Ormat Begins Commercial Operation of Plant 4 of Olkaria III Geothermal Project

Ormat Technologies on Feb 4 said that it has reached commercial operation of Plant 4 in the Olkaria III geothermal complex in Kenya, increasing the complex total generating capacity by 29 MW to 139 MW.

The company said that plant 4 will sell its electricity to Kenya Power and Lighting Company Limited (KPLC) under a 20-year power purchase agreement.

 “With the commissioning of plant 4, the 140 MW Olkaria III complex will provide clean and reliable electricity to over 250,000 households in Kenya, supporting the Government of Kenya’s 2030 vision to increase generation capacity,” Ormat CEO Isaac Angel said in a statement. “We are proud to be part of Kenya’s efforts, and view this facility as a key component of our geographic expansion strategy. Now that we have the commercial terms in place, we will continue to evaluate the feasibility of future expansions of the Olkaria III complex as well as other prospects to support our growth in Kenya.”

Ormat said it has implemented a multi-phased development strategy in Olkaria III. The first phase of Plant 1 commenced operation in 2000 and the second phase in 2009. Plant 2 commenced commercial operation in 2013 and plant 3 in 2014. According to Ormat, the company last October signed an amendment to its power purchase agreement with KPLC that enables the increase of the capacity of Plant 4 expansions to an aggregate of 100 MW, in phases.

Lead image: Olkaria III. Credit: Shutterstock.

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