GE signs Sh16bn deal to supply Kajiado wind farm equipment

What you need to know:

GE Africa President and chief executive said the multinational will be the sole equipment supplier for the project.
The $155 million contract will include 60 GE 1.7-103 wind turbines, as well as a 15-year service agreement.
The power deal “caps off a successful run of more than $2.5 billion in booked orders in the African continent.

General Electric has signed a $155 million (Sh16 billion) supply deal with Kipeto Energy, a company building a 100-megawatt wind farm in Kajiado County.

Jay Ireland, GE Africa President and chief executive officer, said the American multinational will be the sole equipment supplier for the project.

Announcing the deal on the sidelines of the Sixth Global Entrepreneurship Summit, Mr Ireland, said the power deal “caps off a successful run of more than $2.5 billion in booked orders in the African continent across transport, aviation, healthcare and energy sectors.

“The $155 million contract will include 60 GE 1.7-103 wind turbines, as well as a 15-year service agreement,” he said.

The Kipeto wind power project will be fully financed by the Overseas Private Investment Corporation (OPIC), the US government’s development finance arm.

Mr Ireland said the project is expected to contribute significantly to the installed energy capacity in Kenya.

“The funding is targeting the financial close of year 2015. We project to have the project ready by 2017,” said Mr Deo Onyango, the GE sales director for sub Saharan Africa.

Mr Ireland was accompanied by Elizabeth Littlefield, President and CEO of OPIC and Jack Leslie, board chairman of US Africa Development Foundation.

Ms Littlefield said OPIC was privileged to sign the financing deal with Treasury secretary Henry Rotich.

“We have committed $100 million to $200 million which will be used to support other projects including small and medium enterprises,” she said.

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