Kenya’s solar power generation capacity has reached a new milestone with the commissioning of the 40-megawatt (MW) Alten Kenya Solar Farms project in Kesses, Uasin Gishu.
Solar Power Generation Hit a Record 491.48 Million kWh
Data from the Kenya National Bureau of Statistics (KNBS), based on figures from Kenya Power, shows solar generation surged to a record 491.48 million kilowatt-hours (kWh) in 2023 — a 28.1 percent rise from the 383.54 million units produced the previous year.
This growth was driven by the commissioning of the Kesses plant and increased output from the 40 MW Cedate and Malindi solar farms.
Solar Power Mitigates Drought Impact
This rise in solar generation helped mitigate the country’s energy deficit during a severe drought early in the year, which caused a 12.4% decrease in hydropower output. An additional 200 MW of imported solar power from Ethiopia also contributed.
Although wind generation also decreased by 6.2%, the significant increase in imports, solar, and geothermal energy generation ensured a sufficient power supply. As a result, Kenya Power was able to cut its purchases of costly thermal electricity by 17.5%.
Currently, Kenya’s four main 40 MW solar plants — Selenkei, Alten, Malindi, and Cedate — supply the grid with clean energy, supplemented by the smaller 0.3 MW Strathmore solar plant.
According to Business Daily, the inauguration of these new solar facilities coincides with growing calls for the government to discontinue feed-in tariffs (FiT) for wind and solar energy. This push capitalizes on the decreasing costs of technology components in these sectors.
Kenya Power’s Solar Initiative: Saving Billions for Consumers
Kenya Power anticipates Sh2 billion in annual consumer savings through a donor-backed initiative to equip costly, fuel-dependent off-grid stations with solar panels. According to Managing Director Joseph Siror, these stations will primarily rely on solar power during the day and switch to fuel after sunset, reducing electricity costs for consumers.
The program aims to hybridize numerous diesel-operated off-grid stations with solar PV systems. Kenya Power operates 56 off-grid stations—30 of which are thermal and 26 are solar mini-grids—and the diesel expenses from the thermal stations are currently factored into consumer electricity bills.
The utility intends to retrofit 18 of the 30 thermal stations with solar capabilities, enabling dual-source power generation for cleaner, more cost-effective electricity.
Unlocking Solar Investment: Kenya’s Renewable Energy Landscape
Kenya is emerging as a key player in the renewable energy sector — particularly in solar power — driven by its abundant sunshine and ambitious clean energy targets. Government initiatives like the Feed-in Tariff program and the promotion of off-grid solutions are attracting significant investments from both local and international stakeholders.
Investment opportunities in Kenya’s solar sector span utility-scale solar farms, commercial and industrial rooftop installations, off-grid solutions for rural areas, and solar component manufacturing. Financing and leasing options further enhance access to solar energy for businesses and individuals.
However, navigating the Kenyan solar market comes with challenges such as regulatory changes, project complexities, market competition, and infrastructure reliability. Despite these hurdles, Kenya presents promising prospects for investors looking to contribute to its sustainable energy transition and capitalize on its solar potential.
