Skip to content
Market News

FIFI To Eliminate Fossil Fuel In Kenya’s Fertilizer Supply Chain

BY Soko Directory Team · November 8, 2022 09:11 am

In a major effort to replace imported polluting fertilizer, the Government of Kenya and Fortescue Future Industries (FFI) today signed a binding Framework Agreement on the sidelines of COP27, witnessed by the President of Kenya HE Dr. William Ruto CGH and Executive Chairman of Fortescue Dr. Andrew Forrest.

This agreement will fast-track Kenya’s development of an affordable green fertilizer supply chain and other green hydrogen-based industries and their derivatives.

For Kenya, this will create fossil-fuel-free fertilizer, a strong local industry, skilled job creation, and lessen Kenya’s exposure to imports from foreign nations.

Under the agreement, FFI and the Government of Kenya will work together to build 2025 a 300MW capacity generation green ammonia and green fertilizer facility. This will provide affordable green fertilizer to the domestic market and address food security, while also negating the need for importing fertilizer.

The parties intend that this will be followed by the development of two further projects that would scale up renewable electricity generation for green industries by up to 25GW, to produce up to 1.7 million tonnes of green hydrogen per year for export.

The Kenyan President and Fortescue Executive Chairman first discussed the agreement during their meeting at the UN General Assembly in New York in September.

The Agreement will entrench FFI’s commitment to fast-track significant investment to develop green industrial facilities in Naivasha, Mombasa, and Lamu, creating thousands of new jobs and delivering significant manufacturing and industrial development to Kenya.

The initial green hydrogen and green ammonia facility to be located in the Naivasha vicinity of the Olkaria geothermal field will move to a pre-feasibility study, with a Final Investment Decision from FFI expected in 2023.  

His Excellency President Dr. William Ruto said, “Today marks the beginning of what we all believe will be a long and fruitful partnership between Kenya and FFI. I was elected on a platform for creating opportunities for local industries, local businesses, and communities. “This agreement will help to achieve that and help to support further economic and infrastructure development in Kenya.

“There is nowhere more important for us to mark the public beginning of this relationship than here in Sharm El-Sheikh, on the opening day of COP27 where we want to see action, not words.

“We are committed to Kenya being a leader of renewable energy in Africa. We look forward to partnering with FFI to accelerate the global energy transition for the benefit of the continent.”

Dr. Forrest said, “Current ammonia and fertilizer production relies almost exclusively on fossil fuels and results in considerable CO2 emissions.

“By stepping away from fossil fuels to use green ammonia, Kenya can eliminate its reliance on imports, reduce the cost of fertilizer and increase its food and economic security.

Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system. Find us on Facebook: facebook.com/SokoDirectory and on Twitter: twitter.com/SokoDirectory

Trending Stories
Government and Policy Kenya Is Struggling With Debt As Modest Revenue Is Collected With Limited Development Investment Steve Biko Wafula
Entrepreneur's Corner Kenyan Clients Don’t Care Whether You’re In the ICU: The Brutal Truth Of Entrepreneurship Soko Directory Team
Headlines Are The SACCOS The Infinite Money Glitch Of Kenya? Soko Directory Team
Government and Policy Saccos Clamp Down On Struggling Businesses, Recover Sh491 Million In A Ruthless Crackdown Soko Directory Team
Entrepreneur's Corner The Greatest Skill Everyone Should Master Is The Skill Of Knowing How To Manage Money Soko Directory Team
Related Articles
Market News Safaricom’s M-PESA Hits 34 Million Customers In Kenya Soko Directory Team
Market News Savannah Clinker Withdraws Competing Offer For Bamburi Cement Soko Directory Team
Market News November PMI Expands To 50.9, CBK MPC Interest Rate Decision Tomorrow Soko Directory Team
Market News Savannah Clinker Seeks CMA’s Approval For Offer Extension: No Money? Soko Directory Team
Market News Kenyan Shillings Maintains Resilience Against The US Dollar With Slight 0.06% Shedding Soko Directory Team
Explore Soko Directory
Banking Blogging Commodity Watch Did you know Entertainment Entrepreneur's Corner Feature Government and Policy Headlines Investment Lifestyle Market News Money Opinion Press Releases Stock Watch Technology
Soko Directory Archives