Energy and Petroleum Cabinet Secretary Opiyo Wandayi has defended the Ksh.95 billion deal between the Kenya Electricity Transmission Company (KETRACO) and Adani Energies, emphasizing that it will lead to lower electricity prices. He explained that the agreement will address the country’s long-standing issue of power losses by installing new transmission lines and stations.
Wandayi highlighted that Kenya suffers from 24% power losses due to outdated transmission infrastructure. He stressed that the deal would modernize the system, significantly reducing these losses. Speaking during the launch of Kenya Electricity Generating Company’s (KENGEN) 2024-34 strategic plan in Olkaria, which aims to add 1,500 megawatts to the national grid over the next decade, Wandayi praised KENGEN for its efforts to boost power production to meet the growing demand from manufacturers and households.
The CS reiterated the government’s commitment to Public-Private Partnerships (PPP) like the KETRACO-Adani deal, which are expected to play a crucial role in stabilizing and reducing electricity costs in Kenya.
“The government is keen to increase production of renewable energy from the current 90 to 100 percent and this can be achieved by supporting KENGEN,” the CS said, citing petroleum deals which enabled the recent fuel prices drop by EPRA terming their days as numbered.
On his part, KENGEN CEO Engineer Peter Njenga said that part of the ten year strategic plan included pumping an extra 1,500mw into the national grid.
He said that of the total amount, 800mw would be sourced from geothermal energy as the company geared towards increasing renewable energy while phasing out thermals.
Njenga added that the power generating company had plans to invest into a 500 hours storage system targeting power from solar and wind energy.
“This exercise requires $4.3B and we are working with donors and development partners so that they can increase our installed capacity that stands at 1726mw,” he said.
Njenga at the same time assured the country of continued supply of electricity from hydro-dams despite that harsh weather and warning of depleted rains in the coming months.
Tourism and Wildlife CS Rebecca Miano lauded the launch, noting that most of the geothermal fields in Olkaria were located in Hellsgate national park.
She said KWS is working closely with KENGEN in geothermal exploration and have various joint conservation projects that will attract many visitors.
