Metalgalante S.p.A.
MSC Mediterranean Shipping Company
CAF Data Centre Industry Outlook
Car Mix

twitter Facebook Linkedin acp Contact Us

KfW loans Kenyan government US$113mn for geothermal project

Drilling will be carried out at seven fields, at Bogoria, Azuri, Baringo Korosi, Silali, Lipaka and Chepchuk. (Image source: Staff of Hope)

German Development Bank (KfW) has extended US$113mn in loans for the drilling of 20 exploration and appraisal geothermal wells in phase one of the Bogoria-Silali project in Kenya’s Rift Valley

According to the Geothermal Development Company (GDC), a government firm mandated to exploit geothermal power and the Bogoria-Silali project will generate 200MW of power when fully developed.
An interest rate of 1.75 per cent is attached to the loan facility that will have a grace period of five years and a repayment period of ten years.
“The national government is committed to diversification of energy sources which has previously been dominated by hydro-power. Unreliable rainfall and erratic weather patterns have affected hydro-power sources,” observed Kenya’s treasury cabinet secretary Henry Rotich.
GDC has sought private investors to inject money into geothermal power generation in recent years.
Last year, KfW injected US$100mn into the Bogoria-Silali project with US$300mn coming from US Export-Import Bank (Exim Bank).
The aim is to expand geothermal production from the two main areas of Ol Karia, south of Naivasha town and Menengai, just outside Nakuru.
The drilling will take place at seven fields, at Bogoria, Azuri, Baringo, Korosi, Silali, Lipaka and Chepchuk.
A private investor, Marine Power Generation (MPG) has interest in drilling near Akiira Ranch, Mlima Panya and Mount Margaret in Suswa.
Other investors in the geothermal power generation projects in Kenya include the African Development Bank (AfDB), the French Development Agency (AFD) and the World Bank.
With an estimated geothermal power potential of between 7,000MW and 10,000MW, Kenya is yet to fully benefit from their renewable energy as only 200MW is exploited.
The country plans to generate 5000MW by 2018 with most of the power coming from renewable sources such as geothermal, hydro and wind.

Mwangi Mumero

African Review

Most Read

The Bell team in Richards Bay consists of more than 800 machinists, welders, and assemblers. (Image source: Bell)

GFE Power Product’s extensive range covers generators from 10 kVA up to 3,000 kVA. (Image source: GFE Power Products)

The funding is the largest-ever equity raise in the minigrid industry according to Husk. (Image source: Adobe Stock)

The initiative will help African contractors participate in annual infrastructure investments. (Image source: Afreximbank)

ITS has evolved into a sophisticated systems approach, providing numerous opportunities to revolutionise road networks. (Image source: Adobe Stock)

Inside Condra’s Johannesburg factory: an overhead crane positions an electric motor during assembly of hoist and crab. (Image source: Condra)

Invest International’s Lara Muller; Ivory Coast Minister of Finance and Economy, Adam Coulibaly; and Ambassador Designate to Ivory Coast, Jeroen Kelderhuis. (Image source: Invest International)

The Yellow Metal Machine Rental team with some Wacker Neuson equipment. (Image source: Wacker Neuson)

The parties will also promote the mutual exchange of information and expertise in the field of export credit policies and practices. (Image source: TBD Group)

Although displaying resilience, the report warns that African banks remain exposed to physical climate risks due to both sovereign and industry lending. (Image source: Adobe Stock)

WAA and VCMI will seek to establish regulatory frameworks to enable access to high integrity and fair voluntary carbon markets for WAA member countries. (Image source: Adobe Stock)

IVECO is renewing its entire product range, all at once. (Image source: IVECO)

Both the IMF and EIU expect SSA to rank as the world’s second fastest growing economy in 2024. (Image source: Adobe Stock)

The MoU was signed alongside the Africa Health Business Symposium. (Image source: Africa CDC)

There has been a focus on the sugar industry. (Image source: Adobe Stock)

Latest news

The AfDB board complemented Transnet for progress made in rolling out its compliance and governance improvement programme. (Image source: AfDB)

The new data centre is ‘EcoStruxure-ready’, with components of the installed EcoStruxure for Data Centers platform solution. (Image source: Schneider Electric)

d.light has a proven track record in the use of securitised finance to support its solar-powered household products in sub-Saharan Africa. (Image source: d.light)

Ghana’s President, Nana Addo Dankwa Akufo-Addo, speaking at the launch. (Image source: Office of the President, Republic of Ghana)

Dietmar Siersdorfer speaking at Africa Energy Forum in Barcelona. (Image source: Siemens Energy)

The generator set fitted with a Perkins 1103 is providing vital backup power at the St Patrick School in Uganda. (Image source: Perkins)

5G technology deployment will take place later this year. (Image source: Adobe Stock)

Spiro will draw from its experience in Kenya, Benin, Togo, Rwanda and Nigeria as it launched in Uganda. (Image source: Spiro)

According to IRENA, concrete policy actions and massive mobilisation of finance at full speed is required in order to meet the 2030 target. (Image source: Adobe Stock)

The distributor will hold specialised training and empowerment sessions to enable its channel network to effectively deliver Vertiv’s portfolio, as well as managing inventory to serve the market. (Image source: Vertiv)

The HQ is expected to be completed and handed over by February 2025. (Image source: ECOWAS)

Africa’s share of global manufacturing only sits at around 2% today. (Image source: Adobe Stock)

There are numerous but not insurmountable challenges facing Africa's aviation sector, according to IATA. (Image source: Adobe Stock)

Africa Energy Forum 2024 was held in the Fira de Montjuïc in Barcelona. (Image source: ACP)

The quality design and manufacture of SEW-EURODRIVE South Africa’s panels and enclosures can be suited to any customer requirement wall mounts. (Image source: SEW-EURODRIVE)

Genset BuyersGuide
Construction Buyers Guide