The Kenya Electricity Transmission Company Limited (KETRACO) has today signed a transformative Public-Private Partnership (PPP) agreement with a consortium comprising Africa50 and Power Grid Corporation of India, marking a significant milestone in the expansion and modernization of Kenya’s power transmission network.
The project, valued at USD 311 million (KES 40.4 billion), will be fully financed and implemented by the private sector with no public funds committed. It involves the design, construction, financing, operation, and maintenance of two key high-voltage transmission lines and associated substations, aimed at enhancing grid reliability, integrating renewable energy sources, and strengthening power supply across Western and Northern Kenya.
The project proponent is a consortium of Africa50, a pan-African infrastructure investment platform backed by 33 African governments, two African Central banks, the African Development Bank Group, and the Public Investment Corporation of South Africa, and the Power Grid Corporation of India, one of the world’s top three power transmission utilities, responsible for transmitting 50 per cent of India’s electricity.
This project was initiated as a Privately Initiated Proposal (PIP) in 2018 and approved for procurement through PIP, under Section 61 of the PPP Act 430 in July 2021.After a thorough technical, financial and legal review, the project and its agreement received the necessary approvals from the PPP Committee on 24th July 2025; KETRACO’s Board of Directors on 7th August 2025; legal opinion and clearance from the Office of the Attorney General on 10th September 2025 and regulatory clearance from The Energy and Petroleum Regulatory Authority (EPRA) on 16th October 2025 to culminate in the signing of the Project Agreements on December 15, 2025.
The PPP project comprises two major transmission lines:
· The approximately 180km 400kV Lessos–Loosuk double circuit transmission line, with new 400/220kV substation at Lessos and 400kV switch station at Loosuk. The line which will traverse Nandi, Elgeyo Marakwet, Baringo, and Samburu counties and will become a key alternative route for evacuating up to 300 MW of wind from Lake Turkana Wind Power Plant and provide a reliable evacuation path for the proposed geothermal power from the North Rift geo-complex in Baringo County.
· The approximately 72km 220kV Kibos–Kakamega–Musaga double circuit transmission line including 2x45MVA 220/33kV substation at Kakamega, 2x90MVA