NDF - Financing for climate change and development projects

Off-grid Electrification using Wind and Solar Energy in Kenya


The NDF Board has approved EUR 4.0 Million for two climate relevant components to be implemented under the Electricity Expansion project coordinated by World Bank and financed by several financing institutions.

Due to unstable electricity generation of hydropower plants Kenya is experiencing frequent power shortages and has to rely on expensive emergency generation using fossil fuels. The main objective of the Electricity Expansion Project is to increase the capacity, efficiency and quality of electricity supply. The project will substantially increase the share of geothermal energy in the energy mix and reinforce and expand transmission and distribution networks. It also aims to increase the electricity access rate from the present 20% and to reduce the imbalance between regions and urban and rural areas. The project supports Vision 2030, Kenya’s long-term development strategy by expanding electricity infrastructure and promoting equitable access to quality energy services.
There are several off-grid localities especially in the northern part of Kenya which rely on isolated diesel power plants. The conditions for solar and wind generation are most favourable in this part of the country whereas the fuel for existing power plants has to be transported over long distances. The proposed NDF support will assist Kenya Power (KP) in selecting, designing and installing hybrid energy systems which will reduce generation by diesel power. The project will involve installation of solar and wind generation plants next to the existing diesel generators and generation from these renewable sources will thereby displace the use of fossil fuels. The project will at the same time increase reliability of energy supply in rural centres.
The other NDF component would provide basic energy services to rural schools and nearby households through solar charging facilities. This would provide electricity to the schools and enable charging of portable lanterns to be used by the pupils in their homes. Solar lighting will replace use of kerosene and candles. Solar lanterns will provide basic energy services to rural population and improve the living conditions. This component will be coordinated with and draw lessons from the WB led Lighting Africa initiative.
More information:
Off-grid Electrification using Wind and Solar Energy in Kenya