Australia and Kenya have signed a deal for the development of sustainable green industries. The investment agreement includes the development of 300 megawatts of green energy and a fertilizer facility in Naivasha, Nakuru city. The project will be overseen by Australia’s Fortescue Future Industries (FFI), and it is the first of three projects that FFI will invest in green energy and manufacturing in Kenya. The initiative aims to accelerate the phasing out of fossil fuels in Kenya and reinforce its position as a global leader in renewable energy.
According to a statement from the President’s office, the project will supply electricity to Kenya’s grid, providing affordable fertilizers to the market and enabling farmers to produce and earn more. Kenya’s Energy Cabinet Secretary Davis Chirchir and his Treasury counterpart Njuguna Ndung’u were present during the signing of the deal, alongside FFI Executive Chairman Andrew Forrest at State House, Nairobi.
President William Ruto emphasized that the initiative is a proactive solution to the global climate crisis, with Kenya “walking the talk” by taking steps towards sustainable development. The FFI deal is the first of many investments that will develop green industrial facilities in other parts of the country, creating thousands of new jobs and delivering significant manufacturing and industrial development to Kenya.
The agreement entrenches Australia’s commitment to fast-track significant investment in green industries in Kenya. Australia has long leveraged Kenya’s stature in East Africa, standing out as the largest economy. The two countries have had a two-way trade basket that hit a record $500 million in 2021. Wheat and minerals are Australia’s main exports to Kenya, while coffee and vegetables make up the bulk of imports.
The signing of the deal between Kenya and FFI comes on the same day that the European Union committed to supporting green energy projects in Kenya with $20.7 million. The investment will further accelerate Kenya’s goal of becoming a leader in renewable energy and sustainable development in the region.
In conclusion, the investment deal between Kenya and Australia’s FFI will accelerate the development of sustainable green industries in Kenya. It will provide affordable fertilizers to the market, create thousands of new jobs, and reinforce Kenya’s position as a global leader in renewable energy. The agreement demonstrates Australia’s commitment to fast-tracking investment in green industries in Kenya and strengthening the trade relationship between the two countries.