The government expects to add 180,500 new electricity connections to the national grid under the Last Mile Project Phase III following a Cabinet approval.
The project being implemented in collaboration with the African Development Bank (AfDB) and Canada-AfDB Climate targets counties with low electricity access and no prior support from similar initiatives according to a Cabinet dispatch.
The new connection will also optimise use of idle transformers and reinforce strained substations to improve power reliability.
“The project is expected to deliver broad socio-economic benefits, including access to clean and affordable power for marginalised communities, round the-clock health services, enhanced learning through digital tools, and support for over 10,500 MSMEs through three-phase power connections,” said the Cabinet.
The new connections will add to 9.6 million customers already connected to the grid through Kenya Power and will target households, schools, health centres, and Micro Small and Medium Enterprises (MSMEs), while strengthening Kenya’s distribution grid.
The Cabinet also gave greenlight to construction of Olkaria VII Geothermal Power Project which is expected to add 80.3 megawatts of power.
The project which will be implemented by the government in partnership with the Government of Japan
and the European Investment Bank will reinforce Kenya’s renewable power capacity and help reduce reliance on fossil fuels as the country sets eyes on 100pc green energy transition by 2030.
“The project will tap 19 production wells, with plans for seven more over its 25-year operational life, and will ensure sustainability through the reinjection of geothermal fluids,” read the dispatch.
Olkaria seven which will be completed in June 2027 is expected to meet Kenya’s rising energy demands driven by
population growth, industrial expansion in Special Economic Zones, and the rapid uptake of electric vehicles.
According to the government, the new geothermal power plant will supplement Kenya’s energy generation to meet the annual power demand which is projected to grow by 100MW, and electric vehicle energy needs expected to reach 334MW by 2032t.
The Cabinet also gave the green light for the reinstatement of Kenya Pipeline Company (KPC) into the privatisation
programme, paving the way for partial divestiture of government shares in a move aimed at democratising ownership by Kenyans at the Nairobi Securities Exchange and unlocking the company’s full commercial
potential.
