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Kenya's power demand drops as Covid-19 restrictions affect production

Every day's a Sunday as Kenya's power demand drops

In Summary

•Kenya's total installed electricity capacity was 2,818.9 MW at the end of 2019

•KenGen's installed capacity is 1,805.31 megawatts (MW), with 85 per cent from hydroelectric, geothermal and wind power

Kenya Electricity Generating Co. (KenGen), said on Wednesday demand for its electricity had dropped by about eight percent due to restrictions imposed to limit the spread of the new coronavirus, with Sunday usage levels seen throughout the week.

KenGen, which is 70 per cent owned by the government, said the situation in East Africa’s richest economy mirrored the rest of the world as industries and other businesses cut down their activities in response to the pandemic.

“We are experiencing ‘prolonged Sundays’... when typically, consumption goes down due to low demand ... We have almost the same demand for power as on Sundays, and all through the week,” CEO Rebecca Miano said in an emailed response to Reuters questions.

 
 

Miano did not say how the drop in demand would affect earnings or when KenGen expected demand to recover.

Kenya, which has reported 1029 cases of COVID-19 and 50 deaths, has suspended commercial flights in and out of the country, banned public gatherings and imposed a dusk-to-dawn curfew since March.

It has also halted movement in and out of five regions most affected by the virus, including the capital Nairobi.

KenGen has installed capacity of 1,805.31 megawatts (MW), with 85 per cent coming from hydroelectric, geothermal and wind power plants. The country’s total installed electricity capacity was 2,818.9 MW at the end of 2019.

The government expects the economy to expand by three per cent this year, down from a pre-pandemic forecast of more than six percent.

KenGen has been trying to create new revenue streams by providing consultation services for countries around the region for their geothermal power development plans.

Last year, it also secured a Sh7.6 billion drilling contract with state-run Ethiopian Electric Power, and another with independent Ethiopia power producer Tulu Moye worth Sh5.8 billion.

 
 

“Besides Ethiopia, KenGen has been offering commercial geothermal drilling and consultancy services to Djibouti, Comoros and Rwanda,” Miano said.

“The company is also considering geothermal infrastructure tenders in Uganda, Tanzania, and Zambia.”