EIB to fund $122m for 70 MW extension of Olkaria I geothermal plant, Kenya

Olkaria I Units 4 & 5 Geothermal Plant (source: KenGen)
Alexander Richter 27 Mar 2017

The European Investment Bank (EIB) announces an intend to support a 70 MW extension of the Olkaria I geothermal plant in Kenya with funding of $122 million.

In a release today, the European Investment Bank (EIB) announced signing the “Last Mile Connectivity” project, “which will connect nearly 300.000 Kenyan households (equalling up to 1.5 million Kenyans) to the national electricity grid. The EUR 60 million (Kshs 6.7 billion) EIB loan concerns a multiple scheme electrification project, targeting universal access to electricity for the Kenyan population by 2020. It is part of a European “blended” financing package comprising a EUR 90 million (Kshs 10 billion) loan from the Agence Française de Développement and a EUR 30 million (Kshs 3.3 billion) grant from the European Union.”

“Two further projects that the bank has committed will improve access to Mombasa Harbour and support geothermal energy at Olkaria.” said EIB Vice President Pim van Ballekom.

The bank further signed a letter of intent for an extension of the existing Olkaria I geothermal plant. Here, the financing – for a total amount of EUR 113 million ($122 million) – will support the addition of a 70MWe turbine, as well as the construction of the necessary wells, steam gathering system and interconnection facilities.

The European Investment Bank has supported transformational investment across Africa for more than 50 years and operates in Kenya since 1977. Over the last decade the EIB has provided more than EUR 22 billion ($24 billion) for long-term investment across Africa.

Source: EIB release