Written By: Faith Jemosop
On July 23, 2025, Kenya experienced its highest-ever daily electricity demand at a peak of 2,362.28 megawatts (MW). This sets a new national record, surpassing the previous all‑time high of 2,325.23 MW recorded on July 2, 2025.
This unprecedented demand spike is attributed to several converging factors:
- Industrial expansion across Kenya’s economic sectors,
- Accelerated urbanisation with rising energy usage in towns and cities,
- Increased domestic consumption, including rising appliance and cooling use in homes.
KenGen (Kenya Electricity Generating Company) played a central role in meeting demand. Its geothermal plants produced 13,678.35 MWh, accounting for 31.85% of the total supply. Hydropower contributed another 10,915.93 MWh (25.42%), meaning over 57% of daytime electricity generation came from these clean sources.
The Implications for Kenya’s Energy Future
1. Confirmation of Steady Growth Trend
The recent peak continues a trend of increasing electricity demand. Earlier in February 2025, a new high of 2,316 MW was recorded, up from 2,304 MW in January, marking growth of roughly 14.5 MW per month. That trend accelerated in July, illustrating growing pressure on generation and grid infrastructure.
2. Renewables Taking Center Stage
KenGen’s reliance on geothermal and hydro sources over fossil-fueled thermal generation signals a shift to cleaner power. The company plans to add 1,500 MW of renewable capacity in the next decade, drawn from geothermal, hydro, wind, and solar projects.
Efforts also include rehabilitating older plants: Olkaria I, for instance, is undergoing refurbishment to expand capacity from 45 MW to 63 MW by 2026, adding 18 MW to the grid.
3. Regional Impact Through Geothermal Expertise
KenGen is expanding its role across Africa, supporting geothermal exploration in Tanzania, Zambia, Ethiopia, Djibouti, and Eswatini. The goal is to export expertise and technology, building regional clean-energy capacity and reducing reliance on thermal generation.
Kenya’s Clean Energy Landscape
Kenya is uniquely positioned: abundant geothermal, hydro and wind resources offer a pathway to sustainable power. Major projects like the Lake Turkana Wind Power Station (310 MW) demonstrate this potential, though they still fall short of national needs.
However, a recent United Nations report warns of Africa’s lag in leveraging renewables. By 2024, Africa contributed just 1.5% of global renewable capacity, despite containing 20% of the world’s population and large energy access gaps. Kenya is among countries earmarked for greater urgency in clean energy deployment.
The UN emphasises that exploiting Africa’s renewable potential, estimated at ten times projected demand in 2040 under a 1.5 °C scenario, delivers both social welfare and economic dividend by 2050.
Kenyan policymakers, including President Uhuru Kenyatta and energy regulators, have set ambitious goals such as achieving 100% clean energy by 2030. Yet, realising that ambition hinges on coherent policy, regulatory clarity, and unlocking investment, areas where Africa still trails globally.
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Challenges & Opportunities
Grid Capacity & Stability
The peak demand placed stress on transmission networks , with some lines operating above 120% capacity. That’s a clear signal for strengthening grid infrastructure to avert overloads or disruptions, especially during high-demand periods.
Scaling Renewable Generation
With KenGen’s plan to roll out 1,500 MW of new renewable capacity, Kenya is on a growth trajectory. But to keep pace, it will need complementary wind, solar, and pumped-hydro storage projects, along with grid upgrades and policy support.
Seizing Regional Leadership Role
KenGen’s work across the region presents Kenya as a hub for geothermal excellence. Leveraging that leadership could attract investors, transfer technology, and strengthen East African energy integration.
Aligning with Global Green Shift
Global momentum behind solar PV and onshore wind as fast, cost-effective power sources is accelerating. Utility-scale solar is now approximately 41% cheaper than the cheapest fossil-fuel alternatives, and wind about 53% cheaper. Kenya must capitalise on falling costs to diversify renewables further.
Policy & Financing Needs
Africa’s renewable sector suffers from underinvestment , less than one in five dollars spent on clean energy since 2016 went to markets outside China. Kenya’s path forward depends on creating regulatory certainty, incentivising clean investment, and tapping into international climate funds and lenders like the European Investment Bank, which has pledged support for Kenya’s green energy agenda.
