(Corrects company name in headline to Amu Power, not Abu Power)
NAIROBI Feb 28 Kenya's energy industry
regulator has overruled environmentalists' objections to Amu
Power Company's planned 1,000 megawatt (MW) coal-fired power
plant in the country's coastal region.
Amu Power, backed by a consortium that includes Centum
Investments and a group of Chinese companies, was
initially expected to begin construction of the plant in Lamu in
However, environmental group Save Lamu Natural Justice
raised concerns about the effect the plant would have on marine
life in the region, prompting the Energy Regulatory Commission
to delay issuing Amu Power an electricity generation licence for
The Energy Regulatory Commission said in a legal notice seen
by Reuters on Tuesday that it had reviewed the views of the
group and other interested parties and was satisfied that all
environmental concerns would be handled adequately.
It also said that landowners who would be relocated to make
way for the plant did not oppose the plant's construction and
that the government was handling their compensation.
"Taking the above reasons into account, the Commission
disallowed the objection," the Energy Regulatory Commission's
legal notice said.
Construction of the plant is expected to take 30 months once
The project is part of a plan launched in 2013 to add 5,000
MW of power to Kenya's installed electricity generating capacity
by this year. The capacity stands at 2,341 megawatts at present.
The Amu Power consortium also includes Kenya's Gulf Energy
and Chinese trio China Huadian Corporation Power Operation
Company, Sichuan Electric Power Design and Consulting Company,
and Sichuan No. 3 Power Construction Company.
(Reporting by George Obulutsa; Editing by David Goodman)