No fewer than one million Kenyans will be connected to the national grid in the present fiscal year, starting July.
Kenya Power, a largely government-owned power company, which serves at least 2.8 million customers, said it plans to up this number by 36 percent – attracting about one million people to the national grid.
The NSE-listed power company added 443,000 new customers to its grid in the last fiscal year. Most of its new customers are the rural dwellers.
Before 2017, the power firm plans to add 5,000 megawatts of power generation capacity to the existing 1,664 MW.
Kenya Power CEO, Ben Chumo said the company’s expansion is in line with the government’s ambition of achieving 70 percent electricity penetration in the next six years.[eap_ad_2]
Although Chumo did not state the source of the fund for the expansion project, he stated that the company had inked agreements with several financial institutions. In the last year, it has sourced capital through a debt mix from the European Union, the World Bank and the French Development Agency.
Inadequate power supply has forced many businesses in Kenya to rely on independent power sources to run their businesses, propelling a surge in operating costs and a subsequent hike in goods prices and living standards. Business in Kenya is expected to push power demand up to 15,000 MW by 2030.
Kenya is expected to grow by 5 percent this year, with a boosted power supply expected to attract an increased pool of investors into the East African country. Joseph K. Njoroge, the Principal Secretary, Ministry of Energy & Petroleum, said the needed infrastructure is already in place. (VENTURES AFRICA)[eap_ad_3]