Investors operating at the KenGen Green Energy Park in Olkaria are set to benefit from enhanced tax and customs incentives following the gazettement of the facility as a Customs Controlled Area, a move expected to accelerate industrial investment and strengthen Kenya’s position as a regional hub for green manufacturing.
The designation, granted to KenGen Energy Services (SEZ) Limited through Kenya Gazette Notice No. 8412 published on June 5, 2026, unlocks the full operational framework of the Special Economic Zone (SEZ) at the geothermal-powered industrial park.
The new status allows investors within the park to access incentives provided under the Special Economic Zones Act, 2015, including streamlined import and export procedures, duty and tax efficiencies on qualifying inputs, faster cargo clearance and simplified regulatory processes.
The Customs Controlled Area designation also establishes the Green Energy Park as a distinct customs jurisdiction where goods entering, moving within and exiting the zone are subject to regulated customs procedures and compliance mechanisms.
Speaking during the announcement, KenGen Managing Director and Chief Executive Officer Eng. Peter Njenga said the gazettement marked a significant milestone in the operationalisation of the Green Energy Park and Kenya’s broader ambition to attract environmentally sustainable industries.
“The gazettement of the KenGen Green Energy Park as a Customs Controlled Area is the operational key that turns our vision into reality. The designation under Kenya Gazette Notice No. 8412 unlocks the full SEZ investment framework at Olkaria, cementing the park’s position as Africa’s foremost geothermal-powered industrial hub,” said Njenga.
He noted that the designation would provide investors with greater certainty by unlocking customs and tax incentives while streamlining trade and regulatory processes necessary for efficient industrial operations.
According to the CEO, the development comes at a time when industries across the world are increasingly seeking reliable and low-carbon production environments to meet sustainability targets and remain competitive in international markets.
“Global industries are increasingly seeking stable, low-carbon production environments. The KenGen Green Energy Park offers exactly that a single investable ecosystem where renewable energy, trade facilitation and industrial policy converge,” he said.
Njenga added that the project demonstrates how Kenya can leverage its abundant geothermal resources not only for electricity generation but also as a catalyst for industrial growth, job creation and economic transformation.
The Green Energy Park, located in Olkaria, Naivasha, has already attracted five investors across strategic sectors including data centres, green fertiliser production, electric mobility, steel fabrication, logistics and manufacturing.
The investments are anchored on the availability of reliable geothermal baseload power, a key requirement for energy-intensive industries seeking affordable and sustainable energy sources.
KenGen says the park is designed to offer investors access to clean geothermal energy, water, land and supporting infrastructure within a favourable business environment, making it an attractive destination for both local and international enterprises.
The company views the project as part of its strategic shift from being solely an electricity producer to becoming an enabler of industrial development and economic growth through value addition initiatives.
Industry analysts have identified access to affordable renewable energy as an increasingly important factor influencing investment decisions as manufacturers respond to global pressure to reduce carbon emissions and adopt sustainable production practices.
By integrating renewable energy resources with trade facilitation measures and investment incentives, the Olkaria facility is expected to enhance Kenya’s competitiveness in attracting industries seeking green production hubs in Africa.
The project also aligns with the country’s Vision 2030 development blueprint and ongoing efforts to expand industrialisation, create employment opportunities and increase the contribution of manufacturing to the national economy.
As the global transition towards low-carbon industrial production gathers pace, the KenGen Green Energy Park is expected to serve as a model for how renewable energy infrastructure can be leveraged to support industrial growth while advancing climate and sustainability goals.
The latest milestone is therefore seen as a significant boost to Kenya’s ambitions of positioning itself as a preferred destination for green investment and sustainable manufacturing on the continent.
By Anita Kariuki
