Achieving universal access to clean cooking

The reinstatement of VAT exemptions on renewable energy products in the Finance Act 2021 is laudable and demonstrates the government’s commitment to achieving universal energy access by 2030.

However, to achieve universal access to clean cooking by 2028 — Kenya’s revised target — the exemptions need to go beyond VAT on denatured ethanol, biogas and sustainable fuel briquettes. The government should provide for VAT exemption on clean and improved cookstoves and import duty exemptions on denatured bio-ethanol cooking fuel.

Up to 75 percent of Kenya’s population uses solid fuels as primary source of cooking with 68 percent using wood and 7.8 percent paraffin, and 23.9 percent cooking gas.

Access to clean cooking for every home in Kenya must be a priority as it mitigates respiratory illnesses, improves maternal and child wellbeing and reduces death from exposure to Household Air Pollution (HAP) from the dirty solid fuels.

Clean cooking solutions such as ethanol, biogas and electricity have the potential to reduce harmful emissions, increase efficiency, and improve health and livelihoods.

Kenya is a trendsetter in the renewable energy sector and has achieved milestones. There are a few companies that have achieved great strides in the sector, providing ethanol clean cookstoves, improved cook stoves and biogas appliances.

Denatured bioethanol for clean cooking can be bought for as low as Sh30 or Sh179 to refill the reusable canister provided with a cooker.

Some companies offer a high-quality prefabricated modular biodigester package that includes a full suite of biogas appliances and connections which are easy to install and use.

These patented high-efficiency biodigesters receive organic waste and transform into renewable biogas and organic fertiliser.

Those making clean cookstoves in Kenya not only create employment but also mitigate the negative effects of HAP.

These solutions are providing alternatives to the use of kerosene and firewood.

Government policy on tax and duty needs to support these creative industries that are able to deliver innovative products. Such companies showcase innovation and disruption to achieve universal access to clean cooking.

Kenyans need to deliberate and act with speed to secure the availability of affordable, safe, efficient, convenient clean cooking solutions for all.

Kenya loses an estimated 21,560 people to respiratory ailments which often trace back to exposure to Household Air Pollution.

Clean cookstoves reduce the emissions of climate pollutants as opposed to fossil fuels that generate emissions contributing to climate change.

Using clean cookstoves also reduce the reliance on wood, thus reducing forest degradation.

A study conducted by the Clean Cooking Association of Kenya in 2021 found that VAT on cooking products may raise Sh48.6 billion through to 2030, mainly through VAT on LPG.

However, this tax would generate double the costs (Sh94.6 billion) in negative socio-economic impacts, in addition to the negative impacts on employment.

This number is derived from the net savings from stove and fuel purchases by households, the value of time losses resulting from longer cooking and fuel collection time, and the environmental and health damages.

Sustainable markets

The Ministry of Energy has demonstrated commitment to the sector through the Energy Policy, 2018 and the Energy Act 2019 which provide for promotion of renewable energy specifically, clean cooking.

The intention of MoE is to develop sustainable markets that deliver clean and affordable solutions through development of appropriate policy frameworks, and targeted programmes to support increased uptake of clean cooking solutions.

While the sector actors recognise that paying taxes is a duty that all Kenyans have, it is crucial to accelerate adoption of life-saving clean cooking solutions by removing the taxes or duty on products so that they can be made even more affordable.

Supporting the growth of an industry that can reduce mortality and improve the onset of respiratory ailments should be a priority for the government.

Dan Kithinji, Ministry of Energy, director, Renewable Energy;

Mariam Karanja, Clean Cooking Association of Kenya Acting CEO;

Mary Githinji, Africa Enterprise Challenge Fund, policy and advocacy manager