Energy Cabinet secretary Charles Keter at a past function. [Photo/businessdaily.co.ke]
The government through the Ministry of Energy has again decided to continue with the construction of a natural gas plant in Mombasa which it had abandoned in 2016.
The 700 megawatt plant project had been proposed to start in 2016 at Dongo Kundu in Mombasa County before there was a fall out between the government and private developers. The project was estimated to cost Sh.130 billion.
Energy Cabinet secretary Charles Keter said they have decided to revive the plant because of increased demand and the need to lower the cost of power in the country.
“We are reviving the gas power project plan in light of growing demand, need to diversify our sources and the expected lower consumer prices since gas fired power is cheap,” Keter said as quoted by The Business daily.
The CS further said that his Ministry has initiated talks with the National treasury to come up with a financing plan so as to implement the project.
Gas fired electricity will cost Sh10 per Kilowatt Hour (kWh) or half diesel generated energy which is the country’s expensive alternative when drought hits hydro power plants.