KenGen Community Engagement

The strategy is critical for KenGen due to its role as the primary source of electricity generation for Kenya, supplying about 80% of total national consumption. With 32 power stations across the country, many communities are directly affected by KenGen's power operations, and an additional number of communities are indirectly affected due to their proximity and relationships to directly affected communities. KenGen has experienced numerous challenges from communities, including initial lack of project acceptance, frustrations, public protest, intimidation, threat of physical violence, and destruction of property. Virtually all KenGen power projects have experienced some community issues, but a few projects stand out among them, resulting in sometimes very harsh criticism and dissatisfaction with KenGen. These projects include the Sondu Miriu Hydropower Plant, Turkwel Hydro Power Station, and the Olkaria IV Geothermal Station. The Sondu Miriu project was initiated in 1999 with support from the community, but after some time, the project started experiencing problems due to various negative allegations coming from NGOs, community members, and local politicians. These allegations revolved mostly around resettlement and compensation. Two years were lost during this time until a series of stakeholder meetings were held in January 2001 to allow the community to air their grievances and hold practical discussions. These meetings led to the establishment of a Technical Committee to ensure regular consultation between the stakeholders and KenGen. The Turkwel Hydro Power Station lies on the border of Turkana and West Pokot Counties. The construction of the dam and 106 MW plant commenced in 1986 and was commissioned in 1991. However, due to longstanding conflict associated with sometimes violent inter-community boundary disputes and inter-ethnic cattle rustling, as well as a rivalry between two communities over accrued benefits from the project, the operations of the company have been impacted negatively. KenGen staff have suffered physical and psychological harm, and consequently, the company has had to move its staff out of Turkwel, leaving only a skeletal team that operates out of Kitale. The Olkaria IV geothermal plant is a 140 MW plant located in Hell's Gate National Park in Naivasha County. It is part of the larger Olkaria complex, consisting of other KenGen facilities, Olkaria I, II, and V, and Olkaria III, which is run by Ormat, a private company. Community issues were at the forefront in the implementation of Olkaria IV due to challenges experienced in the resettlement of project-affected persons. Though the project was implemented on time, KenGen continues to implement some aspects of the Resettlement Action Plan (RAP) to date. The challenges arose due to the fact that the land had been occupied by squatters and thus it was difficult to identify the bona fide landowners. Some members of the affected communities complained to The World Bank triggering an investigation, and gaps were identified. A post-housing clinic was held to address complaints, and those found to be eligible were further compensated. KenGen has invested a significant amount of time and energy into examining and reflecting on its relationships with communities, particularly in Olkaria. Recognizing the similarities between New Zealand and Kenya, Power Africa and its partners, the United States Energy Association (USEA) and the Geothermal Energy Association (GEA), facilitated a Kenya-New Zealand Partnership between KenGen and three New Zealand companies – Contact Energy, TN2T, and the Ngati Tahu Tribal Trust. This partnership aimed to share best practices in community engagement and stakeholder management.