The United States has raised questions over financing for a major energy project in Kenya, with U.S. Energy Secretary Chris Wright criticising international lenders for failing to support the development of a coal-fired power plant.

🇰🇪 Breaking It Down

Speaking during a discussion on the future of U.S.-Africa energy cooperation hosted by the Center for Strategic and International Studies (CSIS) on Friday, September 18, Wright said the Kenyan project had struggled to secure funding from international development banks, commercial lenders and governments.

“They’ve been trying to build a coal-fired power plant in Mombasa, in Kenya for years. And no one, no international development bank, no commercial bank, no government would fund that,” Wright said.

He questioned the financing restrictions facing African energy projects, arguing that countries on the continent should be able to develop different energy sources based on their own needs and resources.

📌 What You Need to Know

“That’s nuts. And it’s wrong,” Wright said, while discussing the challenges facing energy development in Africa.

The U.S. Energy Secretary said the Trump administration wanted to work with African countries to develop the energy resources they choose, including coal, natural gas, oil refineries, small modular reactors, geothermal and solar power.

He also cited Kenya's geothermal resources as an example of the country's potential to develop its own energy sources, placing the country within a wider discussion on expanding energy access and investment across Africa.

Wright did not announce that the United States would finance the Kenyan coal project, nor did he identify a specific institution that should provide the funding. His remarks instead focused on what he described as barriers preventing African countries from accessing financing for energy projects.

The development comes at a time when Kenya is eyeing new energy projects along the Coast, including a proposed 1,000-megawatt liquefied natural gas power plant linked to Nigerian billionaire Aliko Dangote's planned refinery in Lamu.

Kenya is negotiating with Dangote Industries to increase the planned capacity of the refinery's power plant to 1,000MW, with the facility expected to provide electricity for industrial operations and potentially supply excess power to the national grid.

📰 Source: Kenyans.co.ke