With right moves, Kenya to unlock competitive e-fuels production for maritime sector

Outlook & Strategy

Owing to abundant wind, solar, and geothermal resources, Kenya is poised to establish competitive production of e-fuels, with the potential to supply domestic and international maritime demand, a new report by the Global Maritime Forum (GMF) highlighted.

Image by Kenya Ports Authority

The report titled ‘Powering clean shipping: Kenya in the global power-to-x economy’ analyzes the country’s renewable energy resources and opportunities to develop scalable e-fuels such as e-ammonia and e-methanol.

Funded by Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH’s International Power-to-X Hub, the study was conducted in collaboration with the Kenya Maritime Authority, IMO GreenVoyage2050, the University of Maritime Advisory Studies (UMAS), and national expert Dr. Evan Murimi.

Kenya’s abundant wind, solar, and geothermal resources were identified as a strong foundation for the competitive production of e-fuels, particularly e-ammonia, to supply both domestic and international maritime markets, along with the right strategic priorities to unlock this potential.

The key strategic priorities listed in the new insight brief include fostering partnerships across public and private sectors, stimulating demand through green shipping corridors, and advancing pilot projects at Kenyan ports ahead of 2030. 

According to the report, several factors, if undertaken by the Kenyan Government, would support competitive e-fuels production:

  • Creating policies and regulations targeted at green hydrogen and e-fuel project delivery, supporting the maritime sector as an offtaker;
  • Developing measures to address the cost gap between Kenyan-produced e-fuels and conventional fuels;
  • Preparing for a marketing transition to e-fuels and maximizing the benefits for the Kenyan economy;
  • Expanding international partnerships to achieve final investment decisions, port readiness, and re-training/upskilling of workers.

“Kenya is committed to harnessing its abundant renewable resources to drive a green transition in shipping, starting with our ports,” said Justus Omae Nyarandi, Director General of the Kenya Maritime Authority.

“By advancing e-fuels through power-to-x technologies, we can respond to the rising global demand for low-carbon shipping and prepare for the International Maritime Organization’s mid-term measures. Developing a green shipping corridor offers Kenya the opportunity to stimulate demand for these fuels while strengthening trade routes with our international partners. For exports such as cut flowers, coffee, and tea, this transition will not only reduce emissions but also create wider benefits for Kenyan communities.” 

Earlier this year, the African country hosted an event organized by the International Maritime Organization (IMO) to discuss practical measures to advance the green transition of shipping and ways to support the implementation of IMO’s ‘Revised Strategy for the Reduction of Greenhouse Gas Emissions from Ships’ (‘IMO GHG Strategy’) across the continent.

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