The Sun Rises in the East (of Africa): The Development and Status of the Solar Energy Markets in Kenya and Tanzania

Abstract

This paper describes and analyses the historical development and current status of the solar energy markets in Kenya and Tanzania. It examines the development of both the Kenyan and the Tanzanian solar energy markets since their beginnings in the 1970s, their current size and structure and it presents forecasts for their future development. The paper is based on an extensive literature survey that takes account of academic as well as ‘grey’ literature. The literature review has been complemented by 25 personal in-depth interviews with leading experts on the East African solar energy market. In the paper it is shown that the solar market of Kenya is one of the world’s leading markets for off-grid solar uses, with an installed capacity of around 10 MWp and over 300,000 solar home systems. The Tanzanian solar market is found to have developed much later than the Kenyan market and to remain smaller than its neighbor, with an installed capacity of around 4 MWp and 40,000 solar home systems. In addition to solar home systems, other segments for uses of solar energy in social institutions, telecoms and tourism are also covered.