Transaction Advisory for 90 MW Karura Hydropower Dam Project

The Public Private Partnerships Directorate (PPPD) at the National Treasury, on behalf of and in consultation with the Kenya Electricity
Generating Company PLC (KenGen) and the State Department for Energy (SoE) seek to engage a Transaction Advisor (TA) to assist in carrying out detailed feasibility studies and the procurement of a Private Party for the Karura Hydropower Project through a PPP arrangement. 

The Karura Hydropower Project is situated within the Tana River cascade, specifically located between the Kindaruma and Kiambere
Hydroelectric Power Stations. The main features of this project include a hydropower plant designed to harness the residual hydraulic head of the Tana River, a diversion weir and reservoir system optimized for grid stability, and associated power evacuation infrastructure to integrate clean energy into the national grid. 

The objective of the TA Services is to review and update the existing feasibility study to ensure full compliance with the requirements of the PPP Act. This includes evaluating suitable PPP options, defining clear output specifications based on the developed reference design, and conducting a thorough analysis to demonstrate and confirm Value for Money (VfM) for the proposed PPP structure. In addition, the advisor will be responsible for preparing and finalizing all key procurement documents required for the project. These include the Request for Qualification (RFQ), Request for Proposal (RFP)—with the option of incorporating a competitive dialogue phase where appropriate—the Invitation to Submit Binding Offers, and the draft Project Agreement along with its annexes, such as technical specifications and other relevant schedules. The TA will also provide support during the commercial close stage by assisting in the finalization and signing of project agreements. Furthermore, the advisor will facilitate the achievement of financial close by supporting the execution of financing agreements and negotiating any required government support measures, including instruments such as Letters of Support. Finally, the advisor will develop a comprehensive contract management framework for the project and deliver capacity-building support to government personnel. This will involve training management and key staff in PPP procurement processes, as well as in effective monitoring and management practices, aligned with international standards. 

The scope of the Transaction Advisory work is structured into three distinct but interconnected phases.

• Phase I focuses on reviewing and updating the existing feasibility study to ensure it meets current requirements. This includes revising aspects such as land acquisition and resettlement strategies where necessary, as well as supporting the process of obtaining all required PPP approvals at this stage of the project.
• Phase II involves the preparation of transaction documentation and the organization of the tender process. It also covers comprehensive support for implementing the transaction, guiding the project through procurement and negotiations until it reaches financial close.
• Phase III centers on project-based learning and capacity building. This phase aims to strengthen the capabilities of the Project Implementation Team, including the Contracting Authorities and the PPP Directorate, through structured knowledge transfer and skills development. Unlike the other phases, this component runs concurrently with Phases I and II to ensure continuous learning throughout the project lifecycle.

The submission deadline for this opportunity is 16th April 2026 at 15:30 hours. Interested parties seeking additional information—particularly regarding the Transaction Advisor’s required skills, experience, and firm qualification criteria—are encouraged to visit the Business Opportunity page by clicking here for further details.