The 21.2MW plant - part of the Sondu-Miriu hydroelectric project - is being developed by Kenya Electricity Generating Company (KenGen) and is designated the highest priority in the country's power development plan.
The plant will use water discharged from the 60MW Sondu/Miriu hydro power on the Sondu river, which is due to be completed in November 2007.
Proceeds of the ODA loan will be used for the civil works, installation of generators and transformers, construction of transmission lines and consulting services.
