The geothermal strides taken by KenGen over the years not only in Kenya but also outside the country is quite remarkable. Consequently, this has put Kenya on the lead in producing geothermal energy in Africa. On a global scale, Kenya has been ranked ninth. The company’s exemplary performance is well evidenced by the 300 geothermal wells drilled and the investments made in experts with considerable experience.
KenGen is also making efforts towards implementing its diversification strategy. The Tulu Moye geothermal project constructed around the Tulu Moye volcano in Oromia clearly demonstrates this as KenGen has already began the mobilization of its drilling rig. This happened after it was awarded by Tulu Moye Geothermal (TMGO) the contract to provide drilling services to Ethiopian Electric Power (EEP) back in December 2018. Darrel Boyd quotes the contract signed as USD 60 million dollars contract. As part of the contract, KenGen is expected to be drilling a total of twelve geothermal wells, installing water supply systems and equipment.
The project is set to take place in two phases with phase I generating 50MW entailing the purchase of drilling rigs and phase II generating 100MW entailing the provision of drilling services. For Phase II, KenGen will be supplying about 30% of its component, this translating to almost $6.2 million. The first phase of the project is scheduled for completion in 2022.
We are positive that the project being Ethiopia’s first geothermal IPP project will be of benefit to the Ethiopian country following its lack of breakthrough since the 1980’s to effectively venture into geothermal development.