- Kenya’s government approves the lifting of the PPA moratorium.
- The new framework will enable the State to procure clean energy at market-based prices.
The Cabinet chaired by President William Ruto granted approval for lifting the Power Purchase Agreements (PPA) moratorium yesterday, the last day of February.
The aim is to bolster the country’s energy security by facilitating the inflow of investments in the energy sector.
Additionally, the Cabinet has endorsed a framework for the transparent engagement of independent power producers in line with the Renewable Energy Auction Policy.
According to a communication from the State House, the policy framework deviates from the current system of negotiated procurements or feed-in tariffs (FITs).
The new framework will enable the State to procure clean energy at market-based prices, which will lead to competitive pricing for consumers. This will ultimately result in better pricing and more significant benefits for the consumers.