Off-Grid Solar Market Assessment Kenya - English

Speeches Shim

This report by Power Africa provides insights into the opportunities and risks associated with Kenya’s off-grid solar energy market and gives companies, investors, governments, and other stakeholders a deeper understanding of the market. While there are other market assessments conducted by other stakeholders (i.e. development partners), Power Africa recognizes a gap in the available market assessments. Bridging the gap, this report is characterized by the following:

  • This report provides a comprehensive and detailed review of solar home systems (SHSs), mini-grids, productive use of energy, and other aspects of the off-grid solar value chain. Additionally, this report includes details on policy and regulatory issues, the structure and historical context of the energy sector, and gender mainstreaming.
  • This report draws upon the most up-to-date sales and investment data from GOGLA in order to keep pace with the ever-changing dynamics of the off-grid solar sector. It also includes a geospatial analysis that highlights potential areas for off-grid solar market expansion.
  • Insights in this report help Power Africa Off-grid Project (PAOP) plan and prioritize activities across work streams of policy and regulations, market intelligence, business performance, access to finance, and cross-sectoral integration throughout sub-Saharan Africa.

The report also serves as a baseline for Power Africa’s technical advisors to guide their continuing work and provides a snapshot that can be used to determine growth and changing dynamics of the market over time. Insights provided in this report include characteristics of Kenya’s electricity sector, electrification targets, government regulations, donor-funded activities, and details on subsectors of the off-grid solar energy market. Additionally, this report includes expert knowledge from Power Africa lead advisors, information gathered from stakeholder interviews, and data from the Global Off-Grid Lighting Association (GOGLA).

Kenya

Kenya is a country with an area of 569,000 square kilometers and has a population of close to 50 million people. The main languages are Swahili and English (both official). 1 Several ethnic languages are also spoken in the country. Two of the most widely spoken languages are Kikuyu and Luhya, but other languages include Luo, Kalenjin, Kamba, and Mijikenda. The total number of languages spoken is estimated at 68.

Kenya has the largest and most dynamic economy in East Africa, with a gross domestic product (GDP) of $85 billion (KSh8,904,983.9M, 2018) with a growth rate averaging 5.6 percent year-on-year over the past 5 years. 3 Major industries include agriculture, forestry, fishing, mining, manufacturing, energy, tourism, and financial services. In its development plans, the Government of Kenya (GoK) aspires to become a newly industrializing middle-income country by 2030.4 Kenya is implementing Vision 2030 through five-year medium-term plans. The current plan for 2018–2022 focuses on four agenda items (referred to as the Big Four Agenda): universal healthcare, affordable housing, food security, and manufacturing. The success of the Big Four Agenda depends on adequate, affordable, and reliable electricity.

Date 
Friday, October 11, 2019 - 7:30am

Last updated: May 05, 2020