CFAO Kenya has invested in #solar #energy production, a growing part of the clean energy market, and is now aiming to offset its carbon footprint.

Households and heavy-consuming industrialists in Kenya have over the past five years turned to solar, seeking reliable and cheaper supply alternatives to Kenya Power, and expressing interest in going into the solar installation business.

CFAO Kenya acquired a 35 percent stake in solar installation company Ofgen deepening our firm’s interest in the growing clean energy market and offering an avenue to offset its carbon production.

By increasingly investing in green energy, including solar power projects, to earn carbon credits, we aim to use the credits to cut carbon production from ventures like car manufacturing and boost the firm’s environment-friendly credentials.

Ofgen has installed over 30 power plants for firms like Serena Hotels, Strathmore University, and BAT in the companies’ efforts to cut reliance on electricity from Kenya Power. The purchase will open a new revenue source for the company targeting the country’s estimated solar potential of approximately 15,000 megawatts (MW).

The relationship with Ofgen started 3 years ago after it installed a 490- panel roof-top solar plant at CFAO Motor’s (Toyota Kenya) headquarters on Mombasa Road in Nairobi with a power capacity of 180kW and an annual energy production of 230,000 kWh. The plant could save nearly Sh17 million in electricity bills over a period of 20 years and reduce its carbon footprint by 45 metric tonnes per year.

We later expanded our engagement with Ofgen, building more solar power systems on the roofs of offices in Uganda, converting approximately one-third of its power use to renewable energy.

The Carbon Exchange will be an important element in Kenya’s sustainable finance ecosystem and will be instrumental in channeling global capital flows into the country’s high-impact environmental projects such as reforestation, land restoration, and new technologies.