A Comprehensive Analysis: Market, Economics, Technology & Case Study Prepared by Plexus Energy Limited 13 Nov. 2025

Executive Summary

Kenya’s commercial and industrial (C&I) sector faces rising electricity costs, grid reliability challenges, and increasing pressure to decarbonize operations. Plexus Energy — a leading Kenyan solar firm since 2010 — offers tailored C&I solar and hybrid storage solutions that reduce energy costs, improve reliability, and support corporate sustainability goals. This white paper provides an
in-depth market review, an economic model, technology trends, and a practical case study for Kitonga Gardens to guide investors and C-suite decision-makers.

Market Overview & Key Statistics

• As of June 2025, Kenya’s installed solar capacity stood at 514.1 MW, comprising utility-scale (210.3 MW), captive (300.5 MW) and off-grid (3.9 MW). (EPRA, June 2025).
• Estimates suggest Kenya’s distributed C&I; solar market could reach several hundred megawatts as companies pursue cost-savings and energy security. (Energy for Growth/WRI analysis).
• Battery pack prices have fallen significantly in recent years (BloombergNEF trends), improving the economics of hybrid solar + storage installations.
• Commercial electricity tariffs have risen sharply since 2021, enhancing the financial case for on-site solar generation.

Kenya Solar Capacity Composition (June 2025)

Energy Economics: Tariffs, Diesel & Savings

Rising grid tariffs and growing use of diesel-based backup make energy costs volatile for businesses. On-site solar systems deliver predictable power pricing and reduce exposure to fuel price shocks. Below we show an illustrative tariff trend and an estimate of relative savings for a sample C&I; consumer (Kitonga Gardens).

• The share of thermal/diesel power has increased at times, raising marginal generation costs and affecting retail tariffs. (Nation / EPRA summaries)
• Diesel prices and generator operating costs make diesel backup an expensive long-term solution for base-load operations.
• Battery storage costs (USD/kWh) have declined substantially since 2017, enabling reliable hybrid solutions that pair solar with storage for 24/7 power.

Battery Pack Cost Trend (Illustrative: 2017-2024)

Case Study — Kitonga Gardens

Plexus Energy designed a tailored solar + storage system to meet Kitonga Gardens’ operational profile. The solution focuses on:

1) Peak shaving to reduce demand charges
2) Time-shifting generation to avoid expensive peak-hour tariffs
3) Back-up capacity to minimize downtime during grid outages. Estimated outcomes (illustrative): annual energy cost reduction of 15-35% depending on system size, storage integration, and operating profile.

Technical Approach & Financing Options

Plexus Energy’s approach combines rigorous site assessment, energy monitoring, bespoke system design (rooftop, ground, or hybrid), and long-term performance contracts. Financing models
include:

• Power Purchase Agreements (PPAs)
• Solar leases and asset-backed lending
• CAPEX purchase with performance-based O&M; These models reduce upfront barriers and accelerate payback for C&I; customers.

Future Outlook & Recommendations

• Expect rising adoption of C&I solar as tariffs grow and storage costs fall.
• Businesses should begin with comprehensive energy audits and consider pilot projects to validate savings.
• Investors should evaluate bundled solar+storage portfolios for attractive risk-adjusted returns in East Africa.

Contact Information

Plexus Energy Limited
Location: Centenary House, Ring Road, Westlands, Nairobi
Phone: +254-720-202040
Email: info@plexus-energy.co.ke
Website: www.plexus-energy.co.ke

Selected Sources (representative):

• EPRA: Energy & Petroleum Statistics Report — June 2025 (installed solar capacity figures).
• Energy for Growth / WRI: Commercial & Industrial Solar analysis (market potential).
• BloombergNEF (via industry summaries): Battery pack price declines (2017–2024).
• Miale Solar/industry summaries: Tariff trend and Kenya electricity economics.
• Nation, Business Daily: Market trends and diesel generation impact.