Japanese conglomerate Toshiba Corporation has moved to expand its presence in the East African renewable-energy market by signing geothermal power development deals with Ethiopia, Tanzania, Uganda and Djibouti.
The memorandums of understanding (MoUs) that Toshiba signed with the four countries will see its Africa subsidiary help them develop their nascent geothermal energy sectors.
“We are growing our business by promoting expansion in emerging markets and we see East Africa as very promising,” says Toshiba senior VP for Europe, the Middle East and Africa Takeshi Yokota.
He adds that Toshiba, one of the largest companies in the world, with yearly revenues of more than $52.5-billion, has developed technologies that can contribute to power supply stability in East Africa and enable the region to use its natural resources for energy generation.
The company sees East Africa as an important market for geothermal steam turbines and generators.
According to the MoUs, Toshiba will collaborate with the four countries in geothermal power generation project development and personnel training.
In Ethiopia, the company will manufacture major equipment, create operation and management guidelines, assist in personnel development and start a waste-heat utilisation business. This comes at a time when Ethiopia is aiming to develop more than 5 000 MW of geothermal power generation capacity in the coming decades at an estimated cost of $20-billion.
In Tanzania, the company will help promote geothermal power generation and human resources development. The East Africa country is believed to hold the third-largest geothermal resources in Africa, as the longest stretch of the East African Rift Valley is within its borders. Tanzania has so far identified 50 sites with potential to generate 5 000 MW.
In Uganda, Toshiba will aim to build strong public–private partnerships to develop 500 MW geothermal energy generation capacity, while, in Djibouti, it will collaborate with government to develop geothermal resources and provide training for plant workers.
“Our rich experience allows us to support Africa’s growing demand for clean energy with our latest and ecofriendly solutions. “I am confident that Toshiba can be Africa’s friendly partner in building a better future,” says Yokota.
Toshiba has been active in the East Africa market since establishing a presence in the region in the 1970s. In 2013, the company supplied four turbines and generators to Kenya’s Olkaria I and IV geothermal power plant, which has a generation capacity of 280 MW.
In 2015, the company was awarded a contract to supply Kenya Power with about 4 000 transmission and distribution transformers. In April, it shrugged off international competition to clinch an additional $34-million contract to supply about 8 000 more distribution transformers.