm activities.
The tests of correlations indicated a strong relationship between connection to the national grid
and value addition services in the area. The study recommends that the body charged with
electricity service provision (REG) should reduce installation costs as well as introduce subsidies
to help more nonfarm businesses connect to the national grid. Awareness campaigns were also
recommended on the advocacy to help more people connect to the national grid. This enabled a
conclusion to be made that connection to the national grid was the motivation for creation, value
addition in services as well as expansion of nonfarm business establishments in Bugesera