Kenya Seeks Private Sector Partnership to Address Power Blackouts

Kenya’s Ministry of Energy is set to explore new avenues to address the country’s recurrent power blackouts by seeking proposals for a public-private partnership (PPP) to construct essential power transmission infrastructure. The Ministry is holding a consultative forum on Monday to discuss potential collaborations with private firms, with the ADANI Group emerging as a prominent contender.

The initiative is part of a broader effort to tackle Kenya’s ongoing electricity issues, which have plagued the country with frequent blackouts. According to Energy Principal Secretary Alex Wachira, the key to resolving these issues lies in building new transmission lines. Given the capital-intensive nature of such projects, private sector involvement is seen as crucial.

Wachira emphasized the urgency of the situation during an interview with Citizen TV. “To eliminate blackouts, we must expand our infrastructure. Constructing new transmission lines through a PPP model allows the private sector to implement projects more efficiently. We anticipate that with these new lines, we will see a significant reduction in blackouts over the next two to three years,” he said.

The need for improved infrastructure is underscored by the significant shortfall in transmission lines. Currently, Kenya faces a $5 billion gap in its transmission network, contributing to the frequent nationwide blackouts. The Ministry of Energy believes that addressing this shortfall through new projects will be crucial to stabilizing the country’s power supply.

Among the key players vying for this partnership is the ADANI Group, which is also involved in a high-profile controversy related to Jomo Kenyatta International Airport. Despite the controversy, ADANI is seen as a strong contender due to its extensive experience and resources. The Ministry of Energy’s selection process aims to bring the most capable partners on board to ensure the successful execution of the new power lines.

The upcoming consultative forum will allow private firms to present their proposals and discuss how they plan to address Kenya’s power infrastructure challenges. PS Wachira indicated that detailed information on the proposals and potential partners would be disclosed during the forum, which is expected to shed light on how these projects will proceed.

This year alone, Kenya has experienced three major nationwide blackouts. These outages have been largely attributed to the lack of alternative power routes, which are necessary to redistribute electricity when one system fails. The existing grid infrastructure is inadequate to handle the growing demand and complexity of the country’s power needs.

The Ministry of Energy has identified several critical transmission lines that need to be constructed to improve the reliability of the power supply. These include the Gilgil-Thika-Malaa-Konza line, which is essential for completing the larger 400kV Nairobi ring. Another vital line is the Rongai-Keringet to Chemosit, needed to offload the Kisumu-Muhoroni line. The Menengai-Olkalou to Rumuruti line is also a priority, as Rumuruti faces significant power supply challenges.

In addition to the transmission lines, the government is taking steps to modernize its power infrastructure. A $70 million loan from the French Development Agency (AFD) will be used to construct a new national system control center. The current center, built in 1988, is outdated and in need of modernization to meet current demands.

Moreover, the government has secured approximately $100 million from the World Bank to acquire Static Synchronous Compensators (STATCOMs), which are crucial for managing voltage issues that have led to recent blackouts. Another $100 million is being secured for battery energy storage to support the intermittent power sources that are a significant part of Kenya’s energy mix.

As Kenya continues to seek solutions to its power challenges, the forthcoming consultative forum represents a pivotal moment in shaping the future of the country’s energy infrastructure. The involvement of private sector partners like ADANI could play a crucial role in ensuring that the new transmission lines are constructed efficiently and effectively, paving the way for a more reliable power supply and fewer blackouts in the future.