Sh12bn shot in the arm for Turkana wind power project

PHOTO | FILE Engineers install wind turbines at Ngong Hill near Nairobi.

What you need to know:

  • Plan is expected to add 300MW to the national grid and open up northern Kenya

The Turkana wind power project has been given a new lease of life after African Development Bank approved $149.5 million (Sh12bn) funding, bringing to an end a seven-year battle with various authorities over its implementation.

“The approval of the funding is a major milestone in the development of the project. It is proof that financial close is now in sight.

“Seven long, arduous and challenging years have passed, since we dreamt of this wind farm, but the resolve and commitment remains unchanged by all the investors in Lake Turkana Wind Power,” the chairman, Mr Carlo Van Wageningen, said.

“We are eager to start construction of the power plant, and finally deliver this project to Kenya,” he added.

The project is expected to add 300MW to the national grid and help open up northern Kenya as about 200km of road will be built.

AfDB regional director for East Africa Resource Centre, Mr Gabriel Negatu, said the project will include construction and operation of the 300MW wind farm with 365 turbines of 850KW capacity each.

The project will be implemented through a special purpose vehicle created in 2006 by a group of investors that include Kemperman Paardekooper & partners Africa and Aldwych International Ltd.

Secured funding

Other partners are the Investment Fund for Developing Countries of Denmark, Norfund and Vestas Wind Systems AS.

The government will construct 428km transmission line required to evacuate power from the project to the national grid and has secured funding from the Spanish government.

AfDB will provide partial risk guarantee to protect the project against delays in the construction of the transmission line to enhance confidence to prospective lenders.

The project will complement other transactions supported by ADB, including Thika Thermal Project and Menengai Geothermal Power, which are part of the intergrated approach to infrastructure development.