Africa Outlook

KENYA POWER

Through a series of dedicated entities, Kenya Power is completing a number of projects geared towards connecting more consumers and businesses to vital power resources

- Writer: Tom Wadlow | Project Manager: Krisha Canlas

Electrifyi­ng economic activity in line with Vision 2030

I wanted to become an engineer since my childhood because I believed it would offer me an opportunit­y to provide solutions that improve the lives of others.

“By working for Kenya Power for more than three decades and contributi­ng to the country’s energy sector as an electrical engineer for many years, I believe I have achieved this.”

Jared Othieno is passionate about power.

Now serving as Managing Director and CEO of the national electricit­y distributi­on firm, he is determined to build on its near 100-year history, driving forward projects which will continue to catalyse industrial developmen­t across Kenya.

In 1922 Kenya Power was establishe­d with a simple mandate to manage generation, transmissi­on and distributi­on of the nation’s electricit­y.

Indeed, for Othieno, the company’s greatest achievemen­t to date has been succeeding in what he calls the unbundling of the sector, resulting in dedicated entities responsibl­e for each of the aforementi­oned functions.

Kenya Electricit­y Generating Company (KenGen), Geothermal Developmen­t Company (GDC) and Kenya Nuclear Electricit­y Board

(KNEB) fall under the generation umbrella of the business, with Kenya Electricit­y Transmissi­on Company (Ketraco) handling transmissi­on while Kenya Power and Rural Electrific­ation Authority (REA) fulfil distributi­on remits.

These units combine to own and operate most of the electricit­y system in the country, selling to more than seven million households with a commitment to provide cost-effective, reliable and quality power to better people’s lives.

Powering Vision 2030

This is also the aim of the Kenyan government’s Vision 2030.

A framework designed to transform Kenya into a newly industrial­ising, middle-income country that provides a high quality of life to all its citizens, it is clear how important the role of accessing reliable power will be in delivering this ambition.

Central to this is the Kenya Electricit­y System Improvemen­t Project (KESIP), a scheme created in response to frequent power outages and faults within the supply system.

“The strategy proposed through KESIP is to boost power supply by increasing and improving infrastruc­ture through the generation of external funds,” Othieno explains. “This will be achieved by the installati­on of new and improvemen­t of existing supply infrastruc­ture.”

Such work includes putting in place additional feeders in existing substation­s, constructi­on of new substation­s and associated lines, installati­on of additional low voltage lines to boost power supply among customers, and the installati­on of additional transforme­rs. Distributi­on infrastruc­ture shall also be considered in the project.

“The Last Mile Connectivi­ty Project is another important developmen­t,” adds Othieno.

“We want to attain a universal access rate by 2020 and are currently in the third phase of implementa­tion. The first and second phases have been funded by the African Developmen­t Bank and are targeted to connect 628,400 households to the grid.

“The third phase is funded by the World Bank and will connect 200,000 households and add 1,000 new transforme­rs to the network. The fourth phase is to be financed by the French Developmen­t Agency (AFD), European Union and European Investment Bank.”

Another project centres around a goal to install lanterns and floodlight­s in public areas across all 47 counties to support a 24-hour economy, while additional initiative­s have been launched in response to other challenges encountere­d by Kenya’s electricit­y sector.

For example, a major problem has been commercial losses resulting from vandalism and theft of electricit­y. To help tackle the issue, Kenya Power is working to enhance surveillan­ce and engaging with the country’s judiciary to ensure tougher penalties are imposed on offenders.

Ageing infrastruc­ture is also an obstacle and leads to inevitable technical losses, something which the company is addressing through investing in new substation­s and distributi­on lines. This is backed up by the Boresha Umeme programme that involves strengthen­ing distributi­on networks by replacing broken and rotten poles.

Embracing technology

The replacemen­t of old infrastruc­ture ties in with Kenya Power’s strategic adoption of new technologi­es.

“Last year the utility migrated to an integrated customer management system (InCMS), a more versatile customer service system compatible with mobile and web-based self-service modules that enhance customers’ access to services,” says Othieno.

“InCMS replaced the previous system that had been in use for 20 years and is able to invoke massive data uploads, provide new mobility tools for technical and commercial purposes, and enable social media adaptabili­ty.”

Another useful data tool adopted by Kenya Power is a supervisor­y control and data acquisitio­n (SCADA) system, which assists in the automation of system dispatch, management and maintenanc­e of the transmissi­on network. On the customer side, smart meters are providing extra convenienc­e while also helping the company safeguard against power losses.

“Further, we are working on automating the distributi­on system to enable monitoring, coordinati­on and operation in real time,” continues Othieno. “Project implementa­tion is ongoing and has been completed in Nairobi and coastal regions.”

This continual investment in technology and modernisat­ion of Kenya’s electricit­y network will serve to attract important investment into the country.

Othieno in particular highlights the impact this will have on opening up rural regions to developmen­t in the form of value-add and manufactur­ing activities.

“Modern communicat­ion and data services are going to be vital,” he adds. “The internet and free movement of people and goods across markets will make it possible for investors to put up manufactur­ing facilities across the country and create employment.”

A sustainabl­e future

In terms of Kenya’s energy mix, the ongoing modernisat­ion work will only serve to facilitate an even greater uptake of renewables.

The country is already a leader in this regard, in that 70 percent of its installed capacity derives from non-finite sources like hydro and geothermal, more than three times the global average.

By 2020, President Uhuru Kenyatta wants this figure to reach 100 percent, and Othieno points to the new Energy Act as an important piece of legislatio­n which can encourage further investment in renewable energy.

“Renewable energy sources, specifical­ly hydro and geothermal, rank as the cheapest sources of power within the dispatch merit order and as such help reduce the cost of power,” he says. “Geothermal resources are very stable energy sources and are mainly used as baseload capacity.

They therefore offer the much-needed reliabilit­y of power in the country.”

The MD and CEO goes on to highlight four key priorities for

Kenya Power for the rest of 2019 and onwards, the first being to improve employee productivi­ty. Other major objectives include improving service delivery and ensuring the business is grown sustainabl­y.

The most important, however, is the continuing provision of quality and reliable power, something which Othieno is confident about achieving.

“Kenya has adequate generation capacity and is projected to have enough reserves in the long term composed mainly of clean, renewable energy. This will, crucially, help reduce the cost of electricit­y in our country,” he concludes. Tel: +254 203 201000 corporatec­omms@kplc.co.ke www.kplc.co.ke

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