, NAIROBI, Kenya, July 28 – Kenya is negotiating a Sh60 billion loan from the African Development Bank (ADB) to finance an ambitious plan to expand the country’s electricity access from the current 32 percent to 70 percent in five years.
Cabinet Secretary, Ministry of Energy and Petroleum, Davis Chirchir, has revealed that the negotiations are at an advanced stage with the deal expected to be completed by December this year to pave way for the first tranche of the loan amounting to Sh12 billion to be disbursed this financial year.
Chirchir was speaking during a media briefing at Kenya Power’s Stima Plaza highlighting the company’s on-going power upgrade project under implementation in various parts of the country.
He said the money will used to take electricity closer to potential electricity users and increase number of customers from the current 2.8 million to approximately eight million in five years.
“Even as we speed up generation projects that will inject 5,000 megawatts of additional electricity capacity, I am glad that Kenya Power is working hard to upgrade the transmission and distribution systems in readiness to evacuate the power to consumers in an efficient manner,” he said.
Speaking at the event, Kenya Power Managing Director & CEO, Ben Chumo, said the on-going countrywide power upgrade projects will help manufacturers increase their productivity and create jobs, while at the same time increasing the country’s gross domestic product.
Reduction in power supply interruptions will also translate to better unit sales for Kenya Power,” he added.