Ruto’s USA Visit: Biden – led team announce a Kes 13.3Billion facility to scale up hydropower projects in Kenya

By Victor MUJIDU

The United States Agency for International Development (USAID) has announced a significant investment of KES 13.3 billion (approximately USD 130 million) in hydropower projects in Kenya to scale up the deployment of renewable energy in the country.

The investment aims to support the Kenyan government’s efforts to increase the use of renewable energy sources and reduce reliance on fossil fuels.

The project will focus on developing and implementing hydropower projects that are expected to generate an additional 50-100 MW of clean energy, enough to power over 100,000 homes.

The investment will also support the development of mini-grids and micro-grids in rural areas, which will provide reliable and affordable energy access to off-grid communities.

Additionally, the project will promote the use of renewable energy technologies, such as solar and wind power, to reduce greenhouse gas emissions and mitigate the impacts of climate change.

The USAID’s investment in hydropower projects is part of its broader efforts to promote sustainable energy development in Kenya and contribute to the country’s economic growth and development.

The project is expected to create jobs, stimulate local economic growth, and improve the overall energy security of the country.

The announcement is seen as a significant boost to Kenya’s efforts to increase its use of renewable energy sources and meet its ambitious targets under the Paris Agreement. The Kenyan government has set a target of generating 13,000 MW of renewable energy by 2023, with a focus on wind, solar, and geothermal energy.

The US government’s investment in hydropower projects in Kenya is a significant step forward in promoting sustainable energy development in the country and contributing to the global efforts to combat climate change.

This announcement was part of the synergies reached as part of the bilateral discussion between US President Joe Biden and Kenya’s President William Ruto, during the latter’s visit to the United States.

The pledge will seek to build a pipeline of six hydropower projects that will provide 31 megawatts of clean renewable energy, and these projects will be built in sequence over the next five years.

On the same note, the US committed to provide a $60 million (Ksh60 billion) funding from the Millennium Challenge Corporation to support a four-year program that will address climate-friendly public transit, safer options for women and pedestrians, and the transportation needs of marginalized populations in Kenya.

Virunga Power, a US company, is seeking to address the pressing need for substantial and targeted investment in power transmission and distribution throughout African nations, which is essential for creating sustainable, efficient, and reliable power sectors.

The US and Kenya plan to work with international financial institutions and multilateral trust funds to identify mechanisms for mobilizing investment for clean energy manufacturing and services.

Currently, Kenya is interconnected with electricity powered by renewable energy sources, a move that was applauded by President Joe Biden as he congratulated President William Ruto for launching the Africa Green Industrialization Initiative last year.

“Ninety per cent of Kenya’s electricity comes from clean energy, and over 1 million homes are powered by wind energy alone, and I am pleased with the historic Africa Green Industrialization Initiative, which you launched last year, that is poised to create similar results in so many other nations, particularly on the continent,” said President Joe Biden.

While the African continent has contributed negligibly to the changing climate, with just about two to three per cent of global emissions, it stands out disproportionately as the most vulnerable region in the world. This vulnerability is driven by the prevailing low levels of socioeconomic growth on the continent.

However, the renewable energy initiative, agreed upon by both President Ruto and President Biden, stands out as one of the comprehensive strategies toward climate change mitigation and adaptation across the sub-Saharan region.

During his four-day state visit to the US, President William Ruto had the opportunity to discuss an array of issues that pose challenges not only in Kenya but in Africa as a whole, more specifically in the climate change sector, among other areas.

“By undertaking this state visit, we have the opportunity to discuss and have a conversation about building global partnership and leadership around the issues that pose challenges regionally, globally, and in countries like Kenya and many others: challenges of climate change, challenges of insecurity, challenges around debt distress,” President William Ruto said.

Kenya has been the global leader in the use of its geothermal resources to generate energy since 2017, ranking eighth in geothermal potential globally due to its high utilization of the resource to generate energy.

The country has been making significant strides in the use of clean renewable energy in recent years due to the abundant renewable energy resources, such as geothermal, wind, solar, and hydropower, which have been harnessed to diversify its energy mix and reduce its dependence on fossil fuels.

The country is a global leader in geothermal energy production, with projects like the Olkaria Geothermal Complex contributing over 800 megawatts of power to the national grid. Wind power projects, such as the Lake Turkana Wind Power project, have also been instrumental in boosting Kenya’s renewable energy capacity.

In addition, Kenya has made progress in promoting off-grid renewable energy solutions, such as solar power, to increase access to electricity in rural and underserved areas. Initiatives like the Kenya Off-Grid Solar Access Project (KOSAP) aim to expand access to clean energy for off-grid communities.

Overall, Kenya’s trend in the use of clean renewable energy is positive, with the country taking significant steps towards achieving its renewable energy targets and transitioning towards a more sustainable energy future.