Six Kenyan energy firms have been shortlisted to receive funding
to develop geothermal wells in Kenya by the AU- backed Geothermal Risk
Mitigation Facility for East Africa, (GRMF).
GRMF, set
up in 2012 by the African Union Commission (AUC), said in a notice the
six alongside 11 others from Tanzania, Djibouti, Uganda, Zambia, and
Ethiopia will have their applications further evaluated ahead of
possible funding.
"The seventeen expressions of
Interest (EoI) consisted of 10 surface studies and seven drilling
programmes," said the Fund, which, however did not disclose the amount
each firm is seeking.
"Eight projects included a
request to support infrastructure upgrades. The EoI came from six
countries (Djibouti, Ethiopia, Kenya, Tanzania, Uganda, Zambia) and were
submitted by private, as well as public entities."
Among
the shortlisted include State- owned Geothermal Development Company
(GDC) and Kenya Electricity Generating Company (KenGen) which are
seeking funding support for drilling and infrastructure of wells in
Menengai and Eburru, both in Nakuru County.
Others are Savannah Renewable Energy which is seeking funding
for a surface study in Turkana, Empakaa Energy to conduct studies in
Emuruepoli in Suguta Valley and Sosian Energy for drilling support in
Kenya Sosian, Menengai Highlands.
Marine Power Generation is seeking backing for drilling in Mt Margaret in Maai Mahiu.
GRMF's
key mandate is to encourage development of geothermal energy sources in
East Africa by removing the high upfront costs associated with
infrastructure development in greenfield projects and initial
exploratory drilling in geothermal fields.
A geothermal well costs about Sh650 million to drill.
Kenya
has a high geothermal resource potential of around 10,000 MW along the
Rift Valley. The current installed geothermal capacity in Kenya is 860
MW, with most of it in the Olkaria fields in Naivasha.
Kenya
has pushed hard to harness its geothermal capabilities, having grown
from generating just 45 megawatts of geothermal power in 1985.
The
rise of Kenya’s geothermal output to rank ninth in the world has helped
reduce further electricity rates and expand access to electricity.
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