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Monday, February 24, 2014
Ormat bolsters Kenya electricity
NAIROBI, Kenya - Ormat, a Nevada-based alternative energy firm, has increased Kenya’s electricity supply by 110MW.
The Americans have been working on completion of Plant 3 at the Olkaria III geothermal power plant complex located near Naivasha town.
Speaking recently, Dita Bronicki, Ormat chief executive officer said, “Olkaria III is a prime example of our multi-stage approach to project development generating higher investment returns and reducing risk.”
“In less than one year, we’ve completed construction of two additional plants and, over the course of five years, more than doubled the facility’s generating capacity,” he said.
The power generated by the Olkaria III is sold under a 20-year power purchase agreement (PPA) with Kenya Power.
The Olkaria III complex was financed with a $310 million debt facility provided by the Overseas Private Investment Corporation (OPIC).
OPIC is a US agency that helps to pay for projects that will use American expertise and inputs and generally advance US commercial interests abroad.
In November 2013, Ormat used the remaining $45 million for completion of Plant 3.
Bronicki said: “Kenya is an important market for our future growth due to its high geothermal potential and we are focusing our efforts on increasing our operation in Kenya.”
Ormat has installed over 750 power units worldwide. but also owns and operates 515 MW of green energy power plants.
By John Sambo, Monday, February 24th, 2014