- KenGen plans to invest $250 million in the Olkaria VII geothermal power plant in Naivasha, which has a capacity of 80.3 megawatts (MW).
- The project supports KenGen’s goal to add 3,000 MW of renewable energy to Kenya’s grid over the next decade and aligns with the government’s plan to phase out thermal power plants by 2035.
- With Olkaria VII, KenGen’s geothermal capacity will reach 799 MW, nearly matching its hydropower capacity.
Kenya Electricity Generating Company (KenGen) announced a $250 million investment in a new geothermal power plant. KenGen will situate the Olkaria VII plant in the Olkaria fields near Naivasha. The plant will offer a capacity of 80.3 megawatts (MW).
KenGen aims to add 3,000 MW of renewable energy to Kenya’s grid over the next ten years. The company submitted an environmental and social impact assessment to the National Environment Management Authority (NEMA).
The evaluation highlights the project’s role in meeting Kenya’s energy needs and reducing reliance on costly and polluting thermal power plants. The government plans to phase out these thermal plants by 2035.
Olkaria VII will help stabilise Kenya’s power supply by providing a reliable and cost-effective baseload energy source. Unlike hydropower, which faces challenges from climate change and fluctuating water levels, geothermal energy delivers a steady and consistent power supply.
KenGen, Kenya’s largest power producer, generates two-thirds of the country’s installed electricity capacity. As of 2023, the total installed capacity reached 3,243 MW. KenGen operates a diverse portfolio of power plants with a combined capacity of 1,904 MW, with hydropower currently leading with 825.6 MW.
Geothermal energy is rapidly expanding in Kenya. With Olkaria VII, KenGen will increase its geothermal capacity to 799 MW, nearly matching hydropower’s capacity. The new geothermal plant will support Kenya’s shift to more sustainable energy sources.
Furthermore, this plant aligns with the government’s goal of reducing thermal power dependence and enhancing energy stability. KenGen’s investment in geothermal energy shows a commitment to meeting the country’s future energy needs and promoting environmental sustainability.