The Kenya Electricity Generating Company (KenGen) has announced plans to drill 42 new geothermal wells at the Olkaria Geothermal Field in Hell’s Gate National Park over the next five years. The project, expected to cost KSh 23.29 billion, aims to boost the country’s clean energy supply by adding 200 megawatts (MW) to the national grid.
KenGen emphasized that the initiative aligns with Kenya’s renewable energy goals and the gradual phasing out of thermal energy sources.
“The proposed project will contribute towards the promotion of renewable energy and the phase-out of thermal energy sources in Kenya,” the company stated in its regulatory filings.
Each of the 42 wells will cost an average of KSh 554.67 million, and the project will cover 1,580.29 acres of land leased from the Kenya Wildlife Service for 50 years, effective from November 16, 2023.
KenGen noted that the project requires significant financial capital and is seeking support from development partners such as the World Bank, European Investment Bank, African Development Bank, and Japan International Cooperation Agency (JICA).
The drilling project aligns with KenGen’s “Good-to-Great” strategy and the government’s Bottom-Up Economic Transformation Agenda (BETA).
KenGen’s total installed capacity currently stands at 1,904MW, with the following energy contributions:
- Hydropower: 826MW (43%)
- Geothermal: 799MW (42%)
- Thermal: 253.5MW (13%)
- Wind: 25.5MW (2%)
According to the Least Cost Power Development Plan (LCPDP) 2022-2041, KenGen aims to:
- Add 663MW of geothermal power between 2025 and 2036
- Phase out 231MW of thermal power between 2025 and 2031
The new geothermal wells will include production, monitoring, and reinjection wells, which will be connected to existing and future geothermal plants to enhance power generation.
This expansion solidifies KenGen’s commitment to clean energy, reducing reliance on costly thermal power and ensuring a sustainable and affordable electricity supply for Kenyans.