While local PV manufacturers have blasted the move, others have welcomed the move as a step in the right direction in the country's increasing adoption of renewable energy.
SolarAid's solar lights help people save up to 25% of their monthly income by replacing kerosene-based lighting, according to SolarAid.
SolarAid
Kenya's solar industry appears split on the country's recent move to eliminate value-added tax fees on imported solar equipment.
The East African country imposed a 16% VAT on imported solar products last year but a new VAT law that went into effect in May now makes a number of items, including PV products, exempt from the tax.
Non-profit group SunnyMoney, part of London-based charity SolarAid, welcomed the move, saying it has reduced costs for its small portable solar lights, which has led the organization to pass on the savings to customers.
"Removing VAT on solar products reduces the cost to consumers and aids access to everyone buying solar products. The benefits to Kenyans and the national economy will be substantia," said Linda Wamune, SunnyMoney's operations director in Kenya. "We will be able to reach more customers in off-grid areas throughout Kenya with these price decreases."
