ENERGY SITUATION IN KENYA
by
Veronica Ngunzi
An energy report submitted to the International Solar Energy Center for
Technology Promotion and Transfer at Gansu Natural Energy Research
Institute during the 2021 International Training Workshop on Solar and
Wind Energy Application
September 2021
Introduction
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Kenya is a country located in the east of Africa bordered by
Somalia, Ethiopia, Southern Sudan, Uganda, Tanzania and
Indian ocean.
It covers an area of about 569,000 square kilometers of
which (80%) is considered either arid or semi-arid (ASAL).
Kenya’s main economic activities include agriculture, forestry,
fishing, mining, manufacturing, energy, tourism, and financial
services with its economy the fifth largest in sub-Saharan
Africa.
It is classified as newly industrialized lower income middle
income country with a GDP of $85 billion as at 2018.
It has a population of 47,564.296 people.
Mandate of the country’s Energy subsector
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To enhance power generation capacity, transmission and
distribution.
To increase access to reliable, clean and affordable
energy to Kenyans.
To promote renewable energy.
To use new technology in power generation among
others.
To enhance regional trade by interconnecting regional
networks.
National energy and policy development.
Energy regulation, security and conservation.
Energy sector organizational structure
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Ministry of Energy- It is responsible for overall national policy coordination and
development in the energy sector in Kenya
Energy and Petroleum Regulatory Authority(EPPRA)
Energy Tribunal
Policy and
regulation
The Kenya Electricity Generating Company (KENGEN)
Geothermal Development Company(GDC)
Independent Power Producers (IPPs)
Generation
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The Kenya Power (KP)
Rural Electrification and Renewable Energy Corporation (REREC)
Kenya Electricity Transmission Company(KETRACO)
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Nuclear Power and Energy Agency (NuPEA)
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Transmission
National energy status
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Electricity demand (2019) - 11,620.7 GWh
Kenya’s current effective installed (grid-connected)
electricity capacity is 2,712 MW. Electricity supply
is predominantly sourced from hydro, geothermal
and fossil fuel (thermal) sources.
The national electricity access from both grid and
off-grid solutions at the end of June 2018 was 73%
Electricity generation mix
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Electricity generation sources are mainly renewable, of which
the majority is from geothermal energy, and the remainder
from hydropower, wind, and solar power.
Technology
Hydro
Geothermal
Thermal
Cogeneration
Solar
Wind
Imports
Total
Capacity(GWh)
3,741
5,033
1,298
0.21
60
1,192
170
11,493
Percentage%
32.55
43.79
11.29
0.00
0.52
10.37
1.48
100
Renewable energy potential and status
Source
Potential(MW)
Hydro
Installed
capacity(MW)
750
Geothermal
745
10,000
3,000-6,000
Solar (isolation of 4- 130
6 KWh/m2
1,500
Wind ( 6m/s and
above)
4,600
641
Opportunities and Challenges of wind
and Solar Energy
Wind Energy
Opportunities
 Mature technology in terms of commercial development.
 Decrease in wind energy development costs in recent years due to increased takeup.
Challenges
 Wind turbines do not produce power constantly, thus investment in battery storage
is necessary.
 High upfront costs for wind power generation equipment.
 High capital investment for transmission lines due to wind power potential areas
being far away from the grid and load centers.
 Inadequate wind regime data.
 Inadequate skilled capacity for wind power technology.
 Inadequate wind energy industry standards due to fast changing technologies.
 Competing interest in land use with other activities.
 Inadequate R&D in wind technologies.
Opportunities and Challenges of wind
and Solar Energy
Solar Energy
Opportunities
 Substantial opportunities for rural electrification and decentralized applications.
 Increased potential for domestic and commercial solar water heaters, solar water
pumps, solar based refrigeration and solar drying.
 PV systems typically have a fairly consistent exploitable solar
 Potential throughout the year in Kenya, due to high insolation rate.
Challenges
 Uncoordinated approach in policy implementation and promotion of solar energy
projects.
 High upfront capital cost for plant and equipment.
 Weak enforcement of standards and regulations.
 Rampant theft of solar photovoltaic panels, which discourages installation.
 Lack of awareness of the potential opportunities and economic benefits offered by
solar technologies.
 Proliferation of sub-standard solar energy technologies and equipment.
Financing Renewable Energy
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Public Finance- by the government through feed in
tariff policy
Development finance- world bank, African
development bank etc.
Climate finance
Commercial finance- Local and international banks
END
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