25^th September 2024, Nairobi, Kenya: KEPSA and EcoSecurities, a leading global climate solutions company leveraging the power of nature, technology and finance to accelerate global decarbonisation efforts, today signed a strategic partnership agreement. This collaboration aims to increase the accessibility and mobilisation of catalytic carbon and climate finance, supporting businesses operating in Kenya and the wider African continent in transitioning to low-carbon, climate-smart economic development.  

Kenya has demonstrated its commitment to a low-carbon and climate-resilient future, with the government committing to a 32% reduction in carbon emissions by 2030 and the recent introduction of the Kenya Climate Change Act Amendment in September 2023 and Climate Change Carbon Markets Regulations in 2024. There is considerable potential for Kenya to utilise carbon finance to accelerate decarbonisation efforts and enable sectors such as clean energy and climate-smart agriculture to grow, generating new sustainable economic opportunities for the country.

The collaboration between KEPSA and EcoSecurities will ensure that private sector companies working in critical sectors such as heavy industry, transport, waste, energy and agriculture can access carbon finance via the rapidly evolving Article 6 and voluntary carbon markets. This will provide a much-needed alternative source of financing for the region.

Key focus areas of the partnership include:  

• Promoting the catalytic role of carbon finance and Article 6 in supporting sustainable development and a low-carbon transition across Kenya’s private sector.
• Developing an effective carbon finance strategy to support the large-scale mobilisation of this alternative finance source for KEPSA’s members.
• Facilitating comprehensive public and private sector dialogue to ensure carbon markets are effective for accelerating on-the-ground decarbonisation activities across diverse sectors.
• Working with KEPSA members to identify, develop, and build a robust pipeline of carbon projects across various industries to help achieve the country’s climate goals.

“We are thrilled to partner with EcoSecurities as our preferred carbon asset management partner to unlock the transformative potential of carbon finance in Kenya. This collaboration will empower our private sector to harness carbon markets effectively, fostering sustainable economic growth and helping us meet our climate commitments,” said Dr. Ehud Gachugu, Global Director of Youth and Jobs, KEPSA.

Dr. Gachugu reminded participants of the broader impact that goes beyond carbon credit by saying that it should encompass job creation, economic resilience and sectoral transformation. He went on to challenge stakeholders to take advantage of the carbon market opportunities to contribute to the projected 4.5 million jobs in the green economy globally by 2030.

“This collaboration with KEPSA will help unlock the catalysing potential of climate and carbon finance in Kenya to deliver on the country’s ambitious climate commitments. As part of one of Africa’s largest economies, with a vibrant and diverse private sector, our work with KEPSA will be instrumental in enabling Kenyan businesses to leverage the full potential of the carbon markets in a way that will deliver sustainable economic development and transformational finance that will benefit people and planet,” said Mr. Pablo Fernandez, CEO, EcoSecurities.

Eng. Dr. Festus Ngeno, Principal Secretary, Ministry of Environment, Climate Change and Forestry, in a statement read by Ms. Faith Njeri, Assistant Secretary in the Ministry, noted that to realise the full potential of carbon finance, the country must adopt robust strategies that prioritise quality, inclusivity and environmental integrity. He also emphasised that carbon market initiatives should align with Kenya's development priorities and contribute meaningfully to poverty alleviation, gender equality, and social inclusion.

“This partnership between EcoSecurities and KEPSA is a perfect example of how we can leverage collaboration to drive impactful climate action. By working together, we can mobilise resources, share expertise and scale up projects that deliver real, measurable benefits for our people and planet,” read the statement.   

Dr. John Wandaka, Vice-Chair, KEPSA Environment Water & Natural Resources Sector Board stated that KEPSA’s commitment to green growth and sustainability has never been more important, highlighting that the collaboration will specifically benefit KEPSA members by providing access to expertise in project development and monetisation of carbon credits. He said that by leveraging EcoSecurities' global experience, the private sector can build a robust pipeline of carbon projects that align with Kenya's climate goals, fostering a low-carbon economy that benefits all sectors.

In a presentation on Carbon market opportunities within the private sector, Dr. Jackson Koimbori, Head of KEPSA Consult, Circular Economy and Climate Change, provided insights into Kenya's carbon market potential, challenges, and regulatory environment​. He noted that benefit sharing is crucial in ensuring communities actively participate in and support carbon market projects. Dr. Koimbori’s remarks were echoed by Dr. Anne Omambia, Deputy Director of Programmes & Partnerships at the National Environment Management Authority (NEMA), who said “Not everything can be traded but we can cooperate and that is what Article 6 of the Paris Agreement is all about. We tend to think it's carbon markets, but actually, cooperative approaches for forming objectives of raising ambition to reduce our emissions and spur sustainable development.”

The event also featured a panel discussion on creating a policy-enabling environment for carbon markets in Kenya, which was moderated by Dr. Koimbori. The panel consisted of Mr. James Odongo, CEO, KEPRO; Ms. Caroline Amollo, Director of Corporate Affairs, BURN Manufacturing; Mr. John Kabuye Kalungi, Vice-Chair of KEPSA Lands and Housing Sector Board; Ms. Saumu Ismail, Program Manager, Kenya Climate Innovation Centre (KCIC); and Joseph Wambugu, Senior Commercial Associate for EcoSecurities