Kenya is sharply raising its ambitions for new power generation as demand from industry, mining and the country’s growing digital economy begins to reshape its electricity needs. The country is now targeting 5,500 MW of additional long-term power capacity, up from a previous pipeline of about 1,500 MW, according to KenGen CEO Peter Njenga. The expanded plan includes about 2,000 MW of nuclear power, around 700 MW of additional hydropower and further geothermal development, building on a power system that already gets roughly 93% of its electricity from renewable sources.
Kenya expects to need far more electricity than its existing pipeline can provide. Industrial expansion, mining and new digital infrastructure including potentially large AI and data-centre facilities are expected to drive demand higher. The government therefore wants to expand generation while keeping the electricity system predominantly low-carbon, with geothermal and nuclear providing the firm power needed to complement variable renewable sources. Geothermal is particularly important because Kenya already has extensive experience with the resource, while nuclear is being positioned as a longer-term source of large-scale baseload power. Hydropower will also remain part of the mix, although expanding beyond hydro is important because drought can reduce its output. The strategy is therefore not simply about generating more electricity; it is about creating a larger and more reliable power system capable of supporting energy-intensive industries while reducing exposure to weather-related fluctuations.
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Delivering 5,500 MW, however, will require enormous amounts of long-term capital. KenGen and other state institutions are expected to drive much of the geothermal and hydropower expansion, while Kenya’s nuclear programme is being developed separately with international partners. At the same time, the government is looking to deepen relationships with international financial institutions, while local banks are developing large sustainability-finance programmes that could help channel private capital into renewable energy and other infrastructure. The target therefore is a bet that Kenya can build the financing, infrastructure and reliable clean-power base needed for its next phase of industrial and digital growth.
