AFD to finance 42 MWp solar energy project in central Kenya

KENYA – In its ongoing efforts to diversify its electricity mix, Kenya plans to construct a new solar photovoltaic power plant near the Seven Forks hydroelectric scheme, with financial backing from the French Development Agency (AFD).

The project, developed by Kenya Electricity Generating Company (KenGen), aims to address the frequent droughts that impact electricity production in the region.

The planned solar power plant will have a capacity of 42.5 MWp. While the exact amount of AFD’s financial contribution has not been disclosed, KenGen anticipates that this project will help shield Kenyans from rising electricity costs by supplementing hydroelectric production during daylight hours and conserving water for nighttime electricity generation, especially during drought periods.

The initiative is part of Kenya’s broader strategy to increase renewable energy supply to the national grid in response to climate change.

“France is committed to partnering with Kenya in the deployment of renewable energies to combat climate change, an area where Kenya has already demonstrated significant expertise, as seen in the Olkaria geothermal field and the Seven Forks region,” said Bertrand Willocquet, AFD’s Director in Kenya.

The Seven Forks region comprises five hydroelectric schemes along the upper Tana River. Water from the Tana River flows through these stations, utilizing the elevation created by each dam to generate electricity.

The Masinga, Kamburu, Gitaru, Kindaruma, and Kiambere dams together have a combined capacity of 600 MW.

In another related development, KCB Group has installed solar in two of its branches in Kenya and plans to do so in 19 others by the end of next year, citing the need to respond to frequent power outages.

The lender says in the last annual report that it installed solar on two branches last year as a pilot phase and now wants to scale up the process, giving it the twin benefit of lowering operational costs while mitigating the environmental impact of its operations.

KCB explains that its spending on fuel rose by 54 percent last year on frequent power outages, which increased reliance on diesel generators across branches.

The lender sees the installation of solar as one of the means to increasing efficiency across the branches.

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