Google to Invest in Kenya’s Lake Turkana Wind Farm

Google Wind

Google Inc announced its investment in the Lake Turkana wind project in Kenya. Google has agreed to buy a 12.5 percent stake from Danish wind turbine manufacturer Vestas Wind Systems. Google will purchase the stake once the project is completed in 2017 for an undisclosed amount.
This investment will bring 310 megawatts of cheap, clean, and renewable energy into Kenya’s grid. It will account for about 15 percent of Kenya’s electricity needs, based on current generation capacity.
And once constructed, it will be the largest wind farm in all of Africa and the single-largest private sector investment in Kenya’s history.

Binary and Flash Geothermal Technologies collaborate starting with Menegai Geothermal

Flash & Binary Power Plant Diagram.
Source GEA

Ormat Technologies Inc., is a company based in Reno, Nevada US. It specializes in binary geothermal energy systems. The binary systems are able to draw power from relatively low-temperature fluid of around 100 °C.
Japan’s Toshiba Corp is a multinational conglomerate corporation headquartered in Tokyo, Japan. It focuses in the conventional flash geothermal energy systems. The flash systems uses high-temperature steam to spin generator turbines.
Toshiba holds a 26% market share, making it the world’s geothermal leader. Ormat has produced roughly 12% of the world’s installed geothermal power capacity making it the fourth largest in the market.
The two companies will collaborate to build plants around the world by combining complementary technologies. The collaboration expected to increase geothermal market opportunities to support future growth.
In some situations, a combined cycle using both systems can be employed, with the specific technology for each project chosen based on the unique characteristics of the geothermal resource.
The first project expected to be implemented under this collaboration is the Menengai geothermal project in Nakuru, Kenya.

Security concerns prompts Uganda to consider the Hoima-Tanga Crude oil route

Hoima – Tanga Crude Oil Pipeline Route (Southern)

Uganda and Tanzania have signed an agreement to explore the Tanga route for crude oil export from Hoima in Uganda.
If plans go to fruition, it will be a major blow to Kenya’s Lamu Port-South Sudan-Ethiopia Transport (LAPSSET) corridor project. Kenya was hoping to piggyback on this proposed infrastructure to export the Turkana oil reserve.
The Hoima-Lokichar-Lamu route passes through the volatile northern Kenya. These are areas suspected to be vulnerable to attacks by bandits or Islamist militants. This seems to be the main concern to Uganda and has prompted them to consider the route traversing Tanzania to Tanga Port in the Indian Ocean.
Uganda has diplomatically stated that they are simply evaluating the least-cost pipeline route through the East African coast, but in the real sense, security may be their major concern.
The southern Tanga route has also been projected to be cheaper.

– – –

Update October 2015:

Reuters Total says Kenya security important in Uganda pipeline decision

Lake Turkana 310 MW Wind Energy Project will be Africa’s largest

The Lake Turkana Wind Power project – Source Guardian

Kenya aims to generate 2,036 MW of wind power, or 9% of the country’s total capacity, by the year 2030.
Lake Turkana Wind Power Project (LTWP), in the medium term, will generate 310 MW of wind energy. It covers 40,000 acres (162 km2) – around 40km from the shores of Lake Turkana. The project will entail the installation of 365 wind turbines, each with a capacity of 850kW and is expected to be fully operational in mid-2017.
The Power produced at the Loiyangalani site will be evacuated through double circuit lines that will connect to the national grid at Suswa. The 430km, 400 KV double circuit line that will be constructed by the Kenya Electricity Transmission Company (KETRACO).
The 310 MW expected capacity is equal to about 20% of the country’s installed electricity generating capacity. The typical wind farm would have 25-35% utilization capacity. Lake Turkana will be 62% utilization capacity. Power from LTWP will cost 8.42 US cents per KWh. It is expected to drive down the cost of electricity in the country.
The Turkana Wind Power Project will be Africa’s largest wind farm connected to Kenya national grid. It is financed majorly by The African Development Bank at the cost of about US$ 800 million.

The second largest wind energy project in Kenya is the 100 MW Kipeto project.

Kenya Energy “Tenderpreneurs”?

Tenderpreneur Cartoon by GADO

A tenderpreneur is a person or official or politician in government who uses their political power and influence to secure government tenders and contracts.
Tenderpreneur is a portmanteau of “tender” and “entrepreneur”. It is a South African lexicon which is now popularly used in Kenya.
Possible tenderpreneuring in the Kenya energy sector are:

Olkaria Geothermal
RentCo East Africa Limited versus OJSC Power Machines of Russia
RentCo East Africa Limited, which tendered jointly with Lantech and Toshiba, was awarded the Sh20 billion contract to build a 50 MW geothermal power plant at Olkaria in Nakuru County, much to the surprise of other bidders.
OJSC Power Machines of Russia appealed to the Public Procurement Oversight Board. The company, claims it had the best bid.
Lamu Coal
Gulf Energy/Centum consortium versus Hebei Construction Investment Group
The Gulf Energy/Centum consortium brings together Centum Investment, CHD Power Plant Operation Company, Sichuan Electric Power Design and Consulting and Sichuan Electric Power Construction Company. They were awarded a tender for 1,000 MW coal power project in Lamu. The cost of the project is expected to be US$2 billion.
The tender award stirred controversy prompting Hebei Construction Investment Group which led another consortium bidding for the project to appeal against the Ministry of Energy’s decision citing irregularities
Gulf Energy/Centum team were later awarded the Lamu coal power deal

Menengai Geothermal Direct Use

Lake Bogoria Spa Pool

The heat from geothermal can be harnessed directly for other purposes, other than just electricity generation. History is replete with examples of taking advantage of geothermal heat, since the Paleolithic era.

The wide variety of applications for geothermal heat around the world includes space heating, spas, swimming pools, desalination, domestic hot water, heating water at fish farms (aquaculture), and agricultural/ industrial applications including drying crops, greenhouses and pasteurization.

Nakuru’s Menengai geothermal plans to diversify the use of geothermal away from the traditional electricity generation. The Menengai basin will be the Kenya’s second geothermal energy-fed special economic zone after Olkaria in Naivasha

Geothermal Development Company (GDC) plans to use Menengai geothermal for direct heat. The projects planned includes a milk processing plant, a laundry, horticultural greenhouse and an aquatic fish pond powered by heat tapped and channeled through pipes from the 30MW steam well. Investors and interested parties are called upon to invest in these projects.

The best example of geothermal direct use in Kenya is found in Naivasha. The Oserian Development Company which heats about 50 hectares of rose flower greenhouses using geothermal energy. It is the largest geothermal greenhouse heating project in the world.

– – –

Related Video

GDC succeeds in piloting geothermal direct use

SkyPower 2000 MW Solar Photovoltaic Projects in Kenya

Home solar Kits

Canadian solar developer SkyPower is the world’s largest developer and owner of utility-scale solar photovoltaic (PV) energy projects.
During the July 2015 6th annual Global Entrepreneurship Summit (GES) in Nairobi, SkyPower signed US$2.2 billion agreement to develop and build 1 000 MW of world-class solar energy projects in Kenya. SkyPower also announced donation of 2 million SkyPower Home solar kits to people of Kenya
The company has now announced that it would double the US$2.2 billion it agreed to invest in Kenya to a massive US$ 4.4 billion investments during the Business Council for International Understanding in New York.
The company also announced that it will establish education, training, research and development center in Kenya to advance solar energy. They will also donate 3600 solar street lamps to Kenya.

– – –

Update: October 2015

Sky Power Global signs a Memorandum of Understanding with the Kericho County Government.
The county government will lease out a 400 acre parcel of land to Sky Power to set up solar power plant at Kipsitet – Muhoroni area. The plant is expected to generate between 50-100MW.

Kenya Energy Audits

Energy audit is an inspection, survey and analysis of energy flows for energy conservation in a building, process or system to reduce the amount of energy input into the system without negatively affecting the output(s).

The aim is to have energy conservation by efficient utilization. This will reduce energy expense without compromising productivity.

Kenya Energy Regulatory Commission (ERC) published The Energy (Energy Management) Regulations in 2012. It mandated consumers of more than 180,000 KWh annual to carry out energy audits on their premises using ERC-licensed auditors every three years.

Large power consumers, mainly comprising of industries located around Nairobi account for about 60 per cent of the Kenya’s total electricity consumption.

According to ERC, about Sh43 million is lost every day through inefficient electricity consumption equipment. The target is to save at least 30 per cent per institution within three year period. This will reduce energy costs, especially for industries, to allow cheap manufactured goods.

The ERC regulations require the targeted facilities to set up an energy management committee and designate energy officer. Develop and submit energy management policies to ERC for approval. The institutions are also required to submit audit reports and implementation plans to the commission.

The targeted facilities required to comply with the directive to carry out energy audits are about 3 500 in the country. They consist of commercial buildings, hotels, large institutions such as universities, hospitals, and industries.

The penalties for failure to comply with the regulations are; a fine of Kenya Sh 1 million, one-year imprisonment for the facility head or both. The delay in submission of the implementation report will result in Sh 30,000 fine per day.

This year statutory deadline to submit energy audits is on September 28, 2015.

– – –

Read: How to become a Licensed Energy Auditor in Kenya

Kenya’s Geothermal Juggernaut ranks eight in the Word

Global Geothermal Energy

Kenya is now ranked as the world eighth largest producer of geothermal energy. Kenya’s installed geothermal power capacity now stands at about 600 MW, which accounts for 29% of Kenya’s total electricity production, up from the previous 13% in 2011. The new boost to make 29% of the energy mix could possibly put Kenya in the second position in the world. (Iceland holds the top spot in the world in that category, in 2013, 25% of Iceland electricity was generated using geothermal power).

Geothermal energy has lead to cuts in Kenya’s electrical power imports by half and lowered customer bills. Kenya will also export 30 MW of electricity to Rwanda, mainly from the Olkaria geothermal.
The top countries with geothermal energy are shown in the embedded chart. It also includes installed national generating capacity. The top ten countries in installed geothermal power capacity are: United States, Philippines, Indonesia, Mexico, New Zealand, Italy, Iceland, Kenya, Japan, and Turkey
The world geothermal energy operating capacity in about 12, 800 MW as of January 2015, spread across 24 countries. Kenya contributed approximately 4.7% to this total capacity. The global geothermal energy is projected to reach about 30, 000 MW by the year 2030, if all counties follow through on their geothermal goals.
Kenya envision adding another 560 MW of geothermal power to the national grid to make a total of about 1,000 MW by 2019 by expanding the Olkaria geothermal plant. And according to Kenya’s Vision 2030 development blueprint, Kenya expects to have a total of 5,500 MW generated from geothermal.

Kenya to export 30 MW of electricity to Rwanda

Flag pins Kenya-Rwanda

Kenya will sell 30MW of electricity to Rwanda via Uganda in the next three months.
Rwanda received a $50 million syndicated loan from the African Development Bank (AfDB) and Japan International Cooperation Agency (JICA) to finance the project

Works on a 400 kilovolt (kV) power transmission line running from Olkaria geothermal power production in Kenya, via Uganda to Birembo will be completed at the end of September 2015.
Rwanda signed a five-year contract with Kenya through the country’s power distributor Kenya Power. Rwanda will pay $14 cents per kilowatt of power imported. The contract will be reviewed after every two years.

Selling power to Rwanda is also part of the East African Power Pool project which promotes power exchanges between utilities in Eastern Africa region.