KenGen is telling its story so that you not only help them to build a strong brand, but also open new horizons as different stakeholders become aware of KenGen’s capabilities and services.
Agility and resilience are the cornerstone of business sustainability. In order to remain agile and resilient, we recognize the innovative minds of our staff and give them the support and empowerment they deserve to be creative.
Our Annual Global Innovation Seminar, augmented by other internal forums like Communities of Practice & Innovation, gives the staff the opportunity to innovate and pursue business improvement initiatives.
A number of innovative programmes and projects cutting across process improvements, manufacturing, and service provision to other players in the energy sector are in various stages of implementation. It is through this commitment to innovation and bold steps to pursue new horizons that we have seen our
Company entering new markets in the region.
ii) CLIMATE CHANGE
• As you are aware, the global threat of climate change requires the concerted effort of all of us without exception. As part of the effort to mitigate against the impact of climate change, KenGen has embraced the Clean Development Mechanism (CDM).
• We are implementing six CDM projects which have so far yielded USD 3.627 million for the organization since inception.
• The positive environmental and climatic impact of these projects, based on the United Nations Framework Convention on Climate Change (UNFCCC,s) Kyoto protocol, has given us the impetus to continue implementing green projects that contribute to emission reduction.
• With these projects, which include, Tana and Kiambere hydro projects (under the Seven Forks), Ngong Wind, Olkaria II, Olkaria 1 Additional Units 4 and 5 and Olkaria IV Geothermal Projects, KenGen is playing a part in offsetting approximately 1.5 million tons of Carbon Dioxide (C02) equivalent annually.
To further support the Climate Action campaign, KenGen has joined the United Nations Global Compact (UNGC).
This membership catalyses actions aimed at promoting good business practices by building capacities and awareness of ethics, integrity, and Corporate Social Responsibility in
promoting the UN Global Compact’s 10 principles to achieve long-term growth by contributing to the 2030 Agenda for Sustainable Development in Kenya.
KenGen is participating in UNGC activities, through four inter-agency Working Groups which are providing a regular platform for collaboration and exchange of information, joint mobilization of resources, and the development and implementation of joint programs and projects.
KenGen is focusing on four main areas:
• Through Target Gender Equality programs, we are setting ambitious and realistic corporate targets for gender equality, demonstrating commitment and action to the employees, investors, and other stakeholders.
• The Caring for Climate working group drives the uptake of the
Business Ambition for 1.5°C campaign by supporting us to act
responsibly in our operations and supply chains.
• The Young innovators’ program is an opportunity for KenGen to identify young talent within the company to collaborate and accelerate business innovation towards the Sustainable Development Goals (SDGs).
• The Anti-Corruption Working Group supports the exchange of
experiences and good practices around anti-corruption efforts.
(i) ENVIRONMENT SUSTAINABILITY
• The late Prof. Wangari Maathai said “It’s the little things citizens do, That’s what will make the difference”
• At KenGen, we remain committed to achieving environmental
• As provided in the Environmental Management and Coordination Act (EMCA) Cap 387 and the related regulations, we have continued to conduct comprehensive environmental impact assessments and audits for all our project and also existing facilities.
• In the last 5 years, KenGen has distributed to the communities a total of 1.5 million tree seedlings which is equivalent to 2,358 acres to enhance the sustainability of their ecosystems.
• Augmenting the UN Sustainable Goal No. 15, which is Life on Land, we are cognizant that operating in national parks and forest reserves comes with extra responsibility. These sites are habitats for various animals and the need for conservation and restoration is key during construction and operation of power plants.
Some of the measures we have undertaken include:
Use of noise silencers at our Olkaria Power Plants. Colour coded steam pipes on the animal corridor Complying to environmental requirements and obtaining Environmental and Social Impact Assessment (ESIA) licenses for all Capital Projects. We have also established environmental management programs in all our operational areas with a view to protecting the environment and minimizing our carbon footprint.
(ii) SOCIAL INVESTMENTS
• As a responsible corporate citizen, KenGen has made a
considerable contribution to communities through our Corporate Social Investment (CSI) program, in the process transforming lives.
• One of the vehicles the company is using is the KenGen
Foundation which was formed in 2009 to upscale our CSI
program. The foundation focuses on three main strategic pillars
– education, environment, water, and sanitation – which are
also aligned with the country’s Vision 2030. The projects also
touch on environmental conservation, infrastructure
development and scholarships, among others.
• Some of the highlights of programs we have initiated under
the foundation are as follows:
a) Education 2005- 2020
The Scholarship programme; Under this programme, more than KShs 712million has been disbursed to the various learning institutions.
We have 10,500 students who have benefitted from scholarships and infrastructure development initiated under KenGen Foundation
Also, 1066 students have been taken through life transformational training. KenGen has also employed 16 First Class honors graduates who are currently working in various stations across the country.
b) Environment 2013-2020
Since 2013, the company has distributed more than 230,000
trees and conserved 374 acres
c) Water and Sanitation
More than 66,000 litres water tanks donated in arid and
semi-arid areas, with more than KShs 20million donated
towards provision of water in various households.
d) NAIVASHA LEVEL 5 HOSPITAL
But the biggest of all the CSR activities that the company
has been involved in is the Naivasha Level 5 Hospital
which we are co-financing with the Country Government of
KenGen’s Contribution into the project is KShs 300 million. The hospital, located in Naivasha town, KenGen’s Geothermal hub, is set to benefit the residents of the entire Nakuru County as well as the neighboring counties.
The project is currently under construction and is
expected to be completed by June 2021. The hospital will
have a capacity to serve an estimated 600 patients a day.
(iii) COMMUNITY RELATIONS
The Company, being a Participant Member of the United Nations Global Compact Network Kenya (UNGC) supports the Principles covering Human Rights, Labour, Environment and Anti-corruption and reports on progress on its performance.
KenGen is cognizant of the fact that all developments are people-centered and that Communities residing in areas where we operate in are our key partners.
As Project developers, we are alive to the need to obtain the
social license to operate from the Communities prior to and during project implementation.
Towards this end, the Company has developed and implemented a Community Engagement Strategy for a value-based, win-win Community relationship. This strategy was launched in 2018. KenGen’s approach is to have a constant and continuous way of involving Communities and has worked in ways that leave the Communities engaged and self-sustaining in their livelihoods.
Under this framework, we have what we call the Stakeholder Coordination Committees (SCC) made up of members of the local community and other opinion leaders who we work with in developing and implementing CSR programs as well as addressing issues of mutual concern.
This has helped to strengthen and enhance our relationship with the host communities.
(iv) COVID-19 PANDEMIC
• As you all know, KenGen, like other organizations, has been
impacted by the COVID-19 Pandemic. Indeed, projections
indicate that the medium term macro-economic environment will be tough.
• It is also worth noting that KenGen is one of the players in the
energy sector that has demonstrated resilience and stability
despite the impact of the crisis.
• As a response to the pandemic, and in recognition of the fact that electricity is classified as an essential service, KenGen has put in place measures to ensure seamless and reliable supply.
• We have instituted a shift system for our staff as one of the ways of ensuring that we observe prevention measures, especially social distancing, thereby guaranteeing uninterrupted power supply to the nation particularly to support health care facilities, while keeping our employees safe.
• At this juncture, I would like to thank my strong and reliable team that has worked tirelessly to support and stand with the country during this difficult time.
• As a company, we have spent about KShs 40 million in
corporate social responsibility activities both nationally and in our operational areas to support the war against COVID-19. In
addition, our employees voluntarily contributed KShs 10 million
to boost the COVID-19 kitty.
F. GENDER MAINSTREAMING
At KenGen, gender mainstreaming is one of the focus areas that we place great emphasis on. Today, the company has made strides in women inclusion. In our Operations and Geothermal Division for instance, more than 10 percent of employees are women while in the Legal Affairs Division, 22 out of the 39 employees are female.
Also, in the Business Development Division, more than 35 percent of the engineers and project development officers are women. Cognizant of our field of operation, we have been keen on creating an environment where female employees can also thrive.
One of the platforms is the Pink Energy Initiative which has played a major role in developing, encouraging, and facilitating female employees to grow to their full potential. Our female employees have, as a result, been able to succeed in their various fields.
The initiative, which is anchored on three pillars namely; personal development and empowerment, creating a conducive work environment and gender awareness, has enabled women at KenGen to make remarkable progress on professionalism, career growth, health and wellness, financial management, parenting and mentorship.
Since its inception, confidence levels among our female employees have remarkably increased. This was confirmed by a recent Organizational Health Index (OHI) survey conducted by KPMG.
The number of female employees in the company has also increased and there have been a number of promotions of women across all levels, including the executive level.
It is also under the auspices of Pink Energy that KenGen has been holding quarterly talks on diverse topics.
In May 2019, KenGen launched the inaugural Pink Energy Conference under the theme “Think equal, build smart, innovate for change”, in the process providing an opportunity for women from the company and the energy sector to network and build fruitful relationships at individual and corporate levels. This very successful event was attended by over 600 women from the Energy Sector and our partners. Other Gender mainstreaming initiatives include USAID Engendering Utilities Program, under Power Africa Initiative, where we have three employees undergoing training.
We are also working with the World Bank on a gender strategy among other initiatives.
KenGen recognizes the power and value of partnerships. Over the years, the Company has worked with various development partners, commercial banks and other stakeholders without whose support the Company would not be where it is today in terms of growth, financial performance and technical capacity just to name a few areas.
Some of these partners include the World Bank, French Development Agency (AFD) Japanese International
Cooperation Agency (JICA), KfW (Germany), European Investment Bank (EIB), African Development Bank (AfDB) as well as local and international banks.
The list of partners would be incomplete if we go without mentioning the National Treasury, our largest Shareholder with 70% ownership of the Company as I said earlier, Public Invest Commission (PIC) of South Africa our second largest shareholder and all our other valued shareholders, both
institutional and individuals, local and foreign.
Our parent Ministry, Ministry of Energy has been very supportive in our initiatives and they have a special place in our company. We have enjoyed a good relationship with the energy regulator, EPRA and all the sector players, KPLC, KETRACO, GDC, REREC and NuPEA as well.
OUR FOCUS GOING FORWARD
Going forward, we will focus on service delivery, diversification, and sustainable development to continue providing Kenyans with safe, reliable, completely priced electric energy as we create value for all our stakeholders.