Co-operative University of Kenya inks 40MW solar deal with Chinese firm
The Co-operative University of Kenya (CUK) has signed a multi-billion shilling agreement with Chinese renewable energy firm Shandong Dahai Group to develop a 40-megawatt (MW) solar power plant.
The project, dubbed the “Chancellor Legacy Programme,” was formalized this December following high-level talks between Prime Cabinet Secretary Musalia Mudavadi, CUK Chancellor Dr. Bernard Chitunga, and senior executives from Dahai Solar.
Unlike traditional university solar projects that focus solely on reducing internal electricity bills, this 40MW venture is a “national first.” Under a proposed Power Purchase Agreement (PPA), the university will link directly to the national electricity grid, positioning the institution as an Independent Power Producer (IPP).
“The initiative is designed to anchor the Co-operative University of Kenya on long-term financial sustainability through a Power Purchase Agreement, while positioning the institution as a trailblazer in clean energy production, applied research, and green innovation,” said Prime Cabinet Secretary Musalia Mudavadi in a statement following the meeting.
For a sector currently grappling with shrinking government capitation and ballooning wage bills, the project offers a blueprint for self-reliance. By selling excess power back to the grid, CUK expects to generate a steady, predictable income stream for decades.
The solar plant, slated for implementation in early 2026, will be situated on the university’s land and is designed to serve a dual purpose. Beyond revenue, it will function as a “living laboratory” for students and researchers.
Dr. Bernard Chitunga, CUK Chancellor, emphasized that the venture is more than a commercial deal. It is an academic investment that will offer hands-on training in renewable energy engineering, climate-smart technologies and sustainable infrastructure management
“The proposed structure aligns seamlessly with Kenya’s national priorities on affordable renewable energy, climate action, and industrial skills development,” Mudavadi noted, adding that the project supports the government’s Bottom-Up Economic Transformation Agenda (BETA).
The partner in this venture, Shandong Dahai Group, brings over 30 years of global experience. As a vertically integrated manufacturer, the group produces its own solar panels and components, which is expected to lower the project’s upfront costs significantly.
Led by Group CEO Mr. Liu Dejie, Dahai Solar has proposed a financing model that allows the university to move from blueprint to power generation without sinking into “crippling upfront debt.”
Industry experts suggest this partnership is a critical step in “leapfrogging” the technical and financial hurdles that have slowed previous green energy ventures in the region. The deal also includes a robust knowledge transfer component, ensuring Kenyan engineers and students are trained to maintain and evolve the infrastructure.
The CUK-Dahai deal arrives amid a broader “Solar Leapfrog” across Africa this December. With solar panel imports to the continent up by 60% this year, Kenya is leading the charge in the East African region.
If successful, the 40MW CUK solar plant is expected to serve as a reference model for other public institutions across the country. It proves that with the right international partnerships and government backing, Kenyan universities can transition from being consumers of the national budget to contributors of the national power grid.
Go to ECONEWS.co.ke for more sustainability news from the African continent and across the world.
Follow us on WhatsApp, Telegram, Twitter, and Facebook, or subscribe to our weekly newsletter to ensure you don’t miss out on any future updates. Send tips to editorial@techtrendsmedia.co.ke
