Following the expansion, which will be within the framework of the existing power purchase agreement (PPA), the plant’s capacity is to be increased up to 100MW from 48MW.
Ormat said that the capacity expansion will be done in two phases. Phase I will comprise 36MW within 3.5 years from finalizing the amendment to the existing PPA with an option for phase II comprising of 16MW within 4.5 years from commercial operation of phase I.
The amendment to the existing PPA is subject to approvals of the Kenyan government and the consent of the lenders that provided the financing to the existing power plant.
Dita Bronicki, CEO of Ormat, said: “We are excited about the opportunity to leverage the success of the existing power plant and are looking forward to working with KPLC on this project. We expect that contractual documents on the amendment to the PPA will be completed in the near future.
“Kenya is a proven and significant resource for geothermal energy, and it is our belief that the proposed expansion will provide Kenya with much needed renewable, dependable and cost-effective electricity.”
The first phase of the existing power plant commenced commercial operations in 2000 and the second phase of approximately 35MW commenced operation last year.
