Unilever Tea signs deal for installation of 600 kWp solar power plant

Unilever Tea Kenya and CrossBoundary Energy have announced the signing of Unilever’s first solar services agreement in Africa. CrossBoundary Energy will be installing and operating a 600 kWp solar power plant at the company’s Kericho tea plantation, which will be operational in mid-2018.

CrossBoundary Energy has commissioned Solarcentury East Africa to design, procure, construct and commission the plant and partnered with SolarAfrica to act as a technical partner to manage project delivery and asset management.

This is the first commercial and industrial power purchase agreement (PPA) for Unilever in Africa. It is part of Unilever’s broader commitment to decouple its environmental impact from business growth and footprint.

The solar system is being financed and operated by CrossBoundary Energy through a 15-year solar services agreement with Unilever Tea Kenya. This will deliver substantial savings on its current power costs and reduce its carbon emissions by over 10,000 tonnes over the plant’s 30 plus-year lifetime.

Nicholaos Yiannakis, Managing Director of Unilever Tea Kenya says: “The deal with CrossBoundary Energy, brings us closer to meeting one of the aims of the Unilever Sustainable Living Plan – sourcing 100% of total energy across our global operations from renewables by 2030. We intend to be the first of Unilever’s facilities in Sub-Saharan Africa to be operating on 100% renewable energy by 2030. As a member of RE100, we are proud to demonstrate to our peers, that it is now possible to make commercially viable commitments to solar energy in Africa.”

Over 90% of the energy used at the Kericho factory already comes from renewable sources. Hydroelectric power turbines provide around 70% of electricity, and have been in use for nearly 100 years at the Kericho plantation.

The CrossBoundary Energy solar plant is expected to start producing power in mid-2018, and will mean that almost 96% of power at Unilever’s Kericho factory will be from renewable sources.

CBE will finance the installation of solar on the estate then operate and own the solar plant. Unilever will only pay for the power produced, receiving a single monthly bill that already includes all maintenance, monitoring, insurance and financing costs.

Matt Tilleard, Managing Partner of CrossBoundary Energy says: “Unilever were looking for energy options aligned with their Sustainable Living Plan. Under this solar services agreement we take on the financial, technical and operational component, leaving Unilever to focus on its core business. We’ve commissioned experienced engineering procurement and construction partners in Solarcentury and SolarAfrica, to build a world class facility.”

The plant is expected to create at least 12 jobs in Kenya via construction, operations and maintenance activities over the 15-year period of the agreement.

Guy Lawrence, Director of Solarcentury East Africa comments: “The Unilever PV plant will utilise single axis trackers which will not only increase the yield, but is the first ground mount PV tracking system in Kenya. We will be connecting the PV plant to Unilever’s hydropower circuit, involving the installation of an innovative control system to balance the hydro and solar. With our offices in Kenya, Solarcentury have the experience in-country to install the system to Unilever’s exacting requirements.”

Charl Alheit, SolarAfrica Chief Investment Officer, says: “Partnerships are the foundation of our business. This project demonstrated the strength of our strategic partners from the development side through to the installation and financing. We are delighted that Unilever Tea Kenya has joined the growing portfolio of companies embracing clean energy in Sub-Saharan Africa.”

READ: NMG denies suppressing columnists’ opinions

In 2016, Kenya recorded the highest volume of sales in domestic off grid systems in Africa[1], and globally, was second only to India. However, adoption of solar by business has been constrained by high upfront costs and the perceived complexity of management and ownership of large solar installations. The PPA offering from CrossBoundary Energy removes these barriers and eases the adoption of solar by Unilever.

 Tilleard concludes: “Commercial and Industrial PPAs will help make solar power affordable and manageable for a range of Kenyan enterprises. With the increasing availability of finance for these assets, there is no good reason why we can’t see businesses in Africa outpacing their global peers in the adoption of commercial solar.”

Latest

Whipped and Stripped! A Survivor’s Tale of Harrowing Brutality in a Mental Hospital

The lack of a long-term vision and inadequate resourcing of mental hospital infrastructures continues to take a toll on Kenya’s mentally ill patients.

Dubai Agency Picks Top Influencer Marketers to Lead Kenyan Operation

This strategic move is in line with indaHash vision to cement its presence in Africa, following its impactful footprint in South Africa since 2017 and successful collaborations with clients like the South African Tourism Board.

SportPesa to reward Customers in Cash-Filled Festive Promotion

Running from December 4th to 25th, the SportPesa campaign promises daily excitement with six lucky winners expected to walk away with Ksh5,000 daily.

Captain William Ruto: President’s Namesake With a Decorated Career

Captain William Kipkemboi Ruto is officially known by the name William Ruto, which also happens to be President William Samoei Ruto’s official name.

Follow Us

Newsletter

Don't miss

Tusker Oktobafest Rolls East African Cultures into One

From regional events across Kenya to inaugural gatherings in Uganda and Tanzania, and the Tusker Oktobafest grand finale in Nairobi, the festival harmonized traditions, celebrated diversity, and highlighted the rich cultural tapestry of the East African culture

Lupita’s Little Brother Junior Nyong’o Charting His Own Path in Acting

Junior Nyongó, who is also a musician and a DJ and now a graduate of UC San Diego with an MFA in Acting, is crafting his own solid path in the world of acting with roles in major theatre productions.

Safaricom To Power Tusker OktobaFest Beer Festival

Safaricom’s involvement in OktobaFest as a technology and payments partner will focus on fostering seamless in-festival connectivity, empowering the youth and Gen Z community through Safaricom Hook, and powering digital payments through M-PESA.

Music Producers Launch Organization To Streamline Recording Industry

Recording Industry of Kenya (RIKE) was launched on 9th October 2023. Registered in 2022 as a not-for-profit organization, RIKE aims to promote the collective interests of producers of sound recordings in the country.

Nairobi’s Hero Bar Listed Among World’s 50 Best Bars

World Best Bars: Hero Bar in Nairobi continues to climb the list, moving up six places to No.62 and Johannesburg’s Sin + Tax comes in at No.94. Dubai new entry Ergo is at No.69 and Melbourne’s Byrdi has re-entered the list at No.61.

Kenyan DJs Face Off In Smirnoff Battle Of The Beats Season 3

The Smirnoff Battle of the Beats Season 3, a DJ competition, is poised to unleash an unprecedented musical frenzy countrywide.

The Highs And Lows Of Betty Kyallo, Sisters Show As Season 2 Ends

Kyallo Kulture has always been, above all, about sisterhood, and in Season 2 we have witnessed the charm of it - the ups that gave us wholesome moments as the sisters led by Betty Kyallo spent time together.

DStv Beats CNN, BBC To Become Most Admired Media Outlet In Africa

DStv, MultiChoice Group’s leading broadcast service, has been named...

MultiChoice Revises Subscription Fees For DStv, GOtv

MultiChoice has announced price adjustments on some of their...

Octopizzo: How I Make My Money

"I've been doing this for 12, 13 years. It reaches a point where you no longer need to prove that you can make a hit record," he stated.
BT Correspondent
BT Correspondenthttp://www.businesstoday.co.ke
editor [at] businesstoday.co.ke

Whipped and Stripped! A Survivor’s Tale of Harrowing Brutality in a Mental Hospital

The lack of a long-term vision and inadequate resourcing of mental hospital infrastructures continues to take a toll on Kenya’s mentally ill patients.

Dubai Agency Picks Top Influencer Marketers to Lead Kenyan Operation

This strategic move is in line with indaHash vision to cement its presence in Africa, following its impactful footprint in South Africa since 2017 and successful collaborations with clients like the South African Tourism Board.

SportPesa to reward Customers in Cash-Filled Festive Promotion

Running from December 4th to 25th, the SportPesa campaign promises daily excitement with six lucky winners expected to walk away with Ksh5,000 daily.

1 COMMENT

  1. Hi. I see that you don’t update your page too often. I know that writing posts
    is boring and time consuming. But did you know that there
    is a tool that allows you to create new articles using existing content
    (from article directories or other blogs from
    your niche)? And it does it very well. The
    new posts are high quality and pass the copyscape test. You should try miftolo’s tools

LEAVE A REPLY

Please enter your comment!
Please enter your name here