Economic improvement, increased demand for electricity, Kenya will expand power installed capacity

According to foreign media reports, due to the improvement of the economic situation and the increase in electricity demand, Kenya will increase the installed capacity of electricity by about 40%. The increased installed capacity of 423,000 kilowatts is expected to be installed between July 2006 and July 2008.

Kenya has an installed capacity of 1.032 million kilowatts. Peak demand has increased by 17.2% over the past two years. The country's energy minister believes that the increase in electricity demand is consistent with the national economic recovery. Last year, the country's GDP increased by 4.3%, and this year may be 5%. Analysts believe that the Kenyan economy has shown signs of recovery after the new president took power in 2002.

Although Kenya’s economy is the largest in East Africa, it was badly managed in the late 24 years of the presidency because of poor management and a corrupt economy.

The International Monetary Fund and the World Bank resumed economic assistance to the country in 2003. But not long ago, many donors criticized the country's corruption and sluggish economic reforms that stagnated the economy.
The country's energy minister said that the state-owned Kenyan power generation company expects to install 27,000 kilowatts of new gas-fired power plants, geothermal power plants and hydropower plants, and 30,000 kilowatts of wind power. The independent power generation company installed another 115,000 kilowatts. The country's energy ministry said they have signed a contract with a company to conduct a feasibility study for the eastern coalfields at the end of this year.

After networking in the power grids of Kenya, Uganda and Tanzania, it is expected that more electricity will be available. Electricity trade can take place between Kenya and Tanzania at the end of 2009.
This month China agreed to provide Kenya with 26 billion Kenyan shillings, mainly to expand the country's power distribution system to modernize it.

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