Geothermal company eyes heat parks for Baringo-Silali

The Government Wednesday appeared to own up to the criticism that its ambitious plan to add another 5000MW of power to the national grid by 2016 could leave the country with more electricity than it needs.

The Geothermal Development Company (GDC) has invited three bids from eligible firms or investors for the supply and installation of three geothermal modular power plants at the Menengai Geothermal Project.

Kenya's state-run Geothermal Development Company (GDC) plans to seek $750 million from the Group of Eight major nations to drill a 3,000 megawatt steam field in 2013, a senior company official said on Thursday.

Kenya’s elaborate plan to meet its growing demand for electricity has received a major boost. This follows disbursement of a $120 million (Sh9.96 billion) loan to the Geothermal Development Corporation (GDC) by the African Development Bank (AfDB) to enable it drill for underground power at Menengai.

A parliamentary committee has questioned the signing of a Memorandum of Understanding (MoU) between the Government and a private Chinese company for Sh43 billion geothermal project.

The Geothermal Development Company (GDC) has received a Sh6 billion grant from the French Development Bank (AFD), which will go towards geothermal development at Menengai, in Nakuru.

The Baringo-Silali block is estimated to have a potential of 3,000MW. For the first phase, GDC is targeting to develop 300MW by 2030.

Significant costs written off by the company but requires enhanced management attention to minimise drilling losses.

Not a single watt of geothermal energy from Menengai a decade later as company ventures in Baringo.

Chief Executive Johnson ole Nchoe is on his way out after the board declined to renew his contract for another three-year term over poor performance.

Stanbic Bank initially cancelled the guarantee on instructions of the contractor, without reference to GDC who were beneficiaries.

The funds are meant for geothermal exploration in the larger Baringo-Silali block.