(Nairobi) – Rubis Energy Kenya has entered the clean energy market through a joint venture with Solarise Africa, creating RUBiSOL, a company focused on providing solar power solutions to commercial and industrial businesses in East Africa.
Rubis Energy, Kenya’s second-largest oil marketer with a 15.56% market share, aims to diversify from its traditional fossil fuel operations into the growing renewable energy sector. The partnership with Solarise Africa, a company specializing in decentralized solar and clean energy systems, reflects Rubis’ strategy to tap into the increasing demand for alternative energy sources in the region.
On Wednesday, Rubis Energy and Solarise Africa formalized the joint venture by signing an agreement to establish RUBiSOL. The new company will offer solar power solutions tailored to the needs of businesses in Kenya and surrounding countries. The decision to enter the clean energy market is driven by the growing number of businesses in Kenya seeking alternatives to the unreliable electricity supply from Kenya Power, which has been experiencing frequent blackouts.
According to Olivier Sabrié, Managing Director of Rubis Energy Kenya, the expansion into renewable energy is a strategic priority for the company. He emphasized that the partnership with Solarise Africa marks a significant step towards achieving a more sustainable future. “By partnering with Solarise Africa, we are taking a significant step towards a sustainable future,” Sabrié said.
Solarise Africa, which manufactures and installs solar power and clean energy systems across the African continent, has already secured 79 contracted sites in Kenya, Uganda, Rwanda, and South Africa. These sites have a combined maximum output capacity of 24 Megawatts Peak (MWp).
Jan Albert Valk, Co-Founder and CEO of Solarise Africa, expressed optimism about the joint venture, highlighting that the expertise of both companies in decentralized solar energy solutions will unlock new opportunities for businesses in the region. “Our expertise in decentralized solar and other energy solutions, combined with Rubis’s strong market presence, will unlock new possibilities and empower businesses to thrive,” Valk stated.
Rubis Energy’s move into the solar market puts it on a competitive footing with its local rival, TotalEnergies Marketing Kenya, which has been active in providing solar power systems, lanterns, and lamps aimed primarily at households. Over the past few years, the uptake of solar energy in Kenya has been steadily increasing, especially among businesses and households far from the national electricity grid, or those looking for more affordable and reliable power sources.
The rise in demand for solar energy is largely driven by the frequent blackouts caused by Kenya Power’s unstable supply and the desire for cheaper electricity bills. In the 2023/24 period alone, 355 manufacturers, contractors, and importers secured permits to produce solar products, underscoring the growing market for clean energy.
Rubis Energy Kenya and Solarise Africa did not disclose the financial details of their joint venture, including the capital investment for RUBiSOL. However, this move marks a significant step in Rubis Energy’s broader strategy to enter the clean energy market. Two years ago, Rubis, the parent company of Rubis Energy Kenya, acquired an 80% stake in Photosol, a French energy firm, which led to the creation of Rubis Photosol. This subsidiary is focused on the company’s clean energy initiatives in Europe.
In addition to selling solar solutions, Rubis Energy Kenya plans to install solar panels at its own fuel stations and depots, following the example of its competitors in the industry who are increasingly embracing clean energy sources for their operations.