Jubilee Dev - Olkaria V 154MW Geothermal Power Project construction update

Olkaria V 154MW Geothermal Power Project, Kenya.
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capital city ya china huitwaje?

@spear Nilikuambia hii excuse ati we have excess capacity ni bure tu. KPLC are the ones who perpetuate it. As kengen keeps building these power plants we can demonopolize KPLC and you’ll see how fast the power sector will grow. Actually they’re the impeding factor in Industrializing kenya. The sooner Uhuru sees that the better off we are.

@spear, all very well. BUT UNTIL THE IPP CONTRACTS ARE TERMINATED ALL THIS WILL AMOUNT TO NOTHING FOR CONSUMERS.

If it was serious the gavament would find a way of terminating those parasitic agreements, even saying they were signed through corruption, to free Wanjiku of the monthly fuel levy and very expensive electricity.

i’d like to know how kplc impends industrialization.

They’re a monopoly, their prices are too high and they decide how much power kengen and other ipps can generate, thereby putting a cap on the growth of power demand in the country.
Take the lamu 1000MW plant for instance. The kplc cronies at ERC give the excuse that we have excess demand to build it, so they downscale it. If there were other players, then they would be willing to buy power from that plant under the condition that manufacturers can be found.

A car manufacturing company has just come to Kenya and from their research they’ve established that it isn’t economical to build a plant because there’s not enough power and even if there is, it’s too expensive and unreliable. But a new power company approaches them and gives them a better tarrif than KPLC. Their power network is more reliable than KPLC. Only problem is they don’t exist because KPLC is a monopoly. It stifles development in the power industry.

isn’t it ERC that sets power prices?

I am for completing the journey

Yeah, are you this naive, KPLC decides what the prices will be because they’re the only players to benchmark on. ERC uses KPLC as a standard. In fact, I can bet that ERC do not really know what competitive electricity prices are supposed to look like.

Kelele ni ya nini wewe

Complete the journey pole pole

What’s the status on the 2 geothermal plants closing down and taxpayers footing the bill to that effect ?

Don’t ever quote me NV, peleka ushamba kule —>

It will cost 20-30 billion to terminate those IPP now. Tsavo power diesel plant owned by Aga Khan in Mombasa, Iber Africa diesel plant in Nairobi owned by Nyayo and Kengen diesel plant contracts are due to end in the next 2 years. The report by Strathmore on how to renegotiate the other contracts without court litigation are on the President desk.

Geothermal may have the capacity to function as an indepedent power sector, unlinked to the historical predatory energy sector.

We cannot demonopolize Kenya Power.
First of all can you show us the space the second power supplier will use to supply power??
In Nairobi(where 40%of power comsumption happens)and Mombasa(17%) there is virtually ZERO space for extra power lines.Heck,there is hardly enough space for pavements!!
And no second distributor will want to set shop without having access to the two cities that consume half of Kenya’s electricity.
The part for excess capacity is tricky!

89% of all of our current geothermal capacity is owned by Kengen.So how???

The costs the IPPs are imposing on us would not be there if our refinery was up and running.Because the IPPs would have a cheap source of fuel.As such renegotiating the cost per kWh from the current 19 cents to 6 cents would have happened.
Moi alitutenda kweli!!
Also half the power bill is taxes.This is an area that I usually find more problematic.The reason why we do not feel the cheap Hydro and Geothermal has little to do with IPPs(whose effect is only felt the most during the dry season) but the taxes.

Do you even know what you are talking about???
Lawd!!
The ERC is the only entity that can set power prices.From the generators to the distributors.
Until 2016 we used the feed in tarrif to set power prices for power generators (we now use the auction system) then add the tariff that both KETRACO and Kenya Power need after the taxes and levies are added.
Many times Kenya Power(and Kengen) have asked for tariff raises and the ERC has refused.Which makes it clear who is setting the prices.

Our current energy mix
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A second power distributor doesn’t need new power lines, they can share where there are crowded. Japan does that very well. Just have parliament require KPLC to share them and of course get a fee for that.