Mini-power grids in the middle of a landscape (Kenya)

Kenya A social business is building electrical mini-grids in western Kenya

Sub-Saharan Africa
DEG
Ventures
Environment & Climate

Many rural regions of Kenya are without a connection to the national electrical grid, and the local population has previously been able to use only unsustainable energy sources such as kerosene, firewood or charcoal. The Portuguese social business RVE.SOL recognised renewable energy as a viable solution which also has great commercial potential. It installed mini-grid solutions in several villages in western Kenya which are producing clean energy independently of the national electrical grid. The flexible and individually modifiable green mini-grids also produce clean drinking water. RVE.SOL wanted to scale up this business model within a few years and supply 50,000 households and companies with electricity and clean drinking water. The investment project was cofinanced to the amount of EUR 100,000 by DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ). This was done within the framework of develoPPP Ventures start-up funding.

There is great demand for clean, affordable and reliable energy in the rural regions of Kenya and many other countries. However, national grid construction in Kenya is proceeding only slowly, and is very expensive. This leads to great interest in local and affordable solutions for electricity supply. Green mini-grids are sustainable and easily implemented. At the same time, installation of the solar power arrays and other supplementary components such as drinking water treatment and biogas plants is a future-oriented business sector.

The Kenyan Government also regards the mini-grids as a cheap and efficient option for supplying remote rural areas with electricity. It is further committed to improving population access to clean water.

RVE.SOL installed a pilot mini-grid in western Kenya in 2011, and has since extended this to other municipalities to supply over 3,500 households with electricity and drinking water. To upscale this successful model, initially in Kenya and then throughout East Africa, RVE.SOL formed KUDURA Power East Africa Ltd. The goal is to be the leading developer and operator of green mini-grids. Subsequently InfraCo Africa invested in the company to fund the next phase of growth.

The KUDURA system is housed in a secure, weatherproof container which holds a drinking water treatment system and an electricity supply primarily based on solar technology. The drinking water is taken from local sources and purified by ultrafiltration. The system can also turn cow dung into biogas, giving people a clean alternative to cooking with firewood or charcoal. The whole plant is monitored and controlled by a central remote system. RVE.SOL’s own smart meter system (kPOWER) manages all the data and offers various mobile payment options.

In Swahili, KUDURA means “power to change”. We want to offer people in rural regions new prospects through affordable and climate-friendly energy and clean drinking water, and are using a sustainable business model and locally appropriate technological solutions for this.
Vivian Vendeirinho, CEO Kudura
Man grabs a drink from a fridge (Kenya)
Connecting households to the mini-grids also enables refrigeration of food and beverages. Photo: Kudura Power East Africa (KPEA)
Street lamp illuminates a street (Kenya)
The energy generated is also used for street lighting. Photo: Kudura Power East Africa (KPEA)

Despite the restrictions imposed by the COVID-19 pandemic, KUDURA has evolved in recent years into one of Kenya’s biggest private mini-grid developers The company acquired new investors and partners for installing more mini-grids, and connected over 3,500 households and 10,000 customers to its local electricity grids. The KUDURA system is easy to install and maintain, and should have a service life of at least 20 years.

The green electricity supply and avoidance of expensive kerosene or diesel offer the population new sustainable development prospects, and the availability of clean drinking water improves their health. In this way, profit for the company goes hand-in-hand with climate and environmental protection and improved living conditions for the population.

DEVELOPMENT SUCCESSES

Lightning and water droplet

4,000 households have already been connected to a mini-grid

Workers

47 new jobs were created

[Translate to EN:] CO2 Cloud

The use of renewable energy has saved 33 metric tonnes of CO2

BUSINESS SUCCESSES

Globe with pin

KUDURA has become one of Kenya’s biggest private mini-grid developers

Stacked coins

Thanks to new investors and partners, KUDURA can build more mini-grids

develoPPP Ventures

develoPPP Ventures is aimed at young companies that are already active with an innovative business model in a developing or emerging country and now want to take the next step. Within the framework of a matching funds model, a public growth investment of 100,000 euros is possible.

KUDURA logo

KUDURA Power East Africa

KUDURA is a wholly-owned subsidiary of RVE.SOL (Rural Village Energy Solutions), a Portuguese social business. RVE.SOL develops and operates green mini-grids in Kenya, Mozambique and Madagascar.

KfW logo

DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH

As subsidiary of KfW, DEG promotes the social and ecological transition of the private sector in developing and emerging-market countries. It supports partner companies with financing expertise and entrepreneurial know-how to implement impactful develoPPP projects under their own management.

Vivian Vendeirinho
Vivian Vendeirinho CEO KUDURA Power East Africa
Dr. Lars Oehler
Dr. Lars Oehler Project manager develoPPP DEG Impulse gGmbH