Lamu wind farm gets IFC backing

A wind farm in Ngong. KenGen has set up a 5.11 MW wind power plant in the area, with plans to increase the capacity to 25MW. FILE

What you need to know:

  • Belgian firm Electrawinds has signed a partnership deal for Sh19.8 billion wind project in Mpeketoni.
  • The wind farm will consist of between 36 and 45 turbines, depending on the type used, with each expected to generate between 1.8MW and 3MW.

A multi-billion-shilling wind power project in Lamu County has received crucial financial backing from the World Bank, setting it on course to launch next year. 

Belgium’s Electrawinds announced it has signed a partnership agreement with the International Finance Corporation to develop the Sh19.8 billion ($235 million) wind power project in Mpeketoni, in Lamu County.

IFC, the private sector investment arm of the World Bank, comes into the project which Electrawinds has been setting up since 2011.

It is projected the wind farm, which is located about 20 kilometres from the site of the proposed Lamu port, will have an installed capacity of 90 megawatts.

“Electrawinds considers IFC to be a key partner to further develop, finance and, eventually, operate the wind farm. A joint development team has been set up,” said Electrawinds in a statement.

The Luxembourg-based firm did not however disclose how much IFC would inject into the project.

IFC InfraVentures is a five-year fund created in 2008 by the International Finance Corporation to finance and develop public-private-partnership infrastructure projects.

Electrawinds Kenya Limited is a subsidiary of Belgian power company Electrawinds NV, which was established in 1998 and has operations specialising in renewable energy projects in several European and African countries.

After obtaining the environmental permit, the two project partners expect to receive planning permission later this year, and then sign the Power Purchase Agreement with the government. Execution of the project is planned to start next year.

The wind farm in Mpeketoni will consist of between 36 and 45 turbines, depending on the type used, with each expected to generate between 1.8MW and 3MW.

The project site spans an area of 800 hectares and is expected to feed the new seaport of Lamu. The power generated at the Lamu project will also be injected into the national grid.

It comes at a time when the Kenya Electricity Transmission Company (Ketraco) is putting up a 323km high voltage power distribution line from Rabai to Lamu at a cost of Sh9 billion. The Ketraco project is funded by the China Exim Bank under the rural electrification programme.

Currently Lamu is not connected to the national power grid and relies on a 2.4MW thermal power generator running on industrial diesel for its power needs.

Kenya has been identified as one of the countries with high potential for wind power generation in Africa, with the highest potential around Lake Turkana and a significant potential in the coastal areas.

KenGen has set up a 5.11 MW wind power plant at Ngong Hills, with plans to increase the capacity to 25MW. The company is currently the sole generator of wind power in Kenya.

In addition, the listed power generation company has proposed to set up a 100MW wind project in Marsabit, and is carrying out feasibility studies for wind power installation in Isiolo, Lamu and Malindi.

Private investor, Lake Turkana Wind Power Project, is also expected to build a 300 megawatts wind power farm in Loiyangalani at a cost of Sh75 billion.

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