Determinants Of The Likelihood Of Adoption Of Concentrated Solar Power Technology By Tea Factories In Kenya

Abstract

This study focused on the Kenyan tea industry which has been faced with the challenge of identifying a sustainable source of process heat energy. Sixty five of the factories managed by Kenya Tea Development Agency (KTDA) use fuel wood and minimal fuel oil for process heat generation. Both these sources are not sustainable due to their high costs, depletion and negative impact on the environment. This challenge threatens future survival of the industry, Kenya foreign exchange earnings and the livelihood of the 600,000 small scale tea farmers. One source of heat energy that has been recommended for the industry is the concentrated solar power technology (CSPT). This is a renewable energy source that can be used to replace about thirty per cent of the wood and oil sources. It would be cheaper, more environmental friendly and would greatly enhance the survival of the tea industry and by extension the livelihood of the farmers. However, despite its apparent benefits and promise, by 2013 the CSPT technology had not been adopted by any of the 66 tea companies under KTDA. The general objective of this study was to investigate the determinants of the likelihood for the adoption of Concentrated Solar Power technologies by the Kenyan tea factories run by KTDA. Specifically the study investigated the effect of the variables CSPT attributes, CSPT awareness, organization complexity, access to finance and standardization on the likelihood of the adoption of CSPT by tea factories managed by KTDA. The target population was all the sixty six factories managed by KTDA while the respondents were factory unit managers of the 66 tea factories.. The study was a cross-sectional survey taking a quantitative approach with descriptive and inferential statistical outcomes. This adoption study was anchored on the diffusion of Innovations theory. Other theories applied were UNESCO awareness raising model, the World Bank’s commercial financial instruments for renewable energy model, and the ISO guide on standardization. Data collection was done using a structured questionnaire which was piloted in four private tea factories to test its reliability and validity. The questionnaires were delivered and picked by the researcher and a 100% response rate was attained. A binary logistic regression model was used to analyse data, making use of IBM SPSS statistics version 23 and STATITICA version12 software to generate statistics that enabled hypothesis testing. Most of the managers (89%) were not aware of the concentrated solar power technology but all had the education level necessary for CSPT training. On testing the hypotheses, CSPT attributes, CSPT awareness, organizational technical capacity, and CSPT standardization were found to be statistically significant with a likelihood to influence the adoption of CSPT. CSPT attributes were found to be the most likely variable to influence adoption of CSPT by the tea factories, followed by CSPT awareness, CSPT standardization and organizational technical capacity respectively. Access to finance was not found to have a significant likelihood of influencing the adoption of CSPT. In conclusion there is minimal adoption of CSPT among tea factories managed by KTDA mainly due to lack of awareness of its existence and its benefits over wood and oil sources of heat energy. The managers and technicians in the factories have basic education but need specialized training on CSPT. Standards on the quality of the technology and its installation were also found to be key in minimizing uncertainty among the potential users and therefore enhance chances of adoption. The researcher recommends massive awareness creation campaigns on CSPT particularly through exhibitions, electronic publications, workshops, newspapers and brochures. Training courses in-house or abroad should be arranged for technical staff to enable them for CSPT adoption. There is also need to ensure CSPT products and the service providers are ascertained as to their adherence to quality standards and practices.