KenGen is seeking to attract manufacturers and energy-intensive businesses to its Green Energy Park at Olkaria, using geothermal power to support industrial growth in Kenya.
Kenya is positioning geothermal energy as a tool for industrial growth through the Green Energy Park at Olkaria. Five investors have been announced, but the project’s economic impact will depend on whether commitments translate into operating facilities, jobs and industrial output.
Kenya Electricity Generating Company (KenGen) is using geothermal power to attract industrial investors to its Green Energy Park at Olkaria, as Kenya looks to turn its renewable energy resources into a driver of industrial growth.
The strategy centers on the Green Energy Park at Olkaria, in Naivasha, kenya, where KenGen aims to attract industrial activity by combining access to geothermal electricity with infrastructure and investment incentives. The initiative comes as electricity demand continues to grow. Peak demand reached a record 2,549 MW in the financial year ended June 2026, according to KenGen, as reported by the Kenya Broadcasting Corporation.
For KenGen, the project represents an opportunity to move beyond electricity generation and play a broader role in industrial development. The proposition is significant because the economic value of renewable energy depends not only on decarbonisation, but also on its ability to support manufacturing, create jobs and strengthen local supply chains.
From geothermal generation to industrial development
The Green Energy Park is designed to combine access to geothermal electricity with the infrastructure and regulatory framework required to support industrial investment.
A key milestone came in June 2026, when the site was gazetted as a Customs Controlled Area under Kenya’s Special Economic Zone (SEZ) framework. According to KenGen’s announcement, the designation enables eligible investors to access applicable customs and tax incentives.
These may include duty and tax advantages on qualifying inputs and streamlined customs procedures. The precise benefits available depend on the applicable regulations and each investor’s circumstances, but the designation is intended to improve the park’s attractiveness to industrial users.
The broader model reflects an effort to connect renewable electricity with productive economic activity. For Kenya, the challenge is not simply generating clean power, but using that resource to attract investment and support industrial competitiveness.
Five investors announced, but implementation is the key test
KenGen has announced five investors for the park, spanning digital infrastructure, fertiliser production, electric mobility, steel fabrication and agricultural processing. The company lists the investors and their proposed activities on its dedicated Green Energy Park website.
In July 2026, KenGen announced that Maxim Agri and Samakgro had joined the initiative as its fifth investor. According to the company’s announcement, the partners plan to establish a fish-feed manufacturing facility with a production capacity of eight metric tonnes per hour. The project was valued at approximately US$3.95 million and is expected to use 3 MW of green energy.
The proposed facility illustrates how geothermal power could support manufacturing beyond the energy sector itself. Fish-feed production could serve Kenya’s aquaculture industry, linking energy infrastructure with agricultural value chains.
Earlier, in March 2026, KenGen announced Synergetic Development Group as the park’s fourth investor. The proposed development includes an integrated logistics centre for steel products and a steel fabrication facility expected to use 18 MW of green energy, alongside 10 acres of land and supporting water infrastructure. Details are available in KenGen’s announcement.
These announcements demonstrate investor interest and planned expenditure, but they do not establish that every proposed facility has been completed or entered commercial operation. Announced investments should therefore be distinguished from capital actually deployed, production achieved and jobs created.
That distinction matters when assessing the park’s economic impact. Operating facilities provide a stronger measure of progress than announced projects, particularly when evaluating an industrial development strategy.
Can geothermal power improve Kenya’s industrial competitiveness?
The central business question is whether geothermal electricity can deliver a meaningful competitive advantage for manufacturers.
Geothermal plants can provide steady, dispatchable electricity that supports continuous industrial demand, although actual availability depends on plant performance, maintenance and the wider power system. For businesses that require a reliable supply, this can be an operational advantage.
Reliable generation alone, however, does not guarantee competitiveness. Manufacturers must also assess electricity tariffs, infrastructure quality, water availability, transport links, regulatory requirements and the time needed to establish operations. KenGen presents the park as an opportunity for businesses to access reliable, low-carbon geothermal power. Its Green Energy Park website also advertises direct electricity sales at a competitive tariff. However, the public information reviewed for this.
