Connectivity Performance as at 2019

The cost of extending the power supply network remains a major challenge to electrification especially in the country’s rural areas owing to effects of our land tenure system. This has led to dispersed settlement patterns in rural areas making it expensive to extend utility services such as electricity and water.

In view of this, the Last Mile Connectivity Project (LMCP) was launched in 2015 to scale up connectivity in rural and peri-urban areas by providing subsidy for grid extension to enable customers get electricity supply at affordable cost. Besides stimulating economic growth at the micro-economic level and improving quality of lives, LMCP supports our strategy to grow our customer base and electricity sales for long term business viability. Implementation of LMCP is organised in four distinct phases. 

Phase one of the project targets to connect 224,952 customers by maximising electricity connections around 4,856 existing distribution transformers identified across all the 47 counties. This phase of the project is financed by the African Development Bank (AfDB) with a budget of Shs 15 billion. By end of the financial year, a total 109,880 customers had been connected under phase one translating to 49% of the target. Approximately 83% of required distribution power line extensions have been constructed. The project is earmarked for completion in the current financial year.

The second phase of the AfDB funded LMCP has an additional budget of Shs 15 billion. Under this phase, we are aiming to connect 314,200 customers by maximising electricity connections around 5,320 existing distribution transformers straddled across the counties. Design works commenced in January 2018 and the project is expected to be completed in the next financial year.

The World Bank funded phase of the LMCP project targets to connect 200,000 customers by maximising power connections on 3,200 existing distribution transformers. In addition, this phase of the project to be implemented at a budget of Shs 15 billion, involves installation of 1,000 new transformers prioritising areas with high growth potential. Project contractors have commenced works in various sites while procurement of materials for the project is in progress. This project phase is also scheduled for completion in the next financial year.

The fourth phase of the project is jointly funded by the French Development Agency (AFD), European Union and European Investment Bank at a combined budget of Shs 22 billion. We are targeting to connect 296,649 customers using 4,591 existing distribution transformers and install 353 new transformers. Procurement process for contractors is ongoing. AFD is also financing the Transformer Densification project which entails installation of 1,000 transformers on existing medium voltage lines to further provide access to electricity. 

Under the Government funded LMCP, we connected 51,478 customers in the year while the Rural Electrification Authority (REA) added 56,596 new customers to the grid.

Another ongoing project towards increasing electricity access is the Kenya Off-Grid Solar Access Project (K-OSAP) aimed at connecting 277,000 households, 1,097 community facilities and 380 boreholes using solar mini-grids.

The K-OSAP project is at the development phase and will be implemented in 14 least electrified counties in the country.