Kenya's Lake Turkana Wind Power Project (LTWP) has secured €623m (KES76bn) in funding to begin construction activities.
The financing documents were signed by the African Development Bank (AfDB), European Investment Bank (EIB), the Standard Bank of South Africa, Nedbank, FMO, Proparco, East African Development Bank, PTA Bank, EKF, Triodos and DEG.
Overseas Private Investment Corporation (OPIC) is also in discussions with LTWP to join the lender group.
LTWP is expected to help in reducing power supply shortage and offer cheaper electricity.
The project is expected to begin power production in early 2016.
LTWP will assist in achieving Kenya's target for scaling electricity generation to 5,000MW and to provide cost effective renewable power to the Kenyan consumer.
The project will bring on-line 20% of Kenya's installed capacity at €7.52 cents/kWh (KES9/kWh).
Kenya would save up to $150m (€108.6m) annually against import of fuel for thermal power generation, LTWP said.
LTWP chairman Carlo Van Wageningen said, "The LTWP project has been under private development since 2005 and that is in itself a remarkable testimony to the stability and soundness of the Kenyan electricity sector as well as the environment for independent power producers."
"We are delighted that this project will move forward with the continued support of the Government of Kenya, Kenya Power, KETRACO the African Development Bank, and the numerous other partners," Wageningen said.
The wind farm site, located in Loiyangalani District, Marsabit county, will comprise 365 wind turbines, each with a capacity of 850kW.
Kenya Electricity Transmission Company (Ketraco) is developing a double circuit 400kV, 428km transmission line to deliver the LTWP electricity along with power from other future plants to the national grid.
Image: KPLC CEO Ben Chumo (Left) - LTWP chairman Carlo van Wageningen (second left) - Principle Secretary Ministry of Energy Eng. Joseph Njoroge (second right) - Africa Development Bank Regional Director, Gabriel Negatu (right), during the signing of a loan agreement between Lake Turkana Wind Power and African development Bank on Monday 24 March 2014. Photo: courtesy of Lake Turkana Wind Power.