Page 14 - AfrElec Week 43 2021

AfrElec LNG -TO -POWER AfrElec

KenGen contractor to study

feasibility of LNG-to-power project

KENYA KENYA’S national electricity provider has in or near Mombasa, it reported.
reportedly chosen US-based K&M Advisors as As such, the study will attempt to determine
its contractor for a feasibility study of a proposed whether regasified LNG is a more cost-effective
LNG-to-power project. fuel for power generation than petroleum prod-
K&M Advisors announced the contract ucts in Kenya. (Part of this process will involve
award last week, saying it had agreed to perform scrutinising a number of different potential
this service for state-owned Kenya Electricity suppliers.) It will also examine opportunities for
Generating Co. (KenGen) over a period of 10-12 supplying gas to Kenyan industrial consumers
months. The study will address the viability of that are now relying on residual fuel oil or diesel.
proposals to build an LNG import terminal in Kenya is not currently a producer or con-
the port of Mombasa and examine the potential sumer of natural gas. However, it has expressed
technical, financial, economic, social and envi- interest in importing gas from neighbouring
ronmental impact of such a project, it stated. Tanzania.
Additionally, K&M Advisors will examine More specifically, Kenyan President Uhuru
the cost and viability of various LNG import Kenyatta discussed the possibility of construct-
facilities. These will include onshore terminals ing a cross-border pipeline in May of this year,
and floating storage and regasification units during a meeting with his Tanzanian counter-
(FSRUs), as well as smaller-scale options such as part Samia Suluhu Hassan in Nairobi. At the
rail or truck delivery. time, both Suluhu and Kenyatta described the
The US-based consultancy has not revealed proposed pipeline as part of a wider long-term
the value of the contract. It has said that KenGen initiative that would help the two countries
is looking at plans to build the LNG import ter- share energy resources. They also put the cost of
minal within the framework of a wider effort to building the link along a 600-km route ending in
establish a domestic gas market in Kenya. This Mombasa at around KES121bn ($1.09bn).
initiative would entail converting 10 existing According to Kenyatta, the pipe would allow
generating facilities that burn heavy residual fuel Kenyan TPPs to use gas as fuel for generation,
oil or kerosene to gas, as well as the construction thereby bringing down the cost of power in
of a new gas-fired thermal power plants (TPPs) Kenya and also reducing emissions.™

TAQA PV commissions 6-MW PV

plant funded by EBRD

EDYPT TAQA PV for Solar Energy (TAQA PV) com- 42% by 2035.
missioned the 6-MW photovoltaic (PV) power The government has pursued energy diversi-
plant in Dina Farms financed by a $4.2mn loan fication and liberalisation by facilitating a mar-
from the European Bank for Reconstruction ket for private renewable energy development
and Development (EBRD), media sources in recent years. The price of electricity produced
reported. The project is one of the first green by renewable projects in the country has been
private-to-private projects in Egypt generating steadily decreasing to become more competitive
electricity for Dina Farms in the Beheira gover- than energy produced using conventional fossil
norate, 80 km from Cairo. TAQA PV will sell all fuel sources. This has created strong demand in
of its generated energy to Dina Farms under a Egypt from heavy consumers.
25-year power purchase agreement (PPA). TAQA PV for Solar Energy is a special
The EBRD’s investment will contribute to purpose vehicle incorporated in Egypt for the
Egypt’s ongoing energy transition by supporting purposes of developing the private-to-private
the growth of renewable energy. The Egyptian renewable energy business of TAQA Arabia,
government has declared a target of achiev- an Egyptian joint stock company. Both TAQA
ing 20% of the country’s electricity generation Arabia and Dina Farms are part of the core sub-
capacity from renewable sources by 2022 and sidiaries of Qalaa Holding.™

P14 www. NEWSBASE .com Week 43 28•October•2021