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FEASIBILITY STUDY FOR THE EXISTING OLKARIA I - 45MW GEOTHERMAL POWER

PLANT

1.0 General Information Kenya Electricity Generating Company (KenGen) is a limited liability company, registered under the Companies Act of the laws of Kenya. The Company was incorporated in 1954 with its core business being development, management and operation of power generation plants. KenGen is listed on the Nairobi Stock Exchange and it is owned 70% by the Government of Kenya, and 30 % by the public. Today, the Company is the leading electric power producer in Kenya, with an installed capacity of 1,238.8MW equivalent to about 80% of the national capacity. KenGen utilizes various primary sources of energy to generate electricity ranging from hydro, geothermal, thermal and wind. 1.1 The Olkaria I - 45 MW Geothermal Power Plant The Power Plant is located at the Olkaria Geothermal field in the Rift Valley about 120km from Nairobi. The 45MW Power Plant was the first geothermal power plant in Africa and was commissioned in three phases and has three units each generating 15MW of electricity. The first unit was commissioned in June 1981, the second unit in November 1982 and the third unit March 1985. The plant has however experienced normal wear and tear over the 32 years of operation. Besides the wear and tear, the technology which was the basis for design of the plant has now been overtaken by the latest user friendly and efficient technologies. In addition, most equipment of the plant is no longer in production (obsolete) thus making acquisition of spare parts difficult. It is in view of the above that KenGen wishes to engage a consultant to carry out a detailed examination and study of the power plant in its current condition and advice on whether to rehabilitate, upgrade or retire the power plant and construct a new one. 2.0 The Objective of the Feasibility Study. The objective of the feasibility study will be to: a) Review the entire power plants’ components and systems including instrumentation, electrical, mechanical, steam extraction/ reinjection and the cooling systems and advice on the current condition and determine if the components can be rehabilitated, upgraded or retired; b) Review the civil structures and building works and advice on its current condition and its capability to sustain the extended life of the plant if a rehabilitation option is pursued and necessary modification/addition for upgraded plant option; c) Advise on whether the Power plant’s installation capacity can be improved by use of modern technology to improve on the plant efficiency in operation and steam consumption;

iv) Additional experience in a feasibility study for a brown field geothermal power plant will be an added advantage. e) Develop implementation framework for the recommended option. e) Where the Applicant is a consortium.0 Minimum Requirements In order to be-shortlisted the interested bidders must have as a minimum: i) A track record of relevant experience on geothermal power plants including steam gathering and HV Substations & Transmission systems. 4. a list of proposed professional staff and disciplines expected to take part in the feasibility study.0 The following Documents shall be submitted a) Documents detailing that the party (ies) fulfils the minimum requirements in 3 and 4 above.d) Carryout Economic and Financial Analysis. certified by an authorized representative of the bidder or (as the case may be) the consortium member in addition. ii) Demonstrate at least 15 years experience in designing geothermal power plants. f) Evaluate the transmission infrastructure capacity for power evacuation incase the plant upgrading option or new plant (higher than 45MW) is pursued. power plant design assignments in geothermal. g) Carry our environmental and social scoping for the various options. v) In addition to the firm’s experience. iii) Demonstrate comprehensive and proven knowledge of Geothermal Power Plants operations. b) Certificate of incorporation (and any certificate of change of name). and any feasibility study for a brown field geothermal power plant carried out in the last 15 years. including knowledge of Geothermal Power Plant operations and maintenance of the same. ii) Undertaken at least two Feasibility study of a geothermal power plant during the last 15 years. . d) List of consultancy services on Geothermal Feasibility studies. iii) At least 15 years experience in the design and engineering of geothermal power plants and their associated steam field. 5. 3. Including a brief description of the study (scale and scope) and the status of the projects.0 Evaluation Criteria Short listing of consultants will be based on the following minimum criteria: i) Demonstrate at least 15 years experience in consulting services for geothermal feasibility studies of at least 10MW. Certified copies of Memorandum / Articles of Association for all consortium members c) Audited Financial Statements for the last 3 years for each consortium member including Tax registration and Tax compliance certificates or equivalent documents applicable in the bidder’s Country of origin. a list of the proposed members of the consortium and the proposed Leader of the consortium.

ke. Kenya Information on the outer envelope should also include: Confidential.co. O. Parklands.0 Clarifications The interested parties may request for clarifications on this Expression of Interest upto Ten (10) days before the EoI submission date. Legal & Corporate Affairs Director. Kolobot Road. Any request for clarification must be sent in writing by paper mail.00100. SUPPLY CHAIN MANAGER .O. executive room and bidders or their representatives are invited to attend.co. 7th Floor Kolobot Road.6.co. Parklands P. Nairobi. facsimile. Box 47936 – 00100. jnjuguna@kengen. or electronic mail to: Capital Planning & Strategy Manager Kenya Electricity Generating Company Limited.co. ckiara@kengen. Kenya Electricity Generating Company Limited.ke 7.ke.ke. imaina@kengen. Box 47936 .ke. Nairobi. Kenya.0 EOI Submission The EoI (1 Original and 3 copies) should be submitted in a sealed envelope by 1400 hours (Kenya time) on Thursday. 15th August. The documents will be opened on the same day in public on 7th floor. 14. Stima Plaza III. gmuchemi@kengen.co. KenGen 45MW OLKARIA I GEOTHERMAL POWER PLANT FEASIBILITY STUDY: Do not open before Thursday. pkimemia@kengen. 2013 to the following address: Company Secretary.30 hours.co. Stima Plaza III.co. 2013.ke CC fmakhanu@kengen.ke. P. Tel: +254-20-3666427 Fax: +254-20-2248848 Email: enjenga@kengen. 15th August.