Kenya has struck a 311 million US dollars deal to develop two high-voltage electricity transmission lines, partnering with Africa50, a pan-African infrastructure fund, and India’s PowerGrid Corporation, Reuters reported.

Africa50 and PowerGrid will oversee the full lifecycle of the projects—from design and construction to operation, under a 30-year concession, the fund said in a statement.

Officials expect the new lines to boost electricity reliability, integrate renewable energy, and reduce technical losses and load-shedding. Kenya Electricity Transmission Company Limited (KETRACO), the state-owned operator, will manage the contracting process.

Past grid overloads have triggered nationwide blackouts, highlighting the need for additional capacity to meet rising demand. With traditional funding constrained and resistance to new taxes limiting state resources, the government has turned to private-sector partnerships to fill the financing gap.

Critics warn that such contracts could expose the state to hidden liabilities, though the government maintains the approach is necessary to expand infrastructure efficiently. The deal comes after a previous transmission project with India’s Adani Group was cancelled last year following legal issues involving the company’s founder, Reuters noted.