KSh 10 Billion Solar Energy Project Launched to Power Kenya’s Marginalized Areas

Kenya is taking a major step towards a cleaner and more affordable energy future by retiring diesel power plants in favor of solar energy, a move expected to benefit thousands of residents. President William Ruto announced that the diesel-powered plant in Lodwar will be phased out within a year, marking a shift towards renewable energy that will not only reduce carbon emissions but also lower electricity costs for consumers.
In its place, the government plans to expand the national grid and invest in large-scale solar power, leveraging the region’s abundant sunshine. With an allocation of KSh 900 million, the government will construct 100 kilometers of high-voltage transmission lines and a new substation in northern Kenya, ensuring more reliable electricity access for homes and businesses. This transition will significantly cut down the country’s dependence on expensive off-grid diesel stations, which currently consume over 22 million liters of fuel annually at a cost of more than KSh 4.3 billion.
By shifting to solar, electricity costs are expected to drop, easing the financial burden on consumers and making power more affordable, especially in rural areas. Additionally, the planned eight-megawatt solar project will provide cleaner and more sustainable electricity, improving energy reliability and fostering economic growth by supporting small businesses, hospitals, and schools that rely on stable power supply.

The initiative is part of the broader Kenya Off-Grid Solar Access Project (KOSAP), launched in 2019 with funding from the World Bank, which aims to bring renewable energy access to over 400,000 households in 14 underserved counties.
With Kenya already sourcing over 90% of its electricity from geothermal, hydro, and wind power, this transition further strengthens the country’s leadership in renewable energy.
The International Energy Agency (IEA) projects that solar power will grow at an annual rate of 28% between 2025 and 2027, indicating even greater future benefits for Kenyans, including job creation in the renewable energy sector and reduced exposure to fluctuating global fuel prices.
The move to solar power is not just about environmental sustainability—it is a game-changer for millions of Kenyans, promising lower costs, cleaner air, and enhanced economic opportunities.