Pursuant to the provision of section 28 (4), (5) and (6) of the Energy Act , the Energy Regulatory commission notifies the general public that it has received an objection from save Lamu Natural Justice to the issuance of an electric general license to Amu power company limited.
The commission heard the objection on 6th December, 2016 in Lamu in and after reviewing the views of stakeholders orders that:
- The project affected persons (PAPS) did not object to the power plant being licensed, their only concern was fair relocation and compensation which is being undertaken by the Government in liaison with the PAPS.
- All environmental issues were addressed In the Environmental Social Impact Assessment (issued by the National Environment and Management Authority) and effective mitigation measures proposed. When implemented, the concerns of the objector will be addressed.
- The concern on the demand has been addressed by the Government in the Least Cost Power Development Plan (LCPDP) and by the developer through the identified technology of the plant.
- There is need for country to diversify its sources of energy in order to have energy security and competitive energy prices
- The location of plant is appropriate. The power plant will supply the coast region with sufficient power and it will minimize the cost of transmission and significantly lower technical loses.
1. The fuel price has been addressed in the power purchase agreement and the issue of livelihoods of the people of Lamu has been addressed in the environmental social impact assessment.
2.The cost of the project will be recovered through the tariff as contained in the power purchase agreement.
Taking the above reasons into account, the Commission disallowed the objection. The above decision is based on the objects and mandate of the commission envisaged under section 5 (a) and power under section 6 (c) and (e)
Dated the 13th February, 2017; PAVEL ROBERT OIMEKE, Acting Director General