Kenya Green and Resilient Expansion of Energy Program

The development objective of a Green and Resilient Expansion of Energy Program for Kenya is to increase access to electricity in Kenya in a financially and environmentally sustainable manner. The program for results (PforR) Program is aimed at helping Kenya Power and Lighting Company Limited (KPLC) achieve financial sustainability so that it can embark on an increasing access trajectory towards the goal of universal access by 2030. The PforR Program has four Results Areas: (i) improved sector planning, governance, and generation expansion; (ii) financial sustainability of the power sector; (iii) improved service delivery; and (iv) increased access to electricity. Under Results Area 1, the program will support strengthening of governance and management capacity of KPLC as well as implementation of a corporate turnaround strategy. It will also support strengthening of environmental and social systems and processes of KPLC. Under Results Area 2, the program aims to ensure that KPLC receives sufficient revenues to recover its ongoing costs through implementation of cost-recovery tariff principles while preserving the reduced tariff for poorer households (life-line tariff) in line with the goal of reaching universal access to electricity. Under Results Area 3, the program will build on the achievements of the ongoing World Bank-financed project (KEMP) on system loss reduction and revenue protection and continue investments in distribution network expansion, maintenance, modernization, and adoption of climate resilience towards improving service delivery. Investments in distribution network expansion will be undertaken in tandem with effective Environmental, Social, Health, and Safety (ESHS) risk management to ensure their overall sustainability. Under Results Area 4, the program will promote improvements in rolling out the last-mile electrification program following the updated KNES with better prioritization of site selection based on technical and economic criteria,...