Kenya’s proposed coal-fired thermal power station, Lamu coal power station, is set to begin construction following the signing of a Sh206 billion ($1.9 billion) agreement between China Power Global and Amu Power.
According to local radio station Kapital FM, energy cabinet secretary, Charles Keter confirmed the news.
Keter described the plant as "one of the biggest plans under the public-private partnership framework."
Media reported he expressed confidence in the development, stating that the plant should be up and running in two years' time.
"We are almost reaching conclusion, they have initialised the PPA,” Keter said. Read more...
He continued: “What is remaining which we are working on is the letter of support which we've given them the standard, they've made comments, which is still now between Treasury and the Attorney General, they've also signed the LAPSSET lease. If all goes well they can do their ground-breaking by June, July.”
The LAPSSET Corridor Program is Eastern Africa’s largest infrastructure project bringing together Kenya, Ethiopia and South Sudan.
Keter also revealed that the project has already started the process for the transmission line, “the 400kV line from Lamu to Kitui to Nairobi which we've awarded to three contractors already,” he added.
The plant is expected to inject 1,050MW into the power grid and will contribute to a stable power supply. Read more...
"It is important because it's a base load. Like now, we closed down Masinga until last week. Kenya has been depending on hydros and because of the advanced weather condition we are experiencing a lot of problems,” he said.
“Its biggest selling point is however, is that it would provide a cheap source of power. We're saving a lot in terms of kWh," Keter noted.
The coal plant is set to be developed on 865 acres of land and feature a 210 meter tall smoke stack, which would become East Africa's tallest structure.
The project has been subjected to delays as the construction was expected to begin in September 2015 and last approximately 21 months.