KenGen will explore joint ventures with developers to complete geothermal projects in Olkaria. This is according to KenGen Chief Executive Officer, Albert Mugo.
Speaking in Nairobi, Mugo told reports: ‘Geothermal projects are capital-intensive and our balance sheet cannot support all the projects that we would wish to have. That’s the reason we are going to form joint ventures where we shall provide only 30% of the equity while the remaining amount will be financed by our partner.’
Mugo further confirmed that 280MW of power will come online in December 2014, and will start requesting proposals for it’s Olkaria 6 project in October. Commissioning of the project is proposed for June 2016.
Kenya is pursuing a programme of generating more than 5 000MW of the country’s power needs from geothermal sources by 2030. This would account for 26% of the country’s installed capacity.