Kenya to import cheaper, electricity from Ethiopia


Kenya Power has announced plans to start importing cheaper, clean and reliable electricity from Ethiopia, saying the move will help it reduce cost of electricity as well as accelerate its goal of connecting over 1.5 million Kenyans to the national grid by 2020.

“We are in plans to commence importation of cheaper and clean energy from our neighboring Ethiopia to boost the manufacturing sector and connect more Kenyans to the national grid,” said Eng. Mungai, General Manager and Business Strategy of Kenya Power.

Kenya Association of Manufacturers has lauded the move saying cheap, reliable energy will lure more foreign and local investors to the country’s manufacturing sector, which aims to increase its contribution to Kenya’s GDP to 15 per cent from the current 10 per cent over the next five years. Industries account for more than 60 per cent of Kenya Power’s electricity sales revenue hence supporting the manufacturing sector will, in turn, boost the company’s core business.

Newly-appointed Kenya Power Managing Director and CEO, Ken Tarus said once the imported electricity lands in Kenya, it will supplement the country’s efforts in connecting over 1.5 million Kenyans to the national grid.

Tarus also noted that Kenya Power will soon begin purchasing locally manufactured transformers through the ’Buy Kenya Build Kenya’ initiative.

“Transformer demand in increasing at a time when Kenya is manufacturing its own transformers and we will soon start buying locally-made transformers to bolster our manufacturing sector,” he said.

In 2016, Kenya Power implemented new procurement guidelines, which stated that 80 per cent of all electricity distribution equipment will be sourced from the country, giving preference to local investors.



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