Kenyaโs Special Technology Envoy, Amb Philip Thigo, has pushed back against inaccurate reports claiming that Kenya had suspended the $1 billion Microsoft-G42 data centre project.
In a post in X,ย Amb Thigo emphasized that the project remains a flagship initiative aligned with Kenyaโs digital growth ambitions, and any concerns raised relate primarily to the scale of energy infrastructure required โ not to a project halt.
The build, announced during President William Rutoโs visit to Washington in May 2024, aims to position Kenya as a regional leader in cloud computing by providing advanced services via Microsoftโs Azure platform. However, challenges around Kenyaโs current power capacity have prompted public discussion, following President Rutoโs candid remarks about the strain the data centre could place on the national grid.
President Ruto highlighted that Kenyaโs installed electricity capacity stands at roughly 3,000 megawatts, while operating the data centre would demand about a third of that capacity.
According to Amb Thigo, these remarks were misconstrued by some international media as an announcement of project suspension. Stating that the Presidentโs point was to spotlight the urgent need for expanded power generation to support such digital infrastructure investments.
โRecent reporting claiming the project was suspended is incorrect,โ Amb Thigo said. โPresident Rutoโs intent has always been to highlight the energy demands of modern digital infrastructure and the governmentโs commitment to expanding capacity accordingly.โ
He further stressed that the administration is targeting an increase in national power generation to at least 10,000 megawatts by 2030. This ambitious goal would provide the robust foundation necessary for hyperscale data centres and accelerate Kenyaโs transformation into a technology and AI hub.
Kenyaโs strengths in renewable energy, particularly geothermal power โ which accounts for about 40% of its energy mix โ combined with proactive policies and a growing digital economy, remain key competitive advantages for attracting high-profile investments.
The governmentโs energy scaling plans form part of a wider infrastructure agenda, with Kenya seeking $38 billion in funding through public and private partnerships. Meanwhile, other data centre developments, such as Airtel Africaโs Nxtra 44MW facility in Tatu City, point to ongoing momentum in the sector.
Analysts note this situation exemplifies a broader African challenge: demand for cloud and AI services is rapidly growing, but foundational energy infrastructure often lags, requiring coordinated investment to unlock the continentโs digital potential.
Amb Thigo concluded, โKenya remains focused on building the energy and technological ecosystems needed to support world-class digital infrastructure. The Microsoft-G42 project is central to this vision and continues to move forward.โ
At the upcoming Africa Forward Summit in Nairobi, one thematic area is expected to focus on the critical role of artificial intelligence (AI) in advancing Africaโs digital transformation.
Discussions will likely highlight the importance of developing robust data centre infrastructure to support expanding AI and cloud computing needs. Emphasis is anticipated on the need for sustainable and energy-efficient data centres to accommodate growing digital demands. The summit aims to foster collaboration between governments and the private sector to accelerate Africaโs AI and data centre development
