Plans are under way to construct the fifth Olkaria geothermal power plant in Naivasha to add 140 megawatts of electricity to the national grid daily. The Kenya Electricity Generating Company has sought approval of the National Environment Management Authority to build the plant comprising two turbines each with an output of 70 megawatts.
Gibb Africa Ltd said in its environmental and social impact assessment study report that the 140MW Olkaria V geothermal power plant with associated infrastructure will help meet increasing demand for electricity. “The potential for perpetual steam production has given geothermal resources development a strong basis for renewable energy generation through massive green projects,” said the consulting firm in an ESIA report prepared on behalf of KenGen and submitted to NEMA for approval.
Sinopec International Petroleum Service Corporation (SINOPEC) of China is currently building KenGen’s 280 MW Olkaria IV plant with the Sh11.5 billion ($140 million) project set to be commissioned this year.
Gibb Africa said the specifications of Olkaria V will be the same as Olkaria IV and the power plant’s design will require a steam flow of 7.5 tons per hour per megawatt (t/h/MW) to ensure the two turbines generate 140MW. The firm said roads to be used during construction process will boost access across villages like Narasha and Inkorienito besides leading to development of medical facilities and other social amenities.
Power from Lake Turkana
Meanwhile, work is set to start to build a transmission line to inject to the national grid 300 megawatts of electricity from Lake Turkana Wind Power Project (LTWP), which signed funding agreements for $870 million in March this year.
Norway based DNV GL is providing to Kenya Electricity Transmission Company (KETRACO) technical expertise for building of 426km long overhead cables to transfer 300 MW from Turkana Wind Power plant. The consulting firm will supervise construction work and provide training on management of the 400 kilovolt (kV) high voltage transmission line that will have two substations, each at Loiyangalani and Suswa near Naivasha.
The line expected to cost about $191.5 million will transfer to the national grid 300 MW of electricity from Lake Turkana Wind Power Project (LTWP) which signed financing agreements of over $870 million in March this year.
Power Africa Initiative of United States of America (USA) provided technical advice that gave Lake Turkana’s lenders comfort that the Kenyan electrical grid could absorb the intermittent power associated with wind farms.
The board of directors of OPIC, an agency of United States of America government on May 29, this year approved $250 million for development, construction, commissioning and operation of the 310 MW wind farm.
OPIC is among the development finance institutions and private lenders financing for the facility, which will be the single largest wind power plant projected to serve more than 2.5 million Kenyan homes.
OPIC’s CEO Ms Elizabeth Littlefield said the agency will provide $1.5 billion to develop energy projects in Sub-Saharan Africa ( SSA) in next five years and LTWP underscores support for powering Africa.
“By joining this esteemed group of lenders for the monumental LTWP, OPIC solidifies our commitment to the transformative goals of Power Africa, helping to catalyze the private capital that will be the key to bringing electricity to millions of people in Africa.”
OPIC is playing a key role in President Obama’s Power Africa Initiative, which aims to catalyze private investors to produce 10,000 MW of new energy for the more than 600 million SSA currently living without power.
“The creative partnerships of LWTP touches stones of how Power Africa will achieve its goals, and the millions of people in Kenya that will gain new energy access are proof of our progress in this initiative,” said Littlefield.
LWTP is projected to create over 2,000 jobs during the construction phase and sustain nearly 200 full-time jobs when operational. OPIC mobilises capital by providing investors with financing, guarantees, political risk insurance, and support for private equity investment funds.
LTWP has signed 20 years power purchase agreement (PPA) with Kenya Power that is mandated to distribute electricity.
The state owned KETRACO is mandated to build new power transmission infrastructure using funds from the government and development partners to meet to growing electricity demand averaging 8 per cent annually.
“Without transmission lines such as this one, future development of reliable wind and geothermal sources will be limited and Kenya will be forced to rely on more expensive fossil fuels power plants,” said Mr Walker.
Although still in early stages of development, the Suswa substation will also be connected to the Olkaria geothermal electricity generation plants, Nairobi North substation, Ngong substation and Isinya substation.
KETRACO’s Chief Planning and Development Manager Mr John Mativo said the 400kV transmission line project will help to develop a new robust national grid system and improve quality of reliable electricity supply.
“DNV’s in-depth technical expertise and global advisory services have proven invaluable to success of this project, which is paving way for Kenya to produce clean reliable power and transmit electricity,” he said.
Work on 60 MW plant in central Kenya has started with Kinangop Wind Park Ltd (KWP) appointing Singapore’s Aurecon Group as project engineer of $150 million facility that will be built by Iberdrola Engineering of Spain.
General Electric will supply 38 wind turbines to the project expected to be commissioned mid next year after Iberdrola Engineering finishes building work. Electricity will be sold to Kenya Power as a PPA has been signed.
Aurecon’s Renewable Energy Service Leader Mr Paul Nel said Kinangop is a major independent power producer (IPP) wind farm and the appointment builds on the firm’s presence in growing South African renewables market.
“As owner’s engineer, Aurecon will work closely with the project partners to ensure that the wind farm is delivered on time, within budget and meets the expected level of reliability for long-term operation,” he said.
The building of 220kV ring around Nairobi Metropolitan area will offer a future transfer outlet for 280MW Olkaria geothermal power plant currently under construction, which cannot reach the city through existing Nairobi North 220kV double circuit transmission lines.