Kenya Secures Ksh3.9 Billion Loan for Solar Project

File photo of installer fixing solar panels in one of the mega projects in Kenya
File photo of installer fixing solar panels in one of the mega projects in Kenya
File

The Kesses solar project in Eldoret, Uasin Gishu County received a major boost after securing a Ksh 3.9 billion funding.

In a statement released by the British High Commission, it was revealed that the project received funding from the Emerging Africa Infrastructure Fund (EAIF) which is financed by the United Kingdom (UK) government.

The embassy added that the project would provide Kenyans with employment opportunities given the construction works expected at the site.

KPLC to switch off electricity supply on the 132kV double circuit Lessos-Lanet transmission to give room for ongoing construction.
KPLC to switch off the electricity supply on the 132kV double circuit Lessos-Lanet transmission to give room for ongoing construction.
Photo
Kenya Power

"Kesses solar project in Eldoret received Ksh3.9 billion of funding from the UK-backed Emerging Africa Infrastructure Fund (EAIF) driving clean energy in Kenya.

“When completed, the plant will improve access to energy for thousands of people and create up to 400 construction jobs helping Kenya achieve 100 per cent renewable energy by 2030," read the statement in part.

Speaking at the event launch, the head of Mutual Prosperity and Climate change at the British High Commission stated that the funding was part of Ksh4.7 billion that the UK had pledged to various climate-related projects in the country.

"This project and the investment in the Kesses Solar Project will help Kenya achieve its vision of 10% tree cover by 2030, and provide new green jobs for local people,”  he stated. 

Some of the projects that have received part of the Ksh4.7 billion funding include the Eliud Kipchoge Foundation whose reforestation project was given Ksh75 million.

EAIF investment specialist, Sine Zulu stated that the loan made economical sense to the country given the financial benefits the country would realise upon the completion of the project, in terms of power production. 

"The Kesses plant brings multiple benefits to Kenya's economic development. It will also play an important part in combating climate change and strengthening Kenya's recovery from the pandemic.

“EAIF is now established as a lender of choice for renewable energy companies investing in Africa," he stated.

The solar project is set to be completed before the end of the year with power generated from the projects expected to be channeled to the Kenya Power and Lighting Company (KPLC).

Spanish power producer Alten Energías will oversee the project and has a grace period of 15 years to repay the loan.

Marathon runner Eliud Kipchoge at the launch of his foundation
Marathon runner Eliud Kipchoge at the launch of his foundation
Twitter
Eliud Kipchoge