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Electricity

Kenya to withdraw thermal energy from its energy mix

Thursday, 16 August 2018 18:15

(Ecofin Agency) - The progressive withdrawal of thermal energy from the Kenyan energy mix will reduce costs for domestic as well as industrial clients. This is the conclusion of a task force set by the energy ministry to determine the different energy sources to be used.

Charles Keter (photo), the energy minister then announced an initiative aimed at satisfying most of the national energy demand through renewable energy sources.

We will first stop renewing expiring Power Purchase Agreements with the thermal power plants and then analyse the existing ones to weigh the expenses involved in sustaining them versus what it will take to terminate them and then act appropriately to scale them down as much as possible,” M. Keter said.

Izael Pereira who presided over the task force explained that the criteria to choose the thermal center will involve their investments as well as the validity period of these contracts to ensure that the investors have a return on investments.

Let’s note that thermal centers currently generate 21% of the country’s energy mix against 13% in 2016. Geothermal energy and hydroelectricity are the main sources apart from thermal energy and generates 44% and 33% respectively.

Gwladys Johnson Akinocho

 
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ECOFIN AGENCY offers a selection of articles translated from AGENCE ECOFIN. Founded in 2011, Agence Ecofin is a leader in Francophone Pan-African economic news, particularly in West and Central Africa. The agency publishes daily news on nine African economic sectors: Public Management, Finance, ICT, Agribusiness, Energy, Mining, Transport & Logistics, Communication, and Training.

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