The Cooperative University of Kenya has revealed plans to develop a 40MW solar power plant that will feed electricity into the national grid, following approval from the Energy and Petroleum Regulatory Authority (EPRA).
University Chancellor Dr Benard William Chitunga revealed the plans and said the solar project carries an estimated cost of US $50M and will be delivered through a strategic partnership with Chinese firm Dahai Shandong.
Dr Chitunga explained that the initiative will be implemented under an innovative financing model in which the private partner will fund, construct and operate the facility for a defined period before transferring ownership to the university.
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Budget management
Under this arrangement, the university will avoid the heavy upfront capital costs while still benefiting from reduced electricity expenses and modest revenue generated from power sales. He noted that neither the university nor the National Treasury had the capacity to fully finance such a large infrastructure project independently.
Once operational, the project will position the institution as the first university in Kenya to generate power at utility scale. The chancellor said the project is designed not only to supply clean energy to the national grid but also to demonstrate alternative financing approaches that can support large-scale infrastructure development. He emphasised that partnerships of this nature are increasingly necessary if Kenya is to meet its growing energy demand.
Dr Chitunga observed that electricity costs in Kenya remain high and that the country’s proposed 10,000-megawatt expansion of generation capacity cannot be achieved through public funding alone. He argued that mechanisms such as infrastructure investment funds and sovereign wealth funds are critical to mobilising private capital for energy projects.
He added that the solar plant is expected to be commissioned later in the year, after which the university will closely track its financial performance. Power generated from the facility will be supplied to the national grid, contributing to lower electricity costs for consumers.
To illustrate the scale of private capital available globally, Dr Chitunga cited international examples of wealth mobilisation, noting that similar approaches could be applied locally to accelerate infrastructure development.
According to the chancellor, the project aligns with Kenya’s broader objectives of expanding electricity access, strengthening energy security and promoting sustainable development. He stressed that innovation in financing is just as important as innovation in technology.
He concluded that the solar initiative will enable the Cooperative University of Kenya to play an active role in national power generation while delivering long-term benefits to the institution and the wider community through cost savings and increased clean energy supply.
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