OPIC to back Kenya's 310-MW wind project with USD 250m

Jun 11, 2014 - The Overseas Private Investment Corporation (OPIC) of the US on Tuesday gave its nod to an investment guarantee of as much as USD 250 million (EUR 185m) for Kenya’s 310-MW Lake Turkana wind project.

The scheme envisages the installation of 365 pieces of 850-kW wind turbines in Nairobi, northern Kenya, which will make the facility the largest of its kind in Africa. Danish wind turbine maker Vestas Wind Systems A/S (CPH:VWS) will supply the turbines. Once up and running, the complex is seen to generate power for over 2.5 million local homes and lift Kenya’s installed power capacity by 20%.

Vestas, Kemperman Paardekooper & Partners Africa, Denmark’s Investment Fund for Developing Countries, development finance company Finnfund and Netherlands Development Finance Co (FMO) are some of the investors and lenders that form Lake Turkana Wind Power (LTWP). The latter is in charge of the financing, construction and operation of the wind farm. Aldwych International Ltd, majority owned by the Pan African Infrastructure Development Fund (PAIDF), is the lead developer and independent power producer.

OPIC, the US government’s development finance body, has committed to provide USD 1.5 billion in financing for energy projects in Sub-Saharan Africa in the next five years, it noted.

(USD 1.0 = EUR 0.739)

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