110 MW Olkaria III Geothermal Power Plant Project in Kenya – Case Study
12:00 - 13:30
Fondazione Eni Enrico Mattei
Isola di San Giorgio Maggiore
at FEEM Milan
h. 12.00 Seminar
Leonardo Boni, Analyst; Valerio Micale, Analyst, Climate Policy Initiative
Seminars Office, email@example.com
Geothermal energy holds significant promises for the low carbon energy systems of developing countries. As a renewable electricity source with the ability to both meet base load power demand and backstop fluctuating supply from other renewable sources, it can be a vital component of low carbon electricity systems – where resources allow.
CPI’s case study focuses on the Olkaria III geothermal power project in Kenya. The Country is exploring different models of geothermal development in order to bring in the private sector at earlier stages, and meet its 5000 MW target.
The project, which is 110 MW, is the first solely privately funded and developed geothermal project in Africa, and the first operated by a private independent power producer in Kenya.
During the seminar, the following insights will be discussed:
- The phased development approach adopted by the project developer (Ormat Technologies Inc.) to reduce Olkaria III’s equity exposure;
- The project financing structure, which evolved in the different phases of development of the plant;
- The allocation of risks involving public-led exploratory drilling and private sector development and operation.
This seminar has been jointly organized by CPI and FEEM.