|Loan||EIB||EUR 119 million||11.8%||Renewable Energy|
|Other||Other financiers||EUR 888.7 million||88.2%||Renewable Energy|
|Total:||EUR 1.007 billion||100%|
The project involves the expansion of the electricity generating capacity of the Olkaria geothermal steam field by extending the existing Olkaria I power station by two 70 MWe units (units IV and V) and implementing two 70 MWe units at the Olkaria Domes field (Olkaria IV power station) including required infrastructure, transmission lines and substations. The project area is located some 85 km northwest of the Kenyan capital Nairobi, in an area where the Olkaria I, II and III power stations are already in operation.
The 280 MW project includes 50 production and reinjection wells, associated infrastructure, such as development of the respective well-field and steam gathering system, feeder transmission lines, substations, and water supply and access roads.
The project supports various goals such as renewable energy development and combating climate change as well as the development policy of the country, in particular the Kenyan Electricity Expansion Project.
An environmental and social impact assessment (ESIA) has been established for both power stations. The studies, including public consultation and respective monitoring plans, have been approved and respective licenses issued by NEMA (National Environmental Management Authority).
The Olkaria IV part requires resettlement of several Maasai communities. A Resettlement Action Plan (RAP) has been established, which includes the participation of the project affected communities. The execution of the RAP is implemented according to the WB guidelines.
The extraction of steam from geothermal sources releases CO2 into the atmosphere - estimated annually to be 157 kt/CO2e. Given that the electricity produced displaces alternative generation from diesel and coal-fired power plants existing or planned, the project results in an overall annual emissions reduction of 630 kt CO2e.
This project also improves security of supply (geothermal power is unaffected by annual hydrological conditions); reduces national dependence on imported fossil fuels for electricity generation; avoids emissions associated with conventional thermal generation; provides additional operational flexibility with the greater Olkaria geothermal generation park; meets growing electricity demand at a competitive cost and with a limited impact on the environment.