Sh1.7 billion Taunet hydropower project to lower tea energy costs

LINET WAFULA -KNA

The government has made efforts to reduce the cost of tea production in Nandi County.

During the launch of the Sh1.7 billion Taunet Small Hydropower Project, the Head of Public Service Felix Koskei said the plant is a key to lowering manufacturing costs, particularly electricity.

The project being implemented by the Kenya Tea Development Agency, through Chemuka Power Company Limited, is expected to generate between 2.8 megawatts of clean energy using a runof-the-river system along Yala River.

“By harnessing the power of River Yala through a run-of-the-river system, we are adopting a clean, sustainable, reliable source of energy, one that will serve Chebut, Kaptumo, Mudete and Kapsara tea factories and by extension the thousands of farmers who depend on them,” he said.

Koskei emphasized the need for factories to adopt cost-cutting strategies, including investing in self-generated power, to reduce production expenses and improve farmer returns.

He lauded farmers for their critical role in sustaining the country’s economy, noting that agriculture remains central to food security, foreign exchange earnings, and education.

“Farmers are holding the economy of this country. We must ensure good governance in our factories, eliminate wastage and mismanagement so that farmers can get value for their produce,” he said.

He commended Kaptumo Tea Factory for its strong performance, urging other factories to emulate its standards while maintaining accountability and transparency.

The Chief of Staff also challenged farmers to take advantage of emerging global markets, particularly China, which he described as a major opportunity for Kenyan tea exports. 

“With a population of over 1.5 billion people compared to Kenya’s 50 million, China presents a huge market. Farmers should increase production to meet this demand,” he said.

At the same time, Koskei encouraged diversification, urging farmers to venture into dairy farming, avocado growing, sugarcane, and coffee cultivation to cushion themselves against price fluctuations in the tea sector.

“We want this region to be a hub of cash crops so that when one crop fails or prices drop, another sustains farmers’ incomes,” he added.

Agriculture Principal Secretary Dr. Paul Rono said the Taunet hydropower project expected to be completed in 15 months will significantly reduce electricity costs for tea factories and improve efficiency and profitability.

He added that the government has put in place mitigation measures to shield farmers from global shocks including disruptions caused by international conflicts.

KTDA Holdings Acting Group CEO Eng. Francis Miano described said the project will address high energy costs, one of the biggest challenges facing tea production.

“This project will deliver lower energy costs, reliable power supply, improved efficiency, and ultimately better returns for farmers.

It reflects our ‘Farmer First’ commitment,” Miano said. Area MP Josses Lelmengit termed the project as a major milestone in strengthening renewable energy and supporting the tea sector.

“Once completed, it will provide clean and affordable electricity to Chebut, Kaptumo, Mudete, and Kapsara tea factories, helping lower production costs, support the regions socio economic development and improve returns for our hardworking farmers,” he said.

Stakeholders said the project underscores the government’s commitment to sustainable energy, agricultural value addition, and rural economic empowerment, with thousands of smallholder tea farmers expected to benefit upon its completion.