Kenya Advances Toward Renewable Energy Auctions

The country works with IRENA, GET.transform and GIZ Kenya, under the APRA Programme to build competitive renewable energy procurement skills
(c) IRENA

Kenya is moving decisively toward modernising its power procurement system following the Renewable Energy Policy and Auction Design Workshop held in Nairobi earlier this month. Organised by the International Renewable Energy Agency (IRENA) under the Accelerated Partnership for Renewables in Africa (APRA) and in partnership with Kenya’s Ministry of Energy and Petroleum (MoEP), the workshop brought together around 40 representatives from government bodies, private sector, academia, civil society, and international organisations to advance on Kenya’s Renewable Energy Auction Policy (REAP).

Meeting Kenya’s goal of 100% sustainable electricity will require significant investment in clean technologies, grid modernisation and strengthened institutional capacity. Renewable energy auctions are central to this effort, providing a transparent and competitive process for procuring new capacity while enabling alignment with national priorities, including affordability, reliability and socio-economic development.

IRENA presented its comprehensive framework for auction design, covering key components such as auction demand, qualification requirements, technology parameters, winner selection process and risk allocation. Discussions focused on adapting these elements to Kenya’s context to achieve least-cost procurement and long-term policy objectives.

GET.transform and GIZ Kenya contributed a dedicated session sharing findings from the recent APRA Skills for Power Procurement training. These insights provided practical grounding for discussions on risk allocation, bid evaluation and bankability. Interactive sessions, including group work and simulations, helped crystallise the practical steps needed for Kenya’s auction preparation.

A key outcome was the Government of Kenya’s announcement that it will engage a transaction adviser to support the country’s first renewable energy auction, with an ambition to implement the auction before or by early 2027.

 

Moments during the workshop. All images (c) IRENA