Despite recent advancements in energy accessibility in sub-Saharan Africa, the region remains the most energy-deprived globally, as underlined by the United Nations Conference on Trade and Development’s (UNCTAD) March 2023 report.

The COVID-19 pandemic aggravated this already severe situation and, for the first time since 2013, the number of people without electricity access surged in 2020. This shift raised sub-Saharan Africa’s proportion of the global population living without electricity from 74% to an alarming 77%, according to the International Energy Agency.

Energy scarcity in the region ripples through multiple societal sectors, affecting health, education, poverty and sustainable development. The UNCTAD report underscored the scarcity of clean cooking fuels and technology. Women and girls, who primarily bear the household’s cooking responsibilities, suffer the most from this problem, facing heightened exposure to household air pollution.

This exposure contributed to approximately 700,000 deaths across Africa in 2019. The report warns that without further interventions, the number of people in the region without access to clean fuels could soar from 923 million in 2020 to over 1.1 billion by 2030.

The deficit in electricity access is largely attributed to the scarcity of electrical grids for consumer distribution, combined with existing grids being obsolete, unstable and lacking consumer connections. Moreover, factors like inadequate power generation capacity, inefficient transmission and distribution systems, exorbitant connection charges, irregular income streams and elevated tariffs deter consumers from embracing modern energy services.

Low demand, coupled with antiquated facilities and inadequate funding for infrastructure, dissuades providers from innovation and offering cleaner energy options.

A sustainable energy future
Nevertheless, Africa holds the potential to build itself a greener, more sustainable future by increasing access to clean energy. For example, Africa is blessed with 60% of the world's optimal solar resources and could employ solar photovoltaics (PV) as a cost-effective solution to provide electricity to the millions currently without access.

Furthermore, the UNCTAD report suggests that Africa could produce approximately 45.4mn tonnes of low-carbon biogas from agricultural waste, animal manure and municipal garbage using household-scale biodigesters. Creating biogas in this way could provide millions of households in the region with locally sourced, low-carbon energy.

UNCTAD also stresses the necessity of pooling regional resources and integrating national power grids across Africa. By sharing renewable energy production capacity across borders, countries can reinforce their power supplies’ reliability and improve electricity access by distributing energy surplus to areas of high demand and drive down electricity costs for consumers.

Africa is blessed with 60% of the world's optimal solar resources and could employ solar PV as a cost-effective solution to provide electricity to the millions currently without access.
 

Kenya: a beacon of energy progress 
Kenya has achieved one of the highest rates of energy access in the region over the last two decades. The country’s policymakers initially aspired to universal access to electricity by 2030, but in 2013 the government revised the target to 2022 to accelerate the achievement of this goal.

The US’ International Trade Administration reports that Kenya’s urban areas have now achieved a 100% access rate, while rural areas have reached a commendable 65% access rate.

While Kenya has reached remarkable milestones in its energy sector, there are still persistent challenges that impede further progress. Consumers continue to grapple with unreliable electricity supply and high costs, resulting in a demand that has not kept pace with the substantial increase in supply.

Kenya Power (KP) is the sole distribution company in the country. Responsible for managing both the interconnected grid and numerous off-grid stations in the northern regions, KP has demonstrated exceptional performance. Notably, it successfully increased access to electricity from 26% of households in 2013 to an impressive 77% in 2018.

Complementing these efforts is the Rural Electrification and Renewable Energy Corporation (REREC), entrusted with expediting rural electrification across Kenya. Since its establishment in 2006, the REREC has made significant strides in rural electrification, elevating access from 4% to 32% of rural households by 2022.

Together, KP and the REREC have four key objectives to enhance distribution and access to electricity in Kenya: 

• Expansion of grid connections: With the goal of adding one million new grid customers annually, KP and the REREC devised the Last Mile Connectivity Program. The initiative aims to connect customers located within 600 metres of existing transformers at a subsidised connection cost. Further subsidised connections are also provided for customers in informal settlements. The World Bank partnered with Kenya to provide financial support for this programme.
• Resilient and smart grid infrastructure: KP and the REREC are constructing a more robust and adaptable grid by incorporating redundancies, minimising losses and integrating smart technologies.
• Transition to renewable off-grid solutions: To enhance off-grid access, KP and the REREC are converting diesel-powered stations to solar-diesel hybrid systems.
• Expansion of greenfield solar mini-grids: Through the Scaling Up Renewable Energy Program (SREP), KP and the REREC are focused on establishing a host of greenfield solar mini-grids.

Solar and geothermal energy
Over the past decade, Kenya’s solar home systems (SHS) segment has witnessed significant growth, reaching both urban and rural areas.

To encourage adoption, market players have introduced innovative financing models, such as the ‘pay-as-you-go’ (PAYG) approach, which enables users to contribute low daily payments over an extended period until they own their solar system. Kenya has emerged as the world’s second-largest standalone SHS market after India, benefiting millions of people.

Kenya also has promising potential for geothermal power, as reflected in its 10-year $2.6bn geothermal exploration plan. This ambitious initiative involves sinking 566 wells in the Rift Valley.

Moreover, Kenya Electricity Generating Company (KenGen), with 70% government ownership, has ambitious plans to strengthen the grid infrastructure. Through joint ventures, it aims to add an additional 560 MW of geothermal power, along with 80 MW of wind power and the installation of solar systems at their existing hydro sites.

Simultaneously, the Geothermal Development Company (GDC) is focused on developing 2,000 MW from the Bogoria-Silali geothermal block. To support this endeavour, GDC has secured an $89mn concessional loan from the German Development Bank, a portion of which will be allocated to drilling exploration wells. Similar exploration activities are also taking place in 10 other geothermal blocks.

Power Africa 
Power Africa, a US government-led public-private partnership, has played a significant role in contributing to Kenya’s energy progress. This initiative is dedicated to improving access to affordable and reliable electricity services in Kenya, with a focus on driving inclusive economic growth, enhancing security, and improving health and education.

By offering financing, grants, technical assistance and investment support, Power Africa actively promotes the growth of the energy sector in Kenya. The initiative acts as a catalyst, facilitating partnerships and leveraging its expertise to drive progress and expand access to electricity in Kenya.

Further expansion
The Kenya Electricity Transmission Company (KETRACO) and KP are also expanding the transmission and distribution grid network. Over the next few years, KETRACO plans to construct over 10,000 km of high-voltage transmission infrastructure.

The financing for these projects will be sourced from the Kenyan government, development partners, international financial institutions (IFIs) and public-private partnerships (PPPs).

The REREC is actively implementing solar mini-grids in off-grid areas of Kenya, providing electricity to households and delivering numerous socio-economic benefits such as improved education, healthcare, water supply and food preservation.

Additionally, the World Bank-funded Kenya Off-Grid Solar Access Project (KOSAP) aims to electrify 14 low-density, remote and traditionally underserved counties, accounting for 20% of the population.

A flagship programme is currently underway to develop 137 mini-grids, enabling the electrification of 567 public establishments, including secondary schools, health services and governmental offices. These mini-grids will also provide energy to water pumps serving 380 boreholes. As a result, an estimated 277,000 households, benefiting approximately 1.5 million individuals, will gain access to electricity.

Kenya’s Cabinet Secretary for the Ministry of Energy, Davis Chirchir, highlights the significance of deploying mini-grids to serve communities that are currently disconnected from the main grid: ‘Currently, we have about 62 mini-grids that are fully operational and 28 which are under construction. We hope to deploy more mini-grids to close the energy access gap and ensure universal access to electricity by 2030.’

Likewise, Gabriela Elizondo Azuela, Manager of the World Bank’s Energy Sector Management Assistance Program (ESMAP), emphasises the vast potential for solar mini-grid deployment. ‘Solar mini-grids can reach populations today that would otherwise wait years to be reached by the grid. They have the potential to transform the power sector in sub-Saharan Africa. Through World Bank operations and advice to governments, ESMAP is helping take mini-grids from a niche to a mainstream solution’, she states.

Emulating Kenya’s success
Kenya’s progress in advancing energy access offers an encouraging model for other African nations. The country has made remarkable strides in leveraging its solar resources and expanding electricity access, particularly in remote areas. Harnessing the power of the sun through an expansive deployment of solar PV, Kenya has been successful in driving down costs and making electricity accessible to more of its population.

Furthermore, Kenya’s efforts to integrate its national power grid with those of neighbouring countries have demonstrated the potential of a regional electricity market. This cross-border collaboration has enhanced the reliability of the power supply.

By building on Kenya’s successful strategies and tailoring them to their specific contexts, other countries can pave the way towards improved energy access, health and economic growth.