Treasury unit approves 300MW Suswa geothermal project

The Geothermal Development Company (GDC) has received formal clearance from the Treasury’s Public Private Partnerships (PPP) unit to commence feasibility studies for a 300-megawatt (MW) geothermal project in Suswa.

Located in Narok County, the Suswa prospect is considered one of the most promising untapped geothermal fields in the Rift Valley. The approval allows GDC to move into the critical technical and financial assessment phase, which is necessary before large-scale drilling can begin.

The government has increasingly looked toward the Suswa field to diversify the nation’s power mix. This project is expected to be developed through a phased approach, similar to the model used at the Menengai and Olkaria fields.

Kenya is currently a global leader in geothermal energy, ranking among the top ten producers worldwide. Much of this success is centered in the Rift Valley, where volcanic activity provides a reliable source of high-temperature steam.

By securing this Treasury unit approval, GDC can now engage with potential investors and technical partners. The unit’s oversight ensures that the project meets the rigorous fiscal standards required for public-private collaborations.

Under the leadership of President Ruto, the administration has prioritized the transition to 100 percent clean energy. The 300MW Suswa project is a central pillar of this long-term strategy to lower electricity costs for industrial and domestic consumers.

Geothermal power remains the preferred choice for Kenya’s base-load electricity. Unlike hydro, it is not affected by drought, and unlike wind or solar, it provides a steady supply of power regardless of weather conditions.

The Suswa field has been under observation for several years. Previous surface studies conducted by GDC indicated a high potential for steam, but the upcoming feasibility study will provide the definitive data required to secure multi-billion shilling investments.

If the studies prove successful, the project will involve the construction of steam gathering systems and power plants. This typically involves drilling deep wells to tap into high-pressure reservoirs located kilometers beneath the earth’s surface.

GDC is tasked with the upstream development, which includes exploration and drilling. Once the steam is proven, private power producers are often invited to build and operate the generating plants under a long-term agreement.

The shift toward Suswa comes as other fields like Olkaria approach their optimized capacity. Expanding into Narok County represents a geographic broadening of Kenya’s energy infrastructure.

Reliable power is essential for the government’s manufacturing agenda. By adding 300MW to the national grid, the Suswa project would provide the necessary capacity to support new industrial zones and the expanding electric vehicle sector.

The Treasury unit’s green light is just the first of several regulatory hurdles. Environmental impact assessments and community engagement programs in Narok County will follow as the project gathers momentum.