Menengai II Geothermal Power Station is a geothermal power station under construction in

Kenya Kenya, officially the Republic of Kenya, is a country located in East Africa. With an estimated population of more than 52.4 million as of mid-2024, Kenya is the 27th-most-populous country in the world and the 7th most populous in Africa. ...

. The power station is owned and under development by Globeleq, an independent power producer headquartered in London, United Kingdom. Globeleq is 70 percent owned by

British International Investment British International Investment plc, (formerly CDC Group plc, Commonwealth Development Corporation, and Colonial Development Corporation) is the development finance institution of the UK government. The Foreign, Commonwealth and Development Off ...

and 30 percent by

Norfund Norfund is a development finance institution established by the Norwegian Storting (parliament) in 1997 and owned by the Norwegian Ministry of Foreign Affairs. The fund receives its investment capital from the state budget, and surpluses in the port ...

Location

The power station is located in the Menengai Crater, approximately 30 kilometres (19 mi) north of

Nakuru Nakuru (nicknamed Nax) is a city in the Rift Valley region of Kenya. It is the capital of Nakuru County, and it is the fourth largest city in Kenya and the largest in the Rift Valley region. As of 2019, Nakuru had an urban population of 570, ...

, the district headquarters, and approximately 185 kilometres (115 mi) northwest of Nairobi, the capital and largest city in Kenya. The coordinates of Menengai Crater are:0°11'46.0"S, 36°03'47.0"E (Latitude:-0.196105; Longitude:36.063062).

Overview

Geothermal Development Company (GDC), a company wholly owned by the Kenyan government, has drilled geothermal wells in the Menengai Crater, whose total capacity can generate up to of electric energy. GDC will sell the steam to three independent power producers to build three geothermal power stations, each with capacity of . The power stations are: #

Menengai I Geothermal Power Station The Menengai I Geothermal Power Station is a geothermal power plant under construction in Kenya. The power station is owned and is being development by a consortium, which has formed a special vehicle company (SPV) to own, design, build, finan ...

- Owned by Orpower Twenty Two # Menengai II Geothermal Power Station - Owned by Globeleq #

Menengai III Geothermal Power Station The Menengai III Geothermal Power Station is a geothermal power plant in Kenya. The power station reached full commercial commissioning in August 2023. Location The power plant is located in the Menengai Crater, approximately 30 kilometres ( ...

- Owned by Sosian Energy

Ownership

Menengai II Geothermal Power Station, whose construction costs were originally budgeted at KSh4 billion (approx. US$40 million), was owned by Quantum Power East Africa, an independent power producer. In February 2021, Quantum Power East Africa was majority acquired by Globeleq, a subsidiary of the

CDC Group British International Investment plc, (formerly CDC Group plc, Commonwealth Development Corporation, and Colonial Development Corporation) is the development finance institution of the UK government. The Foreign, Commonwealth and Development Off ...

, today

Construction and timeline

In June 2023, the foundation stone for the power station was laid by

Rigathi Gachagua Geoffrey Rigathi Gachagua (born 28 February 1965) is a Kenyan politician who served as the 2nd deputy president of Kenya (office established under the 2010 Constitution). He served from 13th September 2022 until his impeachment in October 2024. A ...

the vice-president of Kenya and Jane Marriott, the British High Commissioner to Kenya. The engineering, procurement and construction contractor was revealed to be a consortium comprising Toyota Tsusho Corporation and

Fuji Electric , operating under the brand name FE, is a Japanese electrical equipment company, manufacturing pressure transmitters, flowmeters, gas analyzers, controllers, inverters, pumps, generators, ICs, motors, and power equipment. History Fuji Electric ...

, both of Japan. Construction is anticipated to conclude in 2025.

Cost and funding

In June 2023, the cost of construction was reported as US$108 million. Partial funding to the tune of US$72 million has been granted to Globeleq by several financial institutions, including the

African Development Bank The African Development Bank Group (AfDB, also known as BAD in French) is a multilateral development finance institution, headquartered in Abidjan, Ivory Coast since September 2014. The AfDB is a financial provider to African governments and ...

(AfDB), the

Trade and Development Bank The Trade and Development Bank (TDB), formerly the PTA Bank, is a trade and development financial institution operating in eastern and southern Africa. TDB is the financial arm of the Common Market for Eastern and Southern Africa (COMESA), al ...

(TDB) and the Finnish Fund for Industrial Cooperation Limited (FinnFund). A 25-year power purchase agreement has been signed between Globeleq the

independent power producer An independent power producer (IPP) or non-utility generator (NUG) is an entity that is not a public utility but owns facilities to generate electric power for sale to utilities and end users. NUGs may be privately held facilities, corporations ...

and

Kenya Power and Lighting Company Kenya Power and Lighting Company, commonly referred to as Kenya Power or shortened KPLC, is a public liability company which transmits, distributes and retails electricity to customers throughout Kenya. Location KPLC headquarters are at Stima ...

, the off-taker. In January 2024, the project reached financial closure. AfDB, FinnFund and TDB jointly provided US$117 million for this renewable energy project. Construction, which started in 2023, is expected to conclude in 2025.

References

External links

Menengai geothermal to save nation KSh 13 billion
{{Authority control Geothermal power stations in Kenya Power stations in Kenya Nakuru County Proposed energy infrastructure