Kenya - Thika Thermal Power Project

Diversifying power generation sources in Kenya is necessary; and fossil-fuel powered plants are considered viable options, whilst the further development of hydro power resources is assessed. The proposed power plant at Thika is included in Kenya’s Least Cost Power Development Plan, one among three plants which are to contribute to increasing the availability of electricity on the national grid – complementing the Kenya Power and Lighting Company’s (KPLC) transmission and substation project that is under construction (independently of this proposed project). It is fully aligned with the Country’s Strategy Paper (2008-2013) for Kenya which has been elaborated to support two strategic objectives: (i) the development of infrastructures to support economic growth; and (ii) the creation of employment opportunities to reduce poverty. Within this framework, the country specifically intends to address the problems related to the irregularity of its electricity supply. This document is aligned on the long-term development strategy of the country, namely the Vision 2030, which is aware of the fact that the costs of energy in Kenya are currently higher than those of other African competing economies. To stimulate growth and attract investment, Kenya must produce electricity at an economic cost, and increase the efficiency of energy consumption. Aware of its energy needs in order to achieve these objectives of the Vision 2030, the Government has envisioned an ambitious plan to increase its energy production in order to expand current installed capacity. This power plant at Thika aims to satisfy the rapidly growing demand for electricity, while diversifying sources of energy supply.