Kenyan Electricity Generating Company (KenGen) Plc has been given a green light to sell 4.6 million tonnes of carbon emissions earned over the last 1 and half years.
This move follows the finalization of the verification of the issuance of a cumulative 4,617,309 tonnes of Carbon Emissions to six KenGen projects by the United Nations Framework Convention on Climate Change (UNFCCC).
KenGen Managing Director and CEO Rebecca Miano hailed the approval as a boost to the company’s lead in climate action not only in Africa but also in the world.
“KenGen has so far developed and registered Six (6) Clean Development Mechanism (CDM) Projects comprising of Olkaria II Geothermal Expansion Project, Redevelopment of Tana Hydro Power Station Project, Optimisation of Kiambere Hydro Power Project, Olkaria IV Geothermal Project, Olkaria I Units 4&5 Geothermal Project and Ngong Wind,” Miano said.
The first KenGen project to be issued with carbon credits under the CDM initiative was the Tana hydroelectric power project which received 57,458 in march last year.
The CDM projects contribute to national sustainable development by providing clean energy which ensures improved environmental quality, positive health impacts, and increased productivity.
Kenya has an estimated potential of 10,000MW of geothermal along the Rift Valley.
As a way of enhancing its portfolio of climate change mitigation projects, the Company intends to incorporate additional geothermal, wind, and solar projects which will further reduce carbon emissions annually, in the process reducing the impact of climate change on the environment.
In June this year, KenGen joined a UN-backed emissions-reduction program as it looks to begin a domestic carbon market.
Under the project, the company commits to emission-reduction targets through investments in green and clean energy to help combat global warming, as per the 2015 Paris Agreement guidelines.
In May, National Treasury Ukur Yatani said Kenya is in the advanced stages of establishing a National Carbon Credits and Green Assets Registry, under which its emissions trading system will operate.
The Capital Markets Authority (CMA) and the Nairobi Securities Exchange (NSE) held talks with KenGen to start carbon trading on the derivatives segment of the market this year.
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