Photograph — Energy Transission

The African Development Bank (AfDB) has revealed that it has no plans to finance the proposed first coal-fired power station in Kenya and any other coal plant in the future.

Akinwumi Adesina, AfDB president told Reuters at the just concluded Africa Investment Forum that the bank is taking environmental concerns seriously and is focusing on renewable energy. He added that coal projects have the risk to become “stranded assets” on the AfDB’s balance sheet.

The coal plant project, backed by Kenyan and Chinese investors, is located near the coastal town of Lamu which is close to a UNESCO World Heritage Site and has since 2015 received a lot of negativity towards its construction by locals.

Environmental activists claim that the mining, combustion, transport and waste storage on a coal plantation might be too toxic for inhabitants. A report on the potential effects of the plant by Greenpeace projects states that there will be up to 1600 premature deaths due to pollution from the plant.

International bodies such as the United Nations and UNESCO have also advocated against the building of the coal plant and advised Kenya to revise the environmental assessments of the plant also considering the potential impact of pollution on the “fragile” stone buildings of Lamu Old Town, a 14th-century tourist destination and world heritage site.

AfDB’s decision will impede the progress of the Lamu coal project since dozens of other top banks, insurers, and development finance institutions are limiting investments in coal plants. Growing concerns about the impact of burning fossil fuels, particularly coal, by climate activists and investors also means a dearth of funding.

Renewable energy sources such as solar, wind, hydropower, geothermal, and biomass are currently the most preferred channel for generating energy across the world. This is because they reduce the threat of climate change through decreased greenhouse gas emissions and help alleviate the risk of burning fossil fuel to the environment.

Kenya’s Energy Act 2019 brings economically sustainable reforms to the energy sector with a target to reduce greenhouse gas (GHG) emissions by 30 percent in 2030. The government, therefore, needs to focus more on renewable energy as it is the only way to achieve its emission goals.

A report by Kenya Energy Regulatory Commission 2018 reveals that Kenya’s energy sources include Hydroelectric (36 percent), Geothermal (29.1 percent), and Wind (1.1percent). These efforts are remarkable, however, attention should be placed on renewable energy and not on coal power plants because they are economically unviable and produce sulfur emissions that are detrimental to humans and the environment.

By Treasure Nnabugwu

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