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KenGen Risks Losing Olkaria Geothermal Wells Over Licence Error

KenGen Risks Losing Olkaria Wells Over 18-Year Licence Blunder Kenya Electricity Generating Company (KenGen) faces a serious legal and operational risk at Olkaria after an error in the coordinates of its geothermal licence left part of the company’s wells, steam infrastructure and other assets outside its legally recognised area. The licensing mistake, made nearly two decades ago, remains unresolved despite the Ministry of Energy and Petroleum acknowledging the problem in 2017.  The dispute has raised questions about the security of KenGen’s investments, the government’s management of geothermal resources and the potential consequences for Kenya’s electricity supply. Olkaria is the country’s most important geothermal centre and accounts for the overwhelming majority of Kenya’s installed geothermal generation capacity.  Licence Error Exposes Strategic Assets The problem dates back to September 19, 2008, when the Ministry of Energy and Petroleum issued KenGen a licence covering ...

“From Volcanic Depths to the National Grid: Dominica’s First Geothermal Turbine Sparks a Caribbean Energy Revolution.”

The historic milestone in Dominica's renewable energy journey has arrived: 


the first Ormat Energy Converter (OEC) turbine unit at the OEC-1 geothermal power plant has spun to life, synchronized with the national grid, and begun delivering clean, reliable power to the island nation. This isn't just a technical achievement—it's a beacon of hope for energy independence in the Caribbean, a region long dependent on imported fossil fuels and vulnerable to hurricanes and climate change.


Imagine standing in the control room, heart pounding, as the screens light up with rising numbers: Gross Power climbing to 3.82 MW and beyond. The CPB Switch Status flips to GEN,the "Start" button glows triumphantly, and for the first time, geothermal steam from deep beneath Dominica's volcanic landscape transforms into electricity flowing seamlessly into homes, businesses, and the future. Project Manager Amir Junger captured the moment perfectly in his update: one very happy project manager watching months of relentless work turn into real, tangible power.

This breakthrough marks the culmination of over 15 years of perseverance. Dominica's geothermal story began long before the first pipe was laid or turbine installed. The island, part of the Lesser Antilles volcanic arc, sits atop immense natural heat resources. Exploration efforts date back to the early 2000s, with drilling campaigns in the Roseau Valley revealing promising reservoirs. Challenges mounted—hurricanes like Maria in 2017 devastated infrastructure, funding hurdles loomed, and regulatory complexities tested resolve—but the Government of Dominica, through the Dominica Geothermal Development Company (DGDC), never wavered.

In a groundbreaking move announced at COP28 in late 2023, Ormat Technologies Inc., a global leader in geothermal solutions, signed a historic 25-year Power Purchase Agreement (PPA) with Dominica Electricity Services Ltd. (DOMLEC). Ormat committed to finance, build, own, and operate a state-of-the-art 10 MW binary geothermal power plant, with ownership transferring to the government at the end of the term. This public-private partnership became the first of its kind in the English-speaking Caribbean for geothermal energy.

Construction kicked off in earnest in mid-2024 near Laudat in the lush Roseau Valley. The plant features two Ormat Energy Converters (OEC units), advanced binary cycle technology that uses lower-temperature geothermal fluids efficiently without direct contact between the geothermal brine and the working fluid. This closed-loop system minimizes environmental impact while maximizing output. Major equipment, including the OEC modules, air-cooled condensers, heat exchangers, and piping, arrived on the island by early 2025. Teams worked through tropical rains, steep terrain, and logistical hurdles to assemble the facility.

By late 2025, commissioning phases began ramping up. Finance Minister Dr. Irving McIntyre updated Parliament that initial commissioning would start before year's end, targeting full commercial operations by March 2026—a slight shift from the ambitious Christmas 2025 goal but still on track after years of delays from external factors. Financing sealed the deal: the Caribbean Development Bank (CDB), CARICOM Development Fund (CDF), World Bank, and Green Climate Fund (via IDB) provided crucial concessional loans and grants, totaling tens of millions to make the US$68+ million project viable.

Then came the day that changed everything. As Amir Junger shared from the site, the team achieved the first rotation, startup, and synchronization of the initial OEC turbine unit. The control panel displayed 3.82 MW gross power delivered to the grid almost immediately, with expectations to ramp up toward ~5 MW as commissioning fine-tunes performance. This single unit already represents a massive step: Dominica's grid, previously reliant on diesel generators for much of its baseload, now taps into baseload renewable energy—clean, constant, and immune to fuel price volatility or supply disruptions.

The implications ripple far beyond kilowatts. Dominica aims to become the world's first climate-resilient nation, and geothermal fits perfectly into that vision. Once both OEC units reach full capacity, the plant will generate approximately 10 MW, enough to power thousands of households (estimates suggest coverage for up to 23,000 homes when combined with other renewables). It slashes reliance on diesel, cuts carbon emissions dramatically, lowers electricity costs over time, and enhances energy security for an island nation battered by storms.

Geothermal energy offers unique advantages in the Caribbean context. Unlike solar or wind, which fluctuate with weather, geothermal provides firm, 24/7 power—ideal for baseload needs. The binary technology employed here is particularly suited to moderate-temperature resources common in volcanic islands. Minimal land use, low visual impact, and near-zero emissions make it one of the cleanest baseload options available. For Dominica, harnessing this resource means turning a natural hazard (volcanic activity) into an asset.

The human element shines brightest in this story. Teams from Ormat, local contractors, engineers, commissioning specialists, and operations staff collaborated across continents and cultures. Amir Junger's pride echoes the sentiment: "Proud to be part of a project that brings clean geothermal energy to the island and strengthens the local power infrastructure." Months of grueling shifts, precise calibrations, safety protocols, and problem-solving culminated in that first grid sync. It's the kind of moment that reminds us why renewable transitions matter—not just for data points, but for people, communities, and futures.

Looking ahead, this milestone paves the way for expansion. Dominica's geothermal potential extends far beyond 10 MW; additional wells and phases could scale output significantly. The project sets a precedent for the region—proving that small island developing states can lead in renewables with the right partnerships and determination. Neighbors like St. Vincent, Grenada, and others watch closely, inspired to explore their own volcanic gifts.


As the second OEC unit comes online and the plant hits full stride, Dominica edges closer to a greener grid. The 3.82 MW flashing on that screen is more than a number—it's proof that vision, tenacity, and innovation can light up an island sustainably.

In a world racing against climate change, stories like Dominica's geothermal triumph offer inspiration. From volcanic depths to glowing control rooms, from imported diesel to homegrown power, this is the energy transition in action—one synchronized turbine at a time.

Source: LinkedIn, X


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