Electrification Drive Will Improve Business Environment

BMI View: Efforts to improve Kenya's inadequate electricity infrastructure will show significant returns over the next 10 years. The country's total electricity generation will double between 2013 and 2023, though many rural areas will remain underserved.

Government efforts to upgrade Kenya's dilapidated power sector are continuing to gain speed: the CEO of state-owned electricity distributor Kenya Power recently pledged to connect a million new customers to the grid before the end of the 2014/2015 fiscal year.

This ambitious target - which would increase the firm's customer base by 36% - may not be feasible given the short time-frame. Over the medium term, however, we predict that Nairobi will succeed in improving Kenya's power infrastructure, bringing electricity to millions of people and boosting economic competitiveness.

A Poor Starting Point
Sub-Saharan Africa - 2014 Energy Generation Per Capita, KWh

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This article is tagged to:
Sector: Country Risk, Power
Geography: Kenya

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