A United Arab Emirates investor has committed over Sh19B (USD 150 m) towards the operationalization of an electric vehicle manufacturing factory powered by reliable, green, and cost-effective geothermal energy in Olkaria, Naivasha.
The major investments is a true testament of KenGen’s commitment to attract investors at its 8,292-acre Green Energy Park l which has already been gazetted as a Special Economic Zone where firms are guaranteed tax reliefs benefits.
The company, Aquilastar Corporate Investment, has committed to start local manufacturing of Electric Vehicles (EVs) and is set to produce 50,000 units of both electric and plug-hybrid units every year by end of next year.
Once the facility is complete, it is set to create over 3,000 direct jobs and 10,000 others indirectly, a major boost to the government’s plan to create jobs for skilled youths in the country.
The investment in clean and green powered vehicles is also expected to catapult the government targets of reducing carbon emissions into the environment in line with the Paris Climate Agreement that binds counties to reduce emissions by phasing out reliance on fossil and dirty sources of energy such as coal.
According to the firm group chairman Abdulatif Alsayegh, the availability of clean, reliable and competitively priced geothermal power has attracted them to the area.
Addressing the press after groundbreaking ceremony in Olkaria Naivasha, Alsayegh added that the government policy and regulatory framework has been a key consideration in committing billions to drive the country and Africa future if green mobility.
KenGen chairman Alfred Agoi lauded the company investments which he noted will create thousands of jobs for local youths and women while committing to facilitate the firm in accelerating its operations at the green energy park.
Agoi said that seven investors had shown interest in the industrial park which had since been gazetted as a special economic zone where companies will tap clean and reliable cheaper and 100 percent geothermal power.
He added that KenGen is accelerating its expansions plans for more green power with the geothermal rich Olkaria holding the key to enriching the country’s clean and sustainable energy power bank.
Currently, he noted that the country’s installed power capacity of green and renewable sources stands at 1,786 megawatts (MW) where 754 MW are sources from Geothermal.
On his part, KenGen Commercial Services Manager Kibet Rono, said the company’s reliable and lower power tariffs will shield investors from crippling high cost of energy.
Rono added that the company in course to add an extra 1,500 MW of power from renewable sources by the year 2034 to help the country meet its 100 percent target of power sourced from renewable sources by 2030.
He said the energy giant has embarked on rehabilitation of Olkaria one power plant where is projects to boost its power from the current 45MW to 63MW by the end of next year.
“We guarantee the growing list of investors of cost friendly and reliable green power all year at the expansive park as we drive the counties and Africa green industrialization future and reduce carbon emissions footprint”, said Rono.
Nakuru County Executive Member for Lands John Kihagi welcomed the investment pointing that it will create thousands of job opportunities to deserving youths adding that the country will offer necessarily to all investors setting shop at the park.
The guarantee for reliable and lower power tariffs at the park has also attracted G42 firm which has committed to pump over USD one billion to establish a geothermal powered state of the art data centre.
KenGen expansive Green Energy Park, a revolutionary masterpiece, plans to develop a fully and integrated ecosystem for both development and user-friendly utilities spanning up to 2045.
By Erastus Gichohi
