Kenya’s sugar factories could soon play a bigger role beyond producing sugar if plans being championed by the government take shape.
Agriculture Cabinet Secretary Mutahi Kagwe has revealed that the government is looking at ways of transforming sugar mills into energy-producing centres capable of supplying electricity to the national grid using bagasse, a by-product of sugar processing.
Speaking during a visit to West Valley Sugar Company in Kericho on Friday, Kagwe said the country’s sugar industry holds significant untapped potential in power generation, which could create additional revenue streams for millers and farmers while supporting Kenya’s energy needs.
Bagasse, which is the fiber-like residue that remains after the crushing of sugarcane, is the heart of the plan. Despite being perceived as a wasteful substance before, the substance is increasingly being put into use in order to produce electricity via cogeneration units set in sugar factories.
Kagwe says that the company is producing about five megawatts of electricity from the bagasse, even though it uses only a fraction of the total quantity of the bagasse produced at the factory.
“West Valley is producing five megawatts of electricity with only a fraction of its bagasse. If the factory worked to its full capacity, then it would produce up to 15 megawatts. It is amazing how this could help not only us but also the entire region. Our neighbors are already doing it; why shouldn’t we follow suit?” Kagwe added.
The Cabinet Secretary said that discussions were being held between the ministries of Agriculture and Energy on how to incorporate sugar factories into the power generation process and how to sell the electricity surplus to the national grid.
He called on Energy Cabinet Secretary Opiyo Wandayi to fast-track the necessary frameworks to enable millers to supply surplus power, arguing that the move would strengthen the sector while reducing dependence on imported energy sources.
The proposal forms part of a broader government push to maximise value from sugarcane and its by-products as efforts continue to revive the country’s sugar industry.
In recent months, senior government officials have repeatedly pointed to sugar factories as potential centres for industrial growth, energy generation and ethanol production.
Deputy President Kithure Kindiki recently said revitalised sugar mills should go beyond sugar manufacturing and become engines of economic activity capable of creating jobs and supporting rural economies.
The government’s renewed focus on ethanol production is also tied to concerns over global fuel price fluctuations. Officials are exploring ways of increasing local biofuel production and blending ethanol with petrol to reduce pressure on fuel imports and foreign exchange reserves.
Kagwe said ongoing reforms in the sugar sector are already beginning to bear fruit following the leasing of state-owned sugar factories and increased support to farmers through subsidised fertiliser and other government programmes.
“Last year, we completed the leasing of sugar factories. When you combine private sector efficiency with government support through subsidised fertiliser and farmer support programmes, we are now witnessing a 22 per cent increase in sugar production,” he said.
As the government pushes ahead with reforms, sugar factories are increasingly being viewed not just as processors of sugarcane, but as potential hubs for electricity generation, ethanol production and wider industrial development.