The climate investment fund managed by IFU has sold its shares in Lake Turkana Wind Power
The climate investment fund managed by IFU has sold its shares in Lake Turkana Wind Power, the largest wind farm in Africa. Today, Lake Turkana Wind Power accounts for about 14 percent of Kenya's electricity consumption, and the wind farm has had a positive impact on the local community.
The Climate Investment Fund, managed by the IFU, has co-owned Lake Turkana Wind Power since construction began in 2014. The investment has helped secure the financing, construction and operation of the largest wind farm in Africa.
The Climate Investment Fund's 6.25 percent stake in Lake Turkana Wind Power has now been sold to the Climate Finance Partnership, a public-private finance company managed by BlackRock.
“Lake Turkana Wind Power is a flagship for IFU and we are proud to have played an active role in this ground-breaking project now being built, commissioned and delivering cheap and reliable green energy to Kenyans.”
Reik Haahr Müller, Senior Vice President, Head of Green Energy & Infrastructure at IFU.
Providing about 1.2 million homes with green power
Lake Turkana Wind Power is located in Loiyangalani District in Marsabit County and was connected to the national electricity grid in 2018.
Today, Lake Turkana Wind Power accounts for about 14 percent of Kenya's electricity consumption and provides power to 1.2 million households. The production has improved the reliability of Kenya's electricity supply, reduced the country's dependence on fuel imports and reduced CO 2 emissions by millions of tonnes.
The electricity is produced by 365 Vestas wind turbines (310 MW), and the establishment of the wind farm also included the construction of 200 km of road and a 400 km transmission line connecting the wind farm to the national grid.
Lake Turkana Wind Power has a perfect location and has an annual average capacity factor of around 60 percent, which is unusually high for a wind farm.
Improving local living conditions
Lake Turkana Wind Power has been dedicated to improving the living conditions of the local population. Indirectly, the construction of the 200 km long road has had a positive impact on the local infrastructure and reduced travel time and transport costs.
"Lake Turkana Wind Power has supported a large number of local development projects within e.g. education, health and access to water. Through the Winds of Change program, which was established by Lake Turkana Wind Power, we have ensured that the local community will continue to benefit from the project,” says Reik Haahr Müller.
Lake Turkana Wind Power has also had a positive impact on local employment. During construction, around 2,500 people were employed, and currently the company employs close to 330 people, of which around 85 percent come from Marsabit County.
Danish pension companies have supported the project
The Climate Investment Fund is a public-private investment fund managed by IFU. The fund was established in 2014 in collaboration with large Danish pension companies and private investors who were among the first to engage in direct private investments to support the green transition in developing countries. The investors include PKA, PensionDanmark, PBU, Aage V. Jensens Fonde and Dansk Väkstkapital.
