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Kenya opens 105MW Menengaï

geothermal plant

KENYA KENYA’S state-owned Geothermal Develop- geothermal energy in the process.
ment Company (GDC) has opened the 105MW In 2011, Kenya embarked on an ambitious
Menengaï geothermal power plant. path of renewable energy development with the
The project, which was funded to the tune adoption of the Low-Cost Electricity Develop-
of $108mn by the African Development Bank ment Plan for 2011-2031.
(AfDB), aims to help Kenya eliminate its elec- This plan has been updated annually to
tricity deficit and overcome the severe shortages increase power generation capacity from
it experienced in the late 2000s. it will provide 1,227MW in 2010 to 3,751MW in 2018.
enough power for 500,000 Kenyan households, In order to electrify the country and meet
including 70,000 in rural areas of the country, as growing demand, significant renewable energy
well as businesses and industries. More than 600 generation capacity must be added to Kenya’s
jobs have been created, the bank said. national grid.
GDC drilled 49 wells by the end of November The country’s Medium-Term Plan 2008-2012
2019, with a capacity of 169.9MW. The results and its successors, PMT-II (2013-2018) and
exceeded the initial estimated capacity. In addi- PMT-III (2018-2022), all part of the so-called
tion, CO2 emissions are expected to be reduced. Vision 2030 development plan, aim to increase
“The ultimate goal of the project was to help the country’s generation capacity to 5,521MW by
Kenya overcome severe electricity shortages the end of 2022.
caused by variability of hydropower generation, The PMT-III also aims to promote the devel-
which forced the country to resort to expen- opment and use of renewable energy sources to
sive backup thermal production between 2011 create a reliable, good-quality and cost-effective
and 2012, and which continued through 2018,” electricity system to support industrial develop-
according to a Bank project completion report. ment. To achieve this ambitious and transform-
In six years, Kenya has more than tri- ative plan, Kenya has turned to the AfDB as one
pled energy production, from 198MW to of its preferred financial partners.™
672MW, becoming Africa’s leading producer of

NEWS IN BRIEF

POLICY over an extended period meant some Africa.
refineries were still forced to close. Minister Mantashe cited forecast spending
Minister sets out post- that the tide now looks to be turning, of ZAR1.5bn by Total on drilling offshore
Despite this, Minister Mantashe stressed
Mossel Bay, whilst Saudi Aramco have been
pandemic plan for South following further relaxation of lockdown engaged to conduct a pre-feasibility study into
restrictions in South Africa as it heads into
a crude oil refinery in Richards Bay.
Africa’s energy sector Summer. He cited recent “rapid increase AOW Virtual, natural gas emerged as a
Finally, in line with other sessions at
in demand” for petroleum products in the
Gwede Mantashe opened day two of AOW country, which is now leading to the converse key theme in Minister Mantashe’s address.
Virtual (October 7-8), an online summit from problem of shortages in some areas. Speakers worldwide were excited about gas
the team behind Africa Oil Week. Minister The Minister’s address left no doubt that projects across Africa and the role of gas
Mantashe’s address reflects the importance The Department of Mineral Resources & as a bridging fuel in the energy transition.
of South Africa’s role in the Africa Oil Week Energy (DMRE) views the energy sector as Minister Mantashe commented: “We are
community, as the conference’s host nation for a catalyst for economic recovery and future re-positioning South Africa to be a serious
its 26 editions. growth in South Africa. The Petroleum player in the global gas market. We will
The goal of AOW Virtual was to reignite Resources Development Bill will play a promote the development of a domestic and
the African upstream following a tumultuous crucial part in this, and in the Minister’s regional gas market. We continue to advance
year that has featured unprecedented supply plan to reduce the country’s dependence our Gas to Power projects with the Coega
and demand shocks in the sector. on hydrocarbon imports. On the recently Special Economic Zone (SEZ) identified as
In his address, Minister Mantashe did published Bill, Mantashe commented “We the first Liquefied Natural Gas (LNG) import
not shrink from addressing the devastating have had consultations with a broad range terminal.”
effects of COVID-19 on South Africa, having of stakeholders. Our intention is to have the AFRICA OIL WEEK
only recovered from the disease himself a Bill finalised; to attract investment and ensure
few months previously. Though South Africa synergy between oil and gas activities and our
allowed the energy sector to operate at full nation’s environment and water resources”. POLICY
capacity following the nationwide lockdown, Indeed, the Bill seems to already be
a decrease in demand for petroleum products yielding positive results for E&P in South

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