An estimated 20% of the Kenyan population is currently without electricity. Most live in the 14 counties and regions classified as marginalized under the criteria of the Commission on Revenue Allocation (CRA). Of these 14 counties, 13 lie within areas of high solar insolation averaging 6KWh/day.
The government of Kenya, in collaboration with various local and international bodies initiated the extended Kenya National Electrification Strategy (KNES) 2018-2022 to achieve universal electricity access by 2022. The largest project under KNES, the Kenya Off-grid Solar Access Project (KOSAP), which is jointly implemented with the World Bank, has recommended the installation of solar PV micro-grids and Solar Home Systems (SHS) to meet the need for clean, reliable and sustainable electricity for more than 2 million households. This project is estimated to cost $2.75B in subsidies the course of 10 years for 37,500 households to be connected to solar PV mini-grids, and approximately 1.96M households to be connected through stand-alone Solar Home Systems (SHS). Other key players in the universal electrification campaign include the private sector, GIZ, and various other international bodies.
This study uses Homer software to model the performance of very small solar PV hybrid micro-grids (1-20KW) in supplying community energy to very remote areas in northern Kenya. The study uses Levelized Cost of Energy (LCOE), Cost per installed KW, Renewable Fraction (RF), and annual electricity production. It also compares the findings under HOMER to contemporary figures for public micro-grids in Kenya and the region.
The study considers as sensitivity variables, the funding and market discount rates, the market inflation rate, and the fuel price fluctuation.