Kenya plans to build a 700 MW gas fired power station in the coast city of Mombasa to add 5,000 MW to the country’s 1,664 MW generation capacity by 2017. It hopes to source the gas for the power station from Qatar.

The country’s ministry of energy and petroleum is evaluating bids from investors interested in developing the natural gas-fired plant near Mombasa, as well as a 1,000 MW coal-power station at Lamu.

The Kenya pipeline has signed a non-disclosure agreement with Qatar Gas to start negotiation for the supply of a million metric tonnes a year of liquefied natural gas (LNG) for the Mombasa gas fired power station.

Kenya wishes to halve the cost of electricity within three to four years from between US17c and 18c per kilowatt hour, mainly by increasing supply from cheaper energy sources, and phasing out diesel generation.

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