Kenya: 'We Will Not Borrow to Build Transmission Lines, We'll Use PPP' - Ruto to Ketraco

Nairobi — President William Ruto has told officials at the Kenya Electricity Transmission Company Kenya Electricity Transmission Company (KETRACO) that the government will no longer rely on borrowing to finance the construction of power transmission lines, insisting instead on the use of Public-Private Partnerships (PPPs).

Speaking during a meeting with KETRACO board members in Mariakani, Kilifi, the President emphasized a shift in infrastructure financing strategy aimed at reducing Kenya's debt burden while accelerating development of critical energy projects.

"Forget about the loans. We are not going to borrow money to build transmission lines, we'll use PPP," Ruto said, underscoring his administration's preference for private sector participation in large-scale infrastructure projects.

The Head of State noted that PPP arrangements would allow the government to leverage private capital and expertise while maintaining fiscal discipline, particularly in the energy sector where expansion of the national grid remains a priority.

KETRACO is central to Kenya's electricity transmission expansion plans, including efforts to strengthen grid reliability, support industrial growth, and connect renewable energy projects to the national network.

The directive signals a continued policy shift by the government toward alternative infrastructure financing models as it seeks to balance development goals with debt sustainability concerns.

AllAfrica publishes around 600 reports a day from more than 90 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.