Adani Energy Solutions, a power distribution arm of India’s Adani Group has announced plans to construct a transmission lines and substations worth US $900M in Kenya.
The plans which follows a green light from the country is part of Kenya’s broader efforts to upgrade its aging power distribution infrastructure, which has been plagued by inefficiencies and frequent outages. This significant progress was highlighted in the Treasury’s draft Budget Policy Statement (BPS), outlining the project’s evolution and future trajectory.
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PPP project
The initiative involves construction of construction of 371 kilometers of power transmission lines and five substations in Eastern and Western parts of the country. The project development or feasibility study report, a crucial milestone in the project’s lifecycle, was completed and submitted in May 2024.
This project, will be undertaken under a Public-Private Partnership (PPP). Kenya’s reliance on PPPs for infrastructure development has grown due to increasing national debt, which has constrained government spending on critical projects like roads, power lines, and airports.
By revamping the existing infrastructure, the project seeks to minimise energy losses, commonly called ‘leakages’, and significantly reduce the frequency and duration of power outages that have long plagued the country.
