Kenya, ATIDI, Globeleq Seal Geothermal Deal

Key Figures & Findings: African Trade & Investment Development Insurance (ATIDI) and independent power producer Globeleq have finalized a payment guarantee agreement for Kenya’s 35 MW Menengai Geothermal Project. The deal, marks Kenya’s first-ever application of the Regional Liquidity Support Facility (RLSF) to a geothermal plant. According to ATIDI, this structure ensures payment security for both lenders and developers, including the African Development Bank (AfDB), TDB, and Finnfund, and helps mitigate off-taker risk. The project also adds critical baseload capacity to Kenya’s clean energy portfolio.

Statistics & Insights: The 35 MW Menengai plant is expected to connect to the national grid upon completion.

Future Implications: If the project achieves financial close and commissioning by 2025, it could become a replicable model for de-risking geothermal IPPs in East Africa. The structure may also improve investor appetite in Kenya’s broader energy transition strategy.

Source: ATIDI