from OMONDI OLOO in Nairobi, Kenya
NAIROBI, (CAJ News) - A new geothermal project is set to ease Kenya's power deficit.

The East African country is on the verge of launching a 350MW geothermal power plant to help bridge the 3 000MW power shortfall.

Work at plant, which is the world largest geothermal power plant, in Olkaria, Naivasha, is 50 per cent complete with the first 70 MW expected by December.

The Kenya Electricity Generating Company (Kengen) Managing Director Eddy Njoroge said the plant will be fully operational by September 2014, as earlier planned.

Plans are also underway for a US$4 billion nuclear power project whose construction is expected to start in 2015 to produce 1 000 MW of power.

Dr Njoroge said geothermal power would be the cheapest source of power once the plant was fully running.

It is forecasted consumers will get electricity at a cost of US 7 cents/ per unit compared to the current 10c.

Meanwhile, Dr Njoroge disclosed Kengen would spend $15m to resettle the Maasai community currently living in the geothermal rich area.

He said the company had already acquired 1 700 acres to resettle the families.

Kengen will construct more than 160 houses for the 110 families, a school, dispensary and church.

The construction of the houses, schools and other amenities is expected to be complete by April next year when the families will move in.

"We are doing another census to establish if the numbers have changed," Dr Njoroge said.

Last week, a planned ground breaking ceremony in the new land was called off after members of the Maasai demanded a memorandum of understanding with Kengen.

Some of the demands they are making include scholarships pasture land, employment and new land for a cultural centre.