How Finance Bill 2025 risks hiking Kenya's clean energy costs

President William Ruto presents the Supplementary Appropriation Bill (National Assembly Bill No. 8 2025) to National Assembly Speaker Moses Wetangula after asssenting to it at State House, Nairobi. Looking on is National Assembly Majority Leader Kimani Ichung'wah. PHOTO HIRAM OMONDI/PCS. 18/3/2025.

New proposals in the Finance Bill 2025 could slow down Kenya’s transition to  clean energy by raising the cost of key technologies such as electric vehicles, solar power systems and energy storage solutions. 

The Bill has proposed the migration from the list of zero-rated items to that of VAT exempt goods, which analysts say will increase the cost of goods.

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