Page 7 - AfrElec Week 06 2023

AfrElec POLICY AfrElec

Kenya’s electricity demand soars,

president says cost won’t rise

KENYA ELECTRICITY demand in Kenya hit a record expected to be in place
high of 2132.29 MW in January, mainly due to on April 1.
expanded business activity with the relaxing “The rationale of
of COVID-19 restrictions, Kenya Electricity this retail tariff review
Generating Company (KenGen) chair Samson is to incorporate change
Mwathethe has said. in electricity sub-sec-
The steady rise in demand means East Africa’s tor cost structure and
largest economy will need to increase its energy update key assumption
generation or risk power rationing (known with an aim of providing
as load shedding) for some customers at peak adequate sector revenue
usage, Business Daily writes. requirements,” KPLC
KenGen is the largest electric power producer said.
in Kenya, generating over 60% of the electricity However, President
consumed in the country. William Ruto has been
Kenya Power and Lighting Company assuring Kenyans that electricity bills will not
(KPLC), which owns and operates most of the increase despite a move by his government to
electricity transmission and distribution sys- scrap a 15% subsidy.
tems and sells electricity, is meanwhile push- The government, he said, will ensure that the
ing to raise energy tariff charges by some 117% needs of manufacturers and all Kenyans, includ-
ahead of a review by the Energy and Petroleum ing those on so-called lifeline tariffs, are taken
Regulatory Authority (EPRA), with new tarrifs into consideration in the awaited review. ™

INVESTMENT

Masdar to produce 20,000 MW of

renewable energy in Africa

AFRICA MASDAR, the Emirati energy giant, has grab 10% of the global hydrogen market, which
revealed its goal of producing an extra 20,000 could see the creation of 3.7mn jobs and add
MW over the next dozen years as part of a new $120bn to the continent’s GDP. The report
push for renewable energy in Africa. also suggests that Africa, due to its proximity
The company is participating in the UAE-led to demand centres in Europe and Asia, could
Etihad 7 initiative and has signed three agree- become a leading exporter of hydrogen.
ments aimed at gathering support from both Furthermore, the report suggests that Africa
the public and private sectors to finance Africa’s could become one of the most competitive
renewable energy sector. The ultimate goal is to sources of green hydrogen, with a cost of $1.8 to
provide energy to 100mn people by 2035. $2.6 per kilogram in 2030.
Masdar has identified Nigeria as a crucial ™
part of its global growth plan, and discussions
are currently taking place about potential invest-
ment in the country. The company has already
established a strong foothold in Africa, having
signed agreements with multiple nations and
implementing numerous renewable energy
projects. This includes deals such as the deliv-
ery of four solar PV plants in Egypt, the 15-MW
Sheikh Zayed Solar Power Plant in Mauritania
and the 6-MW Port Victoria Wind Power Pro-
ject in Seychelles.
According to a report by Masdar and McK-
insey & Company, Africa has the potential to

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