A major milestone has been reached in creating one of the world’s newest geothermal sites in Kenya. In January, the
Geothermal Development Company (
GDC) started drilling appraisal wells approximately 110 miles west of Nairobi in the Menengai caldera, paving the way for the installation of new power plants at the extinct volcano. The company has set up two new rigs at the site and aims to harness around 1,000MW of power by 2018, which will help the country to meet its energy needs and dramatically reduce electricity tariffs. According to Dr Silas Simiyu, GDC’s managing director and CEO, the rigs’ inauguration represents the beginning of a journey “that will greatly shape the social and economic paradigms of Kenya.”
The Government is pushing for geothermal energy to be the main source of power generation in its Vision 2030. It realises that without the proper source of energy, the country cannot reach the level of industrialization it is targeting over the next two decades. Last year Minister for Energy Kiraitu Murungi, who believes it is time to phase out diesel generators that cause high electricity bills, lauded GDC’s drilling progress and described the company as being central to meeting the challenges meeting Kenya’s energy needs.
‘IF WE LOOK AT GEOTHERMAL ENERGY HOLISTICALLY, WE CAN SEE THAT THE BENEFITS OF SUCH A RESOURCE ARE IMMENSE. USING IT AS THE MAIN DRIVER, WE CAN MOVE THE COUNTRY FORWARD’
DR SILAS SIMIYU
Managing Director and CEO of GDC |
Electricity demand is set to rise from the current peak of 1,200MW to 15,000MW in the next 20 years. Under Vision 2030 geothermal energy is slated to contribute at least 5,000MW. “This requires a huge investment of about $4.5 billion,” says Dr Simiyu, “and as the Government cannot raise that kind of money, it is trying to attract overseas investment to develop this resource.”
Created in 2008, GDC is a one-stop shop that streamlines everything for the convenience of investors. The 100 per cent state-owned agency deals with the range of licences required by local authorities to satisfy statutory regulations. It also conducts environmental assessments, compiles feasibility studies and looks after all land and community issues. “In the past, it was a challenge to develop geothermal resources because you are required to get the licensing from water, mining and petroleum [authorities]. You also need to get clearance from the National Environment Management Authority, NEMA. This made it very cumbersome for investors. The Government simplified all these processes by establishing the GDC.”
Investors can get involved in any part of developing geothermal energy resources, according to Ruth Musembi, GDC’s PR and communication manager, who says, “The investor may invest at the surface exploration, exploration and production drilling, pipeline or power plant construction stages for electricity production and direct use applications, such as industrial and greenhouse uses.”
Geothermal energy has a raft of applications and is not just apt for power generation. At a Dutch greenhouse by Lake Naivasha, the use of geothermal heating has resulted in a 40 per cent increase in flowers produced, which reduced the area required for growing flowers. Hot springs at Lake Bogoria will provide heating and spas for a burgeoning tourist resort. Also, pastoral industry in areas such as Masai Mara, where hides and skins are processed, can benefit from essential sulphuric acid produced from geothermal processes.
“If we look at geothermal energy holistically, we can see that the benefits of such a resource are immense, to the point that it allows us to set up irrigation systems in dry areas,” says Dr Simiyu. “Using geothermal energy as the main driver, we can move the country forward. This is very much in line with the new constitution, which seeks to devolve the nation’s resources and focus on both urban and rural areas.”
0 COMMENTS