President William Ruto struck multibillion shilling deals worth of investments in his just concluded two-day visit to the United Nations Climate Change Conference, COP27, in Egypt.
The Head of State entered partnerships with various companies and nations at the Sharm El Sheikh event. Top on the list of deals includes the development of a multibillion-dollar fertilizer plant in Kenya.
In an effort to lessen dependency on imports, the government partnered with Fortescue Future Industries (FFI) to build a green fertilizer facility in the country.
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In accordance with the agreement, FFI and the Government would collaborate to erect a 300 MW-capacity green ammonia and fertilizer complex by 2025.
“Under the pact, Fortescue Future Industries and the Government of Kenya will work together to build a 300MW capacity generation green ammonia and green fertilizer facility by 2025,” State House wrote on Twitter.
Following this, two other projects will be developed to produce up to 1.7 million tonnes of green hydrogen annually for export by scaling up renewable electricity generation for green industries by up to 25 gigawatts (GW)
President William Ruto said in a statement following the agreement’s signing at COP27 that it will aid in the development of opportunities for regional enterprises, communities, and industries.
Read: President Ruto Meets Development Partners In Response To Drought Crisis
Andrew Forrest, Executive Chairman of Fortescue, stated that the agreement places Kenya on a path toward industrial decarbonization and that Fortescue is dedicated to accompanying Kenya on that journey.
“Current ammonia and fertilizer production rely 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,” said Forrest.
In Egypt, Ruto also inked a climate change agreement with the government of the United Kingdom. In order to support Kenya’s leadership in combating climate change, the UK and Kenya agreed to advance Ksh500 billion in new British investment initiatives.
Sunak promised to continue supporting Kenya in his remarks on Monday, November 7 after their meeting at the COP27 summit in Egypt. He praised the nation for its innovative climate leadership. The fund will enable mutual benefits for the UK and Kenya during the course of a five-year strategic partnership.
Focused initiatives include the construction of the Grand High Falls Dam, which will produce one gigawatt of renewable energy, and additional geothermal and solar energy generating at Menengai and Malindi.
Others include a Ksh32 billion investment in a climate-resilient agriculture centre for the Lake Victoria region in Kisumu, which will generate 2,000 direct jobs and 20,000 income for farmers, and the green regeneration of central Nairobi anchored around a new central rail station.
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