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Approval for Expression of Interest and Detailed Feasibility Study

The first step to obtain sector clearance is the submission of an Expression of Interest (EOI) to the Principal Secretary of the Ministry of Energy. The Feed-in Tariff Committee comprising of representatives of the Ministry of Energy, the grid operator (Kenya Power), the Geothermal Development Company, and the energy regulator (ERC) reviews the EOI and refuses or approves the proposed project. The approval can be given with or without the request for further studies. The non-conditional approval gives the applicant the right of first refusal for the use of the same technology at the same location for two years. The approval with a request for further information gives the applicant 12 months to determine the project viability and conclude the study. Investors whose EOIs are approved will be required to carry out detailed feasibility studies including environmental and social impact assessments and submit detailed proposals. Detailed proposals should be considered as the business plans of the investors and should therefore be detailed enough and be presented in a bankable format. They provide a basis for power purchase negotiations and agreements.

Details

  • Purpose: The Ministry of Energy and Petroleum wants to determine how the proposed power plant can be integrated into the national power development plan and estimate suitability of proposed power plant location for interconnection including interconnection facilities and costs.
  • Application Fee: None
  • Clearance Fee: None
  • Maximum Processing Time: Within 90 days
  • Validity: 24 months to complete feasibility study
  • Clearance Type: Approval
  • Legal Basis: No primary or secondary legislation in place. The Ministry describes the procedure in the Feed-in Tariffs Policy 2012.
  • Annual Renewal: 2 years subject to the investor updating the Feed in Tarrif Policy Committee

Pre-Requisites

  • None

Investor Inputs

  • The investors input is contained in the Feed-in-Tariff Application and Implementation Guidelines.The summary of which is:
  • Particulars of the applicant
  • Site and Land Ownership and Control
  • Technology type
  • Preliminary Project Feasibility Assessment
  • Project Sponsors and Developers
  • Technical Advisors,Experts and Contractors
  • Project Financing
  • Project Development and Implementation Plan

Issuing agency