Investors based at KenGen’s Special Economic Zone in Nakuru County can now access customs and tax incentives provided under the law after the being designated as customs-controlled area.
The Green Energy Park in Olkaria which is owned by KenGen Energy Services (SEZ) Limited has been granted the status by the Kenya Revenue Authority (KRA).
According to the electricity generator, the new status activates the tax incentives available to investors under the Special Economic Zones Act, 2015, and transforms the park into a fully operational industrial and investment ecosystem.
“The gazettement of the KenGen Green Energy Park as a Customs Controlled Area is the operational key that turns our vision into reality. The designation under Kenya Gazette Notice No. 8412 unlocks the full SEZ investment framework at Olkaria, cementing the park’s position as Africa’s foremost geothermal-powered industrial hub,” said Peter Njenga, KenGen Chief Executive Officer.
Under the SEZ Act, licensed enterprises are exempted from among others stamp duty on the execution of any instruments relating to business activities of special economic zone enterprises, payment of advertisement fees and business service permit fees levied by the respective County Governments’ finance Acts and general liquor licence and hotel liquor licence under the Alcoholic Drinks Control Act.
KRA will now be responsible for monitoring all goods entering, moving within, or exiting the zone as part of customs procedure as well as enforce customs stations, designated gates, bonded handling systems, and compliance mechanisms.
Investors are also expected to benefit from streamlined import and export processes, duty and tax efficiencies on qualifying inputs, faster cargo clearance, and simplified regulatory oversight. In practical terms, it removes the regulatory uncertainty that often exists before full SEZ operationalization.
KenGen backs the park to further support Kenya’s green energy transition as global transition to low carbon industrial production accelerates.
“Global industries are increasingly seeking stable, low carbon production environments. The KenGen Green Energy Park offers exactly that, a single investable ecosystem where renewable energy, trade facilitation, and industrial policy converge,” added Njenga.
The Park has already onboarded five investors across strategically significant sectors including data centres, green fertilizer production, electric mobility, steel fabrication, logistics, and manufacturing.
