Gulf Power Thermal Power Plant to increase Kenya's electricity output

Kenya’s electricity generating capacity is set to receive an 80 megawatt (MW) boost when a new private power project sponsored by local investors is completed in the next 12 months. 

Gulf Power, an independent power producer (IPP) established by a consortium of Kenyan investors, will produce power from a thermal power plant on Mombasa Road, near Athi River, Nairobi.

Gulf has signed a power purchase agreement with Kenya Power Company for purchase and distribution of the electricity it will generate. 

Agreements were recently reached between the Government of Kenya, Kenya Power, the World Bank, JP Morgan Chase Bank of London and Gulf Power for two partial risk guarantees for US 35-million dollars and €7-million. 

The added electricity capacity will go a long way to boost power stability on the grid especially in areas around the capital  Nairobi. Kenya's current power generation capacity is  approximately 1,800MW.