Kenya’s clean energy sector has received a major boost after the signing of a new $2.5 million (Sh323 million) solar power deal.
The deal between Empower New Energy and Abyssinia Group of Industries expands their renewable energy partnership and will bring the total installed solar capacity at Abyssinia’s steel plant in Awasi to 9 megawatts peak (MWp).
The announcement follows the granting of an Electricity Generation License by the Energy and Petroleum Regulatory Authority (EPRA) to Empower New Energy for a 4 MWp solar plant.
“This fourth solar project with Abyssinia Group is a testimony of the mutual benefits of our partnership,” said Terje Osmundsen, CEO of Empower New Energy.
“Together, we are building one of the largest industrial solar portfolios in Kenya, improving environmental performance while supporting the competitiveness of a leading manufacturer.”
The new project is expected to cut 3,500 tons of carbon dioxide emissions annually, supporting Kenya’s pledge to reduce emissions by 32 percent under the Paris Agreement.
Once fully operational, the 9 MWp industrial solar installation will generate about 14 gigawatt hours (GWh) of clean electricity each year.
This will reduce Abyssinia’s reliance on grid power and diesel, while saving over 7,000 tons of CO₂ annually.
Jateen Patel, CEO of Abyssinia Group of Industries, emphasized the importance of affordable energy in heavy industry.
“By expanding our renewable power portfolio, we are reducing costs, cutting carbon, and showing that African industry can lead the clean energy transition,” he said.
Abyssinia Group of Industries, East Africa’s largest steel producer, operates across Kenya, Uganda, Ethiopia, and Rwanda.
The company said the new solar investment strengthens its journey toward becoming 100 percent powered by renewable energy.
The ground-mounted solar plant will be built and operated by Spenomatic, a Nairobi-based engineering and renewable energy solutions firm.
Spenomatic has installed more than 162 MWp of solar power across East Africa, including over 35 MW in Kenya.
Berjeesh Surty, Managing Director of Spenomatic, added: “We are excited to collaborate on this transformative solar project. Together, we are setting a benchmark for renewable energy in Kenya’s industrial sector.”
The partnership positions Abyssinia Steel as a regional
leader in industrial solar power adoption, highlighting how renewable energy
can drive both sustainability and competitiveness.
