Japan, Korean firms win Kenya geothermal contract
07 November 2011, 18:05
Tokyo - Japanese trading firm Toyota Tsusho Corp said on Monday it and Hyundai Engineering Co of South Korea have received an order worth some 30 billion yen ($383 million) from Kenya Electricity Generating Co to triple geothermal power capacity in Olkaria, 100 km northwest of Nairobi.
They will build a new 140 megawatt plant and expand capacity of another plant to 185 MW from 45 MW in a full turnkey contract, using steam turbine generators from Toshiba Corp , a Toyota Tsusho spokesman said.
Geothermal capacity in the area will rise to a total of 395 MW from 115 MW by April 2014, when commercial operation is expected to start.
Currently, Kenya has power generating capacity of about 1,100 MW, with hydro power accounting for about 44 percent. But lack of water due to droughts has recently decreased operations, prompting moves for an alternative power source.
Kenya has potential to produce 7,000 MW from geothermal power and is targeting production of at least 5,000 MW from it by 2030. ($1 = 78.180 Japanese Yen)