Lafarge’s Kenya division, Bamburi Cement signs PPA for two solar plants
MOMNAI Energy to build solar power systems with a total capacity of 14.5 MW, and 5 MW for Bamburi’s Mombasa Plant, and Nairobi Grinding Plant.
Bamburi Cement PLC, the Kenyan division of global cement manufacturer, LafargeHolcim, this week signed a Power Purchase Agreement (PPA) with an Independent Power Producer, MOMNAI Energy Limited, to set up two solar energy plants adjacent to the company’s Mombasa Plant and Nairobi Grinding Plant.
MOMNAI Energy Limited will deploy solar power systems with a total capacity of 14.5 MW, and 5 MW for Bamburi’s Mombasa Plant and Nairobi Grinding Plant respectively. This will account for up to approximately 40% of Bamburi’s total power supply.
Through the projects, Bamburi aims to reduce the amount of electricity it consumes from Kenya Power, as well as reduce its electricity bill by 10 percent, or over KSh600 million (US$5.28m) per annum. The solar plants will also help the cement manufacturer in its goals to contribute to Net Zero carbon emissions by switching to less carbon intensive power sources.
“We are elated to be making this step towards switching to more affordable and clean energy that will not only lead to a significant reduction in power costs but also bring us closer to our goal of achieving Net Zero carbon emissions,” said Miriam Ngolo, Bamburi’s Strategy & Business Development Director.
Over the past 10 years, Bamburi has substituted heavy fuels with use of alternative fuels like biomass including rice husks and other waste material such as waste tyres and waste oil in its operations.
Construction of the solar power plants is scheduled to begin at the end of 2022 after requisite regulatory approvals with expected completion within a year.
Projects enable Bamburi to reduce its carbon footprint
MOMNAI Energy will be responsible for financing all costs related to the project, including developing, managing, operating and maintaining the solar photovoltaic plants’ infrastructure. Bamburi’s Mombasa and Nairobi sites have land available to set up and generate solar energy, which is expected to achieve significant recurrent savings annually, while simultaneously improving reliability of supply and improving Bamburi’s environmental footprint.
Bamburi’s Group Managing Director, Seddiq Hassani said, “Shifting to renewable solar energy will help us meet key objectives under our sustainability agenda which include reducing the carbon footprint of our operations, saving on costs, and upholding Holcim’s Net Zero Pledge with Science- Based Targets initiative (SBTi). It will also position us to deliver on our commitments to the UN COP21 Climate Change Agreement while remaining environmental stewards and partners in building Kenya sustainably.”
MOMNAI Energy Director, Anders Hauch said, “We are dedicated to playing a significant role in a fast transition to a cleaner and cheaper energy sector in Africa for a more sustainable world and improvements of the economies and livelihood of people on the African continent. Supplying solar power directly to Bamburi Cement fulfils both our agendas and we are delighted to assist the Holcim Group in fulfilling its Net Zero Pledge.”