Kenya turns to sugarcane ethanol to ease fuel costs-Xinhua

Kenya turns to sugarcane ethanol to ease fuel costs

Source: Xinhua

Editor: huaxia

2026-05-26 22:41:30

KWALE, Kenya, May 26 (Xinhua) -- An international sugar forum opened in Diani, coastal Kenya, on Tuesday, where government officials announced plans to adopt sugarcane-based ethanol production to help stabilize fuel prices, create jobs and revive the domestic sugar industry.

Speaking at the 68th International Sugar Council, Kenyan Deputy President Kithure Kindiki said the government will comprehensively review the Sugar Act and existing regulations to provide a legal and economic framework for domestic ethanol production.

He said the government will also work closely with the Energy and Petroleum Regulatory Authority to develop fuel blending regulations.

Participants said the move signals Kenya's clearest indication yet that sugarcane ethanol could become part of its long-term energy strategy to address volatile global oil prices and ease pressure on foreign exchange reserves.

Centered on the theme "The Future of Sugar: Sustainability, Innovation, and Market Integrity," the five-day event has brought together more than 150 delegates from around the world for official council sessions and committee meetings.

Kenyan Cabinet Secretary for Agriculture and Livestock Development Mutahi Kagwe told delegates that Kenya must look beyond conventional sugar production and capitalize on broader economic opportunities across the sugarcane value chain.

He said Kenya must urgently diversify into ethanol and other sugar by-products if the industry is to withstand modern economic pressures and global energy disruptions.

"We are now seriously considering ethanol production from sugarcane, especially amid global fuel price disruptions," Kagwe said.

In a move that could redefine Kenya's sugar industry, Kagwe suggested that sugar itself may eventually become a secondary product of sugarcane processing.

The Kenyan official noted that reforms under the Sugar Act 2024 are already laying the groundwork for industrial modernization, including investments in ethanol production, cogeneration and value addition.

He said the future of the sugar industry lies beyond sugar itself and extends into green energy, industrial ethanol, sustainable packaging and circular economy solutions.