World Bank’s Sh290m to light more homes with low-cost energy

 

The Central Bank of Kenya. The country will auction 20-year Treasury bond worth up to Sh10 billion in May. FILE  Nation Media Grou

GLANCE FACTS

Affordable off-grid lighting products have the potential to transform the lives of many Kenyans,”
— Itotia Njagi, Lighting Africa manager.

By NICHOLAS WAITATHU
More than 30 million Kenyans will benefit from low-cost alternative sources of energy, thanks to a Sh290.5 million programme by the International Finance Corporation (IFC)


Currently, about 25 per cent of Kenyans benefit from the national grid. Development partners attribute the low numbers to the country’s limited energy production and high level of poverty.


Lighting Africa seeks to accelerate the development of markets for modern low cost off-grid lighting products in Kenya and ten other African countries.


Various goodies
Itotia Njagi, IFC Lighting Africa manager said some of the off-grid products to be procured and distributed include tin lamps, gas lamps and fuel such as wood

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Others are solar, electricity, pressure lamps, and lanterns.  Njagi said the programme aims to mobilise and provide support to the private sector to supply quality and affordable safe lighting to those living in areas not connected to the electricity grid.


Under the programme, local distributors will be linked to 29 international manufacturers, out of which 16 have already established subsidiaries in the country.  “The local distributors being sought will be connected to the international manufacturers once their business profiles have been well scrutinised,” he confirmed. Based on 2009 Population and Housing Census Results, only 8.7 million Kenyans have access to various forms of lighting such as tin lamp, gas lamp, fuel wood and solar among others. “Affordable off-grid lighting products have the potential to transform the lives of many Kenyans,” Njagi said.



 “People living in rural and peri-urban areas stand to benefit the most from these innovative products, including lanterns and torches using renewable energies.”


Low usage
He said of the 8.7 million Kenyans enjoying various forms of lighting, 23 per cent use electricity, 0.6 use pressure lamp and 30 per cent lantern.

 
Tin lamp users stands at 38 per cent. Others enjoy lighting that comprise of gas lamp, fuel wood and solar consumers who stand at one per cent, 4.5 per cent, and 1.6 per cent respectively.
 

GLANCE FACTS

Affordable off-grid lighting products have the potential to transform the lives of many Kenyans,”
— Itotia Njagi, Lighting Africa manager.

“In the rural areas, 2.6 million households use tin lamp, accounting for 49 per cent of the total forms of lighting facilities used in the countryside. In urban areas, half of the population use electricity, representing 50.4 per cent. 


“A Kenyan household uses between US$80 (Sh6,680 and US$100 (Sh8,350) per year on kerosene, which can be enough to procure a solar lantern,” Njagi stated.


He said since 2009, Kenyans especially those in the rural areas have procured more than 400,000 solar lanterns, adding the solar lantern market is growing at 158 per cent annually. For interested national and regional distributors to qualify for the supply business, one needs to meet certain benchmarks.


They include  being financially sound, good marketing and sales structures that can integrate an additional small-sized service. Others are having a maintenance unit, effective distribution network in specific counties, towns, rural areas, and regions.


The companies must also have a good relationship with key retail channel countrywide.