President Uhuru Kenyatta will today launch the largest single geothermal power plant in Africa, Olkaria IV in Naivasha. The project is designed to deliver 280MW to the national grid by end of year. The Olkaria IV is an extension of Olkaria I and II and was built in two plants each having two units (70 MW each) and generating 140 MW of power.
Built at a total cost of USD 370 million (KES 32,930,000,000), the power plant will benefit Kenya’s economy, households and businesses, who cry foul of high electricity costs. KenGen’s geothermal plant is an environmentally clean source of energy and is relatively cheap and reliable.
Power bill is expected to go down by 40% by December 2014 with Olkaria IV in place.
Kenyan government and China Exim bank funded the drilling of the wells with the European Investment Bank, Agience Francaise de Development (AFD), the World Bank and KfW financing the project and development of the steam fields.
In 2012, construction work began involving Hyundai Engineering (Korea)/Toyota Tshusho of Japan consortium, KEC of India and Sinopec (China). In June 2014, tests for Olkaria IV units were done and completed in August 2014 and the plant was reliable to run.