Chinese firm gets Sh9.45b geothermal contract

KenGen has awarded a consortium led by a Chinese firm a Sh9.4 billion contract to build a geothermal power plant at Olkaria in Naivasha.

Yantai Jereh Oilfield Services Group announced that it bid to construct a modular power plant on one of the wells that has been drilled but has yet to start supplying steam to any power plant.

It bid for the job in a joint venture that included local contractors H Young. The project entails the installation of wellhead generators which use steam to generate electricity.

This is usually a short-term measure and the wells that are used in the production of electricity are those undergoing testing or awaiting construction of permanent plants.

Wellhead power plants usually take about six months to construct compared to the larger plants that can take up to three years. KenGen was as at December 2016 generating 83 megawatts using wellhead generators.

The power generating firm has accelerated its investment in geothermal electricity as it seeks to increase the contribution of renewable energy in the country’s power mix, including wind sources.