The
Lake Turkana Wind Power project aims to provide reliable, low-cost wind power
to the Kenya national grid, allowing the country to reduce its dependency on
hydroelectric power. Kenya's
remote Turkana region was briefly a top Twitter trend on Monday after British
firm Tullow Oil said it had struck oil in one of the east African country's
poorest areas. The news prompted a flurry of #TurkanaOil tweets with some
predicting a windfall but many others wondering whether oil would be a blessing
or a curse.
Somewhat
ironically, as Kenya dreams of joining Africa's oil giants, the arid region
surrounding the jade waters of Lake Turkana is already poised to make a serious
contribution to Kenya's ever-growing energy needs with the construction of
sub-Saharan Africa's largest windfarm.
Construction
on the euro 582m Lake Turkana Wind Power project (LTWP) is due to start in
June, pending the finalisation of risk guarantees from financial institutions
IDA and MIGA, both part of the World Bank, according to company officials.
"The
World Bank Group has been working with the Kenyan government and … Kenya Power
on this since August last year. They are completing their internal approval
processes including the due diligence on the project. They are well advanced
and we hope they will have completed and reached their board approvals in the
next two months," Carlo Van Wageningen, head of LTWP, told the Guardian in
an email response to questions.
The
ambitious project, which is backed by the African Development Bank, marks the
largest single private investment in Kenya's history, and should allow the
country to diversify from hydroelectric power, which provides around 60% of its
electricity needs but is prone to drought and irregular rainfall, leading to
blackouts and shortages that dampen economic growth.
Only
about 18% of Kenyan households have access to power, according to the United
Nations, and demand is increasing. Kenya's peak electricity demand has risen to
1,200 megawatts, compared with 780MW in 2002, due to economic growth.
The
government is committed to diversifying its power sources. Kenya is the first
African country to tap geothermal power, harnessing power from steam released
by hot rocks beneath the Rift valley. The abundant sun and wind are also being
harnessed in a variety of projects: of these, the Lake Turkana project is the
most audacious, both because of the scale and the location.
Nick
Nuttall, spokesman for the United Nations Environment Programme (UNEP), said
Kenya was among a group of developing countries where UNEP had mapped
potentially windy sites and ones with good solar potential. He said LTWP had
plans to expand the windfarm once the first phase is under way.
"Kenya
has no oil or coal that has been exploited to date, which means the country is
dependent on imports and the vagaries of an oil price that can soar to some
$150 a barrel and drop to $40 a barrel – whereas the sun and wind are free once
the upfront costs have been covered," he said.
"Combined
with the expansion of geothermal electricity generation near Naivasha, where
there is now a near-term target of about 1,300MW and the potential of solar in
Kenya, which has hardly been tapped yet, Kenya could become a zero-emission
economy in the field of electricity generation over the coming years, by some
estimates," said Nuttall.
LTWP
says it will provide 300MW of low-cost power to the national grid, equivalent
to about 20% of the current installed electricity-generating capacity.
The
windfarm will cover 40,000 acres in Loiyangalani district in north-eastern
Kenya, stretching from 450m at the shore of Lake Turkana to 2,300m above sea
level at the top of Mount Kulal. Because of the daily temperature fluctuations,
there are strong, predictable winds between the lake and the desert, with LTWP
estimating average speeds of 11m per second.
A
total of 365 wind turbines will be erected once 204km of roads have been built
or improved to allow access for trucks, which will need to make around 12,000
trips to bring materials to the area.
"The
challenges will be many but greatest of all … is the ability to manage the
co-ordination of interface risks between the six EPC (Engineering, Procurement
and Construction) contracts this project is composed of to ensure timely
completion," Van Wageningen said.
He
said it was too early to comment on what the consequences of the oil discovery
in Turkana would be. "We hope and expect that the two investments can
coexist without interfering with each other. We are also not sure yet on how
near the discovery is to the LTWP site," he said.
Production
of the first 50MW is expected to start by December 2013 with the windfarm due
to be fully operational by late 2014. A 428km transmission line will be built
to link the farm to the national grid.
LTWP
will sell the electricity produced to utility company Kenya Power and it says
wind power will be the lowest-cost power-generation option available, along
with geothermal power.
The
LTWP consortium is made up of Dutch firm KP&P Africa B.V., Aldwych
International, the Industrial Development Corporation of South Africa (IDC),
the Industrialisation Fund for Developing Countries (IFU), Wind Power A/S
(Vestas) and the Norwegian Investment Fund for Developing Countries (Norfund).
LTWP
says that the carbon credits the project creates should earn 26bn Kenyan
shillings (euros 200m) over the life of the project, and this income will be
shared with the government and invested in the surrounding community.
"Under
our Corporate Social Responsibility programme, we will also be constructing and
delivering four 33KV transmission lines and substations to bring power to four
small towns in the area," said Van Wageningen, adding that the company expected
to source most labour locally.
"There
is no reason to suggest the windfarm in Turkana could be anything but positive
for local people, especially if it generates jobs in maintenance and
diversifies livelihoods either by direct employment or via the availability of
clean electricity to nearby communities," said Nuttall.
LTWP
says the project will create 2,500 jobs during the 32-month construction period
and 200 full-time jobs during its operations.
According
to the Earth Policy Institute, wind energy developers installed a record
41,000MW of electricity-generating capacity last year, with more than 80
countries now harnessing the wind. In Africa, Ethiopia brought its first
windfarm online last year, and both Nigeria and Mauritania have projects on the
table. Until now, Morocco, Egypt and Tunisia have led the way, although South
Africa is also believed to have substantial potential.
In
Kenya, investment grew from virtually zero in 2009 to $1.3bn in 2010 across
technologies such as wind, geothermal, small-scale hydro and biofuels.
By Clar Ni Chonghaile