Mini-grid operators step in to bridge power gap in rural Kenya

A solar mini grid station in Mudoriko Village, Busia County/VICTOR AMADALA

Although Kenya exceeds the average rate of access to electricity in sub-Saharan Africa, the gap between urban and rural areas remains very wide.

Due to the population distribution across the country, a recent analysis by French development agency (AFD) reveals that the development of a national electricity grid covering remote areas is impossible in the short term.

This reality has birthed a silent but rapid green power revolution in rural Kenya, a key ingredient in the government’s dream to connect at least 10 million more families to the electricity grid by the end of the year, in the larger ambition to achieve 100 per cent power connectivity by 2030.

It is also a catalyst in Kenya’s ambitions to generate 100 per cent of its electricity from clean energy sources by 2030.

That target is not far off: its current share of renewable energy powering its national grid is 90 per cent, making it a leader among many countries aiming for similar outcomes.

A spot check by the Star in Busia County notes activities of Kudura Power East Africa Limited (KPEA), a Portuguese linked solar mini grade firm that has connected at least 3,500 households to power.

The firm which successfully piloted a pay-as-you-go (PAYG) solar photovoltaic (PV) minigrid (MG) platform that integrates several green utilities into a containerized, community-managed system in 2011 has seen the likes of Justina Makhokha, 75 access services they never thought of before.

“I never thought power would reach this village, she says, ushering us into her mad, walled house. This light has brought too much joy in my life, she adds, pressing a white power switch. I can now charge my phone, read the bible at night with a lot of ease.”

She described the agony they went through to charge a mobile phone before the mini-grid was installed.

“While we relied on diesel poshomills, charging mobile phones was a serious challenge in this erea. I used to charge mine once a week in Busia town. That came with several costs, including transport charges to and from the town. I can now comfortably charge at my bedside,’’ she says, a wide smile covering her aging face.

Another beneficiary, Brenda Okumu, emerges from the mud-walled structure housing her posho mill, her face buried in a cloud of flour dust. 

Her business lies deep inside Mudoriko Village, Busia County, where ugali made from dried cassava and loose maize is the main staple food, and electricity connection from the national grid is still a challenge.

However, her business, a key cog in delivering this staple, now has a lifeline from a mini-grid set up by Kudura Power East Africa Ltd, which has also facilitated the conversion of her posho mill to fully operate on electricity.

In 2022, Kudura received funding to install 22 mini-grids powered by solar photovoltaic energy for 22 villages in Busia County. Each installation will have a capacity of between 10 and 60 kWp, for a total of 512 kWp.

According to Robert Oduor, Busia County Business manager at Kudura Power East Africa, the project has not only expanded access to clean, reliable solar energy in rural areas, but will also pilot the provision of street lighting, pumping and water purification, as well as financing of appliances so that communities and businesses can truly maximise the health, safety and economic benefits of clean, renewable energy.

“We are applying sustainable business models and technology solutions to the benefit of the world’s poorest in a way that creates financial benefits or profit for our investors, life-changing impetus and measurable social impact for the people who use our solutions and measurable positive environmental impact on the planet,’’ says Oduor.

Although solar installation cost are on the rise, hitting upwards of Sh110,500, mini-grids like Kudura are connecting locals with just Sh6,000 with each household paying a monthly average of Sh327 for power.

It is also planning to build an additional 20 mini-grids in Kenya’s Turkana County in the second quarter of this year. 

Incorporating battery back up, the mini-grids will range in size from 20 – 60kWp, enabling Kudura Power respond to changing need over time, redeploying capacity across its sites as demand increases.

It is anticipated that the project will provide approximately 5,220 new connections, mostly for rural households and SMEs, and will density existing Kudura’s grids in Busia to connect a further 910 households.

The firm will also deliver electricity for productive use in applications such as fishing, cold chains and Electric Vehicle charging.

Solar now account for 47.21 per cent of the country’s total generation capacity, with 271.3 MW of installed capacity. The regulator, Energy and Petroleum Regulatory Authority (Epra) is supporting this growth by streamlining licensing processes and promoting favorable policies for solar investment. 

Apart from fair determination of pricing, Epra protects mini-grids from being encroached by dominant players like Kenya Power.

In early 2023, the Ministry of Energy and the World Bank jointly launched the Mini Grids for Half a Billion People Handbook in Nairobi that estimated 568 million people in Sub-Sahara Africa still lack access to electricity.

Globally, nearly 8 out of 10 people without electricity live in Africa. Solar mini grids can provide high-quality, uninterrupted electricity to unpowered or underserved villages and communities across Sub-Saharan Africa and be the least-cost solution to close the energy access gap on the continent by 2030. 

Kenya has a very high potential for solar energy technologies and a thriving market for standalone solar photovoltaic systems thanks to government support, a favorable enabling environment, and the successful rollout of pay-as-you-go solutions. These conditions resulted in 58% of solar energy kit sales in 2023 using cash and PayGo systems. Off-grid energy solutions, like solar home systems and mini-grids, are the answer for millions living in underserved areas.