Geothermal Development Company (GDC) has informed that the Menengai geothermal project in Kenya will generate 130MW of renewable power by 2015 end.
The generated electricity from the facility, when connected to the National Grid, is likely to bring down the power prices in the country.
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
GDC managing director Silas Simiyu was quoted by The Star as saying: "As of January this year, GDC has drilled 25 wells with steam worth 130MW.
"Three independent power producers are now moving to the project to build the power plants and we hope that by end of the year, Menengai will be streaming electricity to the grid."
Once operational, the facility is expected to bring a 30% reduction in power bills in Kenya.
The resultant savings per year will be around Sh13bn ($142m), Simiyu said.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataUtilisation of geothermal reserves is also expected to attract foreign investments for the power sector. The low input costs are likely to lure the investors to spend for renewable developments in the country.
Simiyu said: "Investors will greatly save on energy and commodity prices will drop and thereby spur consumption. Besides, the world over, affordable and reliable power attracts manufacturing, which creates employment."
German government has agreed to offer a Sh9.6bn ($109m) loan to Kenya for drilling of geo-thermal reserves in the Bogoria-Silali basin. 20 wells in the area are expected to open up 200MW of power resources by 2016.
