Kenya lifts VAT on solar imports

June 11, 2014
Facebook
Twitter
LinkedIn
Reddit
Email

Kenya has lifted VAT charges on all solar equipment imported into the East African country.

The move nullifies a 16% VAT rate brought in late last year on imported solar products.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

The lifting of the tax has been welcomed by solar installers and campaigners in Kenya.

Linda Wamune, operations director of Solar Aid in Kenya, said: “Removing VAT on solar products reduces the cost to consumers and aids access to everyone buying solar products. The benefits to Kenyans and the national economy will be substantial. We will be able to reach more customers in off-grid areas throughout Kenya with these price decreases.”

However, there are concerns over the impact the move could have on Kenya’s domestic PV manufacturing sector.

“The new tax exemption, while being a very noble idea on the surface, will have negative effects on local manufacturers,” said Haijo Kuper, managing director of solar manufacturer Ubbink East Africa, based in Kenya.

“The vibrant solar energy market that Kenya has developed will be flooded with cheap imports. Local manufacturing has the added advantage of offering after sales and warranty due to close proximity,” Kuper added.

George Bowman, founding director of Azimuth Power, co-developer of the recently completed Changoi PV installation in northern Kenya, said: “When we started out last year there was no VAT on solar, then it was added and now…it appears to be off again. I think this is a good thing overall as it will make systems more attractive to commercial buyers, but I can understand Haijo’s position.”

Read Next

January 29, 2026
Canadian renewables firm Westbridge Renewable Energy has received approval from the Alberta Utilities Commission (AUC) to build an up to 225MW solar-plus-storage plant in Alberta, Canada.
January 29, 2026
Enfinity has started commercial operations at a 33.8MW solar PV project, the first in a portfolio from which Microsoft will acquire power
January 29, 2026
The cost of Chinese solar module manufacturing will rise in the first half of 2026, though prices may fall again before the end of the year.
January 29, 2026
PV module defects are increasing as manufacturers struggle to achieve consistent quality through robust bill-of-material and process controls.
January 29, 2026
A Korean-led consortium including Hyundai Engineering has started construction at a 350MW solar PV plant in Dallas, Texas.
January 29, 2026
A new trade association, Californians for Local, Affordable Solar and Storage (CLASS) has started work to improve access to community solar.

Upcoming Events

Solar Media Events
February 3, 2026
London, UK
Upcoming Webinars
February 18, 2026
9am PST / 5pm GMT
Solar Media Events
March 24, 2026
Dallas, Texas
Solar Media Events
April 15, 2026
Milan, Italy
Solar Media Events
June 16, 2026
Napa, USA