SUSTAINABLEENERGY
FORALL(SE4All)
KENYAACTIONAGENDA
January2016
i
ForewordThe UN Secretary-General Ban Ki-Moon launched the
Sustainable Energy for All Initiative (SE4All) in 2011. He
further declared 2012 the year for sustainable energy for
all.
This great initiative is expected to catalyse major new
investmentstoacceleratethetransformationoftheworld’s
energy systems, pursue the eliminationof energy poverty,
andenhanceprosperity.
Thegoalof the initiative is to:mobilize all stakeholders to
take concrete action toward ensuring universal access to
modern energy services; double the global rate of
improvement inenergyefficiencyand;doubletheshareof
renewable energy in the global energymix,within theUN
timeframeof2030.TheGovernmentofKenyafullyembracestheobjectivesoftheSE4AllInitiativeand
appreciatesthatitstimelinesfallwithinthoseofthenationaldevelopmentblueprint,Vision2030.
Kenya opted to be part of the SE4All Initiative, because the Government had achieved significant
stridesindevelopingtheframeworkforenergydevelopment,thankstotheEnergyPolicy,2004,and
Energy Act, 2006. Review of these two documents is almost complete and is expected to further
improve the enabling environment for the engagement of a wide range of stakeholders, and
particularlyprivate sector in thedeliveryof cleanandmodernenergy services. It alsohappensat a
time when petroleum resources have been discovered in the country and will therefore be
instrumentalindiversifyingtheenergymixandaddressingenergypoverty.
The Kenya Action Agenda and Investment Prospectus, has been developed through a consultative
process and has provided useful experience in defining the country roadmap to delivering clean
energy to all Kenyans. In collaborationwith theNewPartnership for AfricanDevelopment (NEPAD)
Energy, EU BizClim Facility and United Nations Development Organization (UNDP), MOEP and HCL
ConsultantsinitiatedandcompletedthedraftActionAgendaandInvestmentProspectus,whichwere
both taken through a validation process after extensive consultations with the stakeholders in the
KenyanEnergySector.
Thereafter theSE4AllHubat theAfricanDevelopmentBankprovided further financial assistance to
enabletherefinementofthedraftAAandIPbyConsultantsITPowerUKandIntegralAdvisoryLimited
Kenya.Therefinementincludedfourkeyelements:addressingstakeholdervalidationcommentsand
aligning the document to SE4All AA guidelines; the enhancement of the decentralized energy and
energyefficiencycomponents;creationofsynergybetweentheAAandKenya’sVision2030Medium
TermPlanningprocess;andalignmentoftheAAtothedevolvedGovernmentsystemscomprisingthe
NationalandCountyGovernments,inlinewiththeConstitutionofKenya(2010).
TheAAfinalizationprocesswas ledbytheMinistryofEnergyandPetroleum,withaTechnicalTeam
comprising UNDP, Practical Action East Africa, SNV Development Organization, WWF, SEAF-K,
ConsultantsandtheMOEP’sowntechnicalstaffintheDirectorateofRenewableEnergy–ledbythe
DirectorRenewableEnergyEng.IsaacKivaandtheDeputyDirectorRenewableEnergy,FaithOdongo,
whodoublesupastheSE4AllCountryFocalPoint.
CS Photograph
ii
It is therefore with great pleasure that I present the Kenyan Action Agenda and Investment
Prospectus,whichrepresents thethirdmilestone in the four-stepSE4Allprocess,namely: i)Country
Opt-in; ii) Stock-Taking and Gap Analysis; iii) Country Action Plan (Action Agenda and Investment
Prospectus)and;iv)Implementation,Monitoringandevaluation.
This AA therefore paves way for mobilization of resources and multi-stakeholder engagement to
facilitate implementation,monitoring and evaluation of high impact opportunities and high impact
initiatives and priority projects in the energy sector. It also presents the opportunity for increased
privatesectorparticipation.Itisworthwhiletorememberthatchallengeswillalwaysbetherebutthe
onusisonustodeviseinnovativemeansofovercomingthem.
TheMinistryofEnergyandPetroleumispleasedtotakeanearlyleadincontributingtotheon-going
efforts to address the energy needs of the African Continent. The Action Agenda and Investment
Prospectuswillbeinstrumentalindrivingsocio-economicdevelopmentinKenya.
Ithereforeurgedevelopmentpartners,privatesector,civilsociety,academiaandthegeneralpublicto
takeanactiveroleinrealizingtheKenyandreamtowardssustainableenergyforall.
Hon.CharlesKeter
CabinetSecretary
MinistryofEnergyandPetroleum
Kenya
iii
Acknowledgement
The Ministry of Energy and Petroleum wishes to express
deep appreciation to all parties who have unreservedly
offered support to enableKenya to achieve the first three
milestones towards developing its Action Agenda and
Investment Prospectus (AA/IP) under the Sustainable
EnergyforAllInitiative.
Inthisregard,specialgratitudeisextendedtothefollowing:
• EU BiZClim
Facility for funding the first draft of the SE4All Action
AgendaandInvestmentProspectus
• African
Development Bank (AfDB) for funding the National and
County SE4All Initiative awareness and final drafts of the
ActionAgendaandInvestmentProspectus.
• SNV, Practical Action Eastern Africa and WWF for funding the development of SE4All
awareness materials, Newspaper supplements on SE4All Initiative and SE4All Technical
Committeeworkshoprespectively
• UNDP,whichhasfundedtheSE4AllCountryprocesssincethelaunchoftheInitiativeinKenyain
March2012.
• The African Union for coordinating the standardisation of the formats used, and the New
PartnershipforAfricanDevelopment(NEPAD)EnergyDivision,ledbyProfMosadElmissiry,for
takingtheleadingroleinsecuringfinancialsupportfromtheEUBizClimFacility.ProfElmissiry’s
team for guiding us through the whole process, and the NEPAD Kenya Team, for ensuring
successfulengagementofstakeholderstoimprovetheinitialdraftdocuments.
• The SE4All African Hub, throughMr. Daniel Schroth, the SE4All African hub coordinator has
consistentlywalkedwithusbyprovidingreviewcommentsontheinitialdrafts.
• Consultants;HCL, IT-Power UK, Integral Advisory Limited Kenya; under the umbrella of the
AfricaSE4AllCoordinationHub,fortheirunrelentingtechnicalandfinancialsupportinpreparing
theStock-TakingandGapAnalysis, conductingconsultationswith stakeholders,and reviewing
thedraftreportsoftheActionAgendaandInvestmentProspectus.
• The EU Delegation to Kenya, led by programme officer Sanne Willems, has been ardent
supportersofenergydevelopmentinKenya,includingtheSE4Allprocess.
• The Council of Governors Secretariat, through the Ag. CEO Jackline Mogeni for supporting
CountySE4AllAwarenessCreation.
We also extend appreciations to stakeholders from line ministries of Environment and Mineral
Resources,Devolution and Planning, and Industrialization, and those from the Energy Sector, Semi-
Autonomous Government Organisations, Kenya Renewable Energy Association (KEREA), and Civil
PS Photograph
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SocietyOrganisationsthroughPracticalActionEasternAfrica, forprovidingvaluablecommentsatall
stagesofimplementation.Theirinputshelpedtoimprovethedraftstoacceptablestandards.
TheMinistryisveryTheMinistryofEnergyandPetroleumteamhasensuredsuccessfulcoordination
ofdevelopingtheSE4AllActionAgendaandInvestmentProspectus.
The Ministry looks forward to continued collaboration and support of all stakeholders in ensuring
success in the achievement of SE4All national goals in solidaritywith the spirit of theGlobal SE4All
Agenda.The short-termvision is toentrenchSE4All into theMediumTermPlanning (MTP)process,
startingwithMTPIII.Thelong-termvisionistosupportcountiestodeveloptheirrespectiveroadmaps
whilecontributingtothenationalandglobalagenda.
WeencouragecountygovernmentstosupporttheMinistryofEnergyandPetroleuminthisexercise
asweaspiretodelivercleanandmodernenergyservicestoallKenyans.
Eng.JosephNjoroge,MBS
PrincipalSecretary
MinistryofEnergyandPetroleum
Kenya
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ACRONYMSANDABBREVIATIONS
AA ActionAgenda
AFD AgenceFrançaisedeDévelopement
AfDB AfricanDevelopmentBank
CFL CompactFluorescentLamp
CFP CountryFocalPoint
CIDPs CountyIntegratedDevelopmentPlans
CSOs CivilSocietyOrganizations
CRBs CreditReferenceBureaus
DANIDA DanishInternationalDevelopmentAgency
DFID DepartmentforInternationalDevelopment,UK
DRE DirectorateofRenewableEnergy
DSM DemandSideManagement
EAC EastAfricanCommunity
EDF EuropeanDevelopmentFund
EE EnergyEfficiency
EIA EnvironmentalImpactAssessment
EIB EuropeanInvestmentBank
EPC Engineering,Procurement,andConstruction
EPP EmergencyPowerProducers
ESI ElectricitySupplyIndustry
EU EuropeanUnion
FiT
FY
Feed-in-Tariff
FinancialYear
GACC
GDC
GlobalAllianceforCleanCookstoves
GeothermalDevelopmentCompany
GDP GrossDomesticProduct
GEF GlobalEnvironmentFacility
GIZ DeutscheGesellschaftfürInternationaleZusammenarbeit(GIZ)GmbH
GoK GovernmentoftheRepublicofKenya
GTF GlobalTrackingFramework
GVEP GlobalVillageEnergyPartnerships
GWh Gigawatthour
HIIs HighImpactInitiatives
HIOs HighImpactOpportunities
HV HighVoltage
ICS ImprovedCookStove
IEA InternationalEnergyAgency
IP InvestmentProspectus
IPPs IndependentPowerProducers
IRENA InternationalRenewableEnergyAgency
KAM
KCAP
KenyaAssociationofManufacturers
KenyaCountryActionPlan
KenGen KenyaElectricityGenerationCompany
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KETRACO KenyaElectricityTransmissionCompany
KfW KreditanstaltfürWiederaufbau
KP KenyaPower
KNBS KenyaNationalBureauofStatistics
kWh Kilowatthour
KSHSKSHS KenyanShilling
KSS KenyaSE4ALLSecretariat
LPG LiquefiedPetroleumGas
LV LowVoltage
MAED
M&E
ModelforAnalysisofEnergyDemand
MonitoringandEvaluation
MDGs MillenniumDevelopmentGoals
MEPS MinimumEnergyPerformanceStandards
MER Monitoring,EvaluationandReporting
MFBs MicroFinanceBanks
MJ MegaJoules
MoEP MinistryofEnergyandPetroleum
MoWI MinistryofWaterandIrrigation
MoENR MinistryofEnvironmentandNaturalResources
MRPs MoneyRemittanceProviders
MTP MediumTermPlanning
MV MediumVoltage
MW Megawatt
NAMA NationalAppropriateMitigationAction
NGOs Non-GovernmentOrganisations
NORAD NorwegianAgencyforDevelopmentCooperation
NSE NairobiStockExchange
O&M Operation&Maintenance
PPAs PowerPurchaseAgreements
PPP PurchasingPowerParity
PPPs PublicPrivatePartnerships
RE RenewableEnergy
REA RuralEnergyAgency
REB RuralEnergyBoard
REF RuralEnergyFund
REFIT RenewableEnergyFeed-in-Tariff
REM RuralEnergyMasterPlan
RETs RenewableEnergyTechnologies
SAB SE4ALLAdvisoryBoard(Kenya)
SACCOS SavingsandCreditCo-operative
SE4ALL SustainableEnergyforAll
SEF SustainableEnergyFinance
SHS SolarHomeSystems
SIDA SwedishInternationalDevelopmentAgency
SMEs SmallandMediumscaleEnterprises
SNC SE4ALLNationalCoordinator
vii
SPPA/T StandardizedPowerPurchaseAgreementsandTariff
SPPAs StandardizedPowerPurchaseAgreements
SPPs SmallPowerProducers
SPPT SmallPowerPurchaseTariff
SREP Scaling-upRenewableEnergyProgramme
SSMPs SustainableSolarMarketPackages
SWER SingleWireEarthReturn
TERI TheEnergyandResourcesInstitute
TFEC TotalFinalEnergyConsumption
UN UnitedNations
UNDP UnitedNationsDevelopmentProgramme
UNEP UnitedNationsEnvironmentalProgramme
UNEPDTU UnitedNationsEnvironmentProgrammeTechnicalUniversityofDenmark
UNF UnitedNationsFoundation
UNIDO UnitedNationsIndustrialDevelopmentOrganisation
USAID UnitedStatesAgencyforInternationalDevelopment
US$ UnitedStatesDollar
WB WorldBank
WHO WorldHealthOrganisation
WRMA WaterResourcesManagementAuthority
WWF WorldWideFundforNature
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UNITSOFMEASUREMENTS
GJ Gigajoule
GWh Gigawatthour
GWp Gigawattpeak
Koe Kilogrammeofoilequivalent
Kw Kilowatt
KWh Kilowatthour
kWp Kilowattpeak
MW Megawatt
MWh Megawatthour
MWp Megawattpeak
Toe Tonnesofoilequivalent
W Watt
Wp Wattpeak
ExchangeRate:105.68KenyaShillings=1US$(September2015)
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TABLEOFCONTENTS
ACRONYMSANDABBREVIATIONS......................................................................................................................................VTABLEOFCONTENTS...........................................................................................................................................................IXEXECUTIVESUMMARY..........................................................................................................................................................1PREAMBLE...............................................................................................................................................................................51 INTRODUCTION..............................................................................................................................................................7
1.1 COUNTRYOVERVIEW......................................................................................................................................................................71.1.1 GeographyandDemography..........................................................................................................................................71.1.2 PoliticalContext...................................................................................................................................................................71.1.3 SocioeconomicContext.....................................................................................................................................................81.1.4 FinancialSector....................................................................................................................................................................9
1.2 KENYA’SENERGYSECTOR....................................................................................................................................................101.2.1 SectorWideInstitutionalFramework........................................................................................................................101.2.2 LegalandRegulatoryContext......................................................................................................................................111.2.3 EnergyResources-DemandandSupply....................................................................................................................121.2.4 ThePowerSector...............................................................................................................................................................121.2.5 TheProcessHeatSector..................................................................................................................................................131.2.6 EnergyEfficiency................................................................................................................................................................14
2 PARTI–VISIONANDTARGETSTHROUGH2030...................................................................................................152.1 KENYA’SOVERALLVISIONFORSE4ALL............................................................................................................................152.2 INTEGRATIONOFACTIONAGENDAINTOMTPPROCESS..........................................................................................162.3 ENERGYSECTORTRAJECTORY............................................................................................................................................162.4 THEMETHODOLOGICALAPPROACHINSUPPORTOFKENYA’SSE4ALLGOALS..................................................19
2.4.1 BaselineandQuantitativeProjectionsonAccess.................................................................................................192.4.2 TheMethodologicalApproachtotheBaselineandQuantitativeProjectionsonEnergyEfficiency.222.4.3 TheMethodologicalApproachtotheBaselineandQuantitativeProjectionsonRenewableEnergy 24
2.5 SECTORAL-ENERGYNEXUS..................................................................................................................................................263 PARTII–PRIORITYACTIONAREAS..........................................................................................................................29
3.1 ENERGYACCESS......................................................................................................................................................................293.1.1 Electricity...............................................................................................................................................................................293.1.2 CleanCooking......................................................................................................................................................................333.1.3 ExistingGaps.......................................................................................................................................................................343.1.4 HighImpactInitiativesforEnergyAccess................................................................................................................373.1.5 RelevantHigh-ImpactOpportunities.........................................................................................................................383.1.6 Riskmanagementforelectricityaccess....................................................................................................................403.1.7 Riskmanagementforcleancookstovesandfuels................................................................................................41
3.2 RENEWABLEENERGY............................................................................................................................................................423.2.1 StatusandTrajectory.......................................................................................................................................................423.2.2 ExistingPlans/Strategies................................................................................................................................................433.2.3 ExistingGaps.......................................................................................................................................................................443.2.4 HighImpactInitiativesforAchievingtheOverarchingObjectiveofRenewableEnergy.......................443.2.5 RelevantHigh-ImpactOpportunities.........................................................................................................................483.2.6 Risksandmitigationforrenewableenergy.............................................................................................................50
3.3 ENERGYEFFICIENCY...............................................................................................................................................................533.3.1 CurrentStatusandTrajectory.......................................................................................................................................533.3.2 ExistingPlans/Strategies................................................................................................................................................533.3.3 ExistingGaps.......................................................................................................................................................................543.3.4 HighImpactInitiativesforAchievingtheOverarchingObjectivesofEnergyEfficiency........................543.3.5 RelevantHigh-ImpactOpportunities.........................................................................................................................563.3.6 Riskandmitigation...........................................................................................................................................................57
3.4 ADDITIONALNEXUSACTION..............................................................................................................................................583.4.1 CurrentStatusandTrajectory.......................................................................................................................................58
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3.4.2 ExistingPlans/Strategies................................................................................................................................................583.4.3 Gaps........................................................................................................................................................................................583.4.4 HighImpactInitiativesforAchievingtheOverarchingNexusObjectives...................................................593.4.5 RelevantHigh-ImpactOpportunities.........................................................................................................................603.4.6 Riskandmitigation...........................................................................................................................................................62
3.5 ENABLINGACTIONAREAS...................................................................................................................................................633.5.1 EnergyPlanningandPolicies........................................................................................................................................63CriticalAreas............................................................................................................................................................................................63ActionsNeeded.......................................................................................................................................................................................633.5.2 BusinessModelandTechnologyInnovation...........................................................................................................65CriticalAreas............................................................................................................................................................................................65ActionsNeeded.......................................................................................................................................................................................653.5.3 FinanceandRiskManagement....................................................................................................................................66CriticalAreas............................................................................................................................................................................................66ActionsNeeded.......................................................................................................................................................................................663.5.4 CapacityBuilding...............................................................................................................................................................67CriticalAreas............................................................................................................................................................................................67ActionsNeeded.......................................................................................................................................................................................673.5.5 AwarenessandKnowledgeManagement...............................................................................................................683.5.6 CrossCuttingEnablingActions.....................................................................................................................................68
4 PARTIII–COORDINATIONANDFOLLOW-UP........................................................................................................694.1 THEPROCESSOFDEVELOPMENTOFTHEACTIONAGENDAANDINVESTMENTPROSPECTUS.....................................................694.2 ACTIONAGENDA’SIMPLEMENTATION...........................................................................................................................704.3 INSTITUTIONALSTRUCTURES.............................................................................................................................................70
4.3.1 Structure................................................................................................................................................................................704.3.2 ProposedNationalSE4ALLCoordinationStructure..............................................................................................70......................................................................................................................................................................................................................714.3.3 IntegratedapproachbetweenNationalandCountyGovernments..............................................................72
4.4 PROGRAMMINGOFACTIONS............................................................................................................................................734.4.1 ImplementationMethodology.....................................................................................................................................734.4.2 ImplementationTimeline...............................................................................................................................................744.4.3 Kenyan’sActionAgenda’sCoordination...................................................................................................................75
4.5 MOBILIZATIONOFRESOURCES..........................................................................................................................................754.6 EFFECTIVEMONITORINGANDEVALUATION................................................................................................................76
4.6.1 Guidelines.............................................................................................................................................................................764.6.2 MonitoringPlan.................................................................................................................................................................764.6.3 EvaluationPlan...................................................................................................................................................................774.6.4 ReportingPlan....................................................................................................................................................................77
4.7 FOLLOW-UPANALYSIS..........................................................................................................................................................774.8 LINKINGTOINVESTMENTPROSPECTUS.........................................................................................................................78
5 REFERENCES................................................................................................................................................................79ANNEX1:DEFINITIONS......................................................................................................................................................80ANNEX2:THESUSTAINABLEENERGYFORALL(SE4All)INITIATIVE...........................................................................81ANNEX3:STAKEHOLDERSCONSULTEDINTHEDEVELOPMENTOFAA.....................................................................83ANNEX4:CONSULTATIONUNDERREVIEWANDCOUNTYAWARENESS...................................................................89ANNEX5:PROCESSOFDEVELOPINGAAINKENYA.......................................................................................................96ANNEX6:KENYAENERGYINSTITUTIONSANDTHEIRFUNCTIONS.............................................................................99ANNEX7:ENERGYINTENSIVEFLAGSHIPPROJECTS....................................................................................................101ANNEX8:ENERGYFORECASTINGWH(MARCH2013LCPDP2013-2033)...............................................................102ANNEX9:PROPOSEDOUTLINEOFTHECOUNTYENERGYPLANNINGFRAMEWORK............................................103ANNEX10:INDICATORSFORKENYASE4AllINITIATIVE...............................................................................................104FIGURESANDTABLES
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LISTOFFIGURES
Figure1:ProposedActionsandTimelinesforKenya ........................................................................................ 6Figure2:GDPgrowthandGDPpercapita(2009-2012) .................................................................................... 8Figure3:Individualsusingmobilephonefinancialservices ............................................................................ 9Figure 4: Energy Demand Forecast 2012- 2033 ..................................................................................... 18Figure 5: Peak Load Forecast 2012-2033 ............................................................................................... 18Figure6:Projectedgenerationmixinyear2030 ........................................................................................... 26Figure7:Proposedstructure ....................................................................................................................... 71Figure8:KeycomponentsfortrackingaccesstoenergyundertheGTF .......................................................... 76Figure9:ActionAgendaandInvestmentProspectuslinkages ........................................................................ 78Figure10:SE4AllInitiativegoals .................................................................................................................. 81Figure11:ActionAreasoftheGlobalActionAgenda ..................................................................................... 82Figure12:SE4ALLframeworktowardsSustainableDevelopment ................................................................... 82Figure13:ThePowerSector–organizationchart ..................................................................................... 100Figure14:RenewableEnergyDirectoratechart .......................................................................................... 100
Listoftables
Table1:SE4AllInitiativeKenyatargets ........................................................................................................... 1Table2:GuidelinesfordevelopingSE4Allactionagenda ................................................................................. 5Table3:ShareoftheFinancialSectortoGDP ................................................................................................. 9Table4:KenyaSE4ALLTargetsuntil2030undereachSE4ALLgoal ................................................................. 15Table5:GDPgrowthscenarios ................................................................................................................... 17Table6:Ongridandoffgridconnectivityprogression ................................................................................... 20Table7:Levelsofaccesstoelectricityby2022 .............................................................................................. 20Table8:Cleancookingfuelsprogressionforhouseholdsuntil2030 ............................................................... 22Table9:WorldBankEnergyIntensityDefinition ........................................................................................... 22Table10:HistoricalProgressionofKenya'sEnergyIntensity .......................................................................... 23Table11:KenyaTargetsforEI ..................................................................................................................... 23Table12:KenyaTargetsforREmixinpowergeneration .............................................................................. 25Table13:Indicativegoalsfornexusissues .................................................................................................... 26Table14:RiskManagement ........................................................................................................................ 40Table15:Riskmanagementforachievinguniversalaccesstomoderncleancookstovesandfuels .................... 41Table16:Riskmanagementforrenewableenergy ...................................................................................... 50Table17:Riskmanagementinachievingtheenergyefficiencytargets ......................................................... 57Table18:PotentialAAImplementationSequence ......................................................................................... 74Table19:IdentifiedEnablingEnvironmentandGapsfromStockTakingandGapAnalysis ................................ 96
1
EXECUTIVESUMMARY
ThisActionAgenda(AA)presentsanenergysector-widelong-termvisionspanningtheperiod2015to
2030.ItoutlineshowKenyawillachieveherSE4Allgoalsof100%universalaccesstomodernenergy
services,increasetherateofenergyefficiencyandincreaseto80%theshareofrenewableenergyin
herenergymix,by2030.
Accesstomodernenergyservices1 isanecessarypreconditionforachievingdevelopmentgoals that
extend far beyond the energy sector, such as poverty eradication, access to cleanwater, improved
public health and education, women's empowerment and increase food production. The United
Nations (UN) Secretary General launched the SE4All Initiative in September 2011 to achieve three
inter-relatedgoalsby2030:
• Ensuringuniversalaccesstomodernenergyservices;
• Doublingtheglobalrateofimprovementinenergyefficiency;
• Doublingtheshareofrenewableenergyintheglobalenergymix;
The SE4All Initiative requires countries to set quantitative objectives for each of the three goals as
showninTable1.
Table1:SE4AllInitiativeKenyatargets
Universalaccesstomodernenergy
services
Doublingglobalrateof
improvementofenergy
efficiency
Doublingshareofrenewable
energyinglobalenergymix
Percentageof
population
withelectricity
access
Percentageof
populationwith
accessto
moderncooking
solutions
Rateofimprovementin
energyintensity
Renewableenergysharein
TotalFinalEnergy
Consumption
Power Heat
100%2 100% -2.785%3/year 80% 80%
SE4All proposition is that, to achieve the initiative’s objectives, all stakeholders need to play a
leadershiprole:
• NationalandCountyGovernmentsmustdesignandimplementasetofintegratedactions(i.e.
actionagendaandinvestmentprospectus).
• Privatesectorprovidesbusinessandtechnicalsolutionsanddrivesinvestmentand
• Civilsocietyorganizations(CSOs)advocateandmonitorpublicpolicyandbusinessesactions.
1DefinitionofrelatedtermsinAnnex1
2Projectedtobereachedby2022
3Theenergyintensityisexpressedinnegativeasitsimprovementisareductionontheenergyintensity
2
In this regard, the Government of Kenya (GoK) has developed the present AA building on existing
plans/programmes/strategiesandembracingSE4Allguidelinesprinciples.InthecontextoftheSE4All,
access tomodernenergy involveselectricityandenergy forcooking.Kenyahaschosen thebaseline
year for electricity access as 2012. For the purpose of the AA, the definition of electricity access is
connections to the national grid system or distributed (off-grid) electricity solutions which include
SolarHomeSystems(SHS),mini-grids),whichisconsistentwiththeGlobalTrackingFramework(GTF)
andwith themulti-tier approach underGTF. In the baseline year, only 23%,which represents 1.97
millionhouseholdsof thepopulation,hadgridelectricity supply.Access tomoderncooking services
referstoaccesstoimprovedcookstovesandnon-solidfuels.Thebaselineyearforaccesstoimproved
cookstoves is2013,beingatthelevelof3.2millionhouseholds,accordingtomarketassessmentof
CleanCookstovesAssociationofKenya(CCAK)undertheKenyaCountryActionPlan2013(KCAP).Over
80%ofKenyansrelyonthetraditionaluseofbiomassastheprimarysourceofenergyforcookingand
heatingwith firewoodcontributing68.7%andcharcoal13.3%.TheKenyangovernment isputting in
placemeasurestoregulatethefuelwoodsectorwithadraftForestActenvisagingasix-pointsystem
of control fromproducer to consumer. The 2009 charcoal production regulations developedby the
KenyaForestServiceareyettobeadopted.
According to March 2011 Least Cost power Development Plan (2011-2031), the required installed
capacityforreferencescenarioin2030willbe15,065MW.Thepresentvalueforthisinstalledcapacity
amounts toU.S.$41.4billion, (committedprojectsexcluded)expressed inconstantpricesasof the
beginningof2010.Thetransmissiondevelopmentplan indicatestheneedtodevelopapproximately
10,345KMofnew linesat anestimatedpresent costofUS$4.48Billion. Transmissiondevelopment
duringtheplanninghorizonwillbebasedon132kV,220kVand400kV.
According to 5 year (2013-2017) corporate strategy plan for the electricity sub-sector for, Kenya
targets installed capacity of 6,762MW consisting of 49.9% renewable energy, 15.5% Natural gas,
28.4%Coaland6.2%dieselby2018. Thetotalgenerationcapitalexpansioncostupto2018cost is
estimatedatUS$7.78billionunderthemoderate.Thereare41transmissioninvestmentprogramme
associatedwithimplementationoftheadditional5,000+MWinvestmentby2018atanestimatedcost
ofUS$3.7billion.Thecorporatestrategyplan targets3,325kmofnewtransmission linesand3,178
MVAofnewtransmissionsubstationcapacityfortransmissionsystemsand3768kmofnewMVlines.
Thedistributionsystemtargets69newsubstationsofcapacity6,225MVA;20newbulksupplypoints
of capacity1237.5MVA fordistributionsystems,and70%householdconnectivity toelectricity.The
estimatecostofimplementingthedistributionsystemisUS$1.3billion.Implementersoftransmission
anddistributionprojectsareKenyaElectricityTransmissionCompany(KETRACO)andKenyaPowerand
LightingCompany(KPLC)respectively.
Based on the Stocktaking and Gap Analysis report and discussions with key stakeholders, the AA
includesthefollowingpriorityactions:
• Improvingthepolicyandregulationoftheenergysector:
o Develop specific regulations for sustainable efficient charcoal production and usemethodslinkedwithappropriateforestrymanagementplansandafforestationefforts.
o Developaconcretepolicy,strategyandtargetstoregulatebiomassenergy, inparticular
thecleancookingsector.
3
• HumanandInstitutionalCapacityDevelopment:
o TheSE4AllSecretariatwilldevelopaprogrammetoimprovethecapacityofnationaland
localinstitutionsaspartofacceleratingrenewableenergytechnologytransferanduse.
• Increaseaccesstoelectricity:
o TheLastMileConnectivityProjectandfinancingconnectionsfor“under-grid”areas:the
project will extend the low voltage network to reach households locatedwithin a 600
metre-radiusfromatransformeraswellasthe installationofprepaidenergymeters. In
addition, financial support will be available for households unable to afford the KShs
15,000 (~US$ 150) fee required to be connected. Re-payments can be spread over a
periodofuptotwoyears,orKShs625(~US$8)loadedontheirmonthlybill.
o Opening the competition to private players by creating favourable legislation and
regulatione.g.theexemptionofVATonsolarproductsand,morerecently,enablingsolar
micro-gridcompanyPowerHiveEastAfricatobecomethecountry’sfirstlicensedprivate
utilitytogenerate,distributeandsellpowertothepublic4.
o TheMinistryofEnergyandPetroleum(MoEP)toappointfocalpointfortheEnergyAccess
MarketAcceleratorthatwillimplementacollaborationmechanismandassistancefacility,
facilitating the coordination of activities in the energy access market, connecting
enterpriseswithserviceproviders,andliaisingwiththeinternationalcommunityandlocal
governmenttocommunicateongoinggapsandbrokereffortstobridgethem.
• Increaseaccesstomoderncookingsolutions:
o Accesstomoderncookingcanhaveatransformativeeffectonlives,forexamplereducing
indoor air pollution that causes ill-health and premature death, particularly to women
andchildren.MoEPtoleadonthecreationofacross-sectoralinitiativetobringtogether
differenton-goingeffortsandimprovecoordinationacrossagencies,privatesector,CSOs
andNGOs,andimprovecapacity.
o MoEPtofinalizeonthedevelopmentofbioenergyandLPGstrategythatwilldefineaction
plansforimplementationofimprovedcookstovesandbiofuels.
o Developwoodfuels(firewoodandcharcoal)supplyanddemandmasterplanforthemain
supply and demand centres (including tree cover inventory, classification of harvesting
zones, relevant data, analysis of wood fuels flows, development of conditions and
technicalspecificationsforwoodfuels,productionanduse).
• MoEPtoworkacrossGovernmentAgenciesandwithstakeholdersto:
o DevelopandimplementaNationalEnergyEfficiencyProgrammetoassessopportunities
forenergyefficiencyinmultiplesectors.
o Implement and enforce a labelling scheme for electric appliances. To increase its
efficiency and impact, a national awareness campaign targeting consumers and
distributorswillbecarriedout.
4http://allafrica.com/stories/201507132822.html
4
o MoEP to lead in awareness creation on the use of clean cookstoves and fuels as a
healthbenefittopreventdeathsandsicknessfromindoorairpollution.
o MoEPtopromoteinstitutionalcapacitydevelopmentandcreateawarenessonenergy
efficiency.
o Implement and develop cookstoves dissemination projects and define and scale up
certificationprocessesforresidentialandcommercialcookstoves.
AsKenyaintegratesSE4Allintoitsnationalplanning,thetrajectorytowardsthecountry’sSE4AllGoals
isinformedbythefollowingphases:
• Transition (2015–2017).During thisperiod,Medium-TermPlanning2 (MTP2), thecountry
continues with its current strategies and starts a national dialogue toward the adaptation,
updateandalignmentoftheexistinginterventionsunderthecountry’sSE4ALLagenda.During
thisperiod,allnewstrategiesand interventions forenergysectorwillhave tobeconsistent
withKenya’sSE4AllAA.
• PhaseI(2018–2022).SE4AllbecomethekeyenergysectorreferencefortheMTP3process.
In this context, the AA will be assessed by its progress and additional interventions and
InvestmentProspectuses(IP(s))shouldbeincorporatedasneeded.
• PhaseII(2023–2027).TheAAandtheMTP4willbereassessedbyitsprogressandadditional
interventionsandIP(s)shouldbeincorporatedasneeded
• PhaseIII(2027–2030).TheAAandtheMTP5willbereassessedbyitsprogressandadditional
interventionsandIP(s)shouldbeincorporatedasneeded
TheSE4AllprocessinKenyaincludesthecreationoftheSE4AllSteeringCommitteewhichwillinclude
representation from thepublic sector, private sector, civil society anddonor community to support
thedesignoftheAAandtheIP.OncetheAAisvalidatedandadopted,thisCommitteewillremainin
place andmeet regularly to provide support and advice to the Kenya SE4All Secretariat (KSS). The
SecretariatistheAA’sleadadvocacyandmanagerialunitthat:
• WillmonitorSE4Allprojectsandstudies,whichshouldremainundertheresponsibilityofthe
relevantGovernmentAgenciesandinstitutions
• TakestheresponsibilityforrealizingSE4Allgoals,implementingtheIP(s)associatedtothisAA,
andapplyingtheSE4AllMonitoringplan
• Is the focalpoint forexchanging informationwiththeSE4Allglobal initiative,especiallywith
theSE4AllGlobalFacilityTeam,theSE4AllAfricaHub,andtheSE4AllThematicHub
• Presents for review by the SE4All Coordination Committee and GoK authorities draft
modifications to the AA and proposes any other “mid-course” adjustments that may be
neededtokeepKenyaonitspathtoachieveitsSE4Allgoals
5
PREAMBLE
Followingthe launchoftheSE4All in2011,andKenyaopting into it in2012(Annex25).TheSEA4All
InitiativewaslaunchedinKenyabyUnitedNationshigh-levelmissioninMarch2012.UnitedNations
Development Programme (UNDP) New York supported the development of the template for
stocktaking and gap analysis. A Country Focal Point (CFP) was appointed within the Directorate of
RenewableEnergy intheMinistry.TheMinistryformedamulti-stakeholdertaskforcetooverseethe
developmentofKenya’sSE4Allframework.ThedevelopmentoftheAAwasaninclusiveprocesswith
national ownership that considered cross-sectoral impact of national SE4All goals (see Annex 56).
Annex3presentsalistofsomeoftheCivilSocietyOrganizations(CSOs),agenciesandprivatesector
consultedduringthedevelopmentof thisdocument.Additionalconsultationprocessescontinuedto
expand the coverage and eventual buy-in of wider stakeholders at both National and sub-National
levelstosupporttheimplementationoftheAA.Annex4presentsalistofsomeoftheCSOs,private
sector and Counties involved. The recognition by GoK ensures that the AA becomes part of the
nationaldevelopmentplansandbudgetsystem,foreffectiveimplementation.
Thedevelopmentof theAAwasguidedby theAfricaSE4AllHubGuidelines fordevelopingnational
SE4Allactionagendas(NPCA/AUC/UNDP/AFDB)thatembracestheprinciples;
Table2:GuidelinesfordevelopingSE4Allactionagenda
GuidelinePrinciples ResponseintheAAdevelopment
Buildingonexisting
plans/programmes/strategies;
Existingpolicies,plans,strategiesintheenergysectorandwithintheeconomyhavebeen
consideredinthedevelopment(Annex5)
Politicalcommitmentandleadership; AttheNationallevel,MoEPisinchargeoftheSE4AllCountryProcessandallocateddedicated
seniorcivilservantstomanagetheproject.MoEPthroughtheCouncilofGovernors(CoG)
secretariathasbroughtonboardSub-National(County)governmentstosupporttheSE4All
InitiativeinKenya.
Abalancedandintegratedapproach; TheAAdevelopmenthasconsideredallaspectsoftheenergysectorthatarerelevanttoSE4All
andhasalsoconsideredinterventionsthatcanmeetmultipleSE4ALLgoalsforKenya
Aninter-ministerialandcross-sectoral
approach;
Inter-ministerialCommitteehasbeenformedtotakechargeofcross-sectoralissueshavean
impactsonachievementofSE4ALLgoalsforKenyae.g.land,water,forestry,agriculture,gender,
healthandthenecessaryreformsproposed
Adherencetosustainabledevelopment
principles;
TheAAdevelopmenthasfocusedoncleanmodernandrenewableenergyresourcesthatcan
improveeconomicperformanceandsocialwelfareandcontributetogenderequality.
Participationandmeaningful
involvementofallstakeholders;
MoEPformedacoreteamwithrepresentationfromgovernment,privatesector,development
partners,CivilSocietyOrganisationsandprivatesectorthatsteeredthedevelopmentofAA(See
annex6).Keyenergystakeholdershavebeenconsultedeitherbilaterallyoraspartofgroup
stakeholderworkshopsasperAnnex3andAnnex4.Inaddition,participationofstakeholders
(CSOs,privatesectoretc.)inTechnicalteamsinvolvedinthedevelopmentoftheAA.
Genderequalityandinclusiveness;and WhendeterminingwhichpriorityareastoconsiderfortheAA,genderperspectivehashavebeen
integratedespeciallyintermsofaddressingmoderncookingservicesthatreducetheburdenof
woodandfuelcollectionbywomenandchildrenandinprioritisationofanddecentralized
solutions.
Transparencyandaccountability Apartfrominvolvementofkeyenergystakeholdersinthemappingofpriorityareas(projectsand
reforms),theMoEPhasalsobeeninvolvedinleadingtheworkshops,guidingtheprocessand
endorsingthepriorityareasthatarepresentedinthisAAReport.
TheMoEPinitiatedthedevelopmentoftheActionAgendaandInvestmentProspectus(AA/IP)in2014
aftercompletionofstocktakingandgapanalysisinJune2013.Thesedevelopmentshavebeeninline
5SE4ALLinitiativeprocessinKenya
6ProcessofdevelopingAAinKenya
6
withtheSE4Allprocess,reflectedintheFigure17.
Figure1:ProposedActionsandTimelinesforKenya8
The above SE4All timelines fall within those of Kenya’s national long-term development blue print,
Vision 2030, whose purpose is to create a globally competitive and prosperous nation with a high
quality of life by 2030.The vision is anchored on three key pillars; economic, social and political
governance.TheMediumTermPlan(MTP)operationalizestheVision2030.TheMTPalso integrates
international community development goals such as Global Sustainable Development Goals (SDGs).
The first MTP was implemented between 2008 and 2012. The current (second) MTP outlines the
policies,programmesandprojectswhichtheGovernment intendsto implementduringthefive-year
periodstartingfrom2013to2017.
The SE4All9 Global Action Agenda (AA) was issued in April 2012 and it is based on a framework
proposingaglobalAA foruniversalenergyaccess, fosterEEandboost investment inRE.TheSE4All
goals are expected to be achieved through a number of High Impact Initiatives (HIIs), which are
targeted,on-the-groundprogramsorprojects,andcategorizedintoHighImpactOpportunities(HIOs).
7TheProcesshasfoursteps,forpurposeofillustratingtheactivitiespertaining,theAAandIPstepfourwassplitintwoand
thereforefivestepsareshown.8Adaptedfrom(Putti,2012)
9TheSE4ALLinitiativeisdescribedinAnnex1
7
1 INTRODUCTION
1.1 COUNTRYOVERVIEW
1.1.1 GeographyandDemography
Kenyaislocatedacrosstheequator,stretchingfromlatitudes4°Northto4°Southandlongitudes34°
to41°Eastcoveringanareaofapproximately582,646squarekilometres.Thepopulationattheendof
2014was estimated to be45.56 million up from38.6million10 reported in the last Population and
HousingCensus(2009),with50.3%beingwomencomparedto49.7%menwiththerural/urbanshare
of67.7%and32.3%respectively.
1.1.2 PoliticalContext
Kenya is a multi-party state governed through a devolved government system introduced by the
ConstitutionofKenya(2010).TheEnergySectordevelopment is influencedbythepoliticaldecisions
pertaining topolicies andbudgetary resourceallocations. Kenyapolitical systemhas recognised the
fact that sustainable clean energy is required for the achievement of Vision 2030 and have
incorporateditmanifestos.MacroeconomicContext
Vision 2030 whose purpose is to create a globally competitive and prosperous nation with a high
qualityoflifeby2030currentlydrivesKenya’seconomicagenda.TheVisionisanchoredonthreekey
pillars: economic, social and political governance. The Vision is operationalized through 5-year
MediumTermsPlans(MTP),whichoutlinesthepolicies,programmesandprojectsforimplementation
inthefive-yearperiod.Thereareaseriesofdevelopmentandsectorpoliciesandstrategies inplace
whichaid inthe implementationoftheMTPsthatsupporteffortstorealizetheVision.Thecounty’s
nationalincomeof$55.2billionwas25%higherandgrossdomesticproduct(GDP)percapita,literally,
from$994to$1,256,followingtherebasingofitsGDPinSeptember201411.
FollowingtherebasingofherGDP inSeptember2014,Kenya joinedthe listof lowermiddle income
economies.Thecountry’sGDPisKShs3,798billion(US$39.15billion)12,withagricultureandforestry
contributing the largest–25.3%ofGDPbyactivity13and13.1%togrowth (although itsgrowth rate
was also among the lowest, at 2.9%). GDP per capita (constant) is KShs 40,345 (US$ 416). Gross
national income(GNI) in2012wasUS$860/capita14comparedtoanaverageofUS$7500forUpper
MiddleIncomecountries.
Averagepercapitaenergyconsumptionbetween1971and2011was450koe15rangingfrom430koe
in1971and482koein2010comparedtoanaverageof2000koeforUpperMiddleIncomes.External
debtservicechargeaspercentageofGDPis1.2%andexternaldebtserviceasapercentageofexports
ofgoodsandservices.Totalpublicdebtin2013/14fiscalyearwas43%ofgrossdomesticproduction
10The2009KenyaPopulationandHousingCensus
11 http://www.worldbank.org/en/news/feature/2014/09/30/kenya-a-bigger-better-economy 12Converted at (11 June 2015) CBK mean rate of 97 (https://www.centralbank.go.ke/index.php/interest-rates/commercial-banks-weighted-av). 13 Current Prices, 2010 – 2013 14 http://en.wikipedia.org/wiki/List_of_countries_by_GNI_(nominal,_Atlas_method)_per_capita 15 http://www.theglobaleconomy.com/Kenya/Energy_use_per_capita/
8
(GDP).ThesuccessofSE4AllInitiativeinKenyawillbehingedpartlyontheabilityofthegovernment
tomobilizeinvestmentfromexternalandinternalsources.
Thecountry’seconomygrewby5.3%in2014andisprojectedtogrowby6%in201516.Theresilience
islikelytocontinuewiththeeconomyexpandingat6.6%in2016and6.5%in2017,accordingtothe
latestWorldBankGroup’seconomicanalysis.
Figure2:GDPgrowthandGDPpercapita(2009-2012)
DataSource:KenyaNationalBureauofStatisticsEconomicSurvey
1.1.3 SocioeconomicContext
TheWorldBankestimatesthatpovertylevelhasdeclinedfrom47%in2005to34-42%in201417.GDP
percapitainKenyaaveraged485.86US$from1960until2014,reachinganall-timehighof648.84US$
in 2014 and a record low of 155.69 US$ in 1960. According to Kenya Facts and Figures 201418,
agriculture, forestry and fishing industry is the second largest employer by sector (15.3%), after
education (17.7%). The total working population in public (30%) and private sector (70%) is 2.26
million19.About81.6%ofthepopulationearnsamonthly incomeofKShs10,000(US$103)or less
20.
The high levels of poverty incidence in Kenya remain a serious impediment to increasing access to
modernenergyservices.In2009,45.6%ofKenyanslivedbelowthepovertyline.Themajorityofthe
poor inruralareasarefoodandsubsistencefarmersandthosewhoderivethebulkoftheir income
from the informal sector; the urban poor aremainly in the informal sector. About a third of rural
households are female-headed, and two-thirds of them have nomale support, in otherwords, are
headedbywidowed,divorced,orseparatedwomenwithchildren.Theincidenceofseverepovertyis
significantly higher among such households—44 percent compared to 20 percent for male-headed
households.Amajorcauseofpovertyamongdivorcedandseparatedwomenisthelossofaccessto
land.Suchwomenoftenfleetourbanareaswheretheyremainpoor21.ThismeansthatmanyKenyans
will not afford the modern energy carriers envisaged in the SE4All objectives unless appropriate
strategiesareformulatedthataddresstheinherentpovertybarrier.
As observed earlier, many energy projects have in the recent past stalled owing to social conflicts
16 Kenya Facts and Figures 2014, Kenya National Bureau of Statistics 17SynopsisforKenyacountrypolicypaper2013
18KenyaNationalBureauofStatistics,2014
19KenyaFactsandFigures2014,KenyaNationalBureauofStatistics
20KenyaFactsandFigures2014,KenyaNationalBureauofStatistics
21 http://web.worldbank.org/
9
Figure 3: Individuals using mobile phone
financialservices
around the issueof landcompensation.Furthermore, theKenyanconstitutionemphasizes theneed
forpublicparticipation inthedecisionstouchingontheuseof landandotherresourceswithintheir
localities.
Povertyremainsapervasivenationalproblemtodate.Itisasocialproblemcharacterizedbylowlevels
of income and inadequate access to basic services. Socio-economic functions previously under the
national government are devolved progressively. Energy policy including electricity and gas
reticulation and energy regulation is the responsibility of the National Government while county
planninganddevelopment,underwhichelectricityandgasreticulationandenergyregulationfall, is
theworkofCountyGovernments22.
1.1.4 FinancialSector
Kenya’s financial sector comprises of the banking, capital markets, insurance industry, pension
industry,safetynetsandresolutioninstitutionsliketheKenyaDepositInsuranceCorporation,financial
marketsinfrastructure,andSavingsandCreditCo-operative(SACCOS)sub-sectors.Asaproportionof
GDPatCurrentMarketPrices,totalassetsofthefinancialsectorexcludingcapitalmarketsaccounted
for108.00%in2013upfrom96.48%in2012.Totalvalueofequitymarketcapitalizationaccountedfor
50.57%ofGDP(Table3).
Table3:ShareoftheFinancialSectortoGDP
GDP/SUB-SECTORASSETS 2012 2013
KShsinMillion ShareofGDP KShsinMillion ShareofGDP
NominalGDP 3,403,547 N/A 3,797,988 N/A
BankingAssets 2,330,335 68.47% 2,703,394 71.18%
PensionAssets 548,700 16.12% 696,680 18.34%
InsuranceAssets 311,000 9.14% 366,252 9.64%
SaccosAssets 93,765 2.75% 335,437 8.83%
TOTAL 3,283,800 96.48% 4,101,763 108.00%
EquitiesMarketCapitalization 1,272,002 37.37% 1,920,719 50.57%
Source:KenyaFinancialSectorStabilityReport2013
The banking subsector accounted for 71.18%,
followedbypensionand insurance subsectors in
thatorder.This showssignificant contributionof
thesectortotheoveralleconomy,makingitvery
criticaltothestabilityoftheeconomy.
As of end of 201423, there were 44 banking
institutions(43commercialbanksand1mortgage
finance company), 8 representative offices of
foreign banks, 9 Microfinance Banks (MFBs), 2
Credit Reference Bureaus (CRBs), 13 Money
Remittance Providers (MRPs) and 87 Foreign Exchange (forex) Bureaus. Out of the 44 banking
institutions, 30 are locally owned banks comprising of 3 with public shareholding and 27 privately
22ConstitutionofKenya(2010),FourthSchedule,DistributionoffunctionsbetweenNationalandtheCountyGovernments
23KenyaFinancialSectorStabilityReport2014
10
ownedwhiletheother14areforeignowned.The9MFBs,2CRBs,13MRPsand87forexbureausare
all privatelyowned. Further, 10of the44banking institutions are listedon theNSE.As seen in the
figure324,morethandoublethenumberofadultsinKenyausemobilephonefinancialservices(11.5
million)comparedwithbanks(5.4million).
The East Africa Community (EAC) Common Markets Protocol, effective July 1, 2010, prioritizes
regionalizationof theEastAfricanCapitalMarketswith theaimofprovidinganopportunity for the
growthanddeepeningofthecapitalmarketsintheregiontopromoteeconomicgrowth.
1.2 KENYA’SENERGYSECTOR
1.2.1 SectorWideInstitutionalFramework
The Ministry of Energy and Petroleum (MoEP) is the Governments apex institution in the energy
sector. MoEP’s directorates encompass Petroleum, Electrical Power, Renewable Energy and Geo-
exploration.Duetothecross-cuttingnatureofenergy,otherGovernmentministrieshaveasignificant
roletoplayinenergypolicymatters25.
SessionalPaperNo.4of2004andtheEnergyActNo.12of2006restructuredtheenergysectorinabid
to facilitatehigh-levelperformanceas shown inannex6. The roleof thekey institutionswithin the
MinistryarepresentedinAnnex6.
InstitutionalarrangementsintheenergysectorinKenyacanbepresentedaseitherpublicorprivate,
even though the public sector significantly controls the current energy mix, where wood fuel is
dominantinthetraditionalsector(ruralandurbanpoorcommunities),whilepetroleumandelectricity
are the dominant fuels in the modern economy. In both the public and private sector, further
institutionalcategoriesareevident.
Publicsector institutionscomprisepolicy-makers, regulators,parastatals, specialpurpose formations
anddevelopmentpartners.Inthiscategory,lineministriesactbothascustodiansofpolicyaswellas
supervisory organs, controlling all the other institutions. The parent is the Ministry of Energy and
Petroleum, to which all other relevant line ministries, regulators, state-owned enterprises, special
purposeformationsanddevelopmentpartnersreferonmattersrelatedtoenergy.
24FinAccessNationalSurvey2013,Kenya
25NationalEnergyPolicy,draft,August2015
11
1.2.2 LegalandRegulatoryContext
Kenya has a series of development and sector policies and strategies26, relevant to SE4All. These
strategicdocumentsandactivitiesincludethefollowing:
• CurrentEnergyPolicyandLegislation:
o EnergyPolicy§ The Sessional Paper No. 4, 2004 on Energy lays the policy framework uponwhich
cost-effective,equitable,affordable,adequateandqualityenergyservicesaremade
available to the domestic economy on a sustainable basis over the period 2004 -
2023.TheagendaforactionintheSessionalPaperincludedenactmentofanewand
robust Energy Act (Energy Act 2006) to, among other things, create a common
energysectorregulator,theEnergyRegulatoryCommission.
o EnergyAct,2006§ TheEnergyAct,No.12of2006consolidatedtheElectricPowerActNo.11of1997
and the Petroleum Act Cap. 116. The Act, among other things provided for the
establishment of, powers and functions of the EnergyRegulatory Commission as a
successortoERB.
o ElectricityRegulations§ TheElectricPower(ElectricalInstallationWork)Rules,2006,
§ TheEnergy(ComplaintsandDisputeResolution)Regulations,2012
§ TheEnergy(ElectricityLicensing)Regulations,2012
o RenewableEnergyregulations§ TheEnergy(SolarPhotovoltaicSystems)Regulations,2012
§ DesignationofEnergyUsersGazettment
§ TheEnergy(EnergyManagement)Regulations,2012
§ TheEnergy(SolarWaterHeating)Regulations,2012
o PetroleumRegulations
§ TheEnergy(GasoholBlending)Regulations,2010§ TheEnergy(PetroleumRegulationLevy)Regulations,2008(June)-Ln91
§ ThePetroleum(Amendment-No2)Rules,2003-Ln197
§ ThePetroleum(Amendment)Rules,2002-Ln31
§ ThePetroleum(Amendment)Rules,2000-Ln64
§ TheEnergy (PetroleumRegulationLevy) (Amendment)Regulations,2008 (August) –
Ln
§ TheEnergy(PetroleumPricing)Regulations,2010
§ TheEnergy(LiquefiedPetroleumGas)Regulations,2009
§ The Energy (Importation Of Petroleum Products) (Quota Allocation) Regulations,
2010
§ TheEnergy(MinimumOperationStock)Regulations,2008
§ TheEnergy(StrategicStock)Regulations,2008
o ProposedEnergyPolicy&Law§ TheNationalEnergyandPetroleumPolicy2015
§ TheEnergyBill2015
§ ThePetroleum(Exploration,DevelopmentandProduction)Bill,2015
26http://www.erc.go.ke/
12
§ ModelProductionSharingContract
§ Energy(LocalContent)Regulations,2014
§ Petroleum Exploration, Development and Production (Local Content) Regulations,
2014
• Governmentdrivenstrategiesandplans:
o KenyaVision2030o Kenya’s5000MWPowerPlan(2013-2016)
o Kenya’sLastMileConnectivityProject(2015-2017)
o LeastCostPowerDevelopmentPlan(2013-2033)
o Scaling-upRenewableEnergyProgramme(SREP)–InvestmentPlanforKenya
o RuralElectrificationMasterPlan
o KenyaNationalClimateChangeResponseStrategy
o National Electrification ProgramProspectus [herein referred to as Rural Electrification
Authority(REA)Prospectus]developedbyREAwithsupportfromNorwegianAgencyfor
DevelopmentCooperation(NORAD)July2014.
• PrivateSectorStrategies:
o KenyaNationalDomesticBiogasProgramme(KEDBIP)
o KenyaCountryActionPlan–Cookstoveso LightingAfricaProgramme
1.2.3 EnergyResources-DemandandSupply
Themain resourcesof energy inKenyaare renewableenergy and fossil fuels. The country is highly
dependent on biomass energy, which provides 68% of the total energy supply. Fossil fuels and
electricity provide 22% and 9% respectively while other sources provide 1% of the overall energy
requirements. Petroleum is imported in both crude and refined forms and accounts for 25%of the
nationalimportbill(KNBS,2011).
Acceleratingthepaceofelectrificationisinlinewiththegovernment’stargetof70%electrificationby
201727thatwillcontributetoeliminatingextremepovertyandachievingsharedprosperity.
1.2.4 ThePowerSector
Kenya’spowerindustrygenerationandtransmissionsystemplanningisundertakenonthebasisofa
20yearrollingLeastCostPowerDevelopmentPlan(LCPDP)updatedeverytwoyears.Accordingtothe
Updated LCPDP 2013-2033, the load forecast based on the Model for Analysis of Energy Demand
(MAED) excel worksheets indicates the peak demand is estimates as shown in Annex 8. From the
MAED analysis, the peak demand in 2030 will grow to 11,318MW in low scenario, 21,075MW in
referencescenarioand31,237MWinthehighscenario.Theenergydemandwillincreasefrom8,010
GWhin2012to17,719GWhin2018to81,352GWhin2030and118,680GWhin2033.Thecurrent
peak load isexpected togrow10 timesby theyear2030.Regionalelectricity trade is an important
componentofKenya’sstrategy,aswellaswithintheEastAfricanPowerPool(EAPP)countries.Kenya
imports84.3millionkWhofpowerandexports39millionkWhtoEAPPcountries,whichconstitutes
27http://www.kplc.co.ke/img/full/2nPEsH9Dge4K_Launch%20of%20the%20Last%20mile%20connectivity%20Project.
13
1.1% of Kenya’s net generation28. Efforts are underway to enhance power trade in the region and
KenyaiswellplacedtoprovideawheelingframeworktootherEAPPcountries29.
Demand forelectricityhas shownanupward trendsince2004due toacceleratedeconomicgrowth
andplannedenergy intensiveVision2030 flagshipprojects (Annex7). Peakdemand increased from
899MWinFinancialYear(FY)2004/05to1,468MWinFY2013/14reaching1,512MWbyDecember
2014,while thenumberof electricity consumersmore than trebled from735,144 in FY 2004/05 to
2,757,983by June201430.Householdelectricityaccess isabout35%
31with51%ofurbanand5%of
ruralhouseholdsconnected to thegrid32.Per capitaelectricity consumptionwas155kWh
33 in2010
and2011.Thisisincomparisontoanaverageofover1,500kWh/capita34peryearforAfricanUpper
MiddleIncomescountries.
As of November 2014, the total installed electricity generation capacity in Kenya stood at
2,294.82MW. The generation mix includes hydropower (821 MW), geothermal (598MW),
cogeneration(26MW),wind(25.5MW)andfossilfuelbasedelectricity(827MW)35.
As one of the largest unsubsidized markets for solar pv systems in the world, Kenya represents a
promising model for off-grid electrification based on private purchases of clean decentralized
photovoltaictechnologies.Kenyahasalarge-scalemarket-drivenpenetrationofsmallPVsystemswith
capacity of 12 – 50watts power (Wp) consisting of low cost amorphous siliconmodules and both
mono- andpolycrystalline siliconmodules. Itwas estimated that by the endof 2014,more than6
MW36 of solar PV System capacity was installed in residential and commercial sectors through the
private sector initiative. By the year 2020, it is projected that the installed capacity of solar
photovoltaicsystemswillreach100MWegenerating220GWhannually.Theoff-gridanddecentralized
electricitymarketinKenyaisestimatedtocompriseabout6.7Millionhouseholds37.Supplycomprises
microandPicosystems,mini-grids,andstand-alonesystems–withsolar,windandhydrobeingthe
mainresourcesinuse.Intheoff-gridsegment,stand-alonesolarPVsystemsarethemostwidelyused
technology,withwellover200,000systemsinstalled38andsalesestimatedat20,000systemsperyear.
1.2.5 TheProcessHeatSector
Process heating is vital to nearly allmanufacturing (industrial) processes, supplying heat needed to
producebasicmaterialsandcommodities.Industriesrequiringthermalenergyfortheirprocessesare
alsoswitchingtobiomassduetotheincreasingcostoffueloile.g.foodprocessing.Theteaindustryis
oneof the largest consumers of fuelwood. There areover 90 tea factories in Kenya consuming an
28http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
29KenyaNationalBureauofStatistics,EconomicSurveyReport,2014
30http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
31NationalEnergyandPetroleumPolicy-FinalDraft–June2015(page68)
32RuralEnergyMasterPlan
33http://data.worldbank.org/indicator/EG.USE.ELEC.KH.PC
34Botswana1600kWh/cap;SouthAfrica4604kWh/Cap
35ERCwebsite(erc.go.ke/Home/Electricity)
36 NationalEnergyandPetroleumPolicy-FinalDraft–June2015 37http://www.solarwirtschaft.de/fileadmin/media/pdf/intersolar2013/4-Muchunku-Solar-P-Market-Kenya.pdf
38StockTakingandGapanalysisreport,2013
14
averageof10,900m3ofwoodfuelperyear;about550,000tonnesoffuelwoodperyear.Someofthe
industriesareusingbriquettesasasourceoffuel.Thesecondhighestconsumerofwoodfuelarethe
cottage industrieswhich include brickmaking, tobacco curing, fish smoking, jaggaries and bakeries.
MostofthebiomassinKenyaoriginatesfromforestedandnon-forestedlands(cropandgrasslands).
Over 80% of Kenyans rely on the traditional use of biomass as the primary source of energy for
cookingandheating–withfirewoodcontributing68.7%andcharcoal13.3%39.About87%oftherural
populationusesfirewoodforcookingand82%oftheurbanpopulationusescharcoalforcooking40.
Woody Biomass is the most important contributor to renewable energies, though biomass is only
renewable if its sustainable production is ensured. Unsustainable logging to produce wood fuel
(charcoal in particular) is a primary cause of deforestation in the country alongside other negative
effectssuchasdegradationoflandanddestructionofmajorwatercatchmentareasandcarbonsinks.
Waste energy recovery from used geothermal steam is a cheaper source of process heat. GDC
launcheditsfirstDirectSteamUsePilotProjectatMenengaiinAugust2015.Thisisademonstration
project of alternative uses of geothermal includingmilk pasteurization, greenhouse heating, drying,
andaquaculture.
1.2.6 EnergyEfficiency
The government is addressing various energy efficiency in various ways which include drafting of
energy regulations and implementationofprogrammesandprojectsatan institutional levelandin
cooperation with several Development Partners. Enabling reforms in place include; The Energy
(EnergyManagement)Regulations,2012thatrequireregularenergyauditsbylarge-scaleenergyusers
andTheEnergy(SolarWaterHeating)Regulations,2012,thatrequireregularenergyauditsbylarge-
scale energy users and those that require installation of solar water heaters by water users using
greaterthan100litresofhotwaterperday.Theimplementationofenergyefficiencyregulationsthat
weredraftedin2012willstartin2017.
Accordingto5000+MWPowertotransformKenya,2013-2017,Electricitysectorlosses–Distribution
andtransmissionlossesintheelectricitysectorcostthecountryoverUS$17millionperyear41.Thisis
a priority area for Kenya Power and the Kenya Electricity Transmission Co. Ltd (KETRACO) and
attentionisbeingaccordedtoreducebothtransmissionanddistributionlosses.
39TheGlobalLPGPartnership(GLPGP)-KenyaMarketAssessment,2013
40MinistryofEnvironment,WaterandNaturalResources:AnalysisofDemandandSupplyofWoodProducts inKenya July
2013 415000+MWPowertotransformKenya
15
2 PARTI–VISIONANDTARGETSTHROUGH2030
2.1 KENYA’SOVERALLVISIONFORSE4ALL
The growth projected in Kenya’s Vision 2030 implies an increased energy demand. Much of this
increasedenergydemandwillbe intheformofelectricity. In linewiththis,Kenyaenvisionsa100%
access toaffordablequalityEnergy forallKenyans.Theseambitionsare incorporated intoa revised
visionandmissionintheDraftNationalEnergypolicy(2015).
• Vision:AffordableQualityEnergyforAllKenyan,
• Mission: To Facilitate Provision of Clean, Sustainable, Affordable, Competitive, Reliable and
SecureEnergyServicesatLeastCostwhileProtectingtheEnvironment.
AnotherkeyconsiderationisthenewdevolvedgovernancesysteminKenya’snewConstitution(2010)
that has resulted into demarcation of the country into 47 Counties. This change has significantly
alteredtheplanningprocessestomeetthedevelopmentobjectives.
Part 2 of the Fourth Scheduleof theConstitutionprovides that counties are responsible for county
planning and development including electricity and gas reticulation and energy regulation and
thereforeareakeystakeholderintheimplementationandachievementofSE4ALLtargets.
As requiredunderSE4ALL InitiativeKenyahassetquantitative targets foreachof thethreegoalsof
theinitiativedepictedinTable4below.
Table4:KenyaSE4ALLTargetsuntil2030undereachSE4ALLgoal
Universalaccesstomodernenergy
services
Doublingglobalrateof
improvementofenergy
efficiency
Doublingshareofrenewable
energyinglobalenergymix
Percentageof
populationwith
electricity
access
Percentageof
populationwith
accesstomodern
cookingsolutions
Rateofimprovementin
energyintensity
Renewableenergysharein
TotalFinalEnergy
Consumption
Power Heat
100%42 100% -2.785%43/year 80% 80%
Thebaselineyearforelectricityaccess44is2012.Inthebaselineyear,only23%
45ofthepopulationwas
connectedtoelectricitysupply.Kenyaaimstoachieve100%electricityaccessby2022;aheadofthe
targetsetinVision2030.
Over 80% of Kenyans rely on the traditional use of biomass as the primary source of energy for
cookingandheating–withfirewoodcontributing68.7%andcharcoal13.3%46.About87%oftherural
42Projectedtobereachedby2022
43Theenergyintensityisexpressedinnegativeasitsimprovementisareductionontheenergyintensity
44ForthepurposeoftheAA,thedefinitionofelectricityaccessisconnections(orequivalentwhendealingwithSolarHome
Systems(SHS),distributedpowerornon-meteredmini-grids)consistentwiththeGlobalTrackingFramework(GTF)andwith
themulti-tierapproachunderGTF 45KenyaFactsandFigures2014,KenyaNationalBureauofStatistics
46TheGlobalLPGPartnership(GLPGP)-KenyaMarketAssessment,2013
16
populationuses firewood for cookingand82%of theurbanpopulationuses charcoal for cooking47.
Accesstomoderncookingin2012wasestimatedat18%48andthetargetby2030is100%.
Therenewableenergyshareinthemix(powerandheat)targets80%by2030,whichwillbeprojected
from65%and43%forpowerandheatrespectively.
2.2 INTEGRATIONOFACTIONAGENDAINTOMTPPROCESS
TheMediumTermPlan(MTP)isaninstrumentofVision2030thatoutlinesthepolicies,programmes
andprojectsthattheGovernmentintendstoimplementduringthefive-yearMTPcycle.TheAA/IPwill
beincorporatedintotheMTPprocessaspriorityactionsandinvestmentopportunitiesthatarepartof
theoperationalizationofafullySE4AllattunedMTPcycle.
SE4ALLtargetsaresupportedbypriorityactionsandinvestmentopportunitiesthatfocusontheshort-
termortransitionalperiod,asadditionalactionsandrelatedinvestmentprospectuswillbeaddedas
part of the operationalization of MTP 3 and beyond. As Kenya integrates SE4All into its national
planning,thetrajectorytowardsthecountry’sSE4AllGoalsisinformedbythefollowingphases:
• Transition (2015 – 2017). During this period, current MTP2, the country continues with its
currentstrategiesandstartsanationaldialoguetowardtheadaptation,updateandalignment
of the existing interventions under the country’s SE4ALL agenda. During this period, all new
strategiesandinterventionswillhavetobeconsistentwithKenya’sSE4AllAA.
• PhaseI(2018–2022).SE4ALLbecomethekeyenergysectorreferencefortheMTP3planning
process. In thiscontext, theAAwillbe reassessedby itsprogressandadditional interventions
andIP(s)shouldbeincorporatedasneeded.
• PhaseII(2023–2027).TheAAandtheMTP3willbereassessedbyitsprogressandadditional
interventionsandIP(s)shouldbeincorporatedasneeded
• PhaseIII(2027–2030).TheAAandtheMTP4willbereassessedbyitsprogressandadditional
interventionsandIP(s)shouldbeincorporatedasneeded
2.3 ENERGYSECTORTRAJECTORY
Energy sector trajectory is based on population average annual intercensal of 2.5 as per the 2009
Census report and economic growth rate of 9% (reference scenario) from 2015, table 4 based on
KIPPRA Kenya economic report estimates. Kenya’s population is projected to reach 65.7million by
2030.ThegrowthprojectedinKenya’sVision2030entailsrapidlyincreasedenergydemand.Muchof
thisincreasedenergydemandwillbeintheformofelectricity,oneofthedriversofeconomicgrowth.
Kenyainitsloadforecastinghasassumedaneconomicgrowthrateofmorethan10%49peryearinthe
period2017 to2024.Assumptions andhypothesis used for theprojections4.6.1 a) Energydemand
forecastas inthepreviousLCPDP,threedemandforecastsscenariosareconsidered, in linewiththe
GDPgrowth rateprojections, table5. Thehigh scenarioassumes theVision2030GDPgrowth rate
47MinistryofEnvironment,WaterandNaturalResources:AnalysisofDemandandSupplyofWoodProducts inKenya July
2013
48EstimatebasedonThe2009NationalPopulationandHousingcensusreport
49 Vision 2030, economic pillar aims to improve the prosperity of all Kenyans through an economic development programme, covering all the regions of Kenya, and aiming to achieve an average Gross Domestic Product (GDP) growth rate of 10% per annum beginning in 2012.
17
projections.Thisscenarioassumescompleteimplementationoftheflagshipprojectswhileinthelow
andmediumscenariosonlypartoftheprojectswillbeimplemented.
Table5:GDPgrowthscenarios
Year Lowscenario ReferenceScenario HighScenario
2010 4.50% 4.50% 4.50%
2011 5.20% 5.40% 6.50%
2012 5.90% 6.30% 7.80%
2013 6.60% 7.20% 8.90%
2014 7.30% 8.10% 9.40%
2015onwards 8.00% 9.00% 10.00
Source:The2010KIPPRAKenyaEconomicReportestimates
In2013,theaccesstoelectricityandimprovedcookstoveswas26.3%50and36.1%
51respectively.The
projectedaccesstoelectricityandmoderncookingsolutionsin2030willbe100%.
The contributionof renewableenergy inpowergenerationwas62.2% in2013of the total installed
capacity of 1,765 MW52and this is projected to be 80% by 2030
53.The peak load forecast and the
energydemandforecastarepresentedinFigure4and5respectively.
50 Kenya power 2012/2013 annual report 51 Kenya Country Action Plan (CAP), 2013 52Kenya power 2012/2013 annual report 53SE4All target
18
The
referencecaserangesfrom1370MWin2012to3034MWin2018to14446MWin2030and21,075
MWin2033whiletheenergydemandincreasesfrom8010GWhin2012to17,719GWhin2018to
81,352GWhin2030and118,680GWhin203354.
BiomassfuelsarebyfarthelargestsourceofprimaryenergyinKenyawithwood-fuel(firewoodand
charcoalandagriculturalresidue)accountingfor69%ofthetotalprimaryenergyconsumption55.Wood
fuelsupplydoesnotmatchdemand inmanypartsof thecountry: theresourcesarebeingdepleted
faster than they are replenished. The wood fuel shortage is further compounded by widespread
inefficientmethodsofproductionanduseandlackofstandardsaswellasunclearnationaltargetsfor
sustainableuse.5%of thepopulationuseLPGmainly forcooking,ofwhich90% is inurbanareas56.
Hundred percent of the LPG is imported. The demand for LPG in 2010 was 87.8 thousand tonnes
comparedtothedemandof64.6thousandsin200657.DemandforLPGisexpectedtogrowto18%of
thepopulationby2022asaresultoflowcostofLPGespeciallywhentheimporthandlingandstorage
facilityisonboard.
The GoK plans to review and update biomass energy development plans, update biomass energy
databases and expand improved stoves and charcoal kiln programmes, to eliminate the fuel-wood
deficit.
Theseactionsaimtoincreasetherateofadoptionofimprovedcookstovesfrom37.2%58currentlyto
57.7%59by2030whilethetargetforcleancookingfuels in2030is42.3%.Thegovernmenttargetsto
54 Updated LCPDP 2013-2033 (March 2013) 55 The Draft National Energy Policy, 2015 56 Stock taking and gap analysis report , 2013 57 The Global LPG Partnership (GLPGP) Kenya Market Assessment, 2013 58 Kenya Country Action Plan , 2013 59 Kenya SE4All Action Agenda
Figure 5: Peak Load Forecast 2012-2033 Figure 4: Energy Demand Forecast 2012- 2033
19
make Kenya kerosene free by 2022 by availing alternativemodern energy services60. Plans are also
underwaytoreducetotalelectricitylossesinthegridfrom17.3%in2012to13.5%by202061.Related
tothisistheschemetoachieve100%energyefficientlightingsystemsby2020andtoswitchto100%
energyefficienttransformersby203062.
2.4 THEMETHODOLOGICALAPPROACHINSUPPORTOFKENYA’SSE4ALLGOALS
Targetsare supportedbypriorityactionsand investmentopportunities thatwill focuson theshort-
term, or transitional and transformation periods. Additional actions and related investment
prospectuseswillbeaddedaspartoftheoperationalizationofafullySE4ALLcompatibleMoEPPlan.
2.4.1 BaselineandQuantitativeProjectionsonAccess
Themethodologicalapproachtoestimatingbaselineandprogressiononaccessassumes:
2.4.1.1 Electricity
• BaselineforAccesstoElectricity
o Thebaseline year forelectricity access is 2012.Basedon theKenyaNationalBureauofStatistics (KNBS) the total populationwas 40.7million, representing about 8.14million
households (at the national average of five people per household. Consumption per
capitaforthebaselineyearwas157.60kWh63withaccesslevelat23%,whichrepresents
1.97millionhouseholds.
o Population Growth. Based on 2012 population compounded annually by the average
annualintercensalgrowthof2.564theprojectedpopulationwillbeabout55.1millionin
2022.
• ProgressionforAccesstoElectricity
o Progression time Intervals. In 2015, the access to electricity 38.9%65 of the population,
whichtranslatesto18.2millionpeopleor3.64millionhouseholds.Inaddition,thereare
indeterminatenumberofhouseholds,institutionsandindustriesthatareservedbydiesel
engines,mini-gridsandsolarhomesystemsthatarenotcounted. In thenext fiveyears
startingin2016,thegovernmenttargetsaconnectivityrateof1.0millioncustomers66per
year67.Theplannedongridconnectivity rate togetherwith theoffgridalternativeswill
enableachievementof100%accesstoelectricityintheMTP3by2022asshowninTable
6.
60 The Draft National Energy Policy,2015 61StockTakingGapAnalysis,2013
62StockTakingGapAnalysis,2013
63Basedontotalpowergenerationasreportedbythe2013KNBSStatisticalAbstract
64 Reference to 2009 census 65 Kenya Power report 2015 66KPLChas35,000distributiontransformersspreadacrossthecountry.Withina600meterradiusfromthesetransformers,
andthecompanyhasapotentialtoconnect472,002householdscorrespondingtoapproximately1.2millioncustomers.
67KenyaLastMileConnectivityProgramme
20
o Beyond2022.ConsistencywiththeVision2030,theMTPprocesswillensurethatthe
paceofnewconnectionsmeetthedemandtomaintainuniversalaccessthrough2030
andbeyond.
Table6:Ongridandoffgridconnectivityprogression68
Year 2012 2017 2022
TotalConnectivityoftheHHsin% 23.6 67.8 100
Source:KenyaPowerannualreport,2014
o Kenyawilltargettohaveminimumlevelsofaccesstoelectricityattier2by2022.The
percentageaccesslevelsofelectricityareindicatedintable7.
Table7:Levelsofaccesstoelectricityby2022
LevelselectricityaccessPercentageofaccess
2022 2027 2030
Tier1 20 15 10
Tier2 40 35 30
Tier3 25 30 35
Tier4 10 12.5 15
Tier5 5 7.5 10
Total 100 100 100
Source:Compilationfrom2015Draftnationalenergyandpetroleumpolicy
2.4.1.2 Accesstomoderncookingsolutions
The efforts to provide universal access to modern cooking solutions will include at least three focal points:
improvedcookstovesandcleanfuels,whichreferstouseofnon-solidfuelsforcooking(electricity, liquid
andgaseousfuels).Modernenergyinputsforthermalapplicationsincludeelectricity,LPG,biogasand
solarthermal.
IncreasingAccesstomoderncookingsolutions
• BaselineforAccesstoimprovedCookstoves
o Thebaselineyearforaccesstoimprovedcookstovesis2013atthelevelof3.2million
households69. The Kenya Country Action Plan target is 5million Kenyan households
and institutions using improved cookstoves for cooking and heating applications by
2020.
• Progressionforaccessingmoderncookingsolutions
o Progression time Intervals.Consistentwith theotheraccess indicator,progression is
presentedonfive-yearintervalsoftheMTPcycle.Theprogression,whilediscretional,
has considered and is consistent with the progression resulted from analysing the
KenyaCountryActionPlan(CAP)2013andthedraftbioenergystrategy2015.
68KenyaPowerannualreport2014
69 Kenya Country Action Plan 2013
21
o Assuming equal achievement per year the KCAP requires adoption of 270,542
cookstovesperyeartogetto5,000,000cookstovesin2020.Ifthiseffortissustained
atsamelevel,57.7%householdswouldbeusing improvedstoves in2030.Asperthe
DraftNationalEnergyPolicy2015theuseofLPGtargetbyhouseholdsby2020is18%,
this is an increase of 2.16% per year. If this is sustained, then 35.3% of Kenyan’s
householdswill be using LPG by 2030. Use of electricity, bioethanol and biogas for
cooking is projected to reach 7.6% by 2030. Table 8 shows clean cooking fuels
progressionforhouseholdsuntil2030.
22
Table8:Cleancookingfuelsprogressionforhouseholdsuntil2030
Source:Compilationfrom2015Draftnationalenergyandpetroleumpolicy
2.4.2 The Methodological Approach to the Baseline and Quantitative Projections on Energy
Efficiency
TheSE4AllGlobalInitiativedefines,table9,energyintensityastheglobaleconomicoutputdividedby
total energy consumed divided by the GDP. The SE4All guideline of doubling the rate of energy
efficiencyisbasedonenergyintensity.Ataneconomy-widelevel,itisachallengetodefineanenergy
intensitytarget(i.e.therelationshipbetweenenergyandGDP)withoutmuchmoredetailedsectoral
growth projections (for example the growth rates of energy intensive industries vs. service sector
growth).
Table9:WorldBankEnergyIntensityDefinition
IndicatorName Energyintensitylevelofprimaryenergy(MJ/$2005PPP)
IndicatorCode 6.1_PRIMARY.ENERGY.INTENSITY
Definition Energyintensitylevelofprimaryenergy(MJ/$2005PPP):Aratiobetweenenergy
supplyandgrossdomesticproductmeasuredatpurchasingpowerparity.Energy
intensity is an indication of howmuch energy is used to produce one unit of
economicoutput.Lowerratio indicatesthat lessenergy isusedtoproduceone
unitofoutput.
Statistical
Concept and
Methodology
Indicatorisobtainedbydividingtotalprimaryenergysupplyovergrossdomestic
productmeasuredinconstant2005USdollarsatpurchasingpowerparity
UnitofMeasure MJ/$2005orTOE/$2005PPP
Comments Energy intensity level is only an imperfect proxy to energy efficiency indicator
and it can be affected by a number of factors not necessarily linked to pure
efficiencysuchasclimate.
Year 2013 2017 2020 2022 2027 2030
LPG(%) 8.6 13.6 15.0 18.6 25.6 35.3
Biogas(%) 0.1 0.2 0.3 0.4 0.6 0.8
Bioethanol(%) 0.0 0.0 1.0 1.5 3.0 4.5
Electricity(%) 0.6 1.0 1.2 1.5 2.0 2.3
HHsaccesstocleanfuels-non-solids(%) 9.3 14.8 17.5 22.0 31.2 42.9
Improvedcookstoves-Solidfuels(%) 37.2 42.9 47.7 52.7 57.6 57.7
Totalaccesstomoderncookingservices(%) 46.5 57.7 65.2 96.7 88.8 100.0
Accesstouncleancookingservices(%) 53.5 42.3 34.8 25.3 11.2 0.0
Totalaccesstocooking(%) 100.0 100.0 100.0 100.0 100.0 100.0
23
Kenya’s historical progression of energy intensity presents a trajectory that has remained almost
constantwithinarange,asillustratedbyTable10.
Table10:HistoricalProgressionofKenya'sEnergyIntensity70
Energyintensity 2000 2002 2004 2006 2008 2010 2012
InTOE/$2005PPP 0.28 0.28 0.28 0.27 0.26 0.27 0.2571
InMJ/$2005PPP 14.33 14.26 14.25 13.79 13.40 13.65 N/A
Table11:KenyaTargetsforEI
Indicator Rateofenergyintensity(TOE/$2005PPP)
Baselineyear2012 0.25
Targetyear2030 0.12572
Goalby2030 -2.785%/year
ThefocusforKenyaisto:
• Atleastdoubletheefficiencyofbiomassenergyuse
• Extendcurrentratesofelectricalefficiencyimprovementto2030
Within the cooking sector, it is possible to identify a more specific energy efficiency target.
Performancetestscarriedoncookstovesforsolidbiomassandliquidfuels(keroseneandbioethanol)
cookstovesbyuniversityofNairobi-Chemistrydepartment.Theprojectwassupport fromMoEPand
UNDP under energy access programme. The results indicated that Charcoal stoves have higher
thermalefficienciesthanthoseoffirewood(17-37versus26-47)whiletheLiquidfuels(keroseneand
ethanol) stoves achievedmuch higher thermal efficiencies (30 -53%)73. In same report, the thermal
efficiency of institutional cookstove ranged between 43-60%. In these scenarios, based on a
population growth rate of 2.7% per year, and assuming that each household on average will
experiencea2.7%peryeargrowth incookingdemand(moreelaboratedmeals,morecookedmeals
perday,etc.),thetotalusefulenergydemandforcookingheatgrowsbyover250%.Thetestsresults
wereusedtodevelopcookstovestandard.
Undertheprojectedenergysavings inscenariosdevelopedfortheActionAgenda,theactualenergy
consumed for cookinggrowsbyonly15%.Thismeans that theefficiencyof cookingwillhavemore
than doubled by 2030 relative to 2009. Based on these scenarios, Kenya is adopting a target of
doublingtherateofenergyefficiencyinthecookstovessectorby2030.
In terms of the efficiency of electricity use, there are ambitious programmes underway, including
substantialinvestmentforgrid-lossreduction,aswellasanadditionalprogrammeonefficientlighting.
The250energyauditsundertakenonbehalfoftheMoEPupto2014indicatesasavingspotentialof
KShs7.5billionand20MWequivalent.Assistance fromDANIDAtoCentre forEnergyEfficiencyand
70WorldBankandInternationalEnergyAgency(IEAStatistics©OECD/IEA,http://www.iea.org/stats/index.asp)
71ThebaselineispositivebecausethisistheactualEnergyIntensitynotaratioofreduction.
72This istheend levelofEnergyIntensityandthegoal istoreducethebaselinerate inhalfmeaningto0.125.Thegoalby
2030is-2.785% 73September2014,Documentationandevaluationoftheefficacyofhouseholdinstitutionalandenergystovesfor
improvedlivelihoodandpovertyreductionofKenyancommunities
24
Conservation(CEEC)alsosawthecompletionofa further150energyaudits translatingto indicative
savingsofKShs8.0billionand25MWequivalent.
2.4.3 TheMethodologicalApproach to theBaseline andQuantitativeProjectionsonRenewable
Energy
Processheat
Process heating is vital to nearly allmanufacturing (industrial) processes, supplying heat needed toproducebasicmaterialsandcommodities.Industriesrequiringthermalenergyfortheirprocessesarealsoswitchingtobiomassduetotheincreasingcostoffueloile.g.foodprocessing.Thesecondhighestconsumer of wood fuel are the cottage industries which include brickmaking, tobacco curing, fishsmoking, jaggaries and bakeries. Most of the biomass in Kenya originates from forested and non-forested lands (crop and grasslands). The plan is to enforce sustainable management practices toensurethatthelevelofcarbonstocksdonotsystematicallydecreaseovertimethroughthefollowingmeasures;
1. Thewoodybiomassoriginatesfromlandareasthatareforestswhere:
a. Thelandarearemainsaforest;
b. Sustainablemanagementpracticesareundertakenonthese landareas toensure, in
particular,thatthelevelofcarbonstocksontheselandareasdoesnotsystematically
decreaseovertime(carbonstocksmaytemporarilydecreaseduetoharvesting);
2. The biomass is woody biomass and originates from non-forest areas (e.g. croplands,
grasslands)where:
a. Thelandarearemainscroplandand/orgrasslandsorisrevertedtoforest;
b. Sustainablemanagementpractices areundertakenon these land areas to ensure in
particularthatthelevelofcarbonstocksontheselandareasdoesnotsystematically
decreaseovertime(carbonstocksmaytemporarilydecreaseduetoharvesting);
c. National or county forestry, agriculture and nature conservation regulations to be
compiled.
PowerGeneration
Kenyainstalledgenerationcapacityisprojectedtoincreasefrom1,645MWin2012toabout14,67674
MWby2030basingonthereferencescenario.Thestrategyistodiversifythebase-loadfromhydroto
othersourcesofenergymainlygeothermal.Theexpectedpowersupplyfromvarioussourceswillby
2030 be composed of 80.11% renewable energy: geothermal5,450.00MW (37.13) hydro 3,000MW
(20.44%), diesel 500MW (3.40%), natural gas 1,500MW (10.22%), Co-generation/Gasification 600MW(4.08%)SolarPV1,200.00MW(08.17%),Biogas10MW(0.07),wind,1,500.00MW(10.22%)coal
2,420MW(16.49%)andgas496MW(3.38%).TheREmixisexpectedtobeat80%by2030asshownin
Table12.
74 March 2013 Least Cost power development (2013-2033)
25
Table12:KenyaTargetsforREmixinpowergeneration75
Sources of Electric
PowerGeneration
Capacity
2012
Capacity
2014
Capacity
2017
Capacity
2022
Capacity
2027
Capacity
2030
MW % MW % MW % MW % MW % MW %
RenewableEnergy
Hydro 816.30 46.21 821.00 37.78 900 27.33 1,500 24.80 2,500 23.35 3,000.0 20.44
Geothermal 250.40 14.17 593.50 37.78 800 24.30 2,000 33.07 4,000 37.36 5,450.0 37.13
Wind 5.90 0.33 25.00 1.15 500 15.19 900 14.88 1,200 11.21 1,500.0 10.22
Cogeneration/g
asification
26.00 1.47 38.00 1.75 50.0 1.52 100 1.65 300 2.80 600.0 4.08
Biogas 0.00 0.00 0.155 0.01 2.0 0.06 5.0 0.06 6.00 0.06 10.00 0.07
SolarPV 0.50 0.03 1.68 0.78 40.00 1.22 300.0 4.96 700 6.54 1,200.0 8.17
Total 1,099.10 62.21 1478.18 68.01 2,292 69.62 4805 79.45 8706 81.32 11760.0 80.11
Non-Renewable 667.40 37.79 695.3 31.99 1000 30.38 1243 20.55 2,000 18.68 2916.0 19.89
Grandtotal 1,766.50 100.0 2,173.48 31.99 3,292 100 6,048 100 10,706 100 14,676.0
100.
Source:March2013LCPD(2013-2033)
75Computation based on updated LCPDP 2013-2033, March, 2013
26
a) ProgressioninPowerGeneration
IntheupdatedLCPDP,2013,thepeakdemand isprojectedtogrow10times in2030toreachthe
peakdemand11,318MWinlowscenario,21,075MWinreferencescenarioand31,237MWinthe
highscenario.Theenergydemandwillincreasefrom8,010GWhin2012to17,719GWhin2018to
81,352GWhby2030and118,680GWhin2033.Theseprojectionsarebasedonanarrayofplanned
infrastructural, mining andmanufacturing projects including the standard gauge railway line, the
establishmentofasteelsmeltingplantinMeru,KonzaTechnocityandseveralothermajorenergy
intensiveundertakings.
Figure6:Projectedgenerationmixinyear2030
Itisexpectedthatthedevelopmentofresourceslikegeothermal,wind,solar,cogenerationwillhave
an impacton thecapacityprojectionsaswellas themixof resourcescontributing towardspower
generationtothegridby2030.
2.5 SECTORAL-ENERGYNEXUS
Energy intersects with several other socially important development themes. Attempts indevelopingspecificquantitativetargetshavebeendonewhileinsomecasesqualitativetargetsarebeingusedowingtothelackonbaselinedata.Table13illustratestheissuesandtargets.
Table13:Indicativegoalsfornexusissues
Nexus Issue Target
Health Indoor air quality from cookingpredominantly affects women andchildren.Overlappingwithothernexusissues, inadequate access to moderncooking solutions can affect foodqualityandnutrition.Lackofelectricity(on or off-grid systems) for maternalhealth care services has a negativeeffect on infant mortality andchildcare. Vaccine refrigeration,lighting, ICT, running medicalequipmentforprocedures,sterilizationand even staff amenities in healthcentresareservicethatrequireenergy.
AllhouseholdstobeatTier376oraboveairqualitystandardsby2030definedbyISOstandardsinlinewithWHOguidelines.ThemajorityofImprovedCookstoves(ICS)usedinKenyatodayoperateatTier1level.Forthoseusingcookstovesthatdonotmeetthisstandard,implementothermethodssuchasventilationforimprovingairquality.
Electrification of all Government health centres, by2030-100%ofhealthcentresshouldreceiveelectricity(on or off-grid systems). Sustainability of theseinitiativesneedstobefactoredintoimplementationtoensure sufficient, reliable supply of energy forhousehold,communalandproductiveuse.
76 These tier level classifications include not just energy criteria, but also health criteria.
27
Nexus Issue Target
Water -Coordination of water planning isrequired because delivery of water,especially in semi-arid areas, relies onenergy for pumping water for bothirrigation and drinking – withsignificant time, health and labourimpactsforthosewithoutit.
-Vulnerability of hydro supplies toclimatechangeimpacts
Hydro plant fully integrated into Water resourcesManagement Authority (WRMA) plans by 2020 fordomesticuse,energy,agriculture,andindustry.Multi-useschemesroutinelyconsideredinprojectplanning.
By 2020 at the latest, all hydropower and multi-useschemes fully assessed for climate vulnerabilities andadaptationmeasuresidentifiedandcosted.By2030atthe latest, majority of schemes, have risk-mitigationstrategiesimplemented.
Access to clean drinking water especially by womenwho are charged with the responsibility to providewater for the family. Women spend a lot of timefetchingwater.
Food Land-usecompetition
Energyconsumptionfor
irrigation
Beyond2020,netexpansionoflanduseforforestryorother energy production will only be considered ifthereisnoconflictwithfoodsecurityobjectives.
Water irrigation is planned to increase significantly,and solar PV powered pumps should be routinelyconsidered as the way to provide energy for suchsystems. Such technologies can help improveresiliencetoclimatechange.
Gender Energy interventions are likely toimpact women and men differently.For example, access to affordablemodern energy services can reduceboth time and effort spent inreproductiveandproductivelabour.
Whilesomeofthebenefitsofaccesstomodern energy are equally applicableto both women and men, someinterventionsbringspecificbenefits towomen
Energy projects, including thosefocusingoncookstoves,donotalwaystakeagenderedperspective
Womenareparticularlytime-poorandtheassociateddrudgeryof their tasks,which has implications on health, andwell-beingofchildrenandfamilies.
The high up-front costs of access tomodern energy services may affectmore severely female-headedhouseholds,oftenover-represented inlow-incomequintiles.
-Access to water for irrigation forfarmers,especiallywomentoincreasefoodsecurityandalsofordrinking
-Energyforfoodprocessingcanleadto
Halvetheamountoftimewomeninruralareasspendcollectingfirewoodby2030.
Involve women in the selection of technologies (e.g.cookstoves) and in the selection of relevant researchtopicsinsupportoftheSE4Alltargets.
Providerelevanttrainingtowomen(e.g.,onbusinessdevelopment services, on better water managementor water storage for energy purposes, including forbiogasinstallations,improvedcookstovesetc.
Involve women as actors in the value chain formarketing the stoves and other renewable energytechnologiesasenergyentrepreneurs
Supportwomengroups to usemodern technology inagriculture to boost their come and put energy toproductive uses e.g. irrigation agriculture, processingof farm produce thus adding value, poultry keepingandprocessingofanimalfeedsonthefarm.Accesstoclean drinking water especially by women who arecharged with the responsibility to provide water forthefamily.Womenspendalotoftimefetchingwater.
-Increase access to modern energy services improveon the quality and quantity of farm produce thusincrease small farm income, given women’s role infoodsecurity.
-Gendermainstreaminginenergypoliciesandprogramstoensurethatprojectsachievegreaterlivelihoodenhancementsandcontributetowomen’s
28
labour/time saving freeing more timeforwomenandmentoengageinmoreproductiveactivities
While gender issues are interspersedall along the energy supply chain,energy projects, including thosefocusingoncookstoves,donotalwaysin reality take a gendered perspectivebecause women’s access to decisionmaking within the household andcommunity is restricted , limitingtheirability to influence processes andresource allocation on many issues,includingenergy.
economicempowermentandincreasedparticipationindecisionmaking
Climate
change
Kenya is currently facing significantthreatsfromglobalclimatechange:
- Increased variations in weatherpatterns (reduced rainfall and failedseasons);
- Habitat destruction; loss ofbiodiversity
- Resource use conflicts all impactnegativelyontheenergysector
-Enhanceuseof renewableenergies tominimize
Green House Gas (GHG) emissions and foster
alternativestoclimate-sensitiveenergyresources
(suchashydroandbiomass)
-Supportenergyefficiencymeasures
-Sustainableuseofrenewableenergyresources
Education -Pastoralists prefer learning in theevening
-Electricity penetration inpastoralistsregionsverylow
-Difficult to introduce digitised
education such as computerstudies
-difficult to carry out electricalcoursesinlearninginstitutions
-By June 2013, out of 50,000 of the fivepublic
(Trading centres, Administrative centres, health
centres, schools and water projects) facilities in
the country, about 66% were electrified. The
table below shows the status of the
electrificationofthefacilitiesasatJune2013
-By 30 June 2014, 71%of 21,222 public primary
schools in the country were connected toelectricity.
-The target is to electricity all the public
institutions by 2017 (Rural ElectrificationMaster
Plan).
29
3 PARTII–PRIORITYACTIONAREAS77
Kenyaadopted the11ActionAreas identified in theGlobalActionAgenda forachieving the three
SE4ALL objectives. These provide a framework for identifying high-impact opportunities (HIOs); a
waytoorganizemulti-stakeholderactionsacrossall relevantsectorsoftheeconomy;andtangible
entrypointsforstakeholdersinterestedintakingactioninspecificareasofinterest.
WithineachActionArea,Kenyahasidentifiedspecifichighimpactopportunitiesandforeachareaof
opportunity the related high impact initiatives (HIIs). Alongside the HIOs are also priority
programmes that relate to both enabling the environment, overcoming barriers, and catalysing
investmentopportunities.Therearealsopriorityprojectsactingaspacesetters,marketmakersand
whichcontributesignificantlytoachievementofsettargets.
Part2oftheFourthScheduleoftheConstitutionprovidesthatcountiesareresponsibleforcounty
planning and development including electricity and gas reticulation and energy regulation and
thereforeareakeystakeholderintheimplementationandachievementofSE4ALLtargets.
3.1 ENERGYACCESS
3.1.1 Electricity
3.1.1.1 StatusAsatJune2014,therewereninegenerationsubstationswithtransformationcapacityof1,846MVA
and forty-five transmission substations with a capacity of 3,181 MVA. The existing transmission
network comprises 1,434 km of 220 kV and 2,513 km of 132 kV lines, as at June 2014 and is
interconnectedwithUgandathrougha132kVdoublecircuitline.
By 31st July 2015 national customers electricity connectivity for Kenya stood at 38.9%78and the
target for2022 is100%tobeachieved throughbothgridandoff-grid solutions79. In thenext five
yearsstarting in2016, thegovernmenttargetsconnectivityrateof1millioncustomersperyear80.
Currently, there are 16 off-grid stations operated Kenya Powerwith a total capacity of 16.8MW.
ThesearelocatedinWajir,Elwak,Takaba,Mandera,Marsabit,Moyale,Habaswein,Rhamu,Lodwar,
Lokichoggio,Baragoi,Merti,Mfangano,Mpeketoni,HolaandEldas.Tenothermini-gridsareunder
constructionacrossthecountry.
Inthesolarsubsector,2014studybyM-KOPASolarandInterMediashowedthat14%oftheKenyan
population uses off-grid solar as their primary lighting and charging source. Combining this with
electricity access at 38.9%, there are approximately 47.1% of Kenyans still relying on kerosene,
firewoodandcandlesforlighting.
77Section6.3.2presentsthetimelinefortheimplementationofpriorityHIIsthrough2018
78Kenyapowerannualreport2014/2015
79Targetedhouseholdsfortheplanis1,416,000connectablecustomers(WorldBankassessmentreport2015-201780LastMileConnectivityProject
30
Outof the47 countiesnineare considered tobeoff-grid, theseareMarsabit, Turkana,Mandera,Wajir,Lamu,TanaRiver,Isiolo,Garissa,Samburu.
3.1.1.2 TrajectoryKenya’spowerindustrygenerationandtransmissionsystemplanningisundertakenonthebasisofa
20yearrollingLCPDPupdatedeverytwo years.Withthepeakdemandgrowingto11,318MWin
lowscenario,21,075MW in reference scenarioand31,237MW in thehigh scenarioby2033and
energydemandincreasingto17,719GWhin2018to81,352GWhin2030and118,680GWhin2033,
thegenerationcapacityneedsexpansiontobeintandemwiththegrowth
Candidategenerationresourcesconsideredinthesystemexpansionplanincludegeothermal,hydro,
wind, coal,oil-firedandnuclearpowerplants,withgeothermal capacityplanned to increase from
198MW(2011)to5,530MW,equivalentto26%ofthesystempeakdemandby2031.Othersources
by2031are19%fromnuclearplants,13%fromcoalplantsand9%fromimports.Windandhydro
plantswillprovide9%and5%respectivelywhilemediumspeeddiesel(MSD)andgasturbines(GTs)
-LNGplantswillprovide9%and11%ofthetotalcapacityrespectively81.
Asof30thJune2014,thedistributionsystemcomprisedof1,212kmof66kVlines,20,778kmof33
kV lines, 30,860 km of 11 kV lines and low voltage lines, primary distribution substations with
transformation capacity of 3,311MVA and distribution transformers with total capacity of 6,317
MVA.It isprojectedthatby2020,capacitiesofprimaryanddistributionsubstationswillbe11,888
MVA,190,204MVA,while the lengthsofHV linesandMV lineswillbe7,925kmand118,875km
respectively. In the year 2030 capacities of primary distribution substations and distribution
transformerswillbe37,565MVAand60,104MVA,whilelengthsofHVandMVlineswillbe25,043
kmand187,825km,respectively.
Thegovernmentalsoplanstodevelopnewtransmissionlinescomprisingofabout5,438kminthe
short termand18,173kmby203382.ThroughtheLCPDPprocessand feasibilitystudies,KETRACO
has identified priority projects for implementation totalling about 6,270 km of transmission lines
comprising2,081kmof132kV,1,278kmof220kVand2,299kmof400kVAClinesaswellas612
kmof500kVHighVoltageDirectCurrent(HVDC)linebetween2011and2017.Itisprojectedthatby
2033KETRACOwillhaveconstructedover18,000kmoftransmissionlines.
3.1.1.3 ExistingPlans/Strategies
GoK has embarked to increase connectivity per year to one million starting in the 2014/2015
financialyeartoreach100%connectivityby2022.Toachievethesetargets,thefollowingstrategies
arebeingemployed;
• RuralElectrificationMasterPlan:TheGoKisimplementinginitiativestomakeelectricitymore
accessibletothepopulationespeciallyinruralareas.Amongtheconsumersweresome382630
ruralhouseholdselectrifiedthroughtheRuralElectrificationProgrammeunderREA.Inaddition,
REAconnectedmorethan23,000publicfacilities inthelastfiveyearsconstituting89%ofthe
main public institutions that were to be electrified in REA’s first strategic plan (2008/09-
81 Updated LCPDP 2011-2031, GoK
82 Updated LCPD 2011-2031, GoK
31
2012/13).Thefocusonelectrificationofprimaryschoolsstartedin2013,asoneofthepriority
projectsbythenewgovernment,whichwaselected inMarch2013.ByJune2013,outof the
overall 21,222 primary schools in the country, 10,157 had been electrified. To complete the
electrification of all primary schools by June 2015, the Authority put in place a programme
aimedatcompletingelectrificationoftheremaining11,062primaryschools intwoyearswith
5,000primaryschoolsplannedforelectrificationinthe2013/14financialyearand6,065inthe2014/15financialyear.
• The5,000+MWProject83:A roadmap to increase the installedgenerationcapacity from1664
MW as at October 2013 by at least 5000MW to 6,762MW by 2017. Through the plan the
generationcostisprojectedtoreducefromUS¢11.30to7.41,whileindicativeend-usertariffs
areprojectedtoreducefromUS¢14.14to9forcommercial/industrialcustomersandfromUS¢
19.78to10.45fordomesticcustomers
• Scaling Up Renewable Energy Programme (SREP). The decentralized segment, mini-grids
development has been getting the most attention, especially from the Government,
developmentpartners,andprogramssuchasSREP. It isalsoanareaofgrowing interestfrom
the private sector. Private sector approaches tomini andmicro-grid development are being
developed,thoughthere isstillnoformalregulatoryframeworkforthis.DonorssuchasDfID,
workingwithGIZ, have recently introduced innovativemini-grid development financing,with
theintroductionofResultsBasedFinancing,targeting20private-sector-operatedmini-gridsand
working with locally based financial institutions. Conventional solar, wind, diesel or hybrid
plantsexist,with22mini-gridsdevelopedbyKenyaPowerandLightingCompany(KPLC),witha
reachofover20,000customers,mainly installed in remoteareas.Theprivatesectorandcivil
society have installed at least a dozen wind/solar/micro hydro/hybrid mini-grids. Isolated
solar/diesel mini-grids managed by KPLC contribute almost 1 MW, while wind mini-grids
produce550kW.EffortsareunderwaybytheMinistryofEnergyandPetroleum,workingwith
KenyaPowerandREAtoscalethisupunderhybridmini-grid initiatives.At least68newsites
areindevelopmentunderKenya’sScalingupRenewableEnergyProgramme(SREP)Investment
Plan,2011.
• LastMileConnectivityProject-TheprojectinvolvesextensionoftheLowVoltagenetwork(415
and 240 volts) around existing distribution transformers within the transformer protection
distance,currentlycapedataradiusof600Metres.TheProjectaimstoofferconnectionstoupto1,416,000connectablehouseholdsinaperiodof3years(2015-2017).
• ProvisionofStima loan:StimaLoan isaKenyaPower initiative inpartnershipwiththeFrench
Development Agency (AFD) through the Government of Kenya. It aims at connecting low-
income families that cannot afford the connection fees upfront by providing loans at 5%
administrationfee(one-offpayment)and20%upfrontpayment.Thebalanceispayableovera
83http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
32
periodof 24months. As atMay2014,more than49,000Kenyanshavebenefitted from theloanscheme84.
• Least Cost Power Development Plan (LCPDP): A long-term commitment (2013-2033) to
electrificationplanthatprovideaframeworkforinstitutional,technical,economicandfinancial
designandimplementationofspecificprograms.
• National Electrification Strategy that is expected to provide a framework for electrification,
encompassingtechnical,financial,andinstitutionalplanning.
• Distribution Expansion Plan 2014-2018. The medium term distribution expenditure plan is
projectedtocostKSHS35,067millionequivalentstoUS$433.45million.Besidesthedistribution
masterplan,KenyaPowerthroughtheirDistributionDivisionhasdevelopedstrategiesgeared
towardsabsorbingtheadditionalgenerationcapacitytotallingtoaboutKSHS5Billion.Funding
theelectrificationof informalsettlements. InformalsettlementsarearealityofKenya’surban
areas.MillionsofKenyans live in informal settlementswithunsafeelectrical installationsand
limitedaccesstolegalconnections,whilepowertheftintheinformalsettlementsresultsinhigh
commercial and technical losses for the Company. However, electrification of informal
settlementsisoftenuneconomicforpowerutilitiesasreturnsaretoolowtorecoverthecostof
investment, operations and service. The Company, therefore, has been exploring sustainable
ways to provide electricity to the settlements in partnership with the Government and
developmentpartners.Towardsthis,inFebruary2012,theCompanyobtainedagrantfromthe
InternationalDevelopmentAssociation(IDA),actingasadministratoroftheGlobalPartnership
onOutput-BasedAid (GPOBA), for electrification of informal settlements in the country. The
programme entails the Company pre-investing in the electrification of informal settlements,
afterwhichGPOBAwill reimburse theCompanyUS$75permeter connectedup toa totalof
US$5million;whiletheWorldBankwillreimburseUS$150permeterconnecteduptoatotalof
US$10million.About66,000customersareexpectedtobenefitfromthisinitiative.
• The Kenya Joint Assistance Strategy (KJAS) presents a core strategy of 17 development
partnersfor2007–12.TheKJASpartnerswillaidthegovernmentprograminseveralways85.
o Theywill continue to support implementationof substantial changes in theorganization
andstructureoftheelectricitymarket(includingagreementonamanagementcontractfor
the Kenya Power and Lighting Corporation), and institutional reforms of the ruralelectrificationprogram.
o They will finance investments to expand generation capacity (including through
geothermal and hydro); improve efficiency of power production, transmission, anddistribution;andincreaseaccesstomodernenergyservicesinruralareas.
o They will support cross-border projects, including the Kenya–Ethiopia, and the Kenya–
Tanzania–Zambia power interconnection projects. They will also help to develop the
84 http://www.kplc.co.ke/content/item/77/Stima-Loan#sthash.gjWIVC03.dpuf
85 Kenya Joint Assistance Strategy 2007-2012
33
capacity of the regulatory bodies and of the Ministry of Energy, improve energymanagementandgovernance,andpromotecross-bordercooperationintheenergysector.
o Theywillfacilitateaccesstoenvironmentallyfriendlytechnology,includingsolarandwind
power. Finally, they will support Kenya’s efforts to regularize, improve efficiencies, and
reduce the environmental impact of the charcoal industry, on which 75% of Kenyansdependfordomesticenergy.
• M-KOPAbusinessmodelsforsolar-raisingUS$20million(KSHS1.72billion)tofundexpansionof
their customer base from 50,000 homes to one million homes by 2018. M-KOPA provides
affordablesolar-poweredlightingandmobilechargingtoruralKenyansonapay-as-you-gobasis,
with payments conveniently sent via M-PESA (Kenya’s leading mobile money service). When
customers have fully paid for the value of the solar product, they own the product and cancontinuetouseitfreely.
AccordingtoInternationalFinanceCorporation2012report,theprivatesectorisvibrantinthesolar
sector,with21distributors/importers,andover1500SMEssellingsolarlanternsinKenya.Thereare
currentlywith29qualityverifiedsolarlightingproducts,from17manufacturers,currentlyonsalein
the country. The solar lanternmarket grown by more than 200% in the last 3 years with about700,000solarlanternssoldtooff-gridfamiliesinruralKenyabyendof2014.
Inlightoftheoverarchingobjectives,theseplansareambitiousenoughtomeetthechallenge,and
have targets that aim to achieve the energy access objective sooner than2030. The activationof
these plans, are not fully operationalized, and their funding, will be necessary to make them
effective.
3.1.2 CleanCooking
Whileuniversalaccesstomoderncookingservicesby2030referstobothuseofnon-solidfuelsand
improved(efficient)cookstoves,cleancookingreferstouseofnon-solidsfuelsforcooking.Hence,
According to 2009 census report over 80% of rural and 10% of urban households regularly use
firewood,whileabout7%ofruralhouseholds,andover30%ofurban,usecharcoal.Therateofuse
of biomass has outstripped the rate of supply thus rendering biomass non-renewable sources of
energy. In Kenya, use of improved (efficient) cookstoves is being taken as a stopgapmeasure as
effortsarebeingmadetotransittocleancookingfuelsandsustainablebioenergystrategiesbeing
putinplace.
3.1.2.1 Existingplans/strategiesforcleancooking• The Government has prioritized clean cooking in its climate change action plan 2013-
2017 and recognizes its impacts on climate change; therefore, it is at the forefront in
advocatingforimprovedcookingtechnologiesandalternativecleancookingfuels.
• TheKenyaCountryActionPlan(CAP)forCleanCookstovesandfuels,whichhasatarget
of5millionhouseholdsby2020.
34
3.1.3 ExistingGaps
3.1.3.1 UniversalAccess-Electricity
Themainchallenges/gaps thatKenya faces toreachSE4ALLuniversalaccess toelectricityby2030
areasfollows:
• Affordabilityofelectricity:
o Although connection fees was significantly lowered in May 2015, their cost is still a
deterrentforruralhouseholdsandthepoorespeciallyfemale-headedhouseholds.Thesame
istrueforoff-gridsolutionssuchassolarhomesystemsandmini-grids,althoughthesecan
bescaleddowntoanappropriatecostforconsumers.
o Although universal access makes sense from economic and equity perspectives, its
financial viability is often uncertain. The financial viability of electrification for those
withoutaccessusuallyrequiressubsidiestocoverpartofitscapitaland/oroperatingcosts,
asmanyunconnectedhouseholdscannotpayfullyforthecostofelectricityservice.
o The upfront cost of connection is a more serious barrier to extending access than the
monthlypaymentsforconsumption,andonly35−40%ofhouseholdinelectrifiedareasare
usuallyreadytoconnect.
• Fragmentedenergyaccessmarket:
o Mostpopulationlackingaccesstomodernenergyservicesaredispersedandnotproperly
mappedwhich isachallenge forcompaniesprovidingservices to thismarket resulting in
uncoordinated,immatureandnotwidelyknownservicestostakeholders.
• Needtodevelopminigridpolicy
o Although there are strategies and plans to address access above 1 MW, there is no
comprehensive strategy formini-grids and stand-alone systems for access below 1MW.
Suchastrategywillboostthedevelopmentofmicro-decentralizedsystemsthatmaybea
costeffectivesolutiontosmallsettlementsinremoteareasofKenya.
o Lackofregulationstoapolicyforminigrids
o Lackofnetmeteringregulations
• Infrastructure
o Primarysubstations(andBSPs)areequippedwithjustasingletransformerandeventhose
withtwoorthreetransformersareoftenloadedsuchthatnosparecapacityexiststocater
for a transformer failure. This is a particular issue for parts of the network with no
alternativemeansofsupply.
o Muchofthedistributionnetworkdoesnothaveadequatecapacitytoeffectivelymanage
thepresentdemand,
o The distribution network suffers from poor reliability and quality of supply, which is
generally due to underinvestment.Many parts of the distribution network are supplied
overextremelylong,radial33kVand11kVfeeders,withnoalternativesourceofsupply.
o Insomecases,33kVfeedersmaybehundredsofkmlong,withmanyspurs,resultingina
totallength(inextremecases)inexcessof1000kmsuppliedfromasinglesource.Afault
onsuchalongfeederwillhavewidespreadimpact,bedifficulttolocateandthereforewill
resultinalongrestorationtime.
35
o Due to excessive feeder lengths and use of undersized conductors, voltage levels on
feeders,particularlyoutsideof theurbanareasare typicallypoorandsignificantlyunder
therequiredstandard.Automaticvoltageregulators(AVRs)havebeeninstalledonfeeders
in the past, howevermany of these have failed and have subsequently been bypassed.
Excessivelylong,undersizedfeedersalsoresultinhighlosses.
o Electricitygenerationshortage:Anobstacletoruralelectrificationinmanycountrieswith
low access rates is insufficient generation capacity of the main electricity system. It is
unrealistic to expect these countries to make more than modest gains in increasing
electricityaccessbymeansofgridextensionuntilthecapacityconstraintiseased.• Costsandfinancialconsiderations:
o Lackof appropriate incentives. Thehigh costsofelectricity supply in rural areasand the
limitedcapacityofhouseholdstopayfortheservicemakeitdifficulttoattractinvestment
inruralelectrification.Todoso, it requiresasystemoftariffsandsubsidiesthatensures
sustainable cost recovery while minimizing price distortions. However, such a revenue-
generationschemeisabsent.
o Highcostsofsupplyingruralandperi-urbanhouseholds.Lowpopulationdensityandavery
highpercentageofpoorhouseholdscharacterizemostruralcommunities,aswellasmany
peri-urban areas. Demand for electricity is usually limited to residential and some
agriculturalconsumers,andmanyhouseholdsconsumelessthan30kilowatt-hours(kWh)
permonth.Thecombinationofthesefactorsresultsinhighcostsofsupplyforeachunitof
electricityconsumed.
o Financial and Operational Sustainability. Making service sustainable is one of the main
challengesinextendingaccess,bothinruralelectrificationandinlow-incomeurbanareas.
While a large portion of capital costs is usually subsidized through specially designated
funds(frequentlysupportedbydonors),morefinancialassistanceisoftenneededbecause
manyhouseholdscannotpaythefullcostofoperation.
• RuralElectrificationStrategy:
o Adequatedesignandeffective implementationofaruralelectrificationprogramrequires
technicalandmanagerialskillsthatarenotalwaysavailable.Thisprocessmayentailnew
or amended legislation, institutional strengthening, planning, and establishing technical
standardsandregulatoryprocedurestailoredtothenatureofruralelectrification.
o Underthesecircumstances,extendingaccessinruralareasrequiresasystemofsubsidies
thatrecognizesthelowerincomelevelsofruralhouseholdsandhighercostsofsupply.
3.1.3.2 UniversalAccess–CleanCooking
For Kenya to achieve universal access to clean cooking by 2030 the following gaps, need to be
addressed:
• Regulatoryissues:
o Policy,strategyandregulationsrelatedwithbiomassusearestillinsufficienttoensurethe
sustainableuseofbiomassinthecookingsectordespitebeingthemajorenergyconsumer
inthecountry.
o Charcoal production sector is largely unregulated and, therefore, informal with low
efficiencyintransformingbiomassintocharcoal.
36
o Limitedavailabilityofperformanceorotherstandardsforenergyproductsandwherethey
exist, lack of implementation and enforcement. Consumers are therefore unprotected
againstsubstandardequipmentandservices.
• Awarenessandknowledgeissues:
o Lack of awareness of indoor pollution and its impact on health within the general
population86limitstherateofadoptionofefficientcookingstoves,especiallybytherural
population.
o Peopletendtoprefertraditionalcookingsolutionsbecauseofculturalheritage.Inorderto
increase the use ofmodern cooking solutions it would be necessary to raise awareness
aboutitsbenefitssopeoplewillstarttoshifttocleanerorimprovedcooking.
o Needtomainstreamgender,culturalpracticesandthenexusofenergy,especiallywiththesectorsofhealth,cookingandwater.
• Informationandsectoranalysis:
o Therearenogender-disaggregateddataonthestatusofthecleancookingappliancesand
fuelsadoption.Statisticsusedareestimates.Thisneedsacomprehensivestudytoinform
thesector.
o Noimpactstudyoftheongoingcleancookingappliancesandfuelsadoption.
• Cookstovequalityandperformance:
o Thenumberof improvedcookstovemodelsandfuelproductionsolutionscustomizedfor
localenvironmentsisstilllow,thereisevidencethatmanybasicICSperformpoorlyinthe
fieldat least inpartduetothedifficultyofaccessinghighqualitymaterials,andsystemic
supportforinnovation
o R&Donbreakthroughsolutionsthatcanofferhigherperformance(e.g.,fangasifiers)and,
even more important, more attractive and functional end-user focused designs, is still
limited.
o Forcleancookingandimprovedsolutionsthatdoreachthemarket,accesstostandardized
testingislimitedorunaffordableformany,anddoesnotincreaseenduserunderstanding
oftheirlikelyperformancesotheyareabletomakeinformedpurchasingdecisions.
• Last-miledistributionandproducerfinance:
o Distributionofcleancookingproducts iscostly,withnoeasyanswerstothechallengeof
reaching rural consumers; progress will require both experimentation with new
institutionalandretailapproachesandsignificantinvestmentintochanneldevelopment.
o In the immediate term, commercially oriented ventures likely need to focus on more
profitable urban and charcoal user consumer segments, reaching the rural consumer
requires cross-subsidization from more profitable urban market segments or less
commerciallydrivenbusinessmodels.
o BuildingsuccessfullastmilecleancookingbusinessesinAfricaisacostlyendeavour,dueto
productimportationhurdles,logisticandtransportchallenges,theneedforintensive
consumermarketing,andtheimportanceofextendingcredittobothlastmileretailersand
end-users(i.e.,viapayasyougoschemes).
86GlobalVillageEnergyPartnership,KenyaMarketAssessment,2012.
37
3.1.4 HighImpactInitiativesforEnergyAccess
3.1.4.1 IncreasingAccesstoModernCleanCookingo MoEP to leadon the creationof a cross-sectoral initiative to bring together different
on-goingefforts,likeGlobalAllianceCleanCookstove(GACC),andimprovecoordination
acrossagencies,privatesector,CSOsandNGOs.Thisinitiativeaimsto;
§ Foster an enabling environment by engaging national and local stakeholders,
buildingtheevidencebaseforthebenefitsofstoves,promotingstandardsand
rigoroustestingprotocolsandenhancingmonitoringandevaluation.
§ Promote industry standards for efficiency, safety, and emission reduction,
basedontestingandcertificationforcleancookingappliances,suchasICS.
§ Support development and implementation of large national programme on
scalingupICS.
§ Contributetoimprovingthepolicyframework,trainentrepreneursanddevelop
sustainable value chains and robust infrastructure for clean and efficient
cookingstovesandfuels.
§ Supportcontinuousresearchonconsumeruseanddemandforefficientstoves
andonthedesignofproductsthatmeetuserneeds.
o UniversalAdoptionofCleanCookingSolutions,objectivethatcanbepursuedunderthe
umbrellaoftheGACC;
o HumanandInstitutionalcapacitydevelopment-cookstoves;
§ Supporttheuseofimprovedcookingappliancesbyengagingyouthorganisations
and women MSEs in the production, dissemination and distribution of these
technologies
§ Conduct awareness campaigns on the benefits of clean cooking appliances and
fuels for remote/isolated populations. These awareness campaigns should
additionallyinformconsumersonhowtopurchasequalityICS.
§ Raise general awareness to the public about the available clean cooking
technologies
o InnovativeFinance,tosupportfinancialclosureandfinancingaccesstoenergyservices
andcleancookstoves;
§ Developfinancingschemestoprovidecredit tohouseholdsthatcannotafford
theupfrontcostsofaccesstomodernenergyservices;
§ Provide regulatory support for scalable and sustainablebusiness and financial
models.
3.1.4.2 IncreasingAccesstoModernElectricity• REA is tasked with the development and implementation of a clean energy mini-grid
programmeasameanstoacceleratecleanoff-gridaccess,including:
§ Provide distributed electricity solutions that support productive use and
economicdevelopment
§ Createmorefavourablebusinessenvironmentswithappropriatelyrefreshed(or
new) policies, regulations, and energy plans to incentivise commercial
investments (small,mediumand large scale)anddevelopmarkets (powerhive
concept).
§ Facilitatingfinancingformini-gridandstand-aloneenergyaccessprojects.
38
• Formulation of mini- grid regulation: - effectiveness of enforcement of the liberalised
regulatory environment by Energy Regulatory Commission (ERC); the ease of obtaining
generation and distribution licences by independent power producers, as well as Power
PurchaseAgreementsintheeventofthegridcomingtothelocalityoftheminigridproject
• Distributedelectricitysolutions:
o Distributedelectricity solutions i.e.mini-gridsor individual systems,aredeployed to
theunservedcommunitytoodistantfromtheexistinggridand/orthattheirdemand
istoosmalltojustifythehighfixedcostofextendingthegrid
o The regulatory environment for Pico solar and solar home systems for lighting and
productive use is already being developed; ERC has published regulations for
installation of solar systems, and Lighting Africa (IFC/World Bank) has made major
stridesinhelpingthemarkettoimproveproductstandards.KenyaRenewableEnergy
Associations (KEREA) is currently implementing a voluntary quality accreditation
programmeforsolarvendorsandintegrators.
o Strategy is to increase competition and flexibility in mini-grid provision through
measurestosimplifylicensing:developmentofanoff-gridstrategy,aconducive,legal,
and regulatory environment must be developed to support the private sector and
avoiddirectsubsidisationasmuchaspossible.
o Create a clear timetable for grid rollout to avoid unexpected duplication of
infrastructure. It should be very clear to installers of off-grid equipmentwhat time
theyhavebeforethegridarrivesatthelocality,asthiswillaffectthepaybackperiods
thattheyneedtoworkwithwhenconsideringtheirinvestments.
o Improvesmartgrid technologysolutions,grid-scalestorageand interactionbetween
renewablesandfossilfuels.
3.1.5 RelevantHigh-ImpactOpportunities87
• CleanEnergyMini-Grids,toacceleratecleanoff-gridaccess:
o Developandimplementsmall-scalerenewableenergysolutions;
o Providedistributedelectricity solutions that supportproductiveuseandeconomic
development
o Study on decentralised system. Mapping out of regions/populations for
decentralisedenergysystems
o Invest in disaggregated data to reveal gender disparities in relation to energy
poverty to achieve effective gender mainstreaming in decentralized energy
solutions.Thisiscrucialininformingrelevantpolicyinterventions
o Mini-Grid /micro-gridDevelopment strategy.Developmentofmini gridandmicro-
gridspolicy.Developframeworkforimplementationofmini-grids.
o ScalingUpofRenewableEnergyProgramme(SREP)
o Settingupofcommercialrenewableenergymicrogridinruralareaswithoutaccess
tonationalgrid
87ThisisbasedonthelistofHIOsidentifiedbytheGlobalActionAgenda
39
o DfiD inpartnershipwithAfD solarPVmini-grids: €30millionavailable for funding
mini-gridprojects(SolarPVmini-grids).
o Kfw Solar PV mini-grids High-Impact Initiatives Targeting 3 pilot projects. Result
basedfinancing.
o DfiDHydroelectricinitiative,KfwSolarPVminigrids:Financingelectricityaccess
o JointImportupto50kW,JointcreditMechanisms(JCM)-Japanesegovernment.
o Localmanufactureofsmallwindturbinessupportingelectricityaccess
• Universal Adoption of Clean Cooking Solutions, objective that can be pursued under the
umbrellaoftheGACC
• Improve smart grid technology solutions, grid-scale storage and interaction between
renewablesandfossilfuels.
• InnovativeFinance,tosupportfinancialclosureandfinancingaccesstoenergyservicesand
cleancookstoves:
o Develop financing schemes toprovidecredit tohouseholds that cannotafford the
upfrontcostsofaccesstomodernenergyservices;
o Provide regulatory support for scalable and sustainable business and financial
models;
o M-KopaSolarInitiative.OfferingsolarPicoandsolarHomeSystemsatacreditwith
arepaymentofover12months.
40
3.1.6 Riskmanagementforelectricityaccess
Kenyalikemostofthedevelopingcountriesfacessomeriskstointermsofaddressingenergyaccess.ThereareanumberofinitiativesthatGoKwilldotomanagesomeofthesepotentialrisksareincludedTable14andTable15.
Table14:RiskManagement
Challenge Causes MitigatingActions ResponsibilityUnreliabilityandpoorqualityofelectricitysupply.
Inadequategenerationcapacitytomeetthepeakdemand
PlanningcriteriontodefinetheneededamountofpowerandthetechnologymixUseofSolarPV
GOK,KETRACOandKPLC
Timelyelectrificationforuniversalaccess
Lackofimplementationcapacityandfinancialresourcesformini-grids
• Humancapacitybuilding• Providelowinterestcredit• Involvementofpoliticalleadersinprojectplanning
Government
Thehighcostsofelectricitysupplyinruralareasandthelimitedcapacityofhouseholdstopayfortheservicemakeitdifficulttoattractinvestmentinruralelectrification.
Lowpopulationdensityscatteredsettlementandlowpowerconsumption
Asystemoftariffsandsubsidiesshouldensuresustainablecostrecoverywhileminimizingpricedistortions.Provisionofmicro-gridsUseofalternativeoptionssuchasSolarlanternandSolarHomeSystems
GovernmentPrivatesectorCSOs
Coordinationbetweenregionalcountries
Lackofpropercoordinationbetweenregionalcountriesonfundingofregionalprojects
Settingupregionalbodytoplanforregionalinfrastructures EAC
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3.1.7 Riskmanagementforcleancookstovesandfuels
Table15:Riskmanagementforachievinguniversalaccesstomoderncleancookstovesandfuels
Challenge Causes MitigatingActions Responsibility
Lack of concrete policy to accelerateaccess to modern cooking fuels oradvancedcookstoves
Lack of momentum among nationalinstitutions to promote advancedcookstoves
Both National and County government totake access to modern cooking servicesandfuelsby2030asapriority
Government
Difficulties in the expansion of theinfrastructurefornaturalgasandLPGtoservecustomersinremoteruralareas
Scattered settlement making theexpansioncapitalintensive
Promotionofbiogasasthemainoptionforamoderncookingfuel
Establish rural based refilling centres andintroduceaffordablepackages
Government/private
Financingforcookstovesindustry
Thechannelsforprovidingcreditforthemanufacture or purchase of advancestoves, and for marketing them widely,areunderdeveloped.
Development of appropriate channels forextending credit for developing thecookstovesmarket
Government/private
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3.2 RENEWABLEENERGY
3.2.1 StatusandTrajectory
Kenyaisendowedwithlargerenewableenergyresourcesofwind,geothermalandhydropowerbutdevelopingtheseposesanumberofchallenges.
Biomass fuels are the largest source of primary energy in Kenya with wood-fuel (firewood andcharcoal)accountingforabout69%ofthetotalprimaryenergyconsumption.About55%ofthis isderivedfromfarmlandsintheformofwoodybiomassaswellascropresidueandanimalwasteandtheremaining45%isderivedfromforests.There isagapbetweentheexistingtreecovervis-a-visthe minimum constitutional requirement of 10%88. The continuous overreliance of Biomass as aprimarysourceofenergythreatensachievementofthisrequirement.
The Government in 2010 developed a strategy for introduction of biofuel blends in the market.Facilities for ethanol-gasolineblendinghavebeen completed in Kisumu tobe followedby EldoretandNakuru.However,therearenotsufficientquantitiesofbio-ethanolfeedstocks.
Afeasibilitystudycarriedoutunderbiogasinitiativeestablishedthatitispossibletoconstruct6,500biogasdigestersinKenyaevery5years89.
Thedemandforsolarwaterheating(SWH)isprojectedtogrowtomorethan800,000SWHunitsby2020equivalentto300,000TOE.Thisrepresentsagrowthrateof20%perannum.Thisdemandwillmainly be from domestic, institutional and small commercial consumers spurred by theoperationalizationoftheEnergy(SolarWaterHeating)Regulations,201290.
Anestimateof6MWofsolarPVSystemcapacitywasinstalledinresidentialandcommercialsectorsthrough the private sector initiative in 2014. By the year 2020, it is projected that the installedcapacityofsolarphotovoltaicsystemswillreach100MWegenerating220GWhannually91.
The installedcapacityofwindpowerconnectedtothegridasatNovember2014was25MW.The300MW Lake Turkana Wind power project is expected to be commissioned in 2017. Othercommittedprojects include110MWatKinangopandNgong.Thereareproposals fordevelopmentof650MWofwindpoweratMarsabit,Isiolo/MeruandNgong92.
Thetotal installedelectricitygenerationcapacity inKenyawasat2,299MW93asof June2015.Thetotalrenewableenergygenerationcontributionwas66.03%,whichincludedhydropower(821MW),geothermal (598MW), cogeneration-biomass based (26MW) and wind (25.5MW). Off-gridrenewablesystemsconstitutedofwind0.55MW,solar0.55MW.Hydropowercontributesthemost,representing 36% of the total production (IEA, 2012). Geothermal contributes to 26%. However,
88 http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
89 http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
90 http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
91 http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
92 http://www.erc.go.ke/images/docs/National_Energy_Petroleum_Policy_August_2015.pdf
93KenyaPowerannualreport2014/2015
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fluctuations in yearly hydropower availability due to droughts has historically resulted in acuteelectricity shortages, causing the capacity factor to drop frommore than 53% to as low as 33%during severe drought conditions in 2009 (Government of Kenya, 2011).When combined with alimiteddevelopmentof thesegeothermal resources, thishas led to thedependenceof thepowersector on imported oil, almost entirely from the United Arab Emirates, for over 30% of totalgenerated power (UNEP, 2006; EIA 2014). Due to unsustainable supply, the use of biomass forpowergenerationislimitedtobagasseandmunicipalwaste.
AccordingtoLCPDP2013-2033renewableenergyinthepowergenerationmixisplannedtobe42%of the 20,156MW in 2030. The total installed capacity of renewable energy in the powermix isplannedtobe8,185MWconsistingof1,039MWhydro;5,110MWgeothermaland2,036MWwind.However,theSE4Allactionagendatargetreversethepercentageofrenewableenergyfrom42%to80%renewableby2030.
3.2.2 ExistingPlans/StrategiesThefollowingstrategieswereputinplacetomeetenergydemandforrenewableenergyresources:
• Kenya National Domestic Biogas Programme (KENDBIP) aiming at supporting theconstructionofover41,000domesticbiogasplantsby2018.KENDBIP,which ispartoftheAfricanBiogasPartnershipProgramme(ABPP),firstphasewasimplementedfromyear2009to the end of year 2013, and had a target of, among sector development objectives,installing 8,000 biogas digesters within 4 ½ years and through the initiative over 11,000digesterswereinstalled.Secondphaseisdesignedtorunfor4yearsfromJanuary2014totheyear2017andtargetsinstallationof27,500digestersacrossthecountry.
• PIMA Gas, the initiative of pay-as-you-go LPG.Gulf gas developed PIMA gas, which is asystembywhichaclientcanbuygas insmallquantities–assmallasKShs50,which isanamountequaltothecostofcharcoalorpetroleum,butcontainingmoreenergy.Clientscanbuya1kggascanisterwithaburnerforabouttheequivalenttothepriceofacharcoalorpetroleumburner,andthenhavethegasbottlerefilledwhentheyneedto.
• BioenergyandLPGStrategy:theoverallobjectiveofthestrategyistoimprovesustainabilityofbioenergyproductionandutilizationandtopromotealternativemodernformsofenergywithaviewtoensuringacleanenvironment.Thespecificobjectivesare;
o Promotesustainabilityintheproductionofbioenergyo Promote efficient collection and use of energy and fertilizer generation of all
municipal and business wastes to promote and sustain a healthy and cleanenvironment
o Promotealternativecleanformsofenergye.g.biogas,briquettesandliquidbiofuelso Promoteefficiencyintheutilizationofbioenergyandalternativemodernformso Enhance environmental protection and contribute to enhancement of climate
controls.• Feed-in tariffs for Renewable Energy (2012) for electricity generated from renewable
energy sources; specifically wind, biomass and small hydro in order to safeguard theinvestments made by the respective developers in data collection undertaking feasibilitystudies; and to boost the development of Renewable Energy Sources Electricity (RES-E)generation.Thetariffallowspowerproducerstosellrenewableenergygeneratedelectricityto an off-taker at a pre-determined tariff for a given period depending on type of REtechnologyused.
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• GDCBusinessPlan&Strategy-Aspartof strategy,GDC is engaged inearly generationofelectricityusingportablemodularpowerplantsthatcanbecommissionedwithinsixmonthsfrom the time a well is drilled. In the next 10 years, GDC will carry out detailed surfaceexploration, drill wells and invest in wellhead generation units to achieve the planned3000MWandatleast5,000MWeby2030throughanacceleratedgeothermaldevelopmentprogramme94.
• NetMetering-thedraftnationalEnergyPolicy2015containsprovisionsonnetmetering95.TheGovernmentaims,under thepolicy’sAgenda forAction, todevelop in the short term(fromtheyear2012-2016),necessarylegislationfornetmetering96.
• Installationofwindmastswithdataloggers:TheMinistryhasannualprojectof installationofwindmastswithdataloggers.Thewindmastswithdataloggersataheightof40and20metres installedat95windsites. In2014,mastswithdata loggersd100metresatfive(5)sites.
3.2.3 ExistingGaps
Kenyahashugerenewableenergyresourcesbuttheirrateofdevelopmenthasbeenverylow.Thegapsinclude:
• Limitedpubliclyavailable informationonRE resourceassessmentandmapping to supportinvestmentpromotion,decisionmakingandenergyplanning;
• LimiteddiversificationonpoliciestoaddressspecificissuesandchallengesassociatedtothedifferentRenewableEnergyTechnologies(RETs);
• Limiting incentives for private sector in the development of the renewable energytechnologies
• LackofgridaccessinRenewableenergyresourceendowedareassuchasNorthKenya.
3.2.4 HighImpactInitiativesforAchievingtheOverarchingObjectiveofRenewableEnergy
Therearevariousoptionsofactionstoachievethesettargets.Theregionalcontextisalsoimportantinrelationtopowergeneration,asKenyaisalreadypartoftheEastAfricanPowerPool.Inordertoachieve 80% renewable energy in power generation a combination of the following action areasmustbeundertaken:
Biomassutilizationandpromotionofalternativeenergysources
• Develop wood fuels (firewood and charcoal) supply and demand master plan for the mainsupplyanddemandcentres(includingtreecover inventory,classificationofharvestingzones,relevant data, analysis of wood fuels flows, development of conditions and technicalspecificationsforwoodfuels,productionanduse).
94http://www.gdc.co.ke/index.php?option=com_content&view=article&id=161&Itemid=15595“asystemthatoperatesinparallelwiththeelectricaldistributionfacilitiesofapublicutilityandmeasures,bymeansofoneormoremeters,theamountofelectricalenergythatissupplied.Itisanincentiveforconsumersofelectricalenergytosellrenewableenergygeneratedelectricitytoaretailerordistributorasthecasemaybe.”96Ibid,section9.9.1.3(2)
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• Development of strategy for use of denatured bioethanol as household cooking fuel givingconsiderationtodesignofconducive legalandregulatoryframeworkforcompaniesoperatingin the sector, communication to potential users on the benefits of using the technology anddefinitionofcreditfacilitiestoimproveaccesstofinancebyusers.
• Thebiomasssupplychainwillundergoreformsaimedatprovidingamediumto long-termreduction in relianceon charcoal,whilst retaining the rural economic valueofbiomassbypromotingcost-effectiveandefficientalternatives.Thiscanbedonebyredirecting jobs tootherpartsofthealternativebiomassvaluechain;radicallyimprovingcookstoveemissionsand efficiency performance to reduce energy costs, and improving the productivity andsustainabilityofwoodproduction.KeyactionsidentifiedduringtheSE4ALLAAdevelopmentare:
o Support transition to much more efficient charcoal production methods, includinginvestmentinnecessaryequipment.
o Introduce a harmonized tax regime for charcoalwhich rises over time, and reducetaxesonalternatives(e.g.biomasspellets)atleasttotheleveloftaxesoncharcoalorlower
o Create cross-ministerial taskforce (national and county) to effectively coordinatebiomass related activities in particular national awareness-raising strategies toincreasedemandforhighertierstovesandfuelsincludingbioethanolfuel.
o Establishinfrastructureforscalinguptheuseofbioethanolasahouseholdcookingfuel in Kenya based on the work already done to pilot this and the subsequentinclusionofbioethanolasnon-excisablecommodityintheExciseDutyBill2014
Renewablepowergeneration
Kenyahasenoughrenewableenergyresources,whichcanbedeployedtoachieveitsSE4Alltargetof80%shareofrenewableenergyinpowergenerationmix.Thefollowingactionswillberequiredtoachievethe80%targetofrenewableenergyintheenergymix.
• Developmentof a legal and regulatory framework to foster thedevelopmentofRE: Thiswillinclude;
o DevelopaspecificRenewableEnergyStrategywithcleargoalsandtargetsintegratedin theEnergySectorWidepolicy framework.This should include targetsandgoalsforgrid-connectedandoff-gridREtechnologyintegration.
o Developamini-gridpolicy that fosters theuseofREwith guidelines and targets inordertoincreasetheconfidenceoftheprivatesectortoinvestintheseprojects.
• Investment Incentives:Working together acrossGovernment Agencies and key stakeholders,MoEPwillupdateandexpandincentives,andlimitsubsidiesby:
o ReviewingtheFiT inplacetoprovideadequateincentivesto investors inrenewableenergyprojects
o Foster the development of a number of innovative funding mechanisms such asgrants,challengefundstopromotethedevelopmentofREprojects.Afterattaininga
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disseminationofcertaincriticalmassintermsofnumberofunitsandassemblers/manufacturers,therenewableenergyindustry,withthesupportofMoEPandotherstakeholders,canbecomeself-sustainingandsubsidiescanbegraduallywithdrawnwithout any adverse effects on continued dissemination of renewable energytechnologies.
o Implementagovernmentalsubsidyforsupportingthedevelopment(pre-investment,capitalandoperation)ofmicro/mini-gridsinparticularforproductiveuseinoff-gridareas;
o PrioritisegriddevelopmentinareaswithREpotential.
• DevelopingaSE4Alldatabase:toimprovecollectionofgenderdisaggregatedenergydataforplanningandinvestmentpurposes.Thedatabasetoinclude;
o RenewableEnergyResourceSystem(RERS):anumbrellaforthedifferentrenewableenergy resources assessment and mapping, in order to confirm the potential ofspecific sites and accelerate project development by the private sector. Thisdatabase will also be linked to, or use, the resources available under SE4ALLrenewableenergyhubatIRENA.
o Biomass InformationSystem(BIS);Themajorpurposesofthe informationsystemisto:(i)Keeptrackofthenewbiomassenergytechnologiesandtheirsuccessrates;(ii)Support continuous updating of the strategy; and (iii) Provide timely genderdisaggregatedinformationfordecisionmakingandplanning.
• PowergenerationprojectsunderREFIT:o Geothermal:powerpurchaseagreementapproved407MW;awaitingnegotiation400.7
MWanddrillingongoing1,055MW
o Wind:powerpurchaseagreementapproved530MW;powerpurchaseagreementtobenegotiated100MW
o Hydro:purchaseagreementapproved39.3MW,powerpurchaseagreementtobenegotiated511MWofhydro,importationfromEthiopiappurchaseagreementapproved400MW
o Biogaspowerpurchaseagreementapproved2.4MW
o 10MW,10MWofco-generation(baggase)andbiomassgasificationrespectivelypurchaseagreementapproved
Industrialandagriculturalprocesses
In January2010,Kenya revised theFITpolicy97,which resulted in theadditionof three renewableenergysources:geothermal,biogas,andsolarenergyresourcegeneratedelectricity.Inaddition,the
97http://www.unep.org/greeneconomy/SuccessStories/FeedintariffsinKenya/tabid/29864/
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revised policy extended the period of the power purchase agreements from 15 to 20 years andincreasedthefixedtariffsperkilowatt-hourforpre-existingwindandbiomassundertheFIT.
Thecaptureandrecyclingofwasteheatandtheuseofrenewableenergysourcesinindustrialandagriculturalprocesseswillbeenabledbythefollowingactions:
• Mandateagroprocessingcompaniestoupgradetheirbiomass-basedcogenerationpotentialinordertobenefitfromtheFITpolicy.Thiswillinvolve;
o Feasibilitystudyonresourceassessment toestimatecogenerationpotential in theagroprocessingcompanies.
o Formulationofstandards®ulationsforbiogas
o ContinuedreviewofthecogenerationFITs
o Formulateandimplementanationalstrategyforregulatoryframework,certificationandcoordinatingdevelopmentofcogeneration.
• Developandimplementlegalandregulatoryframeworkforexploitationofmunicipalwasteintoelectricitygeneration.
• Directuseofsteamfromgeothermalpowerproductionplantsforindustrialprocessheat
Buildingandappliance98
Involves the design and retrofit of buildings incorporating renewable self-generation options,including:
o Rooftopsolar
o Solarwaterheatingsystem
o IntegratedsolarPVsystems(buildings)
o HarnessingsewerageforBiogassystems
Transportation
Actionswillfocusonincreasingtheshareofrenewablesinthefuelsupply:
o Programmetobuildvaluechainsforbiofueluseintransport(focusonResearch)
o Overall policy framework for introduction of biofuels including: Production andblendingstandardsforE30andB5.
o Institutionalandregulatoryframeworkneededpricingpolicyforbiofuels.
o BaseknowledgeofbiofueloptionsandviableapproachesinKenya
98http://www.un.org/wcm/webdav/site/sustainableenergyforall/shared/Documents/SEFA-Action%20Agenda-Final.pdf
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o Data/information systems on feedstock types, production andmarket assessment;there isalreadysomeexperiencewithethanolproductionandblendingwhichcaninformnewprojects.
o Formationofbioenergypartnershiptobringtogetherpublic,privateandcivilsocietystakeholders in a joint commitment to promote bioenergy for sustainabledevelopment. The Partnership to focus on three strategic areas: sustainabledevelopment,climatechangeandfoodandenergysecurity99
3.2.5 RelevantHigh-ImpactOpportunities100
• CleanEnergyMini-Grids,toacceleratecleanoff-gridaccess:o Developandimplementsmall-scalerenewableenergysolutions;o Providedistributedelectricity solutions that supportproductiveuseandeconomic
development;o Studiestoestablishviabilityoftherenewableenergyresourcesinthecountryo Acceleratingprivate-sectorinvestmentthroughprivateleveragemechanisms
• EnergyandWomen’shealthEnergyisacriticalenablerforvitalprimaryhealthcareservices,especiallyduringmaternalandchildbirthemergencies.Withoutelectricity,mothersinchildbirthareparticularlyatrisk.Whilematernalmortalityhasdeclinedinthepast20years,theinternationalcommunitystillhas farther to go to save lives and ensure that health workers are given the tools andfacilitiestheyneedtoprovideeffectivemedicalcare.Electricityisneededforbasiclighting,vaccinestorage,accesstocleanwater,equipmentsterilization,andtopowerotheressentialequipment.Yetmanyclinics,hospitals,andworkersdonothaveaccesstothepowertheyneed: TheWorldHealthOrganization recently found thatup to58percentof health carefacilities in Sub-Saharan African countries have no electricity at all101. Some of thedeliverablesofthishigh-impactopportunityinclude:
o Mapping themarket: Understand the existing gap in access to energy-dependenthealthcareservices(bothforpreventionandfortreatment).
o Securing evidence for guiding intervention design: Engage the health sector inassessingthegapinenergy-relatedservicescriticaltowomen’shealth.
o Supply chains andmaintenance:Developpublic-privatepartnerships to encouragegooddesignandmobilizefinancingforinstallation.
o Building local and national capacity: Establish appropriate system design,maintenance and repair requirements to train local electricians, mechanics andengineers.
o Advocacyandmedia:Mobilizepublic/privateenergysectorlinkageswiththehealthsector and catalyse support andaction for identifiedpolicies/investments to close
99http://www.un.org/wcm/webdav/site/sustainableenergyforall/shared/Documents/SEFA-Action%20Agenda-Final.pdf100ThisisbasedonthelistofHIOsidentifiedbytheGlobalActionAgenda
101 http://www.se4all.org/hio/energy-and-womens-health/
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the energy gap in healthcare, as well as catalysing sustainable energy serviceinstallationsinmedicalclinics102.
102 http://www.se4all.org/hio/energy-and-womens-health/
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3.2.6 Risksandmitigationforrenewableenergy
Table16:Riskmanagementforrenewableenergy
Risks Impact Mitigation Responsibility
Hydrologyrisk Unfavourable hydrological conditions affecting thegenerationcapacityofhydropowerplants
a) Properwaterreservoirmanagement
b) Diversificationofgenerationinenergymixtoincludewind,geothermal,andreduceexposuretorisksofhydrologicalrisks
c) Thegovernmenttoestablishacommitteecomprisingofdifferentstakeholderstoensureco-ordinationatpolicy,regulationandoperationallevelsonmattersrelatingtoapportioningofwaterresources
d) Planforimplementationofhydrologymitigationlevyinpowertariffs
e) MinistryofWaterandIrrigation(MoWI)andMinistryofEnvironmentandNaturalResources(MoENR)shouldhelpMoEP
MoEP, MoWIandMoENR
Politicalrisks Theriskisthatthegovernmentmayalteritspoliciesorintroduceotherregulationsmayadverselyaffectinvestments and existing companies operationssuch as county governments demanding revenuesinformofleviesinrespecttopowerstationsthatliewithin their counties and this could increase thecostofpower
Putinplaceeffectivemanagementprogrammetoavoid/minimizeadverseeffectsofgovernment/countylegislationonitsoperations.
On-going reviewof theenergyPolicy&Act has taken into considerationchanges in the constitutions including specific changes related to theenergysector.
Nationalparliament andregionalparliament
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Risks Impact Mitigation Responsibility
Single buyermodel
Currentlythereisonebuyer(KPLC)ofallthepowergeneratedinKenya.Thisisamajorriskasanythingaffecting the financial health will adversely affectthepowergeneratingcompanies
a) Companiestobeallowedtosupplydirectlytoselectedlargeconsumers
b) Engagingwiththepowerdistributortoensurebillingdisputesareresolvedpromptlyandpaymentmadetoavoidadverseeffectsoncashflows.
c) Appointmentofindependentoperatorstoensureeconomicorderofpowerdispatchisstrictlyfollowed.
d) MinistryofIndustrialisationandenterpriseDevelopment(MoIED),KPLC,ERCandMoEPshouldworktogether
MoEP
MoIED,KPLC,ERCandMoEP
Availability ofland/siteacquisition forpowergenerationprojects
Anyprojectrequiringacquisitionofprivatelandforits development must always consider the ProjectAffected Persons (PAPs) such as resistance of thecommunities to engagewith the site owners, hostcommunity unwillingness or opposition to relocatefrom identified project site, political factors, highcompensationsdemandsbythecommunityandtheineffectivestakeholdermanagement.Thismayleadto delay in implementation of the projects thusmissingoutontimeliness
a) ExpeditelandacquisitionandwillingnesstoengagewithallPAPsfromtheprojectsites.
b) Carryingoutenvironmentalandsocialimpactassessment(ESIA).TheresultofthisformthebasisforsuccessfulnegotiationwiththePAPstorelocateandcompensationoftheirlandtobeacquiredfortheprojectdevelopment
c) ThroughtheCorporateSocialInvestment(CSI)supportthePAPsinvariouscommunityanddevelopmentactivitiestoenhancestakeholderrelations
d) Governmenttosupport/facilitatetheacquisitionoflandforpowerprojects
Government
NationalEnvironmentalManagementAuthority(NEMA)
Community
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Risks Impact Mitigation Responsibility
Financialrisk Delayinprojectimplementation a) MoEP Identifies, evaluates and hedges financial risks in closecooperationwithoperatingunits
b) Writtenprincipalsforoverallriskmanagement,aswellaswrittenpolicies covering specific areas such as credit risk, liquidity risk,foreignexchangerisk,interestrateriskandpricerisk.
c) PutinplaceaninternalauditfunctiontoassistMoEPinassessingtheriskfacedbythecompanyonanon-goingbasis,evaluateandtest the design and effectiveness of its internal accounting andoperationalcontrols.
d) Development of detailed risk management policies (subject toreviewandapproval byAudit andRiskManagementCommittee)andfortheday-to-dayimplementationofthosepolicies.
e) NationaltreasuryshouldhelpMoEP
MoEP, NationalTreasury
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3.3 ENERGYEFFICIENCY
3.3.1 CurrentStatusandTrajectory
The available data shows the that since 2006 to 2012 the energy intensity for Kenya has been
constantato.26TOE/$2005PPP in thehencemakingtheanalysisof thetrajectory for therateof
improvementinenergyefficiencyuntil2030,usingenergyintensityasthemeasure,iscomplex.As
indicated in the targets section, energy intensity is the measure used in the Global Tracking
Framework to imply improvements inenergyefficiency in the contextof SE4All.However, energy
intensity is an imperfect proxy given that a number of factors not necessarily linked to energy
efficiency can affect it. Primary energy consumption, total GDP, and Purchase Power Parity (PPP)
figuresareusedtocomputethisindicator.In2012,Kenya’senergyintensitywasat0.25toe.
Given (i) the different sectors in which energy efficiency can be applied (grid electricity,modern
cooking,buildings,appliances,transport,etc.),and(ii)theneedforenergyconsumptiongrowthto
buildtheeconomy,itisdifficulttosetfirmnumbersandtargetsonenergyefficiency.Theapproach
of Kenya to energy efficiency, and the trajectory, in the target section, is based onmeasures to
encourage efficiency (e.g. energy audits in industry, encouragement ofmore efficient appliances,
mandatestoswitchtosolarwaterheaters,etc.)
3.3.2 ExistingPlans/Strategies
In the sphereof energy efficiency, plans and strategies addressing inter alia residential, industrial
andcommercialenergyefficiency,andenergyefficiencyintransport,are:
• EnergyEfficiencyImprovementinbuildings-newresidentialbuildingsarerequiredtoinstall
solarwaterheaters,withtargetof800,000unitsby2020103.
• Energy Management Regulations (2012) provide guidelines on energy auditing and
management. The government is also offering support to Kenya Association of
Manufacturers(KAM)toundertakeenergyefficiencyauditsandotherprogrammetrainings.
• Energyefficiencyinitiativesrelatetobiomasscookingandheating.Mostofthisworkisled
by civil society with support from the government as seen in the development and
implementationofKenyaCountryActionPlan(KCAP)in2013andsubsequentestablishment
oftheCleanCookstovesAssociationofKenya.
• Kenya Power is undertaking the following measures to improve efficiency: Compact
FluorescentLamps(CFL)Rolloutintheresidentialsector.In2010KenyaPowerstartedwith
distributionof1.25millionenergysavingbulbs inPhase1andareproposing3.3Million in
Phase2.Theaimistoreach100%efficientlightingby2020;
• The Kenya Association of Manufacturers (KAM) has been running programmes geared
towardsimprovingenergyefficiencyinKenyanindustry.TheAssociation,throughtheCentre
for Energy Efficiency andConservation (CEEC), hasbeen conductingenergy audits, energy
efficiencycampaigns,trainingofindustrypersonnelinenergyefficiency,amongotherssince
2006.
103DraftNationalEnergyPolicy2014
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3.3.3 ExistingGaps
ThemainweaknessestoimprovetheefficientuseofenergyinKenyainclude:
• LimitedcapacityandawarenessofmainenergyactorsonEErelatedmatterssuchasenergy
saving opportunities, investment costs, financing instruments, available technologies and
standards;
• Limitedinformationandoptionstoaccessmoreefficientfuelsandtechnologies;
• Limitedunderstandingonthepotentialsavingsfromthedifferenteconomicsubsectorsand
theimpactontheprojectedenergydemandifEEmeasuresareimplemented;
• Need to follow up implemented programmes and initiatives in order to understand their
impactandidentifylessonslearnedforfutureinitiatives;
• Lowawarenessbyendusersintheresidential,commercial,industrialandtransportsectors
onthebenefitsofinvestingandadoptingenergyefficientmeasuresintheiractivities;
• Lowcapacityinorganisationsandweakinstitutionalframeworkingeneral:themanpowerin
the key institutions dedicated to EE. There is also a constraint on budget allocations
earmarkedforEE;
• Inadequatenationalcapacitytoplanandregulatebuildingandapplianceefficiency.
3.3.4 HighImpactInitiativesforAchievingtheOverarchingObjectivesofEnergyEfficiency
Gridinfrastructureandsupplyefficiency
KenyanGovernmenttargetstomaximizeefficiencyintheelectricitysub-sectorbyreducingwastage,
theftand losses.Throughsupplyanddistribution, thegovernmentaimstoreduce losses tobelow
15%by2020fromthecurrentlevelof18.6%104.
ActionAreasunderthisobjectiveare:
• ImprovingthetransmissionsystembyuseofHighVoltageDirectCurrent (HVDC) linesand
installationofhighefficienttransformers,
• Automation of the distribution system which will be achieved through: installation of a
modern robust and integrated Distribution Management system, installation of different
types of sensors on feeders, transformers and distribution substations, installation of
meteringontransformersandfeeders,
• IntegratedGridmodernisationProject(SmartGridProject):Thisprojectisexpectedto
transformtheexistingdistributionpowerinasmartgridcapableofprovidingreliable,
quality,affordableandsustainableenergyservices.
104KPLCAnnualReport2012-2013.
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BuildingsandAppliances
Widespread implementationof state-of-the-artpolicies,buildingdesignand technologies, coupled
withbehaviourchangecoulddeliverreductionsinenergydemandfromnewandexistingbuildings
of over 50% compared to business as usual (IPCC, 2014). Achieving such savings would not only
significantlyreduceGHGemissions,butalsoproduceadditionalcomfort,health,environmentaland
economic benefits. Kenya has put in place various policies to address energy efficiency in the
building and appliance sector which include Minimum Performance Standards (for CFL, motors,
refrigerators), solar water heating regulations, 2012 draft energy management regulations,
regulationsoninstitutionalbiomassandstandardsforbiomasscookstoves.
Industrialandagriculturalprocesses
AsurveyofKenyanindustriesrevealedthatwastageofenergyinputrangedfrom10%to30%.This
wasattributed to lackof information,motivationandexpertiseaswellas financial restrictions.At
theendofthe initialphaseof theGlobalEnvironmentalFund-KenyaAssociationofManufacturers
(GEF-KAM) Industrial Energy Efficiency Project, in 2006, cumulative energy savings to the tune of
1,800GWhhadbeenattained,equivalenttoshuttingdown200MWplantforoneyear.Animportant
benefitofenergyefficiencyisthatitispossibletoavoidemissionsofCO2tothetuneof5.2million
tons by the year 2015, corresponding to energy savings of about 16,130GWh over the period.
Actionsincludethosethatwillrealizeopportunitiestoimprovetheefficiencyofbusinessoperations
andproductdesign,reduceenergyconsumptionandwastefulpracticesalongthevaluechain.
Agriculture
AgricultureisoneofthemostimportantsectorsintheKenyaneconomy.However,majorityof Kenyan practice small-scale subsistence farming and the use of energy consumingtechnologies inminimal.Mostly farming isdonemanually and theydonotpractice valueadditiontotheir farmproducts. Thiscanbeattributedto lowincomelevelstoaffordthetechnology hence huge losses due to badweather. However,with economic growth andfarmers will shift from subsistence farming to modern agriculture thus energy efficiencymeasures would be important for agricultural producers save energy without harmingproductivity.
Transportation
Accordingtothe internationalenergyagency (IEA), thetransportsectorhasthehighestgrowthof
CO2emissionsofanysector–itscontributiontoenergyrelatedCO2emissionsareestimatedtogo
fromonequartertodaytoone-thirdby2050.Blackcarbonandpollutantemissionsarealsosetto
increasesimilarlywithmajorhealthandshort-termclimate impacts.Transportsectoraccountsfor
13%ofKenya’stotalfinalenergyconsumption(TFEC)(71x109megajoules).Kenyatransportsector’s
TFECgrewby85%between1990and2010equating toannualgrowthofapproximately6.4%per
year (IEA, 2012). This growth represents the fast growingmotorisation of the economy,with the
numberofvehiclesregisteredinthecountrydoublingoverthelastfiveyearperiod(KenyaNational
BureauofStatistics,2013).This isdueto increases inprivatecarusethat isexpandingas incomes
rise,themiddleclassexpandsandthepublictransportsectorcontinuestodecline.
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Actionsneeded
o Reviewing the tax policy on importation ofmotor vehiclewith a view to incorporating
measures that will encourage importation of environmental-friendly and low-fuel
consumingmotorvehiclessuchashybriddesignedmodels,
o Promotionof low-costpublictransportmodessuchasbusrapidtransit(BRT)andother
meansofmasstransport,
o Proper urban and transport planning to facilitate efficient and low GHG modes of
transportation,e.g.decongestingroads,
o Encouraging non-motorized modes of transport (NMT) by creating bikeways and
pedestrianwalkways,
o Creating transport demand management measures that encourage or favour public
transportandNMT
o Creating a programme to phase out old and inefficient (high fuel-consuming) motor
vehicles,whileencouraging importationofefficientvehicles through tax incentivesand
otherfinancialtools,
o Creatingawarenessandpossiblycarpoolingpoliciesthroughpunitivetaxesandcharges,
e.g.roadandfuelleviestoreduceunnecessarytravel,
o Enforcingvehicleinspectionrulestoensuremotorvehiclesarewellmaintainedinorder
toreducepollution.
o Enactingalawthatwouldcompelvehicleownerstoinstallpollution-controldevices,such
as the three way catalytic converters that can inter alia converting nitrogen oxides
includingtheinfrared-activeglobal-warmingcausingnitrousoxide(NO2)tonitrogenand
oxygen,
o DevelopingaLightRailTransit(LRT)inmajorcitiesandtownstodecongesttraffic,and
o Improving the rail-network to facilitate low-cost and low-carbon long-distance
transportation of cargo and passengers, construction of standard gauge railway is
underway.
MoEP will establish a dialogue and collaboration with the SE4ALL Energy Efficiency Hub. The
CopenhagenCentreonEnergyEfficiency(C2E2) isthethematichubforenergyefficiency;withthe
primeresponsibilityofsupportingactionstowardstheSE4ALLenergyefficiencytarget.
3.3.5 RelevantHigh-ImpactOpportunities105
o AdvancedLighting&ApplianceEfficiency,
o EnergyEfficiencyinBuildings,
105ThisisbasedonthelistofHIOsidentifiedbytheGlobalActionAgenda
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3.3.6 Riskandmitigation
Table17:Riskmanagementinachievingtheenergyefficiencytargets
Risks Impact Mitigation Responsibility
Exchangeraterisks relatedto theprojects,especially forequipmentsold
ininternationalmarkets
Avoidance of buying
efficientequipment
Local manufacture of energy
efficientequipment
Government
Regulatory, governance and contract uncertainties with equipment
suppliers, contractors and third parties who may be necessary to
implementprojects;
Lack of confidence in the
organisations management
to issue contract to Energy
ServiceCompanies
Strengthen the regulatory and
governanceofcontracts
MoEP
Limited access to capital/credit, which often implies a very short-term
payback approach to EE project evaluation especially for small micro
enterprises
Inability to pay for energy
efficienttechnologies
Increasingthecredittenor
Creation of a fund to support
energyefficiencyprojects
Financial
Institutions,
CSOs,
Development
partners
Themismatchof investment costs and energy savings costs, budget and
credit constraints and the opportunity costs of exhausting one's credit
limitsonenergyefficiencyratherthanonincreasingsales;
No budget set aside for
investinginenergyefficient
projects
Inclusion of budget of
implementation of energy
efficient projects in the
investmentplan
Government
Availabilityofenergyisacriticalissue:Evenwhenmanufacturingfirmsare
willingtoassumeahighunitcostperkWh,energysupplyisoftennotonly
insufficient, but also unreliable, giving rise to costly backup and self-
generation (e.g. smelting and energy dependent, continuous chemical
processes)inmanycompanies
Energy cost remains high
even after installation of
energy efficient
technologies
LoweringtheunitcostperkWh
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3.4 ADDITIONALNEXUSACTION
3.4.1 CurrentStatusandTrajectory
SustainableenergysupplyisaprerequisiteforregionalgrowthandpovertyreductioninKenya.Thekeynexusare in theenergysectorare inenvironmental,health, foodsecurity,waterandgender.Water is critical for energy security; at the same time, there are areaswherewater for irrigatedagriculturewillnotbeavailablewithoutenergyforpumpedsupply.Energyisalsorequiredforcropprocessing,andvalueadditionofagriculturalproducts,which ismainlydonebywomen.Accesstomodern energy servicesmay improve livelihoods and increase small farm income for subsistencefarmersaswellasincreasedfoodsecurity.Energyproductionrequiresmassivequantitiesofwaterandmostwaterdistributionprocessesuselargeamountsofenergy.
The cornerstone of the Kenyan economy and employment is agriculture and a steady growingmanufacturing base. The national government has heralded a call for agricultural innovationtargeting new value additions and product diversifications. To support value chain upgrades inagribusiness,majorinvestmentsarebeingmadeinrenewableenergy,hardinfrastructureandwatermanagement solutions to boost growth and production efficiencies. Today, large amounts ofagriculturalproductsneverreachtheconsumersimplybecauseoflacksofprocessingtechnologies,cooling,value-addedtreatment,packagingsolutionsandlogistics.
3.4.2 ExistingPlans/Strategies
Existingstrategies
• ASAL Development – Irrigation: 404,800106 hectares will be put under irrigation by 2017especiallyintheAridandSemi-AridareainTurkanaandTanaDelta.
• There exists concerted effort by the Government to electrify public institutions (schools,healthfacilityandmarkets);thetargetforuniversalconnectivityinstitutionstoelectricityisexpectedtoreach100%by2015asperREA’sRuralEnergyMasterPlan.
• Installation of renewable energy power plants for processing (cooling and drying) ofagriculturalproduce.
• Policy review and enforcement and approaches that cut across the nexus issues thatwillcapture information and awareness raising, policy integration (normative, organizational,and procedural) and develop an energy sector land-use plan to reduce competition andclarifywheretolocateinfrastructure.
• NationalGreenHouseProjecthasinstalledatotal131greenhouseunitsacrossthecountry.
3.4.3 Gaps
Thefollowingarethegapsintheenergynexus;• Un-harmonizedlegislation(e.g.landact,wateractwithregardtoriparianland)andpolicy(e.g.
forlanduseofenergycrop)• Un-coordinatedsectorinterventions,lackofawarenessraisingandinformationabouttechnical
106SecondMediumTermPlan(2013-2017)
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(innovative) solutions which have mutual benefits (e.g. rainwater harvesting, exploitation ofalternativesourcesofenergyetc.),promotingresourceefficientsolutions,e.g.dripirrigationaswaterefficientirrigationsystem,energyefficientpumpingsystems,etc.
• Lack of comprehensive plans (e.g. water allocation plan, land use plans), involving otherministries (e.g. involvingwaterministry andwater sector institutions in the development andreviewofoff-gridruralelectrificationplans(onbasisofrenewableenergies)
• Insufficientresourcedata(e.g.regardinglanduseforenergycrop,waterabstractionsurveyetc.)thathindersplanning.
• Moreover,householdpollutionfromsmokyfiresandkerosenelampsisamajorcauseofhealthcomplications, particularly respiratory and eye diseases. According to the World HealthOrganization (WHO)estimates,householdpollutioncauses14,300deaths inKenya107annuallyanddirectly impact thehealthof14.9millionKenyanswith themajorityof theaffectedbeingruralwomenandchildren108.
3.4.4 HighImpactInitiativesforAchievingtheOverarchingNexusObjectives
o Policy review and enforcement and approaches that cut across the nexus issues thatwillcapture gender disaggregated information and awareness raising, policy integration(normative,organizational,andprocedural)anddevelopanenergysector land-useplantoreducecompetitionandclarifywheretolocateinfrastructure.
o Harmonization of legislation and policies and better enforcement of laws, standards andguidelinesisrequiredtoaddressnexusissues.Institutionalstrengtheningandharmonizationofinstitutionalresponsibilitiesatthenationalandcountygovernments.
o Gender mainstreaming which will involve incorporating gender impact assessments intoexisting planning tools, incorporate full economic opportunity costs associated with timespentbywomenusingunimprovedcookingmethods.
o Stakeholders’ involvement in implementation of the AA, not only to mitigate conflictsbetween the sectors but for regular dissemination of information and training of targetgroups (e.g. training of farmers on technical alternatives in agriculture such as efficientirrigationsystem,rainharvestingetc.).
o Researchanddevelopmentforinnovationsolutionstoaddressenergyandfood,energyandwaterandgendernexus.
o Trainingoffarmersontechnicalalternativesinagriculturesuchasefficientirrigationsystem,rainharvestingetc.
o The national green house project, agro-technologyfocusing on agriculture with limitedwaterresourceandcontrolledenvironmentinallthe47counties.
o This is a National Economic Program aimed at putting one million acres of land underirrigatedagriculturewithintheMTP2
107GlobalAllianceforCleanCookstoves-KenyaCountryActionPlan108GlobalAllianceforCleanCookstoves-KenyaCountryActionPlan
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3.4.5 RelevantHigh-ImpactOpportunities109
o Energy and Women’s health: Energy is a critical enabler for vital primary health careservices,especiallyduringmaternalandchildbirthemergencies.Withoutelectricity,mothersin childbirth are particularly at risk.Whilematernalmortality has declined in the past 20years,theinternationalcommunitystillhasfarthertogotosavelivesandensurethathealthworkers are given the tools and facilities they need to provide effective medical care.Electricity is needed for basic lighting, vaccine storage, access to cleanwater, equipmentsterilization, and to power other essential equipment. Yet many clinics, hospitals, andworkersdonothaveaccesstothepowertheyneed:TheWorldHealthOrganizationrecentlyfoundthatupto58percentofhealthcarefacilitiesinSub-SaharanAfricancountrieshavenoelectricity at all110. Other health impacts of the energy sector include the reduction inwomen’s drudgery, and improvement in food quality and nutrition frommodern cookingandrefrigerationsolutions;betterretentionofqualifiedstaffinremotehealthcentreswhichareservedbyelectricity;streetlightingmayimprovewomen’smobilityandhenceincreasetheir opportunities. In addition, access to affordable modern energy services can reducebothtimeandeffortspentinreproductiveandproductivelabour.Someofthedeliverablesofthishigh-impactopportunityinclude:
o Mapping themarket: Understand the existing gap in access to energy-dependenthealthcareservices(bothforpreventionandfortreatment).
o Securing evidence for guiding intervention design: Engage the health sector inassessingthegapinenergy-relatedservicescriticaltowomen’shealth.
o Supply chains andmaintenance:Developpublic-privatepartnerships to encouragegooddesignandmobilizefinancingforinstallation.
o Building local and national capacity: Establish appropriate system design,maintenance and repair requirements to train local electricians, mechanics andengineers.
o Public awareness on thebenefits of accessingmodern energyoptions to addressthe scanty knowledge of the linkage between traditional cooking methods andhealthimplications
o Advocacyandmedia:Mobilizepublic/privateenergysectorlinkageswiththehealthsector and catalyse support andaction for identifiedpolicies/investments to closethe energy gap in healthcare, as well as catalysing sustainable energy serviceinstallationsinmedicalclinics111.
109ThisisbasedonthelistofHIOsidentifiedbytheGlobalActionAgenda110 http://www.se4all.org/hio/energy-and-womens-health/ 111 http://www.se4all.org/hio/energy-and-womens-health/
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o CleanEnergyMini-Grids,orself-containedsystems
o Developandimplementsmall-scalerenewableenergysolutionsforsocialservices
o Forhealthcareestablishments,streetlighting,andschools
o Address the energy andwater nexuswith solar and other technology options forenergy-efficientwaterpumpingandprovisionofpotablewater
o Universal adoption of clean cooking solutions, a goal that can be pursued under theumbrellaofGACC,althoughKenyaisonlyapartnercountry.
o Advocateforandeducateconsumersontheimportanceofhealth,environmentandgenderbenefitsofcleancooking.
o Energy, Water and food nexus.
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3.4.6 RiskandmitigationRisks
Mitigation
Responsibility
• Unreliable/Sub-standardtechnology,leadingtolackofconfidenceintheinterventionsduetoperceivedrisks,e.g.health,security
• Educationandawarenesstothebeneficiaries• Enforcementofstandards/wherenolocalstandardsavailabletodevelop
MoEPCSOsDevelopmentpartners
• Culturalbarriers-hinderingadoptionofinterventions
• Awareness-demonstratingbenefitsofinterventions;participatoryplanninganddissemination
MoEP,CSOsDevelopmentpartners
• Lackofcapacity/knowledge/skillsatthecountylevelespeciallyforthoseinchargeofenergydocketstoplanandimplementnexuspriorities(provideleadership)
• Actionagendatoincorporateplansforcapacitybuildingonenergyandothersectorsplanningatcountylevel
• SensitizeCountygovernmenttoallocateresourcesforcapacitybuildingonenergyplanning/nexusissuesatcountylevel
• MoEPtochampioncapacitybuildingofcountygovernmentsthatincorporatesnexusissues
MoEP,CSOsDevelopmentpartners
• Lackoffinanceatthecountyleveltoimplementtheplannedenergynexusissues
• Innovativefinancingmechanisms,e.g.PPP’s• Mobilisingcommunityinitiatives-Energycooperativesmodel-fundedby
counties–participatoryplanningandimplementation• Encouragingcross-sectoralfinancialsupportfornexusissueswithincounties
MoEP,CSOsDevelopmentpartnersPrivatesector
• Somecountiesmaylacksubstantialenergyresourcestosupportplanningandimplementationtoaddressingenergynexusissues
• Involvecountiesingridinfrastructureinitiatives-funding/policytosupportthis;Participatoryplanninginvolvingcommunity-seekfundingtoenhancethis;segmenteddistributionsystemsforotherareasandaddressingidentifiedneeds
• Participatorydevelopmentofresourceswithinthecounties
Government,CSOsDevelopmentpartners
• Politicalinterference • Inclusiveimplementation/involvementofallstakeholdersintheawarenesscreation
• Crosssectoralplanningandengagement
Government,CSOsCommunity
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3.5 ENABLINGACTIONAREAS
Energy policies are quitewell developed in Kenya; however, there are some areaswhich require
furtherdevelopment, particularly, thebiomassandoff-grid sectors. In addition, there is a general
needtoimprovetheclarityintermsofenforcementandoverlappingwithothersectorspoliciesas
wellastoimprovegovernanceandinteractionbetweenallthestakeholders,includinggovernmental
institutions, donors and civil society. National coordination to monitor the implementation of
policiesandstrategies,developeffectiveandcomprehensiveplanninganddefineadequatefunding.
3.5.1 EnergyPlanningandPolicies
Areasthatrequirefurtherdevelopmentarethebiomassandoff-gridsectors.Inaddition,thereisa
general need to improve the clarity in terms of enforcement and overlapping with other sector
policies aswell as to improve governance and interactionbetweenall the stakeholders, including
governmental institutions, donors and civil society. Part 2 of the Fourth Schedule of the Kenyan
Constitution (2010) provides for devolvement of functions to county governments. It states that
County Governments shall be responsible for planning and development energy sector which
include preparation of county energy plans, incorporating petroleum and coal, renewable energy
and electricitymaster plans, physical planning relating to energy resource, provision of land and
rights ofway for energy infrastructure, regulation and licensingof retail supply of petroleumand
coalproducts.RolesofCountyGovernmentintheenergysectorareelaboratedinthedraftNational
EnergyPolicy2015.
CriticalAreas
• Inadequateeffectivecommunicationmechanismbetweencountyandnationalgovernmenton
energyplanning,implementationandmonitoringasmostofthesefunctionsarestillcentralised
by national Government Agencieswith limited intervention from county authorities and other
localstakeholders.
• Un-developed off grid and bioenergy strategy to guide decentralized system deployment and
biomassutilizationatbothNationalandCountylevel.
• Limitedstatisticaldataonprogressmadefromthepolicyinterventions.
• In adequate impact for NEMA as the Designated National Authority (DNA) for the Clean
Development Mechanism (CDM) on the banking sector and limited understanding on carbon
trading.
ActionsNeeded
• Form a national coordination committee to monitor the implementation of policies and
strategies, developeffective and comprehensiveplanninganddefineadequate funding for the
nationalandcountygovernment.
• Comprehensiveapproachtodevelopmentofstandardsandregulations
o Standards for several sustainable energy-related technologies need to be developed.
Whereas the Energy Regulatory Commission has begun development of regulations,
64
this effort requires a comprehensive approach encompassing all related standards,
technicalregulations,educationandenforcementframework.
• Fiscalandmonetaryinterventions
Development of wholesome fiscal and monetary briefs by the Energy Institute (once
established)thatwould:
o Assist institutions such as the Kenya Revenue Authority and the Central Bank of
Kenyacreatethedesiredtaxregime(rebates,exemptionsandotherincentives)and
to develop monetary policy, regulations and incentives that can stimulate the
financialsector inKenyatoraise longtermsustainableenergyfinanceandtoavail
projectfinancetoprivatesectorenergyprojectdevelopers.
o Assist NEMA, Treasury and stakeholders in the development of a carbon finance
instrument.
• Developandapproveoffgridstrategyandbioenergystrategytofosterthedevelopmentof
mini-grids,micro-gridsandbioenergytoencourageprivatesectorparticipation
• Formulateandenforceframeworkforcharcoalindustrythatincludesregulationofcharcoal
productionandincentivesforsustainableproduction.ThependingForestryActshouldbea
keypartofthisframework.
• FormulateLPGpolicyandappropriateincentivestosupportthegrowthofLPGadoption.
• Datacollectionandtrackingofprogressmadeagainsttargetswillbeessentialtobeableto
monitortheeffectivenessofpolicyactionsandmakeanycorrectivechanges.Thefollowing
actionsshouldthereforealsobetaken:
o Annual assessment of energy targets in three main areas of access, RE and
efficiency.
o Regular detailedmapping to assess status of all energymarkets includingmarket
actors,supportinginputs,servicesandfinance,andenablingenvironmentfactors.
• Developalternativecookingfuelsstrategywithcleargoalsandtargets(bioethanol,biogas,
solarcookers,vegetableoils,briquettesandagriculturalwaste).
• Strengthening of the energy policy, legislation and strategic planning. Specific energy
policiesthatneedtobeentrenchedinthepolicyandregulatoryframeworkinclude:
o Policy to guide Sustainable Energy Fund (SEF) fund-raising efforts, including
obligatingSEFbudgetaryallocationsbothatnationalandcountylevels.
o Policy to guide integrated sustainable energy planning, including inter and intra-
ministerialplanninganddecentralisedbycoordinatedenergyresourceplanning.
o Establishmentofanintegratedapproachinenergypolicydevelopmentandplanning
taking into consideration the new Government and political structures in
accordancetotheconstitution.
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o Thetransmissionanddistributionprovisions intheActrecognisethat“conveyanceofelectricalenergytoorfromanytransmissionordistributionnetworkispossible;aframeworkforwheelingonthedistributionnetworkshallbedeveloped.
3.5.2 BusinessModelandTechnologyInnovation
ThereanumberofbusinessmodelsandtechnologyinnovationbeingimplementedinKenyawhich
include:
• PublicPrivatePartnerships(PPPs)modelsforpowergeneration,
• InnovationssuchasPayAsYouGo(PAYG)
• Energyaccesssolutionse.g.leasingifany,Resultbasedfinancingbeingimplementedinthe
minigridbyGiZ,
• Polices encouraging R&D, research institutions, Energy service companies that work with
communities, how do project developers engage with communities- community
engagementmodels- examplese.g. theKitonyoniCommunity SolarMicro-grid inMakueni
countyandNgerechCommunitySmallhydropowerinMurang’acounty
In thedevelopmentofprojects, thedevelopershavebeenchallenged in raising finance, the local
bankingsectorinvolvementinenergyprojectfinancingislimited.
CriticalAreas
• Dependenceondonorfundingforcriticalenergysectorinitiativessuchasfinancingofpilot
projectsparticularlyofsustainableenergyprojects
• Limited involvement from the local banking sector in financing small and medium size
energyprojects
• Limitedcapacityofdeveloperstoraisefinanceforsmallenergyprojects
• The transmission and distribution provisions in the Act recognise that “conveyance of
electricalenergytoorfromanytransmissionordistributionnetworkispossible”;wheeling
tariffs in thetransmissionnetworkareaccordinglyprovided for in theexistingscheduleof
tariffsandrates,butthereisnotyetaframeworkforwheelingonthedistributionnetwork.
ActionsNeeded
• EstablishmentofKenyaEnergyDevelopmentFund(KEDF)withtheaimtostreamlineaccess
toearly-stageprojectfinanceintoasingleprogramme.Theconceptshallbeelaboratedand
establishedundertheMoEPastheprimarymeanstoco-financestrategicdomesticenergy
projectswithpublicresources.Itsmainpurposewouldbetoprovideearly-stageseedcapital
andequity togetsuchprojects to thestageofcommercialbankability, thereby leveraging
moreprivatecapital into thesector.Ministry thatwilloutline therationale, feasibilityand
optimal governance and institutional arrangements shall prepare a concept note for the
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KEDF. This can draw on the wide range of experiences (e.g. development partners) of
supportingfinancingprogrammesinKenya.
• Createfavourableenvironmentforprivateinvestorsinthesector,Governmentwilldevelop
a coordinated plan to streamline investment procedures, guarantee stable and positive
returns, and reduce perceived and real risks to energy infrastructure investment. Among
thesemeasures,includeupdatingtheinvestmentcode,developingadedicatedenergyfund,
andclarifyingtherulesandmodalitiesofengagementforPPPs.
• Strengtheningmarketinstruments
o Establishandimplementaframeworkforwheelingonthedistributionnetwork.
o Projectpre-financefacilitiesthroughfinancialinstitutionsandprojectdevelopers.
o ImprovingtheexistingstandardPPA.
o ImprovingtheexistingFITpolicy,wheresomeworkisalreadyongoing.
o Set standards and regulations on net metering, where some work is already
ongoing.
• Supportforformationofenergyservicecompanies.
3.5.3 FinanceandRiskManagement
CriticalAreas
• Dependenceondonor funding for critical energy sector interventions suchas financingof
pilotprojectsparticularlyofsustainableenergyprojects
• Low involvement of the local banking sector in financing small and medium size energy
projects
ActionsNeeded
• EstablishmentofKenyaEnergyDevelopmentFund(KEDF)withtheaimtostreamlineaccess
to early-stage project finance into a single programme as explained in 4.5.2 above.
DevelopmentofaSustainableEnergyFinance(SEF)sustainabilitystrategy
o The SEF sustainability strategy would capture the critical path for financing clean
energy projects, including energy resource needs/sources, required standards,
marketdynamics,capacitybuildingandfinancingneeds.Thisactivitycanbespear-
headed by the Energy Institute (once in place) in collaborationwith stakeholders,
andimplementedbytheKEDF.
• AppointaKenyaNationalSEFFocalPerson
Thereisneedforafocalpersontostrategizeon,adviceonandfacilitateSEFinKenyaatthe
national and sub-national (County) levels. TheSEF focalpoint canbebasedat the SE4ALL
Secretariat,undertheSE4ALLFocalpoint,withamongotherfunctions:
o Developmarket instruments such asmarketable securities and services related to
mobilisationoffinanceandmanagementofenergy-relatedinvestmentfunds.
o Deepen financial sector and insurance sector involvement in the energy
investments.
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3.5.4 CapacityBuilding
CriticalAreas
• LimitedhumanresourcesatMoEPandotherkeyenergyrelatedinstitutions.
• Limited awareness by the public to identify and understand the benefits of quality
renewableenergytechnologiesandequipment.
• Limited capacity from entrepreneurs to develop technologies adapted to the local
environment.
ActionsNeeded
• Establishment of Sustainable Energy for All Advisory Board with crucial mandate directly
affecting the flow of finance and investment in sustainable energy need their capacities
enhancedtoplan,formulaterelatedpoliciesandmobilisefunding.Establishmentofnational
Energy Institute as proposed in the draftNational Energy Bill 2015.would be appropriate.
The Energy Institute can have linkages to Universities and other research institutions like
KIRDI. It would continuously build the sustainable energy finance capacities of, among
others:
o Parliament,whichhas responsibility for theapprovalofbudgetaryallocations.The
ParliamentaryDepartmentalCommitteeonEnergywouldbetheappropriateentry
point.
o ConstituencyDevelopment Fundmanagers andCountyGovernors, responsible for
allocationofdevelopmentfundsatthelocallevels.
o TheMinistryofEnergyandlineministriesstronglyinfluencedbysustainableenergy,
including Ministry of Environment, Ministry of Agriculture, Ministry of
Industrialisation,MinistryofEducationandMinistryofFinance.
o RevenueandfinancialsectorauthoritiessuchasKRAandCBK.
o Countiestosupportlocalinstitutionstooffercoursesinenergy
• Strengtheningcleanenergysectorassociations
• InstitutionssuchasCCAK,SEAF-K,ABC-KandKEREA,whichadvocate forcleanenergyand
help sectorwidenetworking and collaboration canbeuseful instrumentsof both change,
implementationofpolicyandmarketdevelopment.Theyneedtobespecificallysupported
and strengthened through budgetary allocations at national level. Institutional capacity
development to close the gap between responsibilities/commitment and management
capacity:
o Thecapacityofgovernmental institutions,namely,MoEP,REAandERC, shouldbe
developed toassist in the implementationofpolicies, strategies,programmesand
projectmanagement
o Staff of local banks should be trained in order to better understand and become
morecomfortablewhenlendingtoenergyprojects
o Assistorganisationsindevelopinggendermainstreamingtools
o County energy planning capacity should be improved for increasing coordination
and planning of energy related activities, investment strategies and monitor the
progressofSE4ALLandotherenergyrelatedinterventions.
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3.5.5 AwarenessandKnowledgeManagement
• Develop amethodology and implementation plan for creating andmaintaining the SE4All
EnergyData Base.Design of data collection and processing process should apply rigorous
methods (such as individual programme evaluations, cross-national quantitative studies,
systematizedexpert interviews, and sectorial surveys) andbe capableofproducing timely
data suitable for Kenya’s implementation of SE4All’s GTF and country reporting to the
InternationalEnergyAgency’s(IEA).Itwillalsoencompassthe:
o Biomass Information System (BIS): Themajor purposes of the information system
are to: (i) Keep track of the new biomass energy technologies and their success
rates; (ii) Support continuous updating of the strategy; and (iii) Provide timely
informationfordecisionmakingandplanning.
o Renewable Energy Resource System (RERS): This will be the umbrella for the
differentrenewableenergyresourcesassessmentandmapping,inordertoconfirm
the potential at specific sites and accelerate project development by the private
sector.
o RETDataBaseandtechnologyvendors.Thisdatabaseshouldintegrateinformation
ofvendorsoftechnologies,systemsandsolutionsbytypeoftechnologyandservice
provided.
3.5.6 CrossCuttingEnablingActions
• SE4Allandregional integration:Powerpoolingandcross-borderprojectsandprogrammes,
standardizationandother infrastructureguidelinesandstrategiesdeveloped throughEAC.
TheHeadsofStateof theEACCountriesagreedonaCross-BorderElectrificationPolicyat
bothMediumvoltageandhighvoltage112.
• Updatea“onestopshop”withingovernment:Toprovideclearandtimelyinformationand
supporttoinvestorsinterestedindevelopingEA/EE/REprojects.
• Establish & refine fiscal incentives for RE/EE/EA project development: To reduce costs of
technologyuptakeandattract investments.Thesecouldbeinformoftax/VATexemptions
andcreditsenhancement,taxholidaysorspecializedgrants.
• Commonfundingmechanisms-greenfundscope:Tobuydowncostsofcapitalandprovide
forequity/debtborrowingsbyinvestorsandprojectpreparationwhereneeded
• Enhance the institutional structure and capacity for RE/EE/EA planning and regulation:
When introducingSE4All Initiatives, institutionsneedtobeequippedtodealwiththenew
SE4ALLparadigmandallocateresourcesfortheinitiatives.
• Mainstream gender issues into energy policy and planning: Inclusion of gender
considerationisimportantinalltheinitiativesandisalsoinlinewiththeAfricaSE4AllHub
Guidelines
• Datamanagementsystemsforenergyplanning:Undertakebaselinestudies toobtaindata
forplanning.
• Landreform:Streamlineissuingoflandpermitstoprojectdevelopers.
112 TheEACCross-BorderPolicy,2014
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4 PARTIII–COORDINATIONANDFOLLOW-UP
4.1 THEPROCESSOFDEVELOPMENTOFTHEACTIONAGENDAANDINVESTMENTPROSPECTUS
The development of the Action Agenda and investments prospectus involved all the keystakeholders TheprocessofdevelopingtheAA/IPwasconductedinsixkeystages.
Stage 1 included literature review and interactions with MoEP and key stakeholders to enableidentification of initiatives underway (or already undertaken) on which this AA/IP developmentcouldbebuilt.ThiswasprovidedforattheKick-offmeetingandattheCoordinationmeetingwheretheInceptionReportwasdiscussedwithkeystakeholdersfrompublic,privateandcivilsociety.Stage2 involvedbilateral consultationswithpublic, civil,privateanddevelopmentpartners togetinputsonrequiredpriorityprojectsandreformsareasforconsideration intheAA/IP.ConsultationwasenhancedbytheformationoftheSE4ALLTechnicalTeamandSE4ALLTechnicalCommitteeasworkinggrouponthedevelopmentofAA/IP.
i) Technical Team: This was the core team for the development of the AA and IPcomposedofateamofeighteenmembers.Therepresentationofthisteamwasasfollows: Government-Ministry of Energy and Petroleum; Consultant; DevelopmentPartners-United Nations Development Programme, SNV and WWF; Civil SocietyOrganisation-Practical Action; Private sector-Kenya Renewable Energy Association(KEREA)andKenyaAssociationofManufacturers(KAM).Theteamheldmeetingsonmonthly basis to discuss the development of the AA and IP in details chapter bychapter.
ii) TechnicalCommittee:Thisisanexpendedteamismadeupmorethan40membersdrawnfromgovernment,private,developmentpartnersandthetechnicalteam.Thecommittee,withwiderrepresentationensuredthatthedevelopmentoftheAAandIPgainwideracceptance.TheteamreviewedtheAAandIPdraftspreparedbytheTechnicalTeamandaddedtheirinputs.
Stage3involvedgroupstakeholderworkshopsofprivatesector,publicsectorandcivilsociety.Theworkshop stakeholders reviewed results of the stocktaking, gap analysis, and contributed theirinputson;
(i) Reforms required to create a conducive enabling environment for private and publicinvestmentintheenergysector;
(ii) Identification of priority projects to meet SE4ALL goals for Kenya. In this stage, eachgroup of stakeholders had a chance to analyse existingpolicies/plans/strategies/programmes, related gaps and each provided suggestions onpriorityprojectareasandrequiredreforms.
Stage 4 involved training of Kenya stakeholders to develop the AA and IP documents and in theprioritizationofprojectandreformsareasidentifiedinstages1-3.Stage5involvedcountyawarenessforumsonSE4ALLinitiativeswithfocusonformationofSE4ALLCountyTechnicalCommitteestooverseetheimplementationofAA/IPatcountylevels.Stage6involvedacloseconsultationwiththeMoEPandenergysectorplayerstoagreeonthefocusofpriorityprojectareasandreforms.TheprocessofdevelopmentoftheActionAgendainAnnex5.
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4.2 ACTIONAGENDA’SIMPLEMENTATION
TheActionAgendabeingtheoverarchingGovernmentstrategydocumenttowardstheachievement
ofsustainableenergyforallcitizensofKenya.Itformsthereferencepointfordevelopmentofother
strategydocumentsasfarasenergyaccess;renewableenergyandenergyefficiencyareconcerned.
ItsynergizeswiththeCountry’sVision2030,andprovidestheframeworkthatguidesplannersand
other stakeholders in their own strategies and engagement with the Kenya sustainable energy
sector.
A clear implementation framework for the AA is therefore critical to the achievement of the
Country’sSE4Allobjectives. ImplementationofKenya’sSE4AllActionAgendaishingedonfourkey
pillars:
1. Institutional structures
2. Programming of actions
3. Mobilization of resources
4. Effective monitoring and evaluation
4.3 INSTITUTIONALSTRUCTURES
4.3.1 Structure
Kenyahasastronginstitutionalframeworkthatissupportiveofthecountry’sSE4Allagenda,headed
by MoEP. MoEP is the focal point for Kenya’s SE4All Initiative, a function domiciled within the
DirectorateofRenewableEnergy(DRE).
TheteamcomprisestheDirectorforRenewableEnergy,theDeputyDirectorforRenewableEnergy–
alsotheCountryFocalPointforSE4AllInitiative,andfivetechnicalofficers.MoEPcollaboratedwith
keystakeholdersintheSE4Allprocess.
4.3.2 ProposedNationalSE4ALLCoordinationStructure
TheSE4AllfunctionattheMoEP,ledbytheCountryFocalPoint(CFP)willbetransformedintothe
“KenyaSE4AllSecretariat”(“KSS”).KSSwillbeaseparateunitwithintheMoEP,withitsoperational
thebudgetary.MoEP,throughtheDRE,willappointaSE4AllNationalCoordinator(“SNC”)tohead
the KSS, and shall report to the DRE. A team of technical staff assigned by MoEP and relevant
administrativestaffwillsupporttheSNC.Altogether,thisteamwillcomprisetheKSS.
KSSwillbesupportedandguidedbytheSE4AllAdvisoryBoard (“SAB”),amulti-stakeholdergroupdrawnfromwhatiscurrentlytheTechnicalCommitteeforSE4All.ItwillbechairedbythePrincipalSecretaryinMoEP,withtheDirectorforRenewableEnergyastheSecretary.TheSNCwillbeanexofficiomember,workingwiththeDREtoproposetheagendaandtabledocumentsfordeliberationbytheSAB.TheSABwillcomprisediversestakeholderrepresentationsstyledsimilarlyastheSE4Allstakeholdergroups:public,civilsociety,private,researchinstitutes.Guidelineswillbedevelopedfortodirecttherolesofvarioussub-groupsoftheSAB.
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TheSABwillbedividedintofourthematicSub-groups,representing(i)Finance–mobilizationandconceptdesignsforimplementation;(ii)Initiatives–initiatingandsupportingprogrammesandprojectsintheSE4ALLgoalrealizationpipeline(iii)Policy,regulationandcapacitybuilding(iV)Monitoring,Evaluationandknowledgemanagement.In its day-to-daywork, the KSSwill be supported by stakeholder groups convened by the SNC to
assisttheKSSonspecifictechnicalmatters,akintotheTechnicalTeamthathasassistedtheFocal
Point to produce the AA and IP. It is expected that the close relationship held during the AA
development process between the CFP/MoEP and key stakeholders will continue during the
implementationphasetoensurethatthereisaclearcoordinationandcompatibilityofeffortsinthe
energysector,whichshouldconsolidateandacceleratetheprogresstowardsKenya’sSE4Allgoals.
The formation of KSS will increase the capacity of the GoK to improve coordination of activities
across interventions funded and implemented by key stakeholders. Because of this process, it is
expectedthattheharmonizationandintegrationofstrategiesandprogramsundertheSE4AllAAwill
befacilitated,andkeyimplementationchallengeswillbemitigated.Thisisespeciallyimportantfor
addressingthechallengesassociatedwithdevolutionandtheoperationalizationoftheAA.
ThisadministrativetransitionintotheKSSwillbescheduledinamannerthatensurestheSecretariat
is in place and resourced in time for involvement in the next (third) Vision 2030 Medium Term
PlanningCyclein2018.ThestructureisschematizedinFigure7.
Figure7:Proposedstructure
MINISTRY OF ENERGY AND PETROLEUM
• Champion SE4All Agenda
• Create and effect Policy
Directorate of RE National SE4All Coordinator SE4All Secretariat
Prepare/guide SE4All
related budgets
Implement/oversee
implementation of
SE4All Actions
SE4All ADVISORY GROUP Representatives from: Inter-Ministerial Committee (Nexus) on
SE4All, Council of Governors, public sector,
civil society, private sector research institutes
Role: Advice on policy, planning, business
models, technology, innovation, capacity
building, knowledge sharing, national/county
liaison
SE4All SUPPORT WORKING GROUPS i) Finance-mobilisation and concept designs
for implementation;
ii) Initiatives-Initiating and supporting
programmes and projects in the SE4All
goal realization pipeline
iii) Policy, regulation and capacity building iv)
Monitoring, evaluation and knowledge
management
SUPPORT FROM GLOBAL THEATIC HUBS UNEP DTU Centre-EE, IRENA-RE, UNDP-
Energy Access, WB-Knowledge and
Capacity Building, TERI-Global Finance
Group
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4.3.3 IntegratedapproachbetweenNationalandCountyGovernments
FormationofSE4Allengagementframeworkisproposedtocoordinatesmoothflowofinformationon matters of energy among the stakeholders at both National and County levels. The keystakeholdersintheengagementframeworkareNationalGovernment,CountyGovernment,CountySE4All Technical Committee, community (research institutions, civil society, financial institutions,privatesectoranddonoragencies).
MoEP will support the establishment of SE4All County technical committee to oversee the
implementation of the SE4All initiative at counties and provide linkage with the national
government.MoEPwillsupporttoestablishmentofEnergycentresinallthecounties
Harmonizing SE4All ActionAgendawith County IntegratedDevelopment Plans (CIDPs)will ensure
fasterdeliveryoftheSE4AllKenyaobjectives.Countieshavepublished“CountyProfiles”containing
geographic, resources, economic and social data of the counties. These documents provide basic
information to county governments in preparing their County Energy Plans113. CIDPs are used to
guidethecountyMediumTermExpenditureFrameworkandannualbudgets.TheSE4Allobjectives
willbeincorporatedintotheCIDPs.TheActivitieswillinclude:
• SensitizecountiesonSE4All(countyengagementprocess)involvingrespectivestakeholders
workingonexistingprogrammes;
• Define their energy needs in the counties (energy needs assessment) including mapping
energyresources;
• Buildcapacityoncountyenergyplanning,understandingoftheenergyissuesasperministry
ofenergyandpetroleumguidelines;
• PromotionofPPPsatthecountylevel;
• Incorporatingdecentralized/distributedenergysolutionsinthecountyenergyplans;
Theenergyplansshall;
• Takeintoaccountthenationalenergypolicy;
• Serveasaguideforenergyinfrastructureinvestments;
• Takeintoaccountallviableenergysupplyoptions;and
• Guidetheselectionoftheappropriatetechnologytomeetenergydemand
Annex9presentsproposedframeworkat thenational level inMoEPforevaluatingandapproving
countyenergyplansforimplementation.
113This isarequirement inthelawwhichpointstotheneedtohaveabodythatdevelopsguidelines,vetsandapprovescountyenergyplans.
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4.4 PROGRAMMINGOFACTIONS
TheAAwasdraftedatatimethatVision2030’sMediumTermPlan(MTP)2isbeingimplemented.
TheintentionoftheGoKistointegratethestrategicapproachoftheSE4All intotheMTPprocess;
hence,someofthetargets,especiallyenergyefficiency,wouldbesubjecttotheassessmentofthe
progression of theAA implementation,whichwill take place as part of theMTP 3 (2018 – 2022)
designprocess.Hence targets,will be supportedbypriority actions and investmentopportunities
thatwillfocusontheshort-term,ortransitionalperiod,asadditionalactionsandrelatedinvestment
prospectuswillbeaddedaspartoftheoperationalizationofafullySE4AllcompatibleMTP3.
With this in mind, the realization of Kenya’s AA’s Goals depends on the deployment strategy,
institutionalsupport,MERandreviewprocessofthisAAthrough2030.
4.4.1 ImplementationMethodology
TheAAisdevelopedatatimewhen:
• Thecountryisimplementingthenewconstitutionwithenergyplanningbeingdecentralized
tothecounties,
• Lastmileconnectivityislaunchedwiththeoverallgoalofachievingover70%connectivityby
2017inKenya.
• The council of governors has designated an office, which liaises with the National
governmentoncountyissuesincludingenergyplanning.
Theintegrationoftheseinterventionswiththecurrentpolicyandregulatoryframeworkandtheon-
goingreviewoftargetsandplanspresentsomechallengestotheearlystagesofimplementationof
theAA,amongthem:
• Interventionsmayoverlapbetweenthem,likewithREMPandSREP;
• Keystakeholdersvaryatleadingandimplementingrolesasindicatedbelow:
Civil Society Organisations: Practical Action Eastern Africa is the SE4All CSOs representative atAdvisory Group for the proposed SE4All implementation and coordination structure. Civil societyorganizations, community-based organizations, NGOs, advocacy groups and donor partners alsohavekeyrolestoplayintheachievementsofSE4Allobjectives.Theirrolesarediverseandcriticalforcontinueddevelopment,implementationandmonitoringoftheSE4Allagenda.
Civilsocietycontinuestoplayapivotalroleinprovidingenergysolutionstothemajorityofpoorandmarginalized population without access to clean energy sources and/or grid electricity. The CivilSocietyisalsoactiveinbothbroadbasedparticipationinenergysectorpolicy/planningandalsoondevelopinganddeployingrenewableenergy/energyaccesssolutions.
PrivateSector:PrivatesectorisplayingandwillcontinuetoplayacriticalroleintheimplementationoftheSE4Allobjectives.ThegovernmentofKenyahasderegulatedtheenergysectorthusallowingtheparticipationoftheprivatesector.Privatesectorisactivelyengagedinallsectorsofenergy.TheGoKcooperateswiththeKenyaAssociationofManufacturersinpromotingRE/EEinindustry.Thereis however a required institutional framework to cater for EE activities in the other sectors. TheKenyaPrivateSectorAssociation(KEPSA)representsprivatestakeholdersintheSAB.
ThepowersectorisderegulatedopeningupopportunitiesforIndependentpowerproducers(IPP’s)toparticipate inpowergeneration including for renewableenergyunder theFeed-inTariffPolicy.IPPsareprivatecompanies,whichgenerateelectricityandsell it inbulk toKPLC.Currently, sevenIPPsareoperatinginthecountrycontributingabout30%oftheeffectivegeneratingcapacitytothe
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national grid. The Energy Act also allows private distribution companies to buy bulk power frompowergeneratorsandsupplydirectlytocustomersincompetitionwithKenyaPower.TransmissionnetworkisbeingopenedforsuchpowertradingthroughKETRACO.
• ItisexpectedthatthetransformationoftheSE4AllteamatMoEP,ledbytheCountryFocal
Point(CFP) institutionalizedasKenya’sSE4ALLSecretariat,will increasethecapacityofthe
GoKtoimprovecoordinationofactivitiesacrossinterventionsfundedandimplementedby
key stakeholders. Because of this process, it is expected that the harmonization and
integration of strategies and programs under the SE4All AA will be facilitated, and key
implementationchallengeswillbemitigated.
4.4.2 ImplementationTimeline
Consideringthat,thecurrentscenarioisledbytheearlystagesofthepromotionofREA’sIPandas
Kenya integrates SE4ALL into its national planning, the trajectory towards the country’s SE4ALL
Goalsisinformedbythefollowingphases:
Transition (2015 – 2017). During this period, the country continues with its currentstrategiesandstartsanationaldialoguetowardtheadaptation,updateandalignmentof
theexistinginterventionsunderthecountry’sSE4Allagenda.Duringthisperiod,allnew
strategiesandinterventionswillhavetobeconsistentwithKenya’sSE4AllAA.
Phase I (2018–2022).SE4AllbecomesthecornerstoneoftheMTP3planningprocess. In
thiscontext,theAAwillbere-assessedbyitsprogressandadditionalinterventionsand
IP(s)shouldbeincorporatedasneeded.
Phase II (2023 – 2027). The AA and the MTP 4 will be reassessed by its progress and
additionalinterventionsandIP(s)shouldbeincorporatedasneeded.
Phase III (2027 – 2030). The AA and the MTP 5 will be reassessed by its progress and
additionalinterventionsandIP(s)shouldbeincorporatedasneeded.
The following timeline presents a proposed sequence of key activities and interventions to be
implementedupontheadoptionoftheAA.
Table18:PotentialAAImplementationSequence
Activity 2ndhalf
2015
1sthalf
2016
2ndHalf
2016
SE4ALLSecretariat institutionalisation,definethe implementationandoperationalprogramme,andsecurefundingforpersonnel,equipmentandexecutionofactivities
TAassistancesupporttotheSE4AALLSecretariatatMoEP
NationalDialogue,includingsub-nationalstructuresCountyGovernments,inpreparationtothetransitionoftheAAandIPintotheMTP
IntegrationoftheAAandIPintotheMoEPFive-YearStrategyPlan
Institutionalandhumancapacitybuildingofgovernmentinstitutionsandprivatesectororganisation
Designandimplementaprogrammeforinstitutionalandhumanresourcesatcountyleveltoincreasetheroleofcountygovernments
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Activity 2ndhalf
2015
1sthalf
2016
2ndHalf
2016
onlocalandnationalenergyplanningneedsandmonitoringEstablishmentofKenyaEnergyDevelopmentFund(KEDF)withtheaimtostreamlineaccesstoearly-stageprojectfinanceintoasingleprogramme
Developmentofamini-gridstrategytoimproveaccesstoelectricity
Developmentofbioenergystrategytoimproveaccesstomoderncooking
ImprovedmarketdataforplanningandinvestmentpurposesatMoEPbydevelopingaSE4ALLdatabase-Designandrollout
Development,enactandrolloutafullregulatoryandenablingenvironmentframeworkforenergyefficiency
4.4.3 Kenyan’sActionAgenda’sCoordination
The SE4ALL process in Kenya includes the creation of the SE4All Advisory Board to support the
designoftheAAandtheIP.ThemembersofthisCommitteerepresentgovernmentagencies,donor,
CSOs(inclusiveofprivatesector)andNGOsrepresentatives.
Once the AA is validated and adopted, this Committee should remain in place and should meet
regularlytoprovidesupportandadvicetotheSE4AllSecretariat.
TheSecretariatistheAA’sleadadvocacyandmanagerialunitthat:
• Will monitor SE4All related projects and studies, which should remain under the
responsibilityoftherelevantGovernmentAgenciesandinstitutions.
• Takestheresponsibility forrealizingSE4Allgoals, implementingthe IP(s)associatedtothis
AA,andapplyingtheSE4AllMonitoring.
• Createsandincreasesawareness.
• IsthefocalpointforexchanginginformationwiththeSE4Allglobalinitiative,especiallywith
theSE4AllGlobalFacilityTeam,theSE4AllAfricaHub,andtheSE4AllThematicHubs.
• Presents for review by the SE4All Coordination Committee and GoK authorities draft
modifications to the AA and proposes any other “mid-course” adjustments that may be
neededtokeepKenyaonitspathtoachieveitsSE4ALLgoals.
4.5 MOBILIZATIONOFRESOURCES
TheSE4AllNationalCoordinator(NC)willworkwithanationalFinanceWorkingGroup(FWG).TheFWGwillberesponsibleformobilizingthelocalfinancialsectortosupportAAimplementationandmobilizefinancialresourcesfromvarioussourcesincludingPhilanthropic,developmentpartnersandother sustainableenergy supporting sourcese.g. carbon financing. The FWGwill also recommendthe directing of financial resources to priority project areas through some formof fundmatchingsystem.ThiscouldbeinformofaSE4AllFundtohostvariousmobilizedfinancialresourcesthatcan
76
bedirectedtosupportthevariousRiskandFinanceManagementactionsproposedforenablingtheselectedpriorityareas.Somesourcestosupportenergyfundinclude114;
1. Contributionfromenergysectorplayers
2. Contribution from Treasury other than funds provided to public institutions for thedischargeoftheirmandates.
3. Raisingfundsthroughthestockmarket(bondsandbills)
4. Supportfromdevelopmentpartners
5. Recoveredassetsfromproceedsofcorruptionandeconomiccrimesintheenergysector
4.6 EFFECTIVEMONITORINGANDEVALUATION
4.6.1 GuidelinesDesigning and implementing aMonitoring, Evaluation andReporting (MER) system is an essential
task that will allow Kenya to track, assess and report progress on the achievement of expected
outcomesundertheSE4AllInitiative.TheMER,astool,allowsforidentifyingkeyissuesthatneedto
beaddressedtoensureaproperimplementationoftheAA.ItwillalsoallowtheGoKtoreviewand
update the AA in the future. The MER system will therefore comprise a Monitoring Plan, an
EvaluationPlan,andaReportingPlan.
4.6.2 MonitoringPlan
TheGOKwillapplytheGTFmono
4.6.2.1 GTFMonitoringFramework
TheGTFproposesguidelinesformonitoringeachSE4Allgoal,i.e.formonitoringtheprogressmadeon energy access (electricity and modern cooking), renewable energy and energy efficiency. Foraccesstoenergy,thekeycomponentsarepresentedinFigure8asintheGTF:
Figure8:KeycomponentsfortrackingaccesstoenergyundertheGTF
AsshowninFigure8theGTFproposedtotrackaccesstoenergyusingdifferent“levelsofaccess”orTiers.Usingamulti-tierapproach,it ispossibletotrackaccessnotonlyfromthe“yes/no”pointofview, which means that people have or do not have access, but also from a multi-dimensionalperspective where it is possible to track the several attributes associated to access, such asaffordability, quality, capacity (Watts), reliability, safety, efficiency, impact on health, etc. thusprovidingtheopportunitytoperformamuchmorein-depthanalysis(SeeAnnex10).
114NationalEnergyPolicydraft2015
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4.6.3 EvaluationPlan
The evaluation process consists of annual reviews of the progress made through the activities
conductedandperformanceachievedtowardsthetargetsthataresetunderKenya’sSE4AllAA.
The evaluation will ensure a broad and representative perspective on the achievements and
challenges in the implementation of Kenya’s SE4All activities, andwill allow the adequacy of the
adopted strategy tobe assessed tomeet the targets as plannedand take any corrective action if
needed. The evaluation should include the provision of recommendations for future monitoring
periodsanditisintendedtoinformthestakeholdersparticipatingintheimplementationoftheAA
offollow-upactionsrequiredtofurtherstrengthenitsperformanceandstrategicactivities.
Ingeneral,terms,thepurposeoftheevaluationactivitiesistwofold:
I. To contribute to improving programme effectiveness and delivery towards Kenya’s SE4All
goalsby2030byusingknowledgeandlessonslearntfromitsimplementationbackintothe
countryinitiative;
II. TocontributetooverallalignmentofstrategicactivitiesoftheAAandensurethatitremains
relevant to addressing country level objectives whilst also aligned to the global SE4All
Initiative.
During the annual SE4All evaluation, the designated SE4All Secretariat will review the resultsachieved in the current monitoring period in comparison to the baseline and the previous year:progressonactionsandtargetsmetasplanned inKenya’sAAusing theselected indicators. Itwillalsohelpidentifytheactionsneededforthefollowingyear.
4.6.4 ReportingPlan
Usingtheresultsoftheevaluationphase,thedesignatedSE4AllSecretariatwillreportonanannualbasisontheprogressandperformancetowardstheimplementationofKenya’sSE4AllAA.TheyearlyprogresswillbepresentedinaPerformanceAssessmentReport.Thereportmustclearlyshowthebaseline scenario and the progress made against the targets set. The annual report would beprepared in consistent manner with MTP cycle and shared with Stakeholders for awareness,socializationandpropercontributionsontheirpart.
4.7 FOLLOW-UPANALYSIS
There is a need for additional follow-up analysis in two main areas. Firstly, there is a need todevelop more detailed action plans with priorities, timelines and budgets in each of the mainthemescoveredbythedifferenttechnicalworkinggroups.Theseplanscanthenbeusedtomanageandtrackimplementationoftheactions.TheseplanswillintegrateactionsarisingfromtheSE4ALLAction Agendawith those in the energy sector strategic plan, and additional actions identified inotherstrategies.
Secondly, additional scenario analysis is required to assess the costs of different pathways to theSE4ALLgoals, and toexplore sensitivityof thegoals themselves tovarious sourcesofuncertainty.Theseincludetechnicaluncertainties(e.g.availabilityofdifferentsourcesofgeneration),aswellaseconomicandsocialuncertaintiessuchastheaffordabilityofdifferentsolutions,andthedegreeofregional integration of energy systems. In practice, the goals outlined in this Action Agenda areillustrative,andthegovernmentwillneedtokeepthesegoalsunderreviewandreviseasnecessaryinresponsetonewemerginginformationandasprogressmadebetweennowand2030.
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4.8 LINKINGTOINVESTMENTPROSPECTUS
TheActionAgendaisastand-alonedocumentthatprovidesaframeworkforachievingthenationalSE4ALL objectives. On a “global” level, it provides for interventions (policy adjustments, financialallocations,businessmodeldevelopmentsandcapacitybuilding initiatives) thatwill focusnationalsupportforenergyaccess,renewableenergyandenergyefficiency.However,asshowninFigure9,theActionAgendaprovidesforspecificmeasuresthatwilldriveparticularinvestmentsthatarepartof the Investment Prospectus. In this way, some AA activities will be “operationalized” by anInvestment Prospectus (IP) that is a separate document and describes a set of investments thatGovernment, the private sector developers, civil society organisations, finance organizations andotherstakeholderscansupport.
The IP contains investment opportunities and a priority projects pipeline emanating frompriorityprojectareas identifiedintheAA.Theprojects intheIParethosethatcanbeimplementedintheshort term and have been prepared adequately to attract investments. The IP projects consist ofboth, infrastructural andnon-infrastructural projects. TheAApresents the strategic elements andproject priorities for the IP. The IP has Kenya’s status of why investors should invest in Kenya’senergy sector considering both national and sector level investment conduciveness and theinstitutionalframeworkthatwillsupportIPimplementation.
Figure9:ActionAgendaandInvestmentProspectuslinkages
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2. GlobalActionAgenda,April2012-Extractedfrompage7oftheSustainableEnergyForAll
3. GlobalAllianceforCleanCookstoves-KenyaCountryActionPlan(2013)
4. BiomassEnergyUseinKenyabyPracticalAction,EasternAfrica(2010)
5. ConstitutionofKenya (2010), FourthSchedule,Distributionof functionsbetweenNational
andtheCountyGovernments
6. Global Village Energy Partnership. (2012).KenyaMarketAssessment. Retrieved January 6,2015, from Global Village Energy Partnership: http://cleancookstoves.org/binary-
data/RESOURCE/file/000/000/186-1.pdf
7. GoK&SE4ALL.(2013).RapidAssessmentandGapAnalysis(RAGA).
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world-energy-statistics-2014.html
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November 03, 2014, from ECREEE website:
http://www.ecreee.org/sites/default/files/event-att/ghana_ppt.pdf
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November 05, 2014, from Sustainable Energy for All:
http://www.un.org/wcm/webdav/site/sustainableenergyforall/shared/Documents/SEFA-
Action%20Agenda-Final.pdf
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ANNEX1:DEFINITIONS
Energy:Ameasureof theabilityofabodyor system todoworkorproducea change,expressedusuallyinjoulesorkilowatt-hours(kWh).
Energypoverty:Theabsenceofsufficientchoice inaccessingadequate,affordable,reliable,clean,highquality,safe,benignenergyservicestosupporteconomicandhumandevelopment.
AccesstoModernEnergyServices:Definedasaccesstoelectricityandcleancookingfacilitiese.g.fuelsandstovesthatdonotcauseairpollutioninhouses(source:InternationalEnergyagency).
Clean Energy: Heat and electricity produced from renewable sources, generating little or nopollutionoremissions.
ElectricityTransmission:Electricitytransmissionistheprocessbywhichlargeamountsofelectricityproducedatpowerplants (suchashydro,geothermal, thermalandwind), is transferredover longdistances for eventual use by consumers. Due to the large amount of power involved, and thepropertiesofelectricity,transmissionnormallytakessplaceathighvoltage(132-kilovoltorabove)toreducelossesthatoccuroverlongdistances.
ElectricityDistribution: Electricity isusually transmitted toa substationnearapopulatedarea.Atthesubstation,thehighvoltageelectricityisconvertedtolowervoltagessuitableforconsumeruse,andthendistributedtoendusersthroughrelativelylow-voltageelectricitydistributionlines.
GreenEnergy:Referstotheenergyfromnaturalsourcese.g.sunlight,wind,rain,tides,plants,algaeand geothermal heat. These energy resources are renewable, meaning they are naturallyreplenished.
RenewableEnergy:Referstotheenergythatoccurnaturally, theoretically inexhaustiblesourceofenergy suchasbiomass, solar, tidal,wind,waveandhydroelectricpower that isnotderived fromfossilornuclearfuel.
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ANNEX2:THESUSTAINABLEENERGYFORALL(SE4All)INITIATIVE
ThisActionAgenda(AA) inthecontextofSE4All initiativepresentsasector-wide long-termvision
on SE4All goals and the country action to achieve the set goals. The global goals are: Universal
access tomodern energy services, doubling global rate of improvement of energy efficiency and
doubling the global share of RE in the energy mix by 2030. Kenya has targets to match specific
countrydevelopmentneedshence thisAAhasspecificgoals forKenyawith intermediateandend
targets based on the country’s Vision, policies and development plans and programmes. Where
nationaltargetsarenotdefined,theglobalSE4Allgoalsareassumed.
OnDecember21st,2012,theUnitedNationsGeneralAssemblydeclared2014–2024theDecadeof
SustainableEnergyforAll.Worldwide,1.2billionpeople,nearlyonepersoninsixontheplanet,lack
access toelectricity.More than twiceasmany,2.8billionpeople, relyonwood, coal, charcoalor
animal waste for cooking and heating. This creates major barriers to eradicating poverty and
buildingsharedprosperity.
The SE4All Global Action Agenda (AA) was
issued in April 2012 and it is based on a
frameworkproposingaglobalAAforuniversal
energy access, foster EE and boost investment
in RE. The SE4All goals are expected to be
achieved through a number of High Impact
Initiatives (HIIs), which are targeted, on-the-
ground programs or projects, and categorized
intoHighImpactOpportunities(HIOs)whichare
categoriesofactionthathavebeenidentifiedas
havingsignificantpotentialtoadvancethethree
goals. The hierarchy between the Objectives,
theHIOsandtheHIIsaredepictedinthefigure
ontheright.
Approximately 50 High Impact Opportunities
have been identified to date115 but only 10 are confirmed which are: Advanced Lighting and
Appliance Efficiency, Building Energy Efficiency, Energy and Women’s Health, Finance, Modern
CookingAppliancesandFuels,Off-GridLightingandCharging,PhaseoutofGasFlaring,Sustainable
Bioenergy, Sustainable Energy for Island Economies, andVehicle Fuel Efficiency. TheActionAreas
addressalmost95%ofglobalenergyconsumption,keycomponentsofproductiveenergyuse,and
the supporting mechanisms needed to overcome the most common impediments to action116
(SE4All,2012).TheGlobalActionAgendaisdisaggregatedintoeleven(11)actionareasasshownin
Figure 11. Of these, seven (7) are related to sectoral areas and four (4) addressing the enabling
115http://www.se4all.org/actions-commitments/high-impact-opportunities
116Extractedfrompage7oftheSustainableEnergyForAll–AGlobalActionAgenda,April2012
Figure10:SE4AllInitiativegoals
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environment117.
Figure11:ActionAreasoftheGlobalActionAgenda
TheSE4AllGlobalAAreliesonthefullparticipationofallstakeholdersandimplementationofHIOs;
both having a direct impact towards reaching and sustaining the SE4All objectives. The HIOs can
accelerateaction,mobilizeresourcesanddriveoutcomesbybuildingstrongpartnerships,fostering
commonactionsandshapingsustainablecommitments.
Energyisnotagoalinitself,butakeydriverfordevelopment.Thetabularrepresentationbelowin
Figure 12 shows how the SE4All objectives and the interventions (initiatives) included under the
HIOsdrivesustainabledevelopment118(SE4All,2012).
Figure12:SE4ALLframeworktowardsSustainableDevelopment
TheSE4Allpropositionisthatinordertoachievetheinitiative’sobjectivesallstakeholdersneedto
play a leadership role119, National Government must design and implement a set of integrated
117Adaptedfrompage8oftheSustainableEnergyForAll–AGlobalActionAgenda,April2012
118BasedonSustainableEnergyForAll–AGlobalActionAgenda,April2012
119Adaptedfrompage7oftheSustainableEnergyForAll–AGlobalActionAgenda,April2012
83
countryactions (i.e.countryactionplans);Privatesectorprovidesbusinessandtechnicalsolutions
and drives investment; and Civil society organizations advocate and monitor public policy and
businessesactions.
ANNEX3:STAKEHOLDERSCONSULTEDINTHEDEVELOPMENTOFAA
2. CoordinationMeeting,19thMarch2014
Name Organisation email
1 PeterZhou HCL [email protected]@global.bw
2 FaithWandera MinistryofEnergyandPetroleum(MoEP)
3 Eng.IsaacKiva MoEP [email protected]
4 TimothyRanja UNDP [email protected]
5 EdwinNateminya UNDP/GovernmentofKenya nateminya@[email protected]
6 JohnK.Maina MoEP [email protected]
7 PaulN.Mbuthi MoEP [email protected]
8 BonifaceKinyanjui KenyaPowerandLightingCompany(KPLC)
9 SteveThorne SouthSouthNorth(AfDB/UNDP/NEPADadvisor)
10 KarinSosis AfricanSolarDesigns(ASD) [email protected]
11 NicholasGachie KenyaAssociationofManufacturers(KAM)
12 MarkHankins ASD [email protected]
13 MosadElmissiry NEPAD [email protected]
14 CharlesMuchunku KenyaRenewableEnergyAssociation(KEREA)
15 UyiEdokpolo XBRL [email protected]
16 EveOdete PracticalActionEA [email protected]
17 DanielOsiemo NEPADKenyaSecretariat [email protected]
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3. Listofprivatesector,governmentandcivilsocietyworkshopparticipants
SustainableEnergyforallcountryprocessworkshopondevelopmentofnationalactionagendaandinvestmentprospectusheldon3rdJune2014,atBestWesternPremier–Nairobi.
# Name Organization Emailaddress
1 ElizabethO’grady PowerGenRenewableEnergy
2 FaithNangabo CarbonAfrica [email protected]
3 JeffM.Murage K.A.M–RTAP [email protected]
4 MosadElmissiry NEPAD [email protected]
5 MathewKimolo Klarisse(K)Ltd. [email protected]
6 GeorgeBowman AzimuthPower [email protected]
7 JamesOchieng AgalaInternationalDist.Ltd [email protected]
8 BrianKinuthia EEDAdvisoryLtd. [email protected]
9 StephenMigwi KenyaSolarEnergy [email protected]
10 AishaAbdulaziz KEREA [email protected]
11 WanjikuManyau PetroleumInstituteofE.A [email protected]
12 SteveThome AFDB [email protected]
13 MarkMuthamia NorkenInternationalLtd [email protected]
14 VioletOmwenga ViabilityAfrica [email protected]
15 FaithWandera MoEP [email protected]
16 PaulN.Mbuthi MoEP [email protected]
17 JohnK.Maina MoEP [email protected]
18 NateminyaEdwin UNDP [email protected]
19 WinifredW.Guchu Flowmatics [email protected]
20 JennyFletcher AeolusKenya [email protected]
21 KanyattaMwangi Flowmatics [email protected]
22 BernardOsawa Frontier [email protected]
23 WilfredOlal KenyaSolarNetwork [email protected]
24 KenMacharia TafsiriPureEnergySolutionsCo.Ltd.
25 JesseMoore M-KopaSolar [email protected]
26 UyiEdokpolo XBRLEastAfrica [email protected]
27 MarkHankins HCL [email protected]
28 PeterZhou HCL [email protected]
85
4. ListcoreteamofSE4ALLcountryprocessparticipants
Sustainable energy for all (se4all) country process workshop on development of national actionagendaandinvestmentprospectustobeheldfrom3rd–5thJune2014,atGreatRiftValleyLodgeandGolfResort–Naivasha.
# Name Organization Tel.No EmailAddress
1 FranklineKaburu
NEPADKenyaSecretariat 0727280323 [email protected]
2 ShammahKiptanui
GeothermalDevelopmentCompany
0723824988 [email protected]
3 PeterOuma KenyaElectricityGen.Co 0722860012 [email protected]
4 MosadElmissiry
NEPADHeadOffice +27718621559 [email protected]
5 PeterP.Zhou HCL +26771693104 [email protected]
6 MarkHanknins
HCL 0722527710 [email protected]
7 JohnK.Maina MoEP 0722655161 [email protected]
8 SteveThome AFDBSE4ALLAfricaHub +255765587332 [email protected]
9 CarolineKelly RuralElectrificationAuthority
0722230120 [email protected]
10 AishaAbdulaziz
KenyaRenewableEnergyAssociation
0720456552 [email protected]
11 FaithWandera
MoEP 0721738848 [email protected]
12 PaulN.Mbuthi
MoEP 0722894155 [email protected]
13 PatrickM.Kariuki
KenyaForestService 0722801309 [email protected]
14 EdwinNateminya
UNDP/GOK 0726389853 [email protected]
15 NicholasGachie
K.A.M 0721118159 [email protected]
16 ElizabethK.Wanjala
MoEP 0728143099 [email protected]
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5. ListofparticipantsforCivilSocietyOrganisation
Consultationheldfrom5th–7thJune2014,atGreatRiftValleyLodgeandGolfResort–Naivasha.
# Name Organization Tel.No EmailAddress
1 JamesMaillu GVEP 0722644631 [email protected]
2 BenjaminK.Kiuru
ACT 0722376512 [email protected]
3 LydiaMuchiri PracticalAction 0722777944 [email protected]
4 WairimuNgugi PracticalAction 0720172917 [email protected]
5 TimothyRanja UNDP 0710739964 [email protected]
6 JacksonBambo KFWG 0729200595 [email protected]
7 GeorgeNyamu KENFAP 0722360595 [email protected]
8 JechoniahKitaga
SNV 0722686768 [email protected]
9 JohnK.Maina MoEP 0722655161 [email protected]
10 PaulMbole NCA 0724747918 [email protected]
11 SteveThome AFDB +27825752056 [email protected]
12 IreneMwaura WWFKenya 0725738346 [email protected]
13 MusunguWycliffe
REECON 0715667226 [email protected]
14 FaithWandera MoEP 0721738848 [email protected]
15 MyraMukulu C.C.A.K 0733975103 [email protected]
16 KevinKinusuK Hivos 0725655864 [email protected]
17 EveOdete PracticalAction/Consultant
0722661728 [email protected]
18 HannaWanjiru EnergiaKenyaNetwork 0723713213 [email protected]
19 MarkHankins HCL 0722527710 [email protected]
20 PeterP.Zhou HCL +26771693104 [email protected]
21 MosadElmissiry
NEPAD +277188621559 [email protected]
22 JohnsonKimani KCCWG/PPSConsulting 24052894 [email protected]
23 ReimundHoffman
GIZ 0722803882 [email protected]
24 JohnMaina SCODE 0722610105 [email protected]
25 ElizabethK.Wanjala
MinistryOfEnergyandPetroleum
0728143099 [email protected]
26 EdwinNateminya
UNDP/GOK 0726389853 [email protected]
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6. Listoftrainingworkshopparticipants
Day1-ListofAttendees
No NAME ORGANISATION EMAILADDRESS
1 PeterP.Zhou HCL/EECG [email protected]
2 DicksonV.Kisoa MOE&P–Kenya [email protected]
3 J.J.Gitonga MOE&P–R.EDept [email protected]
4 EdwinNateminya UNDP/GOK [email protected]
5 IngerHaugsgjerd UNDP–Kenya [email protected]
6 MosesKerre KETRACO [email protected]
7 LydiaMuchiri PracticalAction [email protected]
8 PaulineNjoroge NEPADKenya [email protected]
9 AlexS.Mboa KEBS [email protected]
10 MosadElmissiry NEPADHeadoffice [email protected]
11 MarkHankins HCL/ASD [email protected]
12 HassanAbdi GeothermalDev.Co(GDC) [email protected]
13 KarinSosis HCL/ASD [email protected]
Day2-ListofAttendees
No. NAME ORGANISATION EMAILADDRESS
1 MarkHankins HCL/ASD [email protected]
2 KarinSosis HCL/ASD [email protected]
3 PeterP.Zhou HCL/EECG [email protected]
4 DicksonV.Kisoa MOE&P–Kenya [email protected]
5 IngerHaugsgjerd UNDP–Kenya [email protected]
7 HassanAbdi GeothermalDev.Co(GDC) [email protected]
8 LydiaMuchiri PracticalAction [email protected]
9 NicholasThairu NEPADKenya [email protected]
10 MosesKerre KETRACO [email protected]
12 ElijahKirui MOE&P [email protected]
13 MosadElmissiry NEPADHeadoffice [email protected]
14 PaulineNjoroge NEPADKenya [email protected]
15 DennisKibira ASD [email protected]
16 JimLawyOkuto KFS [email protected]
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Day3-Listofattendees
No. NAME ORGANISATION EMAILADDRESS
1 PeterP.Zhou HCL/EECG [email protected]
2 DicksonV.Kisoa MOE&P–Kenya [email protected]
3 J.J.Gitonga MOE&P–R.EDept [email protected]
4 EdwinNateminya UNDP/GOK [email protected]
5 IngerHaugsgjerd UNDP–Kenya [email protected]
6 MosesKerre KETRACO [email protected]
7 LydiaMuchiri PracticalAction [email protected]
8 PaulineNjoroge NEPADKenya [email protected]
9 AlexS.Mboa KEBS [email protected]
10 MosadElmissiry NEPADHeadoffice [email protected]
11 MarkHankins HCL/ASD [email protected]
12 HassanAbdi GeothermalDev.Co(GDC) [email protected]
13 KarinSosis HCL/ASD [email protected]
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ANNEX4:CONSULTATIONUNDERREVIEWANDCOUNTYAWARENESS
1. ListofTechnicalTeamMembers(SE4ALLTT)
TheTTcomposedofexpertfromtheMoEP,CSOs,ITPowerconsultantanddevelopmentpartners.ThefunctionsincludedreviewoftheAA,settingof
thebaselineyearandtargets,TheConsultantpresentedAAprogresstotheteamforcommentsandinputs.
Name Organisation Designation EmailAddress1. Eng.IsaacKiva MinistryofEnergyandPetroleum(MoEP) Director–RenewableEnergy(RE) [email protected]
2. FaithOdongo MoEP DeputyDirector-RE/SE4ALLCFP [email protected]
3. PaulMbuthi MoEP RenewableEnergyofficer [email protected]
4. JohnMaina MoEP RenewableEnergyofficer [email protected]
5. DicksonKisoa MoEP RenewableEnergyofficer [email protected]
6. JuliusGitonga MoEP RenewableEnergyofficer [email protected]
7. JohnMwaura MoEP CommunicationOfficer [email protected]
8. TimothyRanja UnitedNationsDevelopmentProgramme
(UNDP)
ProgrammeAnalysist [email protected]
9. IngerHaugsgjerd UNDP ProgrammeOfficer [email protected]
10. AshingtonNgigi IntegralAdvisoryLtd–TeamLeader AssociateConsultant [email protected]
11. JamesMuyula IntegralAdvisoryLtd AssociateConsultant [email protected]
12. EdwinNateminya IntegralAdvisoryLtd AssociateConsultant [email protected]
13. PaulineWanjohi IntegralAdvisoryLtd AssociateConsultant [email protected]
14. FedericoS.Fische AlternativeSustainableEnergy LeadConsultant [email protected]
15. CarolineToroitich SNV SeniorRenewableEnergyAdvisor [email protected]
16. LydiaMuchiri PracticalAction(PA)EasternAfrica Energyofficer [email protected]
17. DianaNgaira PAEasternAfrica Communicationofficer [email protected]
18. IreneMwaura World-WideFund(WWF) EnergyOfficer [email protected]
19. PhilipOdhiambo WWF EnergyOfficer [email protected]
20. PaulMbole NorwegianChurchAid(NCA) CountryProgrammeCoordinator [email protected]
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2. Listoftechnicalcommittee(SE4AllTC)members
The TC composed of expert from theMoEP, CSOs, utility, Private sector, IT Power consultant and development partners. The functions included
reviewoftheAA.ThereviewmeetingheldatMaanzoniLodgebetween27-29July2015.
1. Eng.IsaacKiva MinistryofEnergyandPetroleum(MoEP) Director–RenewableEnergy(RE) [email protected]
2. FaithOdongo MoEP DeputyDirector-RE/SE4ALLCFP [email protected]
3. PaulMbuthi MoEP RenewableEnergyofficer [email protected]
4. JohnMaina MoEP RenewableEnergyofficer [email protected]
5. DicksonKisoa MoEP RenewableEnergyofficer [email protected]
6. JuliusGitonga MoEP RenewableEnergyofficer [email protected]
7. JohnMwaura MoEP CommunicationOfficer [email protected]
8. TimothyRanja UnitedNationsDevelopmentProgramme(UNDP) ProgrammeAnalysist [email protected]
9. IngerHaugsgjerd
UNDP ProgrammeOfficer [email protected]
10. AshingtonNgigi
IntegralAdvisoryLtd–TeamLeader AssociateConsultant [email protected]
11. JamesMuyula IntegralAdvisoryLtd AssociateConsultant [email protected]
12. EdwinNateminya
IntegralAdvisoryLtd AssociateConsultant [email protected]
13. PaulineWanjohi
IntegralAdvisoryLtd AssociateConsultant [email protected]
14. FedericoS.Fische
IT-Power LeadConsultant [email protected]
15. KarenThuranira
IntegralAdvisoryLtd Administrator [email protected]
16. CarolineToroitich
SNV SeniorRenewableEnergyAdvisor [email protected]
17. LydiaMuchiri PracticalAction(PA)EasternAfrica Energyofficer [email protected]
18. DianaNgaira PAEasternAfrica Communicationofficer [email protected]
19. IreneMwaura World-WideFund(WWF) EnergyOfficer [email protected]
20. Philip WWF EnergyOfficer [email protected]
91
Odhiambo
21. PaulMbole NorwegianChurchAid(NCA) CountryProgrammeCoordinator [email protected]
22. CharlesNjoroge
KETRACO Economist [email protected]
23. LucyMukiri GeothermalDevelopmentCompany(GDC) ChiefOfficer,CorporatePlanning
&Strategy
24. AndrewNjoba KenyaAssociationofManufacturers(KAM) Accountant [email protected]
25. JamesMaillu GVEP CountryManager [email protected]
26. AnneIngwe GIZ Programmemanager. [email protected]
27. JohnKioli KenyaClimateChangeWorkingGroup Chairman [email protected]
28. EnosOtieno KenyaRenewableEnergyAssociation(KEREA) Vice-ChairmanKEREA [email protected]
29. JacksonMutonga
GIZ-Prosolar Technicalofficer [email protected]
30. PeterMuhia SCODE Managementconsultant [email protected]
31. Timothy
Mwangi
SNV RenewableEnergyadvisor [email protected]
32. Maimuna
Kabatesi
HIVOS AdvocacyOfficer-Climateand
Energy
33. DavidNgugi KAM Energyefficiencyengineer david.ngugi@@kam.co.ke
34. Mary
Appophia
KenyaYoungGreen Youthrepresentative [email protected]
35. DanielWanjohi
GlobalAllianceCleanCookstove(GACC) Regionalrepresentative [email protected]
36. GeorgeOluga KenyaForestryServices SeniorForestOfficer [email protected]
37. XavierMutava KenyaNationalDomesticBiogasProgramme
(KENDBIP)
AssistantRenewableEnergy
Engineer
38. MicheleAkute KenyaPowerandLightingCompany(KPLC) AssistantEngineer [email protected]
39. RobertChirchir
EnergyRegulatorycommission(ERC) Engineer [email protected]
40. NathanBogonko
KenyaIndustrialResearchandDevelopment
Institute(KIRDI)
Cookstoveresearcher [email protected]
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3. PrivatesectorconsultationonSE4Allpriorityactionareas
ThePrivateEnergySectorstakeholders’consultationheldatGarciaGardenson19
th
September2015.Themeetingobjectivewasidentifyingofpriority
actionareas.
Name Institution EmailAddress1. FaithWandera MinistryofEnergyandPetroleum(MoEP) [email protected]
2. PaulMbuthi MoEP [email protected]
3. AshingtonNgigi IntegralAdvisoryLtd–TeamLeader [email protected]
4. JamesMuyula IntegralAdvisoryLtd [email protected]
5. Paulinewanjohi IntegralAdvisoryLtd [email protected]
6. EdwinNateminya IntegralAdvisoryLtd [email protected]
7. KarenThuranira IntegralAdvisoryLtd [email protected]
8. MohammedUhuruKadhi ConsumerChoice [email protected]
9. ShadrackOmwenga LeanEnergysolutions [email protected]
10. DineshTembhekal LeanEnergySolutions [email protected]
11. PeterA.Ndolo SanataTrustGilgil [email protected]
12. TonyNyagah StraussEnergy [email protected]
13. MusunguWyciffe REECON [email protected]
14. KennethNdua STAMP kenneth.nduaestamp.co.ke
15. MatThomson AzimuthPower [email protected]
16. WilkistaAkinya AfricanSolarDesigns [email protected]
17. JulieOyato OilFieldMoversLtd [email protected]
18. MugweManga OlSuswaEnergyLtd [email protected]
19. SaleemMahmoodAhmed AlternateEnergy [email protected]
20. JosephKioMuthokah ChlorideExideKenya [email protected]
21. PaulWalobwa BarclaysBank [email protected]
22. BostonNyer BurnManufacturers [email protected]
23. JamesKariuki IRDALtd [email protected]
24. PaulineTanui SIMGASLtd [email protected]
25. JacksonMutonga GIZ-ProSolar [email protected]
26. JaphethB.Sayi KTDA-Power [email protected]
27. KaranjaMburu TemiHoldingsLtd [email protected]
93
28. SimonM.Guyo Craftskills [email protected]
29. EphantusG.Wamae I.S.AKenyaLtd [email protected]
30. GeorgeM.Simuyu SimbiRosesLtd [email protected]
31. PatrickKimathi SkynotchEnergyAfrica [email protected]
32. PatrickG.Thimba ABPLtd [email protected]
4. ListofparticipantsattendedSE4Allcountyawarenessforum
TheSE4ALLcountyawarenessforumstartedwiththeTTmembershavingameetingwithCouncilofGovernors(CoGs)thatbroughtonboardCECs
energy and clusteringof counties for sensitization forum. SE4All county awareness forumon going andbeing carriedout byMoEP, CSOs and the
consultant(ITPowerUKacrossthe47counties).Theobjectivesofthesensitizationforumare:
• SensitizationonSE4Allinitiatives
• Sensitizationonenergypolicyandregulations
• Sensitizationoncountyenergyplanningframework
SE4ALLsensitizationhasalsobeenthroughdistributionofSE4ALLbrochuresandpublicationofSE4Allsupplementinthedailynewspaper.Boththe
brochures and supplement have been through support from Practical Action, SNV and UNDP. WWF supported in the facilitation for the SE4All
technicalcommitteeworkshopfortheAAreviewandpriorityactionareasidentification.
KISUMUANDKISIICLUSTERS
NAME COUNTY DESIGNATION EMAIL1 PhareshRatego HomaBay CECEnergy [email protected]
2 DennnisOtieno HomaBay REEngineer-County [email protected]
3 IsraelAuma Kisumu CEOVicensaInvestments [email protected]
4 RonohJ.K. Kisumu Engineer-CountyGreenEnergyandClimateChangeAuthority [email protected]
5 EricOmaga Kisumu Engineer-CountyGreenEnergyandClimateChangeAuthority [email protected]
6 EuniceOwino HomaBay CCOEnergy [email protected]
7 OmungaOriango HomaBay MCA-ChairmanEnergy [email protected]
8 JosephShyanguya Kisumu Director-CountyGreenEnergyandClimateChangeAuthority [email protected]
9 EvansGichana Kisumu M&E-CountyGreenEnergyandClimateChangeAuthority [email protected]
10 CheroOmondi Siaya CECRoadsandEnergy [email protected]
11 LilianOgombo Kisumu CCOEnergy [email protected]
12 EverlyneHeyi Siaya CSO-ClusterManagerGIZEndev [email protected]
13 BenOdhiambo Kisumu ExecutiveOfficer-KenyaNationalChamberofCommerce [email protected]
94
13 PeterOgutu HomaBay Clerk [email protected]
15 FredrickOtieno HomaBay PA [email protected]
16 BarackSidho Kisii DirectorEnergy [email protected]
17 LindaAchieng Kisii OfficerEnergyCenter [email protected]
18 GetrudeAyieko Kisii DirectorAdministrator [email protected]
19 MaxwellMagoma Kisii PrivateSector-KenolKobil [email protected]
20 ShemMigosi Kisii CSORep [email protected]
21 AineahAloo Migori DirectorEnergy [email protected]
22 WycliffeOngera Kisii CSO-GIZEndevRep [email protected]
23 ClementNchogu Nyamira DirectorWater [email protected]
24 JohnMungai Kisii EnergyCenterManager [email protected]
25 DoriceOmbuna Migori Gender
26 JohnMaina Nairobi PREO/TTMember [email protected]
27 JamesMuyula Nairobi TTMember [email protected]
28 DianaNgaira Nairobi TTMember [email protected]
KAKAMEGAANDUASINGISHUCLUSTERS
NAME COUNTY DESIGNATION EMAIL1 VictorIjaika Vihiga CSO [email protected]
2 AbigaelKevogo Vihiga CSO [email protected]
3 WilsonOongo Vihiga Nexus-Water [email protected]
4 FredrickMakokha Busia CSO [email protected]
5 EdwinNateminya Nairobi IntegralAdvisoryLtd [email protected]
6 JohnMwaura Nairobi MoEP [email protected]
7 DicksonKisoa Nairobi MoEP [email protected]
8 HillaryShikuba Kakamega MITP&E [email protected]
9 LibinusOduor Kakamega MemberofAssembly(MCA) [email protected]
10 Dr.CollinsMatemba Kakamega ChiefExecutiveCommittee(CEC)–Publicworks&Energy [email protected]
11 VictoriaZillah Kakamega CountyAdministrator [email protected]
12 LeonidahAnguba Kakamega GenderAdvisor [email protected]
13 RhodahMbandu Vihiga ChiefOfficer(CO) [email protected]
13 WinnieEssendi Vihiga ResearchOfficer [email protected]
15 DavidNgoseywi Vihiga CountyAdministrator [email protected]
16 JamilaAnjere Vihiga MCA [email protected]
17 JohnMulefu Busia PrivateSector [email protected]
18 ChristineWasike Bungoma CO-TradeandEnergy [email protected]
19 ErickNabwana Bungoma EnergyDept [email protected]
95
20 GregoryOdeke Busia County [email protected]
21 WalulobaLucas Busia MCA [email protected]
22 FestusKuniya Baringo CO [email protected]
23 JohnKiprop Baringo CSO [email protected]
24 JohnKamarei Baringo CSO
25 PeterChepkonga Baringo PrivateSector [email protected]
26 EvelyneMunihu Baringa CSO-TechnicalAssistant [email protected]
27 MikeMosi Baringo CSO-Director [email protected]
28 PualineKogo UasinGishu Nexus–Water [email protected]
29 PhilipMeli UasinGishu CEC [email protected]
30 JosephChelulei UasinGishu Director [email protected]
31 AlfapLel Nandi CEC [email protected]
32 AlexKiplimo ElgeiyoMarakwet PrivateSector
33 AmosKosgei ElgeiyoMarkwet PrivateSector [email protected]
34 DavidNgugi ElgeiyoMarakwet COC [email protected]
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ANNEX5:PROCESSOFDEVELOPINGAAINKENYA
TheprocessofdevelopmentoftheActionAgendaandInvestmentProspectusledbytheMinistryofEnergy and Petroleum and included consultations fromdevelopment partners, private sector andcivilsocietyorganisations.Thedetailsoftheprocessisasfollows;
ThekeysourcesofinformationonwhichthisAAwasdevelopedwere:
• StocktakingandGapAnalysisReport120producedwithsupportfromUNDP• Review of key energy sector documents, as provided by theMinistry and obtained from
othersources• Stakeholderconsultationswithprivatesector,publicsectorandcivilsociety• Trainingworkshopforselectedkeygovernmentandothercountrystakeholdersconducted
aspartoftheproject.• SE4AllCountyawarenessforums
StockTakingandGapAnalysisReport
StocktakingandgapanalysisisthesecondstageofcountryprocessintheimplementationofSE4Allinitiativeandthekeyobjectiveoftheexerciseistoidentifythegapsandbarrierstoenergyuseandaccesswithaviewtodevelopinganappropriatenationalactionplantoaddressthem.
The AA started by building on the Gap analysis report by updating information on the gaps andbarriersandsoliciting forpossibleactions toaddress them.Someof thegapsalready identified intheStockTakingandGapanalysisstudywasalsousedintheframingofpriorityreformsandpriorityprojectsbelow.
Table19:IdentifiedEnablingEnvironmentandGapsfromStockTakingandGapAnalysis
SE4ALLGoal EnablingEnvironmentgaps PriorityProjectareas
Energy ServiceAccess
• Need for Financial frameworks for MFIs andprojectdevelopmentand riskguarantees/buydowns
• NeedforPPPpolicy• Inadequate standards and enforcement of
standardsandregulations• Insufficienttechnicalcapacity
• Inadequate LPG storage anddistributioninfrastructure
• Inadequate off-grid andmini-grid powerdevelopment
EnergyEfficiency
• Financialframeworksforenergyaudits• Enhanced capacity for energy audit and
operationalization & enforcement ofregulationsandstandards
• Lackofpolicyincentives• LimitedawarenessonEEcostandbenefits
• Institute Transmission andDistributionlossreduction
• Distributed generation closetoloadcentres.
120Stock-takingandGapAnalysisReport(SE4ALL),May2013
97
SE4ALLGoal EnablingEnvironmentgaps PriorityProjectareas
RenewableEnergy
• PPPmodelenhancement• Financial frameworks for Investment and risk
guarantees/interestbuydowns• Need to finalize power wheeling policy &
tariffs,netmetering&banking,PPAstandardsforlargeprojects121
• Adequatestandardsandenforcementtoavoidcounterfeits
• Local manufacture andassembly to reduce costsandavailREtechnologies
• REResourceAssessment• Mini-grids• Testing facilities for RE
technologies
Documentreview
AtthestartoftheprojectMoEPprovidedtheteamwithkeyreportsanddocumentsrelevanttotheenergysectorandtheKenyangovernment’sactivitiesandplansastheylinktoenergyaccess,energyefficiencyand renewableenergy. The reportwas reviewedbyboth theSE4All technical teamandthe SE4All technical committee constituted of the MoEP, public utility, private sector, CSOs anddevelopmentpartnersintheirentirety,andsupplementedbyadditionaldocumentsfoundonlineorthroughothersources.
Stakeholderconsultations
Bilateral consultations were carried out at Inception Stage with some development partners,governmentandcivilsocietyandassociationorganizationstogatherviewsonwhat issuesneedtobe addressed with respect to SE4All goals in the country in terms of priority project areas andreformsrequired.TheoutputofthisprocesswaspresentedintheInceptionReportanddeliberatedin a Coordinationmeeting held together with the key energy sector stakeholders headed by theMoEP.
Three workshops were held during the period of 3rd to 7th June 2014 for the private sectorstakeholder,thegovernmentstakeholderandcivilsociety.TheNairobiprivatesectorworkshopwassponsored by the BizClim project and the government and civil society workshops were fullysponsoredbyUNDP.TheMinistryofEnergyandPetroleum(MoEP)ofKenyaledtheorganizationofall the workshops and officiated at the workshops providing expectations of the Government ofKenyafromtheprojectwithkeyministryofficialsactivelyparticipatingintheworkshops.TheSE4AllAfricaHubpartnersNEPAD,UNDPandAfDBwereallrepresentedatthe3workshopsandprovidedtheirsupportandguidance.
TheoverallobjectivesofthestakeholderworkshopsweretoconsultKenyastakeholderson:
• Creatingaconduciveenablingenvironmentforbothprivateandpublicinvestmentstotakeplaceintheenergysector;
• Identifying priority areas and projects that can contribute tomeeting the SE4All goals forKenya.
Thespecificworkshopobjectiveswere:
121StandardizedPPAfor10MWnowinplace.
98
• ToshareknowledgeontheglobalSE4All Initiative,approachtodevelopmentoftheSE4AllAction Agenda and Investment Prospectus, and the results of the Stocktaking and GapAnalysisstudyforKenya.ThelatterformingthebasisforthenextstepofidentifyingreformsandprioritySE4Allprojects.
• To Identity reforms to create conducive enabling environment for private and publicinvestmentsintheenergysector,andpriorityprojectstomeettheSE4AllgoalsforKenya.
• Torecommendpriorityactionsandstrategyforsustainedprivateandpublicinvestmentsinthe energy sector towardsmeeting SE4All for Kenya. The recommendationswill form thebasis for development of the SE4All ActionAgenda and Investment Prospectus for Kenya,whichwillguidesuchfutureprivateandpublicinvestmentsinthesector.
ThecontextofthediscussionfocusedonthethreeSE4AllgoalsofEnergyAccess,EnergyEfficiencyand Renewable energy, including the related seven Sectoral Action Areas (for projects) and fourEnablingActionAreas(forreforms).
Further consultation was done after the AA/IP validation workshop in March 2015 to includedecentralizedsystemandenergyefficiencyandreviewoftheAA/IPdocument.
Trainingworkshop
Thetrainingworkshopwasheldfrom13-15thAugust2014aspartoftheProjectResultArea3andwas sponsored from theBizClimprojectbudget.TheMinistryofEnergyandPetroleum (MoEP)ofKenyaidentifiedandinvitedtheparticipantstothetrainingworkshopandarepresentativeofMoEPofficiatedandchairedall3daysoftrainingsessions.
The HCL project team together with NEPAD conducted the training through presentations,facilitatedplenarydiscussionsandworkinggroupexercises.RepresentativesoftheUNDPandAfDBSE4AllAfricaHubattendedandofficiatedattheworkshop.
ThemainobjectiveofthetrainingworkshopwastoequipkeyKenyastakeholderstobefamiliarwiththeprocessof developing anationalAAand IPunder theSE4All Initiativehenceempowering thestakeholders to activelyparticipate in thedevelopmentof theAA& IP and to implementKenya’sprioritySE4Allenergyprojects.
Thespecificobjectivesoftheworkshopwere:
• ShareknowledgeonAAandIPstructures,requirementsandcontent;
• GivestakeholdersanopportunitytofamiliarizethemselveswiththedevelopmentofAAandIPthroughaprocessoflearningbydoing;and
• ApplythereformsandprioritySE4AllenergyprojectsidentifiedintheGapAnalysis,reviews,duringstakeholderworkshopsandconsultationsinthedevelopmentoftheAAandIP.
The Training workshop became an opportunity to deploy stakeholders to prioritize the priorityprojectareasandreformsfortheAAandtoinitiateformulationofprojectsfortheIP.
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ANNEX6:KENYAENERGYINSTITUTIONSANDTHEIRFUNCTIONS
100
Figure13:ThePowerSector–organizationchart122
Figure14:RenewableEnergyDirectoratechart
122 Institution of Engineers of Kenya (IEK), 2012
REDirectoriate
AlternativeTechnologies
Solar
EEC&RD
EnergyAudits&
Management
BioEnergy
EnergyCenters BioFuels Environment
(KEEP)
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ANNEX7:ENERGYINTENSIVEFLAGSHIPPROJECTS
FlagshipProjects Ref. Completion Energy(GWh)
Capacity(MW)
ICTPark 1 2015 2930 440
2ndContainerTerminalandMombasafreePort 2 2014 746 2
Juba-LamuRailway 3 2014 19 9
LamuPortincludingresortcities 4 2014 200 30
SpecialEconomicZones(Mombasa,Kisumu,Lamu) 5 2015 333 50
Iron&steelsmeltingindustryinMeruarea 6 2015 2097 315
Mombasa-Nairobi-Malaba-Kisumurailway 7 2017 27 18
LightrailforNairobiandsuburbs 8 2017 16 8
Resortcities(Isiolo,KilifiandUkunda) 9 2017 200 30
Total 6568 902
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ANNEX8:ENERGYFORECASTINGWH(MARCH2013LCPDP2013-2033)
103
ANNEX9:PROPOSEDOUTLINEOFTHECOUNTYENERGYPLANNINGFRAMEWORK
AcknowledgementExecutivesummaryChapter1:Introduction
• Introduction:structureoftheplandocument• Location,Size,administrativeandpoliticalunits,demographics(population,income
levels),climate,economicactivities• ObjectivesandrationaleoftheEnergyplan• Methodologyusedindevelopmentoftheplan
Chapter2:EnergyResourcePotential• Describetheenergyresourcesandpotentialinthecountyincludingprojectionsbased
onavailabledata• Developedenergyresourcesinthecounty
Chapter3:CurrentStatusofEnergyUseDescribefocusthatwouldbeexpectedtoportrayenergydemandanduseinthecounty
i. Sourceofenergysupplyii. Statisticson:electricityconnectivity,numberhouseholds,Institutionsandsmallmicro
enterprisesusingcharcoal,firewood,kerosene,LPGgas,biogas,electricitycookingiii. Productiveuseofenergy
Chapter4:EnergyDemandintheCounty• Analysisofcurrentenergydemandbysector• ProjectedEnergyDemand
Chapter5:PolicyandRegulatoryFramework• ExistingpolicyandregulatoryframeworktoguideenergydevelopmentintheCounty
Chapter6:Proposedenergydevelopmentinterventions• Energyaccess• Renewableenergy• Energyefficient• Capacitybuilding• Financing
Chapter7:Financingoftheplanimplementation• Potentialfinancingsourcesandmodels• Prioritiesforinvestment
Chapter8:ImplementationPlan• Implementationschedule• Monitoring&Evaluation
References
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ANNEX10:INDICATORSFORKENYASE4AllINITIATIVE
Results Indicators
GoalSustainableEconomicGrowth
%ofreductionindeathsbyindoorairpollution(deaths/year)
GDPpercapita(US$/person*year)
Nationalelectricitygenerationcapacity(MW) Povertyinruralandurbanareas(%)
SE4AllGlobalObjective1:Universalaccesstomodernenergyservices
IncreaseElectricityAccess
Nationalelectricityaccessrate(%) Percentageofpopulationwithelectricityaccesscalculatedas%ofhouseholdswithconnections(off-grid/mini-gridhouseholds,theconnectioniscountedbasedonhowtheenergysolutioncanmeasureconsumption)
Energyconsumptionpercapita(kWh/person*year)
Increaseaccesstomoderncookingsolutions
Nationalaccessratetomoderncookingsolutions(%)
Percentageofpopulationwithaccesstomoderncookingsolutions.
SE4AllGlobalObjective2:Doublingshareofrenewableenergyinglobalenergymix
Increaserenewableenergyshareinnationalmix
ShareofREinthenationalenergymix(%) Proportionofinstalledcapacityfromrenewableenergysources,overthetotalinstalledcapacity
On-gridREinstalledcapacity(MW)
Off-gridREinstalledcapacity(MW)
Sustainablebiomassusedinprocessheat(%)
SE4AllGlobalObjective3:Doublingglobalrateofimprovementofenergyefficiency
Reduceenergyintensity
Reductionintheannualrateofenergyintensityperyear(%)
Energylossesinelectricitydistribution(%)