NAIROBI, Sept. 3 (Xinhua) — The Insurance Regulatory Authority yesterday rolled out a facility to boost investments in geothermal energy projects in East Africa.
“Kenya has established a joint underwriting facility, backed by East African insurers, designed to cover early-stage development drilling risks for investors in geothermal projects,” Kiptum said.
Kiptum spoke at a geothermal development and investment forum that addressed financing challenges, risk mitigation, regulatory frameworks, and technological advancements.
According to the Ministry of Energy and Petroleum, Kenya currently generates about 985 megawatts of geothermal power out of an estimated potential of about 10,000 megawatts.
Chrispin Lupe, head of the Geo-Exploration Directorate at the Ministry of Energy and Petroleum, said that the facility also provides for technical capacity development for East African insurance sector stakeholders to enhance their ability to underwrite and manage renewable energy risks.
Lupe noted that the facility will also help regional governments through advocacy and technical assistance to adapt regulatory frameworks to better support the unique needs of the renewable energy sector.
