Optimizing Renewable-Energy Supply Chains for Net-Zero Case study: Kenya’s Geothermal Scale-Up

Achieving Net Zero in developing economies require optimizing Renewable energy supply chain as highlighted by geothermal scale-up challenges in Kenya the Olkaria Geothermal Field.

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Optimizing Renewable-Energy Supply Chains for Net-Zero Case study: Kenya’s Geothermal Scale-Up
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Abstract

To achieve Net Zero emissions in developing economies, it is necessary to not only expand the capacity for renewable energy deployment, but also to supply chain innovations that enable timely and socially inclusive cost reduction. The article provides a supply chain perspective on Kenya's geothermal energy scale up challenges. It provides logistical, infrastructural, and institutional challenges on the Olkaria Geothermal Field case study. Although Kenya is Africa's geothermal energy leader, project implementation shows systemic challenges such as delayed transport of heavy equipment, last mile infrastructure, the gaps in planning and coordination of transmission and power plants, and inter-agency and community coordination. The author examines the challenges of inter-agency coordination, infrastructure gaps, and costs in a transport network to develop a framework for deploying an integrated supply chain approach and geothermal energy scale up. It advanced the idea that the institutional framework used in traditional geothermal energy assessment needs to expand to include behavioral, inter, and intra-agency elements, and community aspects. The study advocates for the advancement of renewable energy supply chains in developing economies, integrated and systemically planned logistical infrastructure, advanced inter-agency coordination, community agency, and adequate capacity. The Kenyan example provides more insights than just the problems of developing countries balancing fast expansion of renewables with their Net Zero commitments. It shows that when governments integrate logistics optimization into their energy policies, they can minimize project delays, amplify the financial and social acceptance aspects of projects, and more. Ultimately, technological solutions are important, but the ability to adapt, the degree of coordination, and the social/inclusive aspects of the renewable energy supply ecosystem are the most important for achieving climate goals.

1.0 Introduction

The world is witnessing an essential step in the global energy transition. The world is experiencing climate change, with more extreme weather events and a dwindling carbon budget. As a result, the world must reach Net  Zero by mid-century (IPCC, 2022; IEA, 2023; Hasan & Alam, 2023). The Intergovernmental Panel on Climate Change (IPCC) asserts that in order to keep global warming to 1.5°C, there is a need for rapid and across-the-board decarbonization. Most importantly, decarbonization is needed for energy systems that, at present, account for more than 2/3rgds of greenhouse gas emissions (IPCC, 2022; IEA, 2023; Liu & Zhu, 2022). This increasing number of factors has influenced the rate at which governments, firms, and development agencies (Bocken et al., 2022; Zhang & Yang, 2023) scale up the deployment of renewable energy (IEA, 2023). However, the journey to Net Zero is not just a technological issue, but also an issue of logistics and supply chain (Gharehgozli et al., 2021; Elmoubasher & Said, 2024; Gao et al., 2023).

In developing nations, supply chain obstacles for renewable energy due to infrastructural and institutional issues are well documented. These barriers hinge on the movement of large and heavy renewable energy devices, and on the ability to import and deploy such devices, which are dependent on poor port and road networks and facilitator utility and regulatory gaps. (Karanja & Mwangi, 2022; Kassahun & Daba, 2020; Ouma & Wanjiru, 2021). Furthermore, even if generation capacity increases, the transmission and distribution networks will without a doubt continue to reinforce the limitations on renewable energy plants’ abilities to integrate reliably into national grids (Kahi & Ochieng, 2023; Mwangi, 2024; Das & Bhattacharjee, 2023). These impediments to grid logistics are fundamental; in their absence, renewable energy lacks the ability to expand, and to offer the essential reliability in support of the Net Zero goals (Liu & Zhu, 2022; Zhang & Yang, 2023; Hasan & Alam, 2023).

Geothermal energy (Chatzimouratidis & Pilavachi, 2020; Halder & Ray, 2020; Jamwal & Singh, 2022) provides a consistent source of renewable energy baseload supply (Chatzimouratidis & Pilavachi, 2020; Jamwal & Singh, 2022; Gopalakrishnan & Smith, 2022) and, unlike solar and wind energy, is constant and consistent. For countries focused on reducing carbon emissions while simultaneously prioritizing energy independence, geothermal energy is the perfect option (Halder & Ray, 2020; Kiptum & Cheruiyot, 2021; Kouadio & Kouassi, 2023). Kenya is a perfect example of this. Kenya is Africa's geothermal energy leader and, as a result, is able to produce a significant amount of the electricity required to power the nation from geothermal energy, especially considering the high concentration of geothermal energy in the Rift Valley (Kiptum & Cheruiyot, 2021; Mwangi, 2024; Kahi & Ochieng, 2023). This success is also largely attributed to the Olkaria geothermal field, which is one of the most successful geothermal energy fields (Kiptum & Cheruiyot, 2021; Jamwal & Singh, 2022; Mwangi, 2024). Although many great achievements have occurred at Olkaria and other geothermal projects in Kenya, logistical challenges still exist, including the transportation of huge drilling rigs, the synchronization of power generation and grid expansion, and the resolution of problems relating to potential community and environmental impacts (Ouma & Wanjiru, 2021; Hernandez & Akpan, 2021; Gharehgozli et al., 2021). This article analyzes the intersection of grid logistics, renewable energy supply chains, and Kenya's geothermal development, focusing on the context of Net Zero transitions in the Global South (IEA, 2023; Tsegaye & Worku, 2023; Bocken et al., 2022).

This article integrates academic, industry, and policy perspectives, enhancing its pertinence for both scholarly and applied concerns (Bocken et al., 2022; Tsegaye & Worku, 2023; Sadler & Kumar, 2022). From a purely academic standpoint, it adds to the body of knowledge of renewable energy logistics, supply chain management, and energy transitions in the Global South; while providing elements that can shape future research on Net Zero pathways (IPCC, 2022; IEA, 2023; Liu & Zhu, 2022). For the industry, the findings assist project developers, logistics operators, and utility managers in the optimization of procurement, transport, and grid integration, and explain the nuances of these elements (Elmoubasher & Said, 2024; Gao et al., 2023; Das & Bhattacharjee, 2023). For the latter, the research exhibits the need for regulatory and institutional (more than just inter agency collaboration and less complicated permitting) to stimulate the strategic deployment of geothermal energy (Sadler & Kumar, 2022; Saeed & Mustafa, 2023; Bocken et al., 2022).

2.0 Problem Statement 

The Net Zero targets for the world’s nations have raised the urgency for developing countries to expand their renewable energy capacity quickly. However, the ambitions of developing countries for renewable energy capacity expansion are not only hampered by the available financing gaps, but also by the supply chain and logistics bottlenecks that are still undermining the pace and efficient deployments of renewables (Gharehgozli et al., 2021; Elmoubasher & Said, 2024; Gao et al., 2023). In Kenya’s geothermal energy, especially in the Olkaria fields, these bottlenecks are found at various points of the supply chain (Chatzimouratidis & Pilavachi, 2010; Halder & Ray, 2020; Jamwal & Singh, 2022). The delay of heavy and specialized equipment such as drilling rigs, turbines, and condensers can be attributed to the unavailability of adequate port handling equipment, delays in customs clearance, and the absence of a road system that can accommodate oversized loads (Karanja & Mwangi, 2022; Kassahun & Daba, 2020; Ouma & Wanjiru, 2021). In addition to the delivery of such equipment, the last-mile logistics challenges are especially pronounced in the geothermal sites that are found in the difficult terrains of the Rift Valley (Hernandez & Akpan, 2021; Ouma & Wanjiru, 2021; Gharehgozli et al., 2021). The gap between generation and transmission is one of the the mechanisms that weakens Kenya's renewable energy supply chain in its entirety (Tsegaye & Worku, 2023; Hernandez & Akpan, 2021; Bocken et al., 2022). One of the major components is the misalignment of policies and institutions (Sadler & Kumar, 2022; Saeed & Mustafa, 2023; Tsegaye & Worku, 2023). The fragmentation of the roles of government ministries, state-owned utilities, and regulatory bodies results in overlaps, inefficiency, and uncertainty for developers (Sadler & Kumar, 2022; Bocken et al., 2022; Hernandez & Akpan, 2021). The shifting of policies, the slow pace of the required permits, and the delays in the alignment of national electrification and Net Zero strategies with the expansion of geothermal energy limit the scaling of projects that are viable. (IEA, 2023; IPCC, 2022; Liu & Zhu, 2022). Collectively, these logistical and policy challenges are an enduring obstacle to Kenya’s geothermal ambitions and, more generally, to developing countries’ challenges in harnessing renewable energy to achieve Net Zero (Zhang & Yang, 2023; Hasan & Alam, 2023; Tsegaye & Worku, 2023). Supply chain integration, policy coherence, and institutional coordination are needed to unclog these barriers (Elmoubasher & Said, 2024; Gao et al., 2023; Sadler & Kumar, 2022).

This article is one of the first attempts to provide insights on the renewable energy supply chain with focus on logistics optimization in the developing world, and specifically, on geothermal energy in Kenya (Gharehgozli et al., 2021; Bocken et al., 2022; Tsegaye & Worku, 2023). It seeks to provide a qualitative, and more context-rich, insightful understanding of logistics optimization (Ouma & Wanjiru, 2021; Hernandez & Akpan, 2021; Karanja & Mwangi, 2022). Most of the current research in the field of renewable energy supply chain focuses on constructing models, doing cost analyses, or performing techno-economic analyses, and rarely is there an attempt to study the socio-technical and institutional frameworks that influence and/or constrain the logistical performance of supply chains in practice (Elmoubasher & Said, 2024; Gao et al., 2023; Liu & Zhu, 2022). The author of this article attempts to interrogate the logistical processes involved in the movement of bulky geothermal equipment, the last mile logistics of geothermal equipment, customs clearance, and the consolidation of geothermal power generation capacity with the electricity grid (Jamwal & Singh, 2022; Kahi & Ochieng, 2023; Mwangi, 2024). The author recognizes that there is a need to study the interplay of the logistical processes with institutional, regulatory, and community dimensions and suggests that there is enough substantive evidence in the existing literature to suggest that the absence of qualitative studies is a shortcoming and is what the relevant literature deserves (Sadler & Kumar, 2022; Saeed & Mustafa, 2023; Hernandez & Akpan, 2021).

3.0 Worldwide Perspectives on the Supply Chains of Renewable Energy

The fundamental aspects of the renewable energy transition are supply chain structure, resiliency, and adaptability (Bocken et al. 2022; Gharehgozli et al., 2021; Zhang & Yang, 2023). Different renewable technologies (wind, solar, and geothermal) have different supply chain structures and different sets of logistical, infrastructural, and institutional barriers that slow down or speed up the energy transition. Identifying these differences is essential for both the optimization of individual supply chains and the wider Net Zero assimilation (IEA, 2023; Liu & Zhu, 2022; Tsegaye & Worku, 2023). In the renewable sector, the greatest distance concerning supply chains is wind energy due to the nacelles, turbine blades, and towers because of the size and weight which makes them difficult to ship and install (Feng & Wang, 2022; Elmoubasher & Said, 2024; Gao et al., 2023). Transporting and installing the parts require oversized trucks, specialized road networks, bridges, and the use of highly skilled labor for precision installation. For example, in the advanced market, wind supply chains still show the highest domestic origin among other supply chains of solar and storage systems. The domestic supply chains of wind energy show a balanced even distribution in the construction of supply chains and the manufacturing of components and wind turbine systems (Bocken et al., 2022; Sadler & Kumar, 2022; Gharehgozli et al., 2021). Advanced markets show supply chain maturity but also show limited capacity expansion which raises the questions of sustaining demand for offshore wind (Zhang & Yang, 2023; Hasan & Alam, 2023; Liu & Zhu, 2022). The supply chain delays not only increase costs but also reduce  competitiveness (Feng & Wang, 2022; Gao et al., 2023; Elmoubasher & Said, 2024).Unlike other types of energy supplies, the solar energy supply chain is globally integrated and has rapidly expanded over the last ten years (Li & Feng, 2020; Gao et al., 2023; Bocken et al., 2022). This includes the manufacturing of photovoltaic (PV) panels, the transport of those panels to the sites of utility-scale and distributed systems, and the installation of those systems.

Recently, solar PV has become the main driver of renewable electricity growth, constituting a large proportion of the global rise in renewable capacity (IEA, 2023; Zhang & Yang, 2023; Hasan & Alam, 2023). But this rapid growth has created supply chain challenges such as delays in module production, raw material shortages, and international transport logistics (Gharehgozli et al., 2021; Elmoubasher & Said, 2024; Feng & Wang, 2022). Further, the intermittent nature of solar energy presents challenges for grid operators who need to integrate solar energy into existing grid systems, including having to invest in storage, demand management, and flexible transmission systems (Das & Bhattacharjee, 2023; Liu & Zhu, 2022; Tsegaye & Worku, 2023). These challenges highlight the need for increased manufacturing capacity, as well as improved logistical and policy systems to manage the increasing amounts of solar energy (Sadler & Kumar, 2022; Bocken et al., 2022; Gao et al., 2023). There are substantial differences in the supply chains for geothermal energy, compared to wind and solar energy, attributable to the supply chain processes involved in exploration, drilling, and the construction of plants (Chatzimouratidis & Pilavachi, 2020; Jamwal & Singh, 2022; Halder & Ray, 2020). As opposed to the modular and standardized technologies used in wind and solar energy, geothermal energy development requires long and high-cost investments in exploration drilling, specialized drilling rigs, and geoscientific personnel. For all of these reasons, geothermal supply chains are much more complex, and, in turn, geothermal projects are more susceptible to delays and cost overruns, which typically occur in developing nations where there are high levels of import dependency, poor transport infrastructure, or both (Hernandez & Akpan, 2021; Kassahun & Daba, 2020; Ouma & Wanjiru, 2021). Kenya provides an interesting example in this context. Information from Kiptum & Cheruiyot (2021), Mwangi (2024), Kahi & Ochieng (2023), shows that, because of Rift Valley's significant geothermal possibilities, the country's geothermal energy has been integrated into the renewables mix most actively. Also, reports state that the country has been the first in utilizing the potential in the Olkaria Geothermal Fields (Kiptum & Cheruiyot, 2021; Jamwal & Singh, 2022; Mwangi, 2024). There are, however, major obstacles in the geothermal supply chain; these range from the rugged terrain that drilling rigs must be transported to, customs delays in the international procurement of specialized equipment, and the misalignment of the new generation capacity to the expansion of the grid (Karanja & Mwangi, 2022; Ouma & Wanjiru, 2021; Kahi & Ochieng, 2023). Given the context, the obstacles confirm the need to improve and streamline the supply chain in order to realize geothermal potential; it's logistics, infrastructure and institutional framework (Sadler & Kumar, 2022; Tsegaye & Worku, 2023; Bocken et al., 2022).

4.0 Kenya’s Geothermal Development: The Olkaria Case – Capacity Growth

In the 1980's, Kenya's first major development in Geothermal energy construction began. Geothermal energy is used to diversify the energy sources used to generate electricity, especially to reduce the use of hydropower. Kenya commissioned the first geothermal power station in 1981, the Olkaria I, with an initial operational capacity of  15 MW. This also laid the first groundwork for any future expansion of geothermal energy in the country, (Abdi, 2024, Owuor 2024, Rotich, 2024). Being the first geothermal power station, OIkaria I put Kenya in the Geothermal energy league of African nations, (Abdi, 2024, Owuor 2024, Rotich, 2024). In the decades that followed, more generating units were added, which increased the capacity of Olkaria I and helped establish the strong foundation for Kenya's Renewable energy sector. (Abdi, 2024, Owuor 2024, Rotich, 2024).

The Olkaria geothermal complex is designed to expand in phases that meet the increase of demand for electricity in Kenya, while also helping to satisfy the country's commitments to renewable energy and Net Zero goals (Apergi, 2024; ScienceDirect, 2024b; IAJournals, 2023). The Olkaria II plant, commissioned in the early 2000s, enhanced the national grid and provided a reliable electricity supply when the hydropower generation was diminished due to a drought (Apergi, 2024; ScienceDirect, 2024b; IAJournals, 2023). Another record was Kenya’s first privately developed geothermal plant, Olkaria III, showing the role of independent power producers in augmenting the renewable sector and attracting private funding (Apergi, 2024; ScienceDirect, 2024b; IAJournals, 2023). These developments in phases show how the evolution of geothermal expansion has been a mix of public sector dominance and private sector involvement (Apergi, 2024; ScienceDirect, 2024b; IA Journals, 2023). Later extensions showed the government's commitment to large-scale geothermal development as one of the pillars of energy security (KenGen 2024; ResearchGate 2023; EffectiveCooperation 2021). With the addition of Olkaria IV and V, we have a greater installed capacity, which reinforces baseload renewable generation and reduces the dependence on thermal power plants (KenGen 2024; ResearchGate 2023; EffectiveCooperation 2021). Recent commissioning phases have significantly improved grid stability and further cemented Kenya's place as a continental leader in geothermal power (KenGen 2024; ResearchGate 2023; EffectiveCooperation 2021). The ongoing commissioning of new units reaffirms the sustained prioritization of geothermal energy in Kenya’s decarbonization pathway (KenGen 2024; ResearchGate 2023; EffectiveCooperation 2021).  By 2025, the cumulative contribution of the Olkaria geothermal complex has helped Kenya emerge as one of the top geothermal players in Africa and a notable new contender

The first geothermal energy exploration activities in Kenya occurred in the early 1980s, demonstrating the start of a long-term commitment to energy supply diversification and self-reduction of dependence on hydropower (Rotich, 2024; Abdi, 2024; Owuor, 2025). The country commissioned its first geothermal power plant, Olkaria I, in 1981, with an initial installed capacity of 15 MW, and it built the necessary infrastructure and technical capacity to advance further (Rotich, 2024; Abdi, 2024; Owuor, 2025). The historic milestone made Kenya one of the first adopters of geothermal power in Africa (Rotich, 2024; Abdi, 2024; Owuor, 2025). In the subsequent decades, additional generating units were installed at Olkaria I, further reinforcing its significance in Kenya’s renewable energy sector (Rotich, 2024; Abdi, 2024; Owuor, 2025).

The construction of the Olkaria geothermal complex is done in phases to meet the country’s growing demand for electricity and the country’s renewable energy and Net Zero goals (Apergi, 2024; ScienceDirect, 2024b; IAJournals, 2023). The start of Olkaria II in the early 2000s resulted in the national grid improvement, and for the first time, the supply of electricity was stabilized during the droughts that affected the generation of hydropower (Apergi, 2024; ScienceDirect, 2024b; IAJournals, 2023). With the development of Olkaria III, the country got its first privately developed geothermal plant, which underlined the importance of independent power producers in the enhancement of the country’s renewable capacity and in the securing of private financing (Apergi, 2024; ScienceDirect, 2024b; IAJournals, 2023). The combination of private and public participation in these developments reflects the geothermal expansion in the country (Apergi, 2024; ScienceDirect, 2024b; IA Journals, 2023). The latest expansions show government commitment to the development of geothermal energy as a core part of energy security (KenGen, 2024; ResearchGate, 2023; EffectiveCooperation, 2021). The strengthening of the renewable baseload generation and reduction of reliance of thermal power plants in the case of Olkaria IV & V is significant (KenGen, 2024; ResearchGate, 2023; EffectiveCooperation, 2021). Recent phases enhance further the stability of the grid and strengthen Kenya’s continental leadership in geothermal power (KenGen, 2024; ResearchGate, 2023; EffectiveCooperation, 2021). The new units being commissioned signifies the continued prioritization of geothermal energy in the decarbonization pathway of Kenya (KenGen, 2024; ResearchGate, 2023; Effective Cooperation, 2021). By 2025, Kenya’s geothermal complex Olkaria, will position Kenya among the top geothermal producers in Africa

The complex also plays an important role in stabilizing the country’s electricity supply mix and contributes a lot to the national installed capacity (IMFBlog, 2022; The Guardian, 2024; Abdi, 2024). The supply mix has been further improved through the reduction of reliance on hydropower and the incorporation of large-scale geothermal projects (IMFBlog, 2022; The Guardian, 2024; Abdi, 2024).These developments improved the power sector’s carbon footprint and added to Kenya’s energy security (IMFBlog, 2022; The Guardian, 2024; Abdi, 2024).The developments are in line with the country’s Net Zero commitments and demonstrate the need for geothermal energy in Kenya’s energy commitments (IMFBlog, 2022; The Guardian, 2024; Abdi, 2024).

 

 

 

 

5.0 Supply Chain Challenges in Kenya’s Geothermal Development: The Olkaria Case

Despite employing several strategies in the past, the geothermal development sector in Kenya continues to face problems in integrating the community, as well as problems with the scheduling, costs, and overall feasibility of projects (Rotich, O.; Owuor, E.; Abdi, I., 2024, 2025). These issues are due to problems with the country’s overall transportation infrastructure, regulatory and policy misalignments, and environmental and social issues (Rotich, O.; Owuor, E.; Abdi, I., 2024, 2025). These obstacles must be surmounted to maintain Kenya’s position as the leading geothermal developer in Africa (Rotich, O.; Owuor, E.; Abdi, I., 2024, 2025). Kenya will fail to reach it’s ambitious targets regarding the geothermal development due to the ineffective, “relatively cheap and quick” reforms that will result in significant delays within the country’s supply chain and governance systems (Rotich, O.; Owuor, E.; Abdi, I., 2024, 2025). The need for customs and import processes for specialized geothermal equipment add further complexity to logistics issues (ScienceDirect, 2024b; EffectiveCooperation, 2021; Abdi, 2024). The delays resulting from customs clearance become even more pronounced to the extent that they can change the financing model for a project (ScienceDirect, 2024b; EffectiveCooperation, 2021; Abdi, 2024). Construction of certain geothermal plants has also been affected by insufficient grid capacity and integration as the transmission system has not always kept pace with the geothermal generation capacity (ScienceDirect, 2024b; EffectiveCooperation, 2021; Abdi, 2024). Without timely upgrades to the transmission system, the country will potentially face inefficiencies in the evacuation of power and underutilization of new capacities that have just been installed (ScienceDirect, 2024b; EffectiveCooperation, 2021; Abdi, 2024).

The misalignment of policy and the regulatory environment have been a critical factor in the stagnation of the geothermal sector. There have been tensions in the land acquisition processes, and in the process of engaging the communities, especially in the vicinity of the Olkaria fields (Owuor, 2025; The Guardian, 2024; IMFBlog, 2022). The fears of resettlement, the process of consultation, and the mechanism of benefit-sharing have been the sources of project delays and reputational damage to the developers (Owuor, 2025; The Guardian, 2024; IMFBlog, 2022). These cases point to the need for improvement in land governance and stakeholder coordination in mega projects in infrastructure (Owuor, 2025; The Guardian, 2024; IMFBlog, 2022). This problem is further compounded by the lack of coherent regulations across the different agencies responsible for energy, land, and environmental approvals (EffectiveCooperation, 2021; Abdi, 2024; Rotich, 2024). Uncertainty and reluctance to invest private capital is further exacerbated by the delays developers often encounter with obtaining exploration licenses, drilling permits, and approvals for generation (EffectiveCooperation, 2021; Abdi, 2024; Rotich, 2024). Despite the fact that Kenya has been among the forerunners in integrating geothermal energy in its renewable strategy, there is a lot of unfinished work in coordinating the planning of the requisite infrastructure with the various phases of development of the projects (EffectiveCooperation, 2021; Abdi, 2024; Rotich, 2024). Lack of coherent planning in the integrated construction of roads, transmission lines and other infrastructure continues to create unnecessary bottlenecks (EffectiveCooperation, 2021; Abdi, 2024; Rotich, 2024).

Geothermal energy is also an energy source with low carbon emissions, meaning greenhouse gas emissions directly associated with the source being used are minimal, but like many other environmentally friendly energy sources falls may have a negative impact on the environment that needs to be addressed (IMFBlog, 2022; Owuor, 2025; ResearchGate, 2023). We should be aware that the drilling of wells and many of the other activities involved in geothermal energy production may release noxious gases and also create noise that may impact communities located near the geothermal production site (IMFBlog, 2022; Owuor, 2025; ResearchGate, 2023).  If communication about environmental concerns and protective measures is poor, community tensions can quickly escalate (IMFBlog, 2022; Owuor, 2025; ResearchGate, 2023). The impacts Olkaria has had shows that when it comes to the geothermal energy sector, it is important to take into consideration and add to your geothermal expansion plans, new, more comprehensive environmental impact studies, new, more comprehensive community engagement plans, and new, comprehensive community benefits plans (IMFBlog, 2022; Owuor, 2025; ResearchGate, 2023).

6.0 Identifying Gaps in Optimizing Logistics and Supply Chains to Support Net Zero Targets

Kenya leads Africa in the development of renewable energy, partly due to the Olkaria geothermal projects (Abdi, 2024; Owuor, 2025; Rotich, 2024). The Olkaria geothermal projects enable Kenya to enhance energy security and serve as a model for Africa in the use of geothermal energy (Abdi, 2024; Owuor, 2025; Rotich, 2024). Kenya's goal of achieving Net Zero by 2030 requires the country to improve logistics and supply chain resilience, especially for  the remote geothermal sites (Abdi, 2024; Owuor, 2025; Rotich, 2024).  The literature on logistics management frameworks for the scale-up of geothermal energy in developing countries is limited, but developing such frameworks is a critical need (Abdi, 2024; Owuor, 2025; Rotich, 2024). Recent studies focus on the technological and economical aspects while overlooking or downplaying the operational and logistical aspects that are just as important, if not more important, for the on-time delivery of projects (ScienceDirect, 2024b; IAJournals, 2023; ResearchGate, 2023). This results in under-developed integrated supply chain solutions to bottlenecks in procurement, transport, and grid synchronization (ScienceDirect, 2024b; IAJournals, 2023; ResearchGate, 2023). Enhancing the logistics of geothermal development is therefore important for improving the overall costs and times associated with development (ScienceDirect, 2024b; IAJournals, 2023; ResearchGate, 2023). Closing these gaps will improve overall performance of the sector and strengthen the role of geothermal energy in the renewable energy transition goals for Kenya (ScienceDirect, 2024b; IA Journals, 2023; ResearchGate, 2023).

Conclusion

Transitioning to Net Zero in developing countries means that the steps beyond adding more renewable energy sources must be taken in optimizing the supply chains that enable the construction of these renewable energy sources. The attempts to scale up geothermal energy construction/export of the Olkaria Geothermal Field in Kenya have shown that the construction/operating of energy transition facilities is shaped by construction/operational infrastructure gaps, fragmented construction/operational plans, logistical construction/operating impediments, and socio-institutional impediments. Despite overcoming many obstacles to become the leader of geothermal energy construction in Africa, Kenya confirms that the operational and governance aspects of renewable energy construction and deployment are more significant than the technological ones. Renewable energy supply chain optimization will support the construction of more integrated plans to ensure that construction and operational projects and energy storage facilities, as well as roads, have accessible direct routes for the transportation of heavy equipment. Improved operational coordination of multiple governmental entities, as well as direct community involvement in the socio-institutional aspects of the construction and operational integration of the projects, will be of paramount importance. The quantitative aspects will include the standard construction and operational aspects of economic calculations, transportation networks, and supply chains, while the qualitative aspects will include the socio-institutional components. The significant lesson Kenya has to offer is that the Net Zero policy of developing countries must have a supporting/constructing integrated/combined logistics infrastructure for the operationally successful and socio-institutionally accepted deployment of renewable energy construction. The deployment of new renewable energy construction must focus on the new sustainable integrated and operationally successful socio-institutionally supported construction, as well as the new economically developing construction of energy facilities to maintain the goals of the new sustainable construction.

 

 

 

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K

Karungani WalterPhilip

Operations/Supply Chain Management

Contributor at Woxsen University School of Business

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