In East Africa, power utility Kenya Power, has signed four 20-year power purchase agreements (PPA) with local renewable power generators for an additional 20.8MW.
The PPA, which will operate under the country’s feed-in-tariff policy, includes the procurement of biomass, solar, mini-hydro and wind micro-plants located in Kwale, Nairobi, Kajiado and Meru, the utility said in a statement.
According to Kenya Power, the Kwale International Sugar Company will provide 10MW to Kenya Power from its biomass power plant at Ramisi, Kwale County. Ol-Ndanyat Power Ltd will supply 10MW from their wind power plant at Kona Baridi in Kajiado County.
The utility added that a solar power plant that will be developed by Strathmore University will provide 0.25MW capacity and Mt. Kenya Community Based Organisation will provide 0.6MW from their mini hydro power generation plant at Ntonani Falls in Meru County.
Kenya Power Managing Director and CEO, Dr Ben Chumo discussed what this means for the tariff policy: “The feed-in tariff policy provides competitive power purchase price base rates starting from $0.11 per kilowatt hour for wind sources; $0.1 per kilowatt hour for biomass; $0.12 per kilowatt hour for solar and $0.0825 per kilowatt hour for mini hydro sources.”
Kenya Power boosts clean energy
By increasing the integration of clean power into the energy mix, it reduces the country’s reliance on fossil fuels, which are costly and a large contributor to green house gas emissions.
Chumo noted: “These agreements for a total of 20.82MW lay the necessary framework for Kenya Power to increase its total installed generation capacity which currently stands at 2,298 MW.”
Power generation expansion programme
Chumo highlighted the utility’s power generation expansion programme for 5,000MW of additional capacity within the next 5 years as envisioned by the government.
The utility claims that the additional power is expected to reduce the cost of power by 40%.
Chumo explained: “Kenya Power has so far connected over 4 million customers to the national grid and aims to connect an additional 1 million new customers in the current financial year.
“This is in tandem with the government’s plan to increase population access to electricity to more than 70% by 2017 and universal access by 2020.
He concluded: “With the strategies and objectives we have in place, I have no doubt that Kenya Power will continue playing an integral role in driving the socio-economic development of this country as envisaged by Vision 2030 by providing quality, reliable, and cost-effective power and service.”