Kenyan manufacturers are urging the government to consider tax relief measures for firms investing in clean energy.
The tax breaks according to the Kenya Association of Manufacturers will help offset heavy high costs associated with the green transition.
“Investors need regulatory predictability. We also need incentives for local green manufacturing and targeted financing mechanisms like green credit guarantees and tax relief for clean production investments,” said Tobias Alando, KAM) Chief Executive Officer.
According to Alando, policy consistency, public-private collaboration, and affordability will help accelerate 100pc green transition target by the government by 2030.
Manufacturers also called for the government to address the high cost of power which undermines their edge in the market.
“It is no longer enough to retrofit lighting or optimize boilers; we must power entire industrial parks with renewable energy, adopt circular economy solutions, and embed sustainability into the DNA of our manufacturing systems,” said Genesio Mugo, KAM’s Energy, Electrical, and Electronics Sector Chair.
Mugo noted that national goals, such as universal clean cooking access by 2028 and 100pc renewable electricity by 2030 require practical steps to succeed.
He pointed out that 7.4 million SMEs and women-led businesses struggle with high tariffs, limited green financing, and inadequate technical support.
They were speaking during the 11th Clean Energy Expo and Conference in Nairobi.