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Moi opens one of Africa's largest power projects

Agence France-Presse
( March 14, 2002 )

MOMBASA, Kenya, March 14 (AFP) - Kenyan President Daniel arap Moi on Thursday inaugurated an 86-million-dollar power station here, one of the largest such projects in sub-Saharan Africa.

The diesel-powered electricity plant, situated at Mombasa's Kilindini harbour, was financed by six international firms under the Tsavo Power Company Limited.

They include the Aga Khan's Industrial Promotion Services, Cinergy Global Power of the United States, CDC Group Plc, Wartsila Development and Finance Services, Germany's DEG and the World Bank's International Finance Corporation.

In his opening address, Moi appealed to Western investors to come and invest in Kenya, explaining that foreign investors and development partners had shied away from financing projects in Africa, including Kenya, because of ideological differences.

"In our case, it became clear in the past that our development partners were not keen to finance projects, particularly in the power sub-sector, despite our government's introduction of major reforms to revamp the economy since 1994," Moi said.

The new plant will be the fourth Independent Power Producer (IPP) since the liberation of the power sub-sector in Kenya in 1994 and will add 74mw or 25 percent of the country's installed thermal power capacity.

Kenya also plans to increase its electricity capacity reserves to 210mw between 2003 and 2006, including the 60mw Japanese-funded Sondu-Miriu hydro-electric project set to open early 2004.