Kenya’s Geothermal Ascent: The ‘Iceland of Africa’ Powers a Green Industrial Revolution…
Key Insights
Kenya stands as a rising powerhouse in the global transition to clean energy, with solar power at the forefront of its green revolution. Blessed with abundant sunlight year-round, the country is increasingly harnessing solar energy to meet its growing demand for electricity. With an average of 5 to 6 hours of sunshine per day across most regions, Kenya’s solar potential is unmatched in Africa, positioning it as a leader in the continent’s renewable energy race.
The government’s commitment to sustainable energy is reflected in ambitious national policies, such as the Least Cost Power Development Plan, which prioritizes renewable sources like solar. Private sector investments in solar farms are rapidly growing, with large-scale projects like the Garissa Solar Power Plant—Africa’s largest solar farm at the time of its completion—leading the way.
Kenya is also making strides in off-grid solar solutions, providing clean, affordable energy to rural areas where traditional power infrastructure is sparse. Solar home systems and mini-grids are lighting up remote communities, lifting people out of energy poverty while reducing reliance on expensive and polluting kerosene.
As the country continues to invest in solar infrastructure, Kenya is poised to not only meet its energy needs but also emerge as a regional hub for renewable energy, driving economic growth and environmental sustainability. With solar power at the heart of its energy transition, Kenya is building a future of resilience, opportunity, and clean energy leadership in Africa.
Not a Single Penny Has Found Its Way into Our Piggy Bank in 2025
“Quarter of a million eyes have now landed on our work at Energy Central—a milestone that still feels electric. I can still see Matt Chester’s message popping up: “Fancy sharing your piece on our platform?” One word—absolutely—set the spark. Today, that spark has become a blazing beacon. Cheers, Matt, for opening the door; here’s to the next 250 k…
Under the clear-eyed wisdom of Aristotle—who in Nicomachean Ethics celebrated generosity as the art of giving just the right amount, to the right cause, at the perfect moment—we declare with steadfast resolve: throughout all of 2025, not one penny of support has graced our coffers.
In a world swirling with restless shadows—where every headline quivers beneath veiled agendas—a steadfast beacon still shines: independent analysis. We do more than relay facts; we wrestle truth from the chaos, charting the hidden crossroads where geopolitics and energy entwine. Our pens are honed by passion; our screens blaze with relentless inquiry.
Yet even the fiercest flame flickers without fresh breath. Inflation’s chill creeps into every crevice. Platforms surge and crash like wild tides. Every article, every map, every piercing insight must battle through the noise to reach the minds that hunger for clarity. We wield licensed tools, striking visuals, and elite research—but even the mightiest arsenal can’t hold the line alone.
This is our rallying cry to you:
Hoist our banner—like, repost, share on X, LinkedIn, or Energy Central: it costs nothing but echoes through halls of influence.
Lend your strength—if you can, please fuel the mission that keeps democracy honest and our energy future bright:
PayPal: gjmtoroghio@germantoroghio.com
IBAN: SE18 3000 0000 0058 0511 2611
Swish: 076 423 90 79
Stripe: [Donation Link]
Every gift, no matter the size, fans the spark of independent thought into a roaring blaze. You’re not just donating—you’re empowering a truth-seeker in a world starved for clarity.
Remember, your donations are tax-deductible. Please check with your tax advisor for details.
Join us. Keep the flame burning. Light the way forward—in these darkening times, your support is the beacon guiding us all.
"1,000+ reads in 24 hours. The Absolute Trend: USELESS IN THE DARK—a thought-provoking piece inspired by the philosopher and visionary, almost a fortune-teller of the energy world, Andrés Gluski, CEO & President of AES. Energy isn’t ‘green’ or ‘cheap’ if it’s not available when needed. Resilience, storage, and smart grids are the true game-changers.
AES people should take a more active role in supporting the extraordinary ideas of their President.
#EnergyTransition #GridResilience #EnergyStorage
All rights are preserved to German & Co.
Germán & Co, Karlstad, Sweden | August 6, 2025________________________________________
#RutoEnergyForKenyaTransformation
________________________________________
In the volcanic expanse of Kenya’s Great Rift Valley, where the earth breathes with the pulse of an ancient force, steam rises from deep within the earth. The land itself, a vivid canvas of raw, untamed beauty, hums with the energy of the ages, its power harnessed by turbines that sing the promise of a future born from nature’s heart. The Olkaria geothermal complex, a monument to human ingenuity and the planet’s eternal vitality, stands as a beacon of Africa’s renewable revolution. Here, amid the rugged beauty of this vast expanse, Kenya has achieved what many thought impossible: 90% of its electricity now flows from the clean, unyielding veins of nature.
But Kenya’s story is not only one of geothermal might—it is the story of a nation awakening to the boundless potential of its land and skies. The sun, casting its unrelenting rays across the plains, becomes both the promise and the engine of a new era. Beneath its brilliance, Kenya is transforming into the beating heart of Africa’s solar revolution. This land, kissed by the sun’s eternal glow, has become the promised land for solar farmers, a radiant utopia where fields of solar panels bloom like crops of light, fertile with possibility.
In the embrace of Kenya’s vibrant landscapes—from the rolling savannas to the rugged highlands—the nation is laying the foundation for Africa’s clean energy future. No longer defined by its dependency on fossil fuels, Kenya is rewriting the energy narrative, drawing from the raw forces of the earth and sky. The once distant dream of a sustainable, cleaner tomorrow is now a vivid, living reality. Kenya stands as the shining example of a nation in full bloom, where nature’s energy is harnessed not only for today but also as the guiding light toward a brighter, cleaner future. The country has become the crucible for a revolution—one of hope, resilience, and the promise of an Africa empowered by the brilliance of its sun.
________________________________________
The Geothermal Backbone
With 727 MW of installed geothermal capacity (7th globally), Kenya has exploited its tectonic advantage to develop Africa’s most resilient grid:
- 10,000 MW untapped potential in the Rift Valley—enough to power five Kenyas.
- Baseload costs of $0.07/kWh—less than half the price of diesel generation.
- State-owned KenGen (NSE: KEGN) produces 75% of the national power while attracting private capital through a hybrid ownership model.
“Geothermal isn’t intermittent. It provides 24/7 stability that makes solar integration economical,” says Rebecca Miano, KenGen CEO. “We’ve drilled 300+ wells domestically—no longer reliant on foreign expertise.”
#RutoEnergyForKenyaTransformation
________________________________________
Policy Catalyst: Ruto’s Green Industrial Vision
President William Ruto has positioned energy as the engine of Kenya’s economic transformation:
- 2024 Energy Reforms: Shattered transmission/distribution monopolies (KPLC/KETRACO), enabling private power sales.
- U.S. Partnership: Climate and Clean Energy Industrial Deal (May 2024) unlocking technology transfer.
- COP28 Commitment: Triple renewable capacity by 2030.
“Africa’s resources can catalyze green industrialization,” Ruto declared during his Washington visit. “We’re building export pathways to Ethiopia, Tanzania, and beyond.”
________________________________________
While geothermal anchors the grid, solar is scaling rapidly:
The Malindi Solar project, with a capacity of 40 MW, is operational and features a grid-synced system with geothermal backup. The Radiant Eldoret project, expected to achieve COD in 2025, offers 50 MW and is notable as the first private PPA following monopoly reforms. The Garissa Plant, currently expanding to 55 MW, operates as a UNDP-funded community hybrid model.
“We pay $0 for fuel and $22/MWh for solar—geothermal handles night peaks,” explains EPRA Director-General Daniel Kiptoo. “That’s why our industrial tariffs beat South Africa’s.”
________________________________________
Investment Landscape
Opportunities
- Geothermal Expansion: $4bn needed to reach 3,000 MW by 2030 (JICA, AfDB co-funding).
- Green Hydrogen: KenGen is piloting 5 MW electrolysis at Olkaria.
- Regional Exports: 200 MW Ethiopia link (2026), Oman undersea cable study.
Hurdles
- CAPEX Disparity: Solar costs $869,000/MW (3× European prices).
- Currency Risk: 82% of PPAs are USD-denominated (shilling volatility).
- Grid Constraints: 23% transmission losses in Northern corridors.
________________________________________
The Replicable Model
Kenya’s blueprint—prioritise baseload renewables before scaling variables**—is gaining continental traction:
- Ethiopia: Accelerating Corbetti geothermal (75 MW phase).
- Tanzania: Ngozi geothermal tender (Q1 2026).
- Rwanda: Lake Kivu methane-solar hybrids.
“Countries without oil are leapfrogging to geothermal-solar synergy,” notes IEA Africa Director Fatih Birol. “Kenya proves it’s bankable.”
________________________________________
Market Projections
The key targets for 2030 compared to 2025. Geothermal capacity is set to increase from 950 MW to 3,000 MW, while solar additions are projected to grow from 120 MW to 852 MW. Green hydrogen output aims to progress from the pilot phase to 500,000 tons per year. Additionally, the industrial tariff is expected to decrease from $0.10/kWh to $0.07/kWh.
________________________________________
Investor Takeaways
1. Play the Baseload: Geothermal offers 25-year PPAs with sovereign backing.
2. Hybrid Advantage: Solar + geothermal requires minimal storage CAPEX.
3. Follow Reform Momentum: Open access market cuts offtake risk.
4. Watch Currency Hedges: Partial local-currency PPAs emerging (e.g., Radiant Eldoret).
“Kenya isn’t just African Iceland—it’s a test lab for the Global South’s energy transition,” concludes James Mwangi, CEO of Equity Group. “The returns? As solid as the Rift Valley’s bedrock.”
Germán Toro Ghío leads Karlstad-based Germán Toro Ghío Strategic Energy Consulting, advising on African energy transitions.
Sources: EPRA, KenGen, IEA, AfDB, project developers.
© 2025 Germán Toro Ghío. All rights reserved.
________________________________________
In December 2023, Energy Central recognized outstanding contributors within the Energy & Sustainability Network during the 'Top Voices' event. The recipients of this honor were highlighted in six articles, showcasing the acknowledgment from the community. The platform facilitates professionals in disseminating their work, engaging with peers, and collaborating with industry influencers. Congratulations are extended to the 2023 Top Voices: David Hunt, Germán Toro Ghio, Schalk Cloete, and Dan Yurman for their exemplary demonstration of expertise. - Matt Chester, Energy Central
You can't possibly deny me...
Have a wonderful day filled with good health, happiness, and love…