Kenya’s government has approved the construction of the $247.5 million Olkaria VII geothermal plant. It also aligns with the government’s plants to plans to phase out thermal power. The implementation of the plant will pump an extra 80.3 megawatts (MW) into the national grid. The multi-billion-shilling project is a collaboration between the governments of Kenya and Japan. Furthermore, the European Investment Bank is also on board with the project’s completion expected by 2027. The Cabinet has approved the project, which will be undertaken by state power producer KenGen.
The plant is expected to tap into 19 geothermal production wells. “The Cabinet has approved the construction of Olkaria VII Geothermal Power Project by KenGen. The project is expected to inject 80.3MW into the national grid by June 2027,” said KenGen in a statement. The electricity generating company said the country’s annual power demand has risen by approximately 100MW.
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The Scope of Implementation on the Olkaria VII Geothermal Plant
The 80.3 MW generated by the Olkaria VII geothermal plant is expected to facilitate the increase in power demand expected. For instance, the uptake of electric vehicles (EV) is projected to require 334MW by 2032. KenGen noted that the country’s industrial strategy anticipates a need for over 1,000MW in additional capacity within the same period. Furthermore, they noted that the construction of a new power plant will come in handy to address the deficit. Chief Executive Peter Njenga said it includes pumping an extra 1,500MW into the national grid.
He noted these remarks recently during the launch of the firm’s 10-year strategic plan. Eng. Njenga said of the total amount, 800MW would be sourced from geothermal energy as the company gears towards increasing renewable energy while phasing out thermals. “We are committed to supplying steady and reliable base load power to light our homes and drive Kenya’s industrialization,” he said. Furthermore, he pointed that the company plans to invest in a 500-hour storage system, targeting power from solar and wind.
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KenGen Cancels and Reopens Tender for $247.5 Olkaria VII Geothermal Plant Consultancy Work
