Kenya Electricity Generating Company will spend around USD410m to construct Olkaria V geothermal plant. The plant, which is expected to take about three years to complete, will inject 140MW to the national grid ahead of its construction later this year.
The State firm prospects to sign an agreement with the contractor for the plant soon so that construction can begin by the end of year. It (KenGen) is also seeking to connect 720MW of new power to the national grid in the next four years. Olkaria V recorded 166.4 MW of steam when drilling was done last year.
At 653MW, Kenya ranks 8th globally in geothermal installed capacity, out of this KenGen produces 514MW from Olkaria. Through Olkaria, Kenya has cemented its geothermal footprint in the world.
Elsewhere the French government has committed KES600m to finance various renewable energy projects in the country. France will fund private investors in the energy sector through provision of concessional loans at an interest rate of 5 per cent. The project shall focus on investors seeking to exploit the solar, hydro and wind energy.
Recently during a tour visit by Park Geun-hye, South Korean president to Kenya, MoU on electric power and nuclear energy development was signed by Energy and Petroleum Cabinet Secretary Charles Keter and Korean Trade, Industry and Energy Minister Joo Hyunghwan. The treaty will assist Kenya benefit from Korea’s expertise in power generation. Korea has a unique model of power development that has ensured stable supply of electricity through continuous constructions and safe operations of power plants.