KenGen to Pay Government KSh 4.2 Billion As Dividends

KenGen (Kenya Electricity Generating Company PLC) shareholders approved a first and final dividend of KSh 0.90 per share at its recently held 73^rd Annual General Meeting(AGM) in Nairobi. This is an increase from a dividend of KSh 0.65 per share paid out in 2024.

The biggest beneficiaries of the dividend payments include Government of Kenya with a 69.99% stake as well as private and institutional investors and top directors at the firm. Government of Kenya through the National Treasury owns 4,615,424,088 shares and will thus pocket a dividend cheque of KSh 4.2 Billion.

Other top individual shareholders of KenGen as at 30^th June 2025 include Mavji, Ramila Harji with 30,000,000 shares of a 0.45% stake and Njihia, Waithaka Ng’ang’a with 22,176,900 shares or 0.34% ownership at the firm.

KenGen Net Earnings for the financial year ended 30^th June 2025 were up 54% to KSh10.48 billion, driven by cost reductions, expanded revenue streams and an improved foreign exchange position

KenGen Board Chairman Alfred Agoi, said the payout reflects confidence in the company’s financial fundamentals and long-term strategy. “This dividend uplift is not only a reflection of strong financial results but a reaffirmation of KenGen’s commitment to delivering value to shareholders,” said Agoi.

He said the electricity generating company was optimizing efficiency, diversifying revenue sources and unlocking new growth opportunities in the region. The goal is to secure long-term returns while driving Kenya’s clean energy transition.

KenGen Supply to the National Grid

Available data shows that national power consumption reached record highs in November, as peak demand climbed to 2,418.77MW and energy dispatch hit 44,555.80MWH (megawatt-hours), underscoring increased industrial activity.

KenGen continued to anchor the national grid, supplying roughly 60% of the country’s electricity.

The company’s installed capacity stands at 1,786MW, which generated 8,482GWh over the past financial year.

Revenue held steady at KSh56.1 billion, while income from diversified activities surged 235%, buoyed by geothermal consultancy contracts in Eswatini and expanded regional work.

Operating costs declined 11% to KSh 35.1 billion as the company tightened cost controls and improved operational efficiency. KenGen also recorded net foreign exchange and fair value gains of KSh1.45 billion, compared with a loss of KSh722 million the previous year, aided by a more favourable currency environment.

Finance costs fell following loan repayments, reinforcing KenGen’s shift toward a lower-debt balance sheet.

Eng. Peter Njenga, the Managing Director and CEO, said the results reflect continued execution of the company’s strategic priorities.

“Our financial performance reflects our positioning as a regional renewable energy leader,” Eng. Njenga said. “We have strengthened efficiency, widened our geothermal consultancy footprint and accelerated delivery of new generation capacity both locally and across the region.”

KenGen Long Term Strategy

KenGen is advancing its long-term G2G 2034 Strategy, which targets 1,500 megawatts of new renewable capacity and 500MWh of energy storage to support Kenya’s energy security and low-carbon industrialization goals.

The company is in discussions to participate in the proposed 700MWh High Grand Falls hydropower project and is exploring storage solutions, including battery energy storage systems and pumped hydro.

Regionally, KenGen is expanding its geothermal consultancy portfolio, with active or emerging projects in Ethiopia, Djibouti, Eswatini, Ngozi and Bhutan.

A partnership with Toshiba ESS aims to scale geothermal operations and maintenance services in developing markets. KenGen’s Geothermal Training Centre continues to train specialists from Africa and Asia, bolstering Kenya’s role as a global hub for geothermal expertise.

The company enters 2026 with a near-term project pipeline of 252MW, including the 63MW Olkaria I Rehabilitation, the 42.5MW Seven Forks Solar project and the expansion of the 8.6MW Gogo Power plant in Migori County.

These developments are expected to strengthen grid reliability, support industrial expansion and accelerate Kenya’s transition to fully renewable power.

“Our investment priorities will continue to deliver sustainable energy, create value for shareholders and support Kenya’s industrial transformation,” said Eng Njenga.

KenGen is the leading electricity generation company in the Eastern Africa region with an installed generation capacity market share of more than 60%.

The company’s primary business is to provide safe, reliable, and competitively priced electric energy for the country in an environmentally friendly and sustainable manner while creating value for its stakeholders.

Today, KenGen PLC has an installed generation capacity of 1,786 MW, of which over 90% is drawn from green sources namely: Hydro (826 MW), Geothermal (754 MW), Wind (25.5 MW). The balance is from thermal sources.

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