Page 50 - September - October 2015
P. 50
Here is a snapshot of the largest
wind farm project in Africa Lake
Turkana Wind Power Project
The Lake Turkana Wind site, a distance of approximately farm. Vestas will provide the
Power Project (LTWP) 204km, as well as an access road
aims to provide 310MW network in and around the site maintenance of the plant under
of reliable, low cost for construction, operations and
a 15 year service and availability
contract with LTWP. The
wind power to the Kenya maintenance. power produced will be bought
national grid, equivalent to at a fixed price by Kenya Power
approximately 20% of the The Kenya Electricity (KPLC) over a 20-year period
current installed electricity Transmission Company Ltd in accordance with the signed
generating capacity. (Ketraco), with concessional Power Purchase Agreement
funding from the Spanish (PPA).
The Project is of significant Government and from the
strategic benefit to Kenya, and Government of Kenya, is AfDB and related financing:
at Ksh70 billion (€625 million) constructing a double circuit
will be the largest single private 400kv, 428km transmission line The total project cost is estimated
investment in Kenya’s history. to deliver the LTWP electricity at USD 680 million and includes
along with power from other the cost of the envisaged 400
The wind farm site, covering future plants to the national km transmission line from Lake
40,000 acres (162km2), grid. Turkana to the Susua sub-station
is located in Loyangalani near Nairobi, as well as the cost
District, Marsabit West County The Project proponent is the of upgrading 200 km of roads
approximately 50km north of LTWP consortium comprising and various bridges.
South Horr Township. KP&P Africa B.V. and Aldwych
International as co-developers, The project will be financed
The Project will comprise Industrial Fund for Developing through equity debt (25%),
365 wind turbines (each with Countries (IFU), Vestas East mezzanine debt (5%) and senior
a capacity of 850 kW), the Africa Limited (Vestas), Finnish debt (70%). As the mandated
associated overhead electric grid Fund for Industrial Cooperation lead arranger and senior co-
collection system and a high Ltd (Finnfund) and KLP Norfund lender, AfDB will provide a
voltage substation. Investment AS (KLP Norfund). long-term senior loan of USD
150 million.
The Project also includes LTWP is solely responsible for Country – Kenya
  48 upgrading of the existing road the financing, construction
from Laisamis to the wind farm and operation of the wind
Commerce & Industry September / October Issue 2015