Kenya has surpassed Sudan and Djibouti to emerge as the leading importer of Ethiopian electricity, purchasing power worth Sh1.634 billion in the year leading to July 2024. The imports have strengthened Kenya’s energy supply, reducing reliance on costly thermal power.
Kenya Power CEO Joseph Siror highlighted that Ethiopia now supplies about 10% of Kenya’s electricity, enhancing grid stability and supporting growing demand. The latest figures show a significant rise from the previous year when Kenya’s imports were valued at Sh514.48 million.
Kenya began sourcing power from Ethiopia in 2022 under a 25-year agreement, securing electricity at a lower cost than domestic independent producers. Ethiopia Electric Power (EEP) reported earnings of 27.04 billion Birr from power exports in the same period, with Kenya’s share reaching 13.4% of the total revenue. Djibouti followed as the second-largest buyer, while Sudan ranked third.
The cross-border energy deal allows Kenya to import up to 200 megawatts for the first three years, with capacity set to double thereafter. A key part of this partnership is the 1,045-kilometre transmission line connecting Ethiopia’s Wolayta-Sodo to Kenya’s Suswa, using High Voltage Direct Current (HVDC) technology for efficient electricity transfer.
The initiative marks a major step in regional energy cooperation, with Ethiopia supplying hydroelectric power while Kenya contributes geothermal and wind energy. With pricing set for review every five years, Kenya Power has the option to renegotiate rates starting in 2027.