W/HYDROPOWER DROUGHTED, KENYA GOES GEOTHERMAL

Kenya looks to geothermal power, drought hits dams
George Obulutsa, November 23, 2009 (Reuters)

"Kenya needs $1.02 billion in the next three years to tap its geothermal power potential, seen as an answer to over-reliance on drought-hit hydroelectric power, Energy Minister Kiraitu Murungi said…

"Drought has slashed capacity at Kenya's main dams, forcing shutdowns and leading to reliance on costly diesel-powered generators, which in turn have pushed up energy bills...East Africa's biggest economy has relied on hydro energy to provide up to 90 percent of its electricity requirements. The country produces about 1,300 MW of power…[but] needs to add another 1,800 megawatts (MW) in new power generation to its grid to meet growing demand…"

From a KenGen presentation (click to enlarge)

"About 200 MW comes from geothermal sources now, although the government estimates it has the potential to produce 7,000 MW. The government aims to raise production by 2,000 MW by 2014…Kenya's Geothermal Development Company (GDC) [expects to] need at least 12 rigs by 2010-11 for the drilling of 72 wells each year and the acquisition of at least 100 well head generators over the next three years…and [with] main power producer KenGen, [has] secured funds and awarded a tender for two rigs and [are] seeking money for another two…

"…[T]he main obstacle in investing in geothermal [is] the high costs involved…[It] costs $6.2-$6.5 million to drill a well and a well-head generator costs between $7 million and $8 million…[but] Kenya [needs] to ramp up power production to meet growing demand…"

From a KenGen presentation (click to enlarge)

"The country is [also] seeking to expand generation of electricity from other renewable sources. This includes a 300 MW wind farm in northeastern Kenya due to be commissioned by 2012.

"KenGen is already setting up wind turbines to produce 5.1 MW…[with plans to increase this by another 30 MW. The government says wind power has the potential to produce 2,000 MW in Kenya…[Kenya] has spent 630 million shillings in Kenya's dry areas on solar power for hospitals, schools and health centres in the last four years and has set aside 500 million shillings more in the 2009/10 budget…The country also has the potential to produce more than 300 MW from sugarcane by-products, but only one sugar producing company has been feeding 23 MW to the grid."