High total cost: Why KPLC is concerned over increased use of solar, wind power

This story has significance for readers across Kenya and beyond.

- Kenya Power cautioned that the rapid uptake of wind and solar energy is straining the national grid and affecting electricity costs

- The utility's CEO revealed Kenya's variable renewable energy share already exceeds the globally recommended 15% grid capacity limit

- Kenya Power is advocating for greater investment in geothermal, hydro, and battery storage to stabilise the grid

Kenya Power has warned that the country's growing reliance on wind and solar energy could increase electricity costs for consumers if the pace of adding such sources to the grid is not carefully managed.

The utility made the disclosure on Tuesday, 11 August 2026, through a statement urging a more measured approach to onboarding Variable Renewable Energy (VRE) sources, citing risks to grid stability and the rising cost of supplementary power generation.

Kenya's VRE Share Already Above Safe Limits

According to Kenya Power, wind and solar currently account for 34% of the total energy mix during peak daytime demand of 1,900 MW and 36% during low-load demand of 1,200 MW.

The company noted that global benchmarks recommend VRE should not exceed 15% of a grid's total firm capacity, yet Kenya's share has already surpassed 20%.

Managing Director and Chief Executive Officer Joseph Siror said the country's existing power purchase agreements compound the problem.

Under the current take-or-pay model, Kenya Power is obligated to pay some generators even when their output is not required, which drives up overall supply costs.

"Our current system under the take or pay model of power purchase has led to an increase in VRES to over 20% against a recommended average of 15%. Given the intermittent nature of wind and solar, we have no option but to dispatch and pay for generators, increasing the overall cost of power," Siror said.

When wind and solar output drops unexpectedly, Kenya Power must rapidly bring additional generation plants online to prevent blackouts, a process that carries extra costs ultimately passed on to consumers.

Geothermal and Hydro Preferred for Stability

Siror said battery storage has been proposed as a solution for VRE but acknowledged it still faces limitations when wind and solar production dip simultaneously. He argued that geothermal and hydro remain the more reliable foundation for the grid.

"The true cost of VRES is its own cost and the additional power that we pay for to stabilise the grid. Therefore, investments in geothermal and hydro offer greater grid stability and ensure the grid can recover and remain productive when intermittent sources are unavailable," he said.

Kenya Power noted that within the Eastern Africa Power Pool, the country has the highest VRE dependence in the region. Egypt's VRE share stands at 10.4%, Ethiopia at 5.3%, Uganda at 4%, and Tanzania at 1.2%.

Several new baseload projects are set to be introduced to strengthen grid reliability, including the KenGen Olkaria 1 (61MW), KenGen Olkaria 7 (80MW), Globeleq Menengai (35MW), and a 200MW import arrangement with Ethiopia.

Plans to raise the Masinga Dam level by 1.5 metres are also expected to add 83GWh of generation capacity annually. Longer-term projects under consideration include a proposed 300MW LNG power plant, the 700MW High Grand Falls project, and the 90MW Karura Falls development.

Source: TUKO.co.ke

Reporting originally appeared via TUKO. Read the full source for additional context.