The United Nations Development Programme (UNDP), the United Nations Capital Development Fund (UNCDF) and the World Resources Institute (WRI) have jointly launched two transformative projects funded by the Mitigation Action Facility to support Kenya’s climate targets and sustainable development goals. These projects include the nationwide deployment of solar-powered cold storage units to reduce post-harvest food losses and the ‘Electrifying Kenya’s Two and Three Wheelers’ initiative that aims to accelerate the transition towards electric small vehicles.

In partnership with the Government of Kenya, UNDP and UNCDF will deploy 1,000 solar-powered cold storage units across Kenya. The project is designed to preserve 5,000 tons of food, reduce methane emissions, and increase incomes for 60,000 smallholder farmers. The initiative supports Kenya’s Climate Smart Agriculture Strategy and its updated Nationally Determined Contributions (NDCs) under the Paris Agreement. Over its lifetime, the project is expected to prevent emissions equivalent to 4.8 million tons of CO₂e.

Dr. Jean Luc Stalon, UNDP Kenya’s Resident Representative, stated, “Kenya faces post-harvest food losses of about 40%, largely due to gaps in cold chain systems, grid reliability, and the protection of local produce. However, this is not a story of deficit, but of possibility. Within this challenge lies a $2.1 billion opportunity to strengthen our cold chain, ensure food reaches our tables, boost our economy, and build a more resilient future.”

Omon Ukpoma-Olaiya, UNCDF Regional Investment Team Lead for East and Southern Africa and the Arab States Region shared, “By co-leading the implementation of this initiative, including the deployment of concessional loans and guarantees for large cold storage operators and technology providers, as well as via local financial institutions to smaller enterprises, UNCDF will contribute to unlocking and de-risking private investment, enhancing farmer incomes, and ensuring that the cold chain ecosystem becomes sustainable and scalable.”

The ‘Electrifying Kenya’s Two and Three Wheelers’ initiative is a five-year national program to accelerate the adoption of electric two- and three-wheelers, Kenya’s most common transport modes. Led technically by WRI, the program will provide financing mechanisms to support the uptake of around 68,000 electric vehicles (EV) across Kilifi, Kiambu, and Kajiado counties. This project contributes to Kenya’s Enhanced NDC target of a 32% reduction in greenhouse gas emissions by 2030. It is expected to cut one million tonnes of emissions over ten years, generate approximately 68,000 direct green jobs, and strengthen local EV assembly and manufacturing capacity.

George Mwaniki, WRI’s Kenya Country Representative, said: “Kenya faces a critical window to design a sustainable transport future. Currently, two-wheelers account for over 70% of annual vehicle registrations, with electric two- and three-wheeler fleets growing by 86.2% and 3.7% respectively in 2023. With 90% of the country’s electricity already sourced from renewables, electrifying this segment offers a high-impact, scalable solution to reduce emissions, avoid fossil fuel lock-in, and support economic growth.”

Commenting on the significance of these initiatives, the Principal Secretary of Environment Dr. Eng. Festus Ng’eno, stated: "These initiatives demonstrate how Kenya is integrating climate action with economic development. By supporting farmers with solar-powered cold storage and expanding clean transport, we are not only reducing emissions but also building resilient communities and local industries. This holistic approach shows that sustainable development and climate goals can advance hand in hand.”

Note to Editors:

The project applies the Mitigation Action Facility’s innovative financing model, combining public funds with private-sector engagement to catalyse long-term, scalable impact. It will:

• Deploy 1,000 solar-powered cold storage units with a combined capacity of 5,000 tons.
• Provide training and awareness campaigns to farmers and cooperatives.
• Support enabling policy frameworks to accelerate cold chain adoption.
• Create 1,200 green jobs in installation, operation, and maintenance.
• Mobilise an estimated EUR 27 million in private investment, enhancing sustainability and scale.

Electrifying Kenya’s Two- and Three-Wheelers for Clean Transport

• Finance around 68,000 electric two- and three-wheelers through financing mechanisms.
• Focus on deployment in Kilifi, Kiambu, and Kajiado counties.
• Support Kenya’s target of a 32% reduction in GHG emissions by 2030.
• Generate approximately 68,000 direct green jobs and other indirect jobs in assembly, maintenance, and related services.
• 15% of projected green jobs for women
• Strengthen local EV assembly and manufacturing capacity.
• Promote enabling policy and financing frameworks for sustainable e-mobility growth.

About the Mitigation Action Facility

The Mitigation Action Facility is a joint initiative of the German Federal Ministry for Economic Affairs and Climate Action (BMWK), the UK Department for Energy Security and Net Zero, the Danish Ministry of Climate, Energy and Utilities (KEFM), the Danish Ministry of Foreign Affairs (MFA), the European Union and the Children's Investment Fund Foundation (CIFF).

Website: www.mitigation-action.org
E-Mail: contact@mitigation-action.org
Newsletter: https://mitigation-action.org/newsletter/
LinkedIn: The Mitigation Action Facility

About UNCDF

United Nations Capital Development Fund (UNCDF) mobilizes and catalyzes an increase in capital flows for impactful investments in high-risk markets, especially in Least Developed Countries, Small Island Developing States and countries in special situations. By crowding in capital through the deployment of risk-absorbing financial instruments, mechanisms and structuring advisory, UNCDF contributes to job creation and sustained economic growth in more than 70 countries.

In partnership with UN entities and development partners, UNCDF operates with speed and agility to deliver scalable, blended finance solutions to drive systemic change and pave the way for commercial finance and scale up by development finance institutions and multilateral development banks.

Learn more at www.uncdf.org or follow @UNCDF.

About UNDP

UNDP is the leading United Nations organization fighting to end the injustice of poverty, inequality, and climate change. Working with our broad network of experts and partners in 170 countries, we help nations to build integrated, lasting solutions for people and the planet.

Learn more at undp.org or follow at @UNDP

For more information about UNDP Kenya’s activities and current updates follow our social media platforms: Twitter: @UNDPKenya
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Website: https://www.ke.undp.org/content/kenya

About World Resources Institute

WRI is a global research organization working to improve people’s lives, protect nature and halt climate change. As an independent research organization, we leverage our data, expertise and global reach to influence policy and catalyze change across systems like food, land and water; energy; and cities. Our 2,000+ staff work on the ground in more than a dozen focus countries and with partners in over 50 nations.

LinkedIn: WRI Africa
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Website: africa.wri.org