Kenya Electricity Generating Company (KenGen) has recorded its strongest financial performance in nearly a decade.
The strong performance was supported by rising energy demand, expanded clean-energy investments, and ongoing sector reforms, according to senior Government and company officials who spoke during the firm’s 3rd Annual General Meeting (AGM) in Nairobi.
Principal Secretary (PS) for Energy Alex Wachira commended the utility’s performance, noting that improved sales and efficient management had strengthened shareholder value.
“I would like to congratulate the Board of Management for a very good performance; two years ago the share traded at about one shilling and 70 cents. Today the price is around 10 shillings and 30 cents, and it has touched 10 shillings and 50 cents. This shows very good potential,” he said.
Additionally, Wachira announced that KenGen, Kenya Power and Kenya Electricity Transmission Company Limited (KETRACO) are fast-tracking investments to raise national electricity sales from 8.4 GWh to nearly 10 GWh in the medium term.
He pointed to an incoming 250–300 MWh battery energy storage system that will reduce power venting and stabilise evening peak supply, along with several priority transmission projects.
“We are fast-tracking the Bura–Nairobi line for completion by December 2026, the Lessos–Kabarnet line by December this year, and the Mariakani substation in the first quarter of 2026,” reported the PS.
Wachira added that the Suswa–Mariakani 400 kV circuits will significantly reinforce supply to the Coast region, while new 400 kV lines to Thika, Malaa and Konza will enhance reliability and distribution flexibility.
Further, the PS observed that Kenya’s long-term energy expansion including Karura Dam hydropower, Marsabit wind power, additional geothermal phases in Olkaria and the first nuclear power plant, would help the country align with the President’s target of 10,000 MW of new capacity.
“As Kenya grows towards the 10,000 megawatts that His Excellency the President has talked about, we see a very bright future for KenGen,” he asserted.
Speaking at the event, KenGen Board Chair Alfred Agoi insisted that the company had reached a defining moment following the signing of an agreement with the Nuclear Power and Energy Agency (NuPEA) giving KenGen the mandate to develop and operate Kenya’s first nuclear power plant.
“This week we made a giant step by signing an agreement to develop the country’s first-ever nuclear power plant. It will begin with 2 gigawatts and scale to 6 gigawatts in the years ahead. For us at KenGen, this is not just a project. It is a legacy for the nation,” stated Agoi.
The Chair emphasised that nuclear energy will open a new frontier for clean, reliable and transformative power, supporting Kenya’s ambition to become a modern low-carbon industrial economy.
Equally, he added that KenGen’s financial performance had strengthened shareholder confidence.
“This is an expression of our commitment to each other. The benefits of KenGen’s success are shared with our shareholders,” he affirmed.
Notably, the Board Chair reaffirmed KenGen’s commitment to its G2G 2034 strategy, targeting 1,500 MW of new renewable capacity and 500MW of energy storage.
He also mentioned that progress at the KenGen Green Energy Park, now a Special Economic Zone, is attracting major private investments, including a planned green hydrogen and ammonia plant valued at about Sh600 billion and expected to begin production within two years.
Across Africa, Agoi noted, KenGen continues to grow its geothermal footprint, offering drilling services and technical expertise to partner countries, positioning Kenya as a continental leader in geothermal innovation.
“Together, we are building a stronger, cleaner and more prosperous energy future,” he reiterated.
In his remarks, KenGen Managing Director and CEO Eng. Peter Njenga disclosed that the company posted a 54 percent profit after tax increase to Sh 10.48 billion, driven by cost reductions, diversification revenues and improved foreign exchange positioning.
He confirmed that this year’s AGM approved one of the highest dividend payouts in almost ten years.
“Our shareholders’ endorsement is grounded in strong results. Kenya’s electricity consumption reached a record peak of 2,418.77 megawatts in November, signalling accelerated industrialisation and rising economic momentum,” revealed Njenga.
Meanwhile, the CEO pointed out that KenGen is progressing with a 252 MW clean-energy pipeline, including the 63 MW Gitaru modernisation, the 42.5 MW Seven Forks solar project and major hydropower upgrades to support Western Kenya’s industrial growth.
In addition, Njenga claimed that the utility’s geothermal leadership continues to expand across Ethiopia, Djibouti, Eswatini, Tanzania and Bhutan, supported by a strengthened partnership with Toshiba ESS.
“KenGen is not just generating power; we are powering Kenya’s next economic leap and reinforcing the country’s transition to a competitive low-carbon industrial economy,” he maintained.
By Naif Rashid
