Page 34 - Vol 32 Issue 33 2121

energy commentary

The Challenges of Deploying

Mini-Grids in Kenya

If universal energy access is to be achieved under the Sustainable Development Goals, those
looking to renewable energy solutions to address energy access gaps need to ensure the delivery
of their services are sustainable, writes Anne Nyambane.

he Sustainable Energy For All approximately $1.9billion – which is up energy demands that economic growth,
(SE4ALL) Charrettes that are taking 103 per cent from 2013-14 (opens in new associated with energy access, has
Tplace this week seek to address window). Another example is the World created.
key questions for investors, governments Bank Group’s $150 million funding for an Both factors have led to demand
and development partners, who look to off-grid solar access project that targets outstripping the supply capacity of the
accelerate financial flows to countries 14 sub-national governments across the mini-grid and thus affected the reliability
with the widest energy access gaps. country. These counties are characterized and quality of electricity supplied.
Such engagement is critical if countries by highly dispersed populations and
across the globe are to achieve universal profound basic infrastructure deficits Second, consumers have found it hard to
access to ‘affordable, reliable and modern that undermine communities’ economic get their complaints resolved. Some of
energy’ by 2030 as aspired to in the prosperity where national grid extension the issues that have emerged range from
seventh Sustainable Development Goal is not commercially viable. As such, not having an on-site technician in the
(SDG). about 120 World Bank Group-financed event of a connection fault to not having a
mini-grids will be constructed in Kenya phone number to call if a problem arises.
and this will initially go some way to Furthermore, the system relies on people
Various donor agencies and addressing the energy access gap that activating power using tokens purchased
development banks already the country currently faces. But what from an agent, but although successful
support energy projects across are some of the challenges faced after examples do exist elsewhere in Kenya, the
sub-Saharan Africa. UK Minister mini-grid deployment and how can these way this is currently structured in Talek is
for Africa Harriet Baldwin, for challenges be addressed? far from efficient.
example, announced £30 million Discussions with some community
funding for ‘green’ mini-grids members at Talek township in Narok
(GMG) and solar technology County in February 2019 illustrated some Third, the price of the electricity
initiatives in Africa in March of the challenges that both local and GMG generated from the mini-grid
2019. operators face. Talek is a community is very high when compared to
dependent on electricity from a privately- those connected to the central
operated mini-grid in Kenya and its solar- grid. Consumers in Talek have
This highlights a general trend towards diesel mini-grid is a $280,000 pilot project paid $1.04 kilowatt per hour –
supporting energy access from renewables funded by GIZ – the German development which is about seven times the
around the world but it also demonstrates agency. The plant was handed over to the price that consumers connected
the potential of mini-grids as an Narok county government in 2016 which to the central grid pay. Such a
alternative to grid connection in remote then contracted PowerGen, a Nairobi- price is an economic burden to
rural areas where the challenge of energy based private company, to run it. The the consumer as most are from
access remains greatest. Development local community acknowledges that, low-income households and
partners like DFID and the World Bank although the project is well-intended, the is compounded because the
have strongly supported private-sector delivery of the services after the donor unreliable electricity supply has
involvement in the energy sector and handover has been challenging for three led several businesses to install
Kenya is often highlighted as a paragon of key reasons. solar home systems or diesel
this clean energy transformation. generators for back up energy
Several countries, including Belgium, First, the reliability and quality of the generation.
electricity being supplied has been
Spain, France, Japan, Germany, the poor which can be attributed to two
United Kingdom and the United States, factors: the focus on connecting more
support energy projects in Kenya through consumers to the system and the inability However, from the operator’s perspective,
grants and loans. In 2015-16, for example, of the system to accommodate the new it must be acknowledged that it is
finance for electricity projects reached impossible to sell electricity at a price

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