Adani lands Sh95 billion KETRACO deal

Oct 11, 2024 - 18:10
 0
Adani lands Sh95 billion KETRACO deal

By Peter Ochieng

Indian firm, Adani Energy Solutions Limited, has landed a Sh95 billion to construct and operate energy transmission lines across the country.

The announcement was made by Energy and Petroleum Cabinet Secretary (CS) James Opiyo Wandayi, on Friday. Wandayi said the deal was signed between the Kenya Electricity Transmission Company Limited (KETRACO), and the Indian company.

He said the Indian company will now develop, finance, construct, and operate critical transmission lines and substations across the country.

The end game, Wandayi said, is to tackle Kenya’s chronic power outages which have in the past crippled operations at the Country’s key installations, including at the Jomo Kenyatta International Airport (JKIA), in Nairobi.

“All Kenyans are well aware of the significant challenge that our country faces with persistent power blackouts,” said the former Ugunja MP.

“These projects are designed to significantly enhance our national electricity infrastructure, transmission lines and substations, ensuring reliable and widespread access to power that will support Kenya’s growing economy and development goals.”

“The comprehensive project will be fully funded by the private sector, with Adani Energy Solutions raising both debt and equity,” added Wandayi.

Over the next 30 years, the CS said, Adani will manage the infrastructure under the agreement, ensuring its long-term sustainability before transferring it to KETRACO, noting that the Kenyan government will not incur any financial expenditure.

“The signing of this agreement marks the conclusion of a long-negotiated process that has been ongoing for the past 4 months,” said the CS.

According to the former Leader of the Minority in the National Assembly, KETRACO conducted comprehensive due diligence on Adani Energy Solutions as the project proponent, along with thorough stakeholder engagement.

The project seeks to construct several high-voltage transmission lines and substations as follows:

Gilgil-Thika-Malaa-Konza 400kV Double-Circuit Line

This line, spanning 208.73 km, will include the construction of new substations at Gilgil, Thika, and Malaa, along with substantial extensions at Konza.

Rongai-Keringet-Chemosit 220kV Line

Covering 99.98 km, this line will feature new substations in Rongai, Keringet, and Chemosit.

Menengai-Ol Kalou-Rumuruti 132kV Line

A 89.88 km line with substations in Menengai, Ol Kalou, and Rumuruti.

Lessos 400/220kV Substation

This critical substation will support Kenya’s 400kV transmission network and improve regional power stability.

Thurdibuoro 132/33kV Substation

Designed to expand the local distribution grid, this substation will help bring reliable power to underserved areas.

Adani Group made headlines weeks ago, after it was revealed that the firm was gearing to take over the management of JKIA for the next 30 years. Kenyans have roundly opposed the proposal.

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