State moves to salvage Sh13b wind power deal

Principal Secretary for Energy and Petroleum Joseph Njoroge (right) at a luncheon hosted by the Danish Business Network in Kenya. The Government Tuesday moved to award the Sh170 billion Lamu coal plant tender, even as other bidders say the public stand to lose Sh19 billion in extra costs. PHOTO | SALATON NJAU | NATION

What you need to know:

  • Project meant to 60.8 megawatts into the national grid
  • The ministry has been facilitating meetings between the investors in the Sh13 billion project in Nyandarua and Nakuru counties and leaders and owners of land on which the turbine masts are to be erected.  
  • Two of the wards – Magumu and Githabai are in Kinagop Constituency of Nyandarua County, and the third one, Naivasha East Ward, is in Nakuru County.

The Energy and Petroleum ministry has moved in to save a multi-billion-shilling wind power project that has stalled due to protracted wrangles between the investors and some local leaders.

The ministry has been facilitating meetings between the investors in the Sh13 billion project in Nyandarua and Nakuru counties and leaders and owners of land on which the turbine masts are to be erected.  

Ministry principal secretary Joseph Njoroge said investors would continue meetings this week in which they will engage the land owners and the community.

The project has fallen behind schedule following wrangles between some local leaders and the investors over the mode of compensation to landowners.

“We have facilitated meetings (three of them) between the community, the leaders and the investors and agreed on the way forward,” Mr Njoroge said, pointing out that the meeting between the investors and the community is part of the follow-up of the previous meetings.

The project is supposed to generate 60.8 megawatts of electricity for the national grid, becoming the largest wind park investment in East Africa. It is being sponsored by investors from Norway and South Africa. 

Kinangop Wind Park (KWP), a local company implementing the project, is set to benefit about 5,000 families in three wards. 

Two of the wards – Magumu and Githabai are in Kinagop Constituency of Nyandarua County, and the third one, Naivasha East Ward, is in Nakuru County.

The National Government has given the project a clean bill of health after it was approved by National Environment Management Authority, with Director of Renewable Energy Isaac Kiva saying the project is part of Vision 2030.

Recently, Energy and Petroleum Cabinet secretary, Davis Chirchir who accompanied President Uhuru Kenyatta on his recent trip to US, said American businessmen had expressed interest in investing in the renewable energy project. Chirchir told them the ministry was doing everything possible to resolve the conflict between the community and investors.

FIVE YEARS LEASE PERIOD

KWP said 38 farmers who have leased their 40-metre by 40-metre plots for the construction of the masts have been paid Sh500,000 for a period of five years by KWP.

People living 130 metres from the turbines are supposed to relocate owing to the noise from the windmills, and KWP has promised to compensate them. Their houses are to be valued for payment to which will be added 30 per cent of the house’s total value.

Differences over the compensation is what has sparked controversy as Kinagop MP Mr Stephen Kinyanjui has been insisting that the landowners should instead be given alternative land, arguing that some of them may end up misusing the money.

“As much as we are hungry for investment in our county, we shall not allow the wind power project to proceed if the investors fail to comply with the grievances the community has raised,” Mr Kinyanjui said in a telephone interview.

But Nyandarua governor Waithaka Mwangi and his Nakuru counterpart Kinuthia Mbugua support the project with most other elected leaders backing it as well.

The communities stand to benefit through employment of 250 people in addition to the anticipated business opportunities. The investors have promised to drill a bore hole in Heni and Karati villages of Magumu where people complain of water shortages.