KenGen commits to boost national grid with 1,500 MW of green energy by 2034

ERASTUS GICHOHI AND BERNICE NGE’NDO- KNA 

The Kenya Electricity Generating Company (KenGen) has commit ted to adding an additional 1,500 MW of power sourced from green energy to the national grid over the next ten years. 

This remarkable mile stone, once achieved, will position Kenya on the world map as a key producer and user of green energy, aiding climate mitigation through reduced carbon emissions. 

Currently, the country sources over 90 percent of its power generation portfolio from green energy sources, including geothermal, wind, solar, and hydro, with an output of 1,726 MW. 

This has placed Kenya at the forefront of green energy production in Africa, ranking seventh in the world, thanks to the government’s commitment to transitioning to 100 percent use of green energy by the year 2030. 

Within the next decade, KenGen seeks to marshall more than $4.3 billion(estimated Sh556.8 billion) from its key funding partners to implement the now launched strategy where it seeks to add an extra 1500MW of power from green energy sources, with 800MW sourced from geothermal. 

In addition, the company said the achievement would be realised in partnership with Geothermal Development Corporation (GDC) in exploring new sources of geothermal to replace old ones with Kenya estimated to sit on 10,000 MW of geothermal potential. 

Speaking during the launch of the strategy in Ol karia, Naivasha, Energy and Petroleum Cabinet Secretary Opiyo Wandayi lauded KenGen’s efforts in tapping green energy, which he noted is key to driving the country’s economic and social development. 

Wandayi said the extra 1500MW of power will be sourced from the expansion and development of Olkaria Six and Seven Power Plants, rehabilitation of the decades-old Olkaria One and expansion of solar and wind projects across the country. 

Already, the ongoing re habilitation of the Olkaria One Power Plant in Naivasha is expected to boost its generating capacity from the current 45MW to 63MW, with the Muhoroni Gas Power plant expected to add an extra 60MW to power Western Kenya industrial sectors and households. 

KenGen has already awarded the tender to a Chi nese company to undertake the rehabilitation works at the Olkaria One Power Plant, which is expected to be completed by the end of the year 2026. 

On the other hand, the government has also com mitted to revive the Muhoroni gas turbine plant to generate 60MW which is expected to curb frequent power blackouts due to systems overloads within the Western Kenya region. 

The CS said the government will continue to support the sector with re vamped policies to meet the growing demand of Kenyans seeking reliable and affordable power tariffs. 

On his part, KenGen’s Managing Director Peter Njenga said currently, the company’s energy portfolio stands at 1726MW, including Geothermal 754WM, Wind 25MW, Thermal 120MW and Hydro sources 826.4MW. 

Njenga said KenGen will invest the $4.3 billion (estimated Sh556.8 billion) over the next ten years to add the extra 1500MW of green energy to the national grid as well as establish 500MW hours of storage to help stabilize power transmission and curb cost disruptions. 

The MD added that the company is undertaking a diversification strategy by helping neighbouring countries of Zambia, Eswatini, Djibouti and Ethiopia in geothermal exploration. 

The diversification strategy, Njenga added, will add an extra $2 billion ( estimated Sh258 billion) to the company within the next ten years, which will boost its economic contribution to the government. 

Njenga said the company has already established a green energy park in excess of 740 acres within the Ol karia-rich geothermal valley, where investors will tap 100 per cent of their energy needs to power their industries. 

In addition, the MD said the company has already se cured a $1billion (estimated Sh129 billion) investment towards the advancement of a modern data centre by Microsoft that is set to revolutionize data storage for local and multinational companies in the new digital era. 

These efforts, Njenga said, will assure investors of a steady and affordable power supply, ensuring competitive power tariffs and lowering the cost of electricity for consumers. 

On his part, KenGen’s board Chair Frank Konuche said the strategy is in line with the company’s commitments to expand power generation to wind and solar sources, stabilize regional energy security through revamped partnerships and achieve carbon neutrality.