Hi everyone!
Today marks the last day of my secondment to Bowmans (Kenya). In this blogpost, I share my experience at Bowmans and our visit to Kipeto Wind Farm. I’d like to start off by thanking the Clifford Chance LLP team for making this secondment possible.
Experience in Bowmans generally
In July 2021, I was seconded to the Bowmans Kenya. Bowmans, also known as Coulson Harney LLP, is one of the largest and best-known corporate law firms in Kenya. The team advises a wide spectrum of clients in the private sector, institutional and multi-national organisations, foreign investors and government institutions. The Advocates in the team practice Kenyan law but they also have foreign law expertise especially in English law banking and finance matters and corporate and commercial transactions.
During my time at the firm, I was placed in the Projects, Energy and Infrastructure Team. However, the best part about my experience at the firm was that I had the opportunity to be involved in different departments and work with experts in their respective fields. I gained so much exposure to M&A transactions, some arbitrations, some finance work and general corporate work. For example, I worked on:
two corporate due diligences;
one energy related due diligence;
I helped draft the articles for a new PLC company we set up;
I drafted debentures, guarantees and security documents;
I assisted in drafting the statement of claim and witness statements for an arbitration matter;
I assisted in the closing procedure for various M&A transactions - this was fun as I had the chance to draft all the board resolutions and closing documents and then go and see the clients so they could sign off on my work; and
I assisted in some research for an upcoming webinar on Commercial and Industrial Projects in the African market.
Overall, I had an amazing time working at the firm. The people are extremely intelligent and friendly. They were really patient with me especially since it was my first time doing some of the tasks they had given me. There is also no hierarchy at Bowmans. I genuinely felt comfortable enough sharing my thoughts with Partners and they would guide me.
One of the best things about working at the firm was that I made some great friends and shared our lunch meals together - it was awesome.
If you’re a law student in Kenya - I would highly recommend applying for some work experience/pupillage at Bowmans.
A huge thank you to the entire team for being so accommodating and welcoming.
Our trip to Kipeto Wind Farm
A special thank you to my Superviser, Aleem Tharani, and my co-workers Matthew Arrumm and Zakir Mohamed for working on this part of the article with me.
On 13 August 2021, the Bowmans Kenya Projects, Energy and Infrastructure Team visited Kipeto Energy PLC (KEP) 100MW wind power project in Kajiado (the Project). KEP is a special purpose vehicle incorporated in Kenya for the development and implementation of the Project. It has a generation capacity of 100MW of clean, renewable electrical energy, and the Project is the second largest wind power project in Kenya. The US government via the Overseas Private Investment Corporation (now the Development Finance Corporation (DFC) provided USD 233 million in senior debt to fund construction alongside approximately USD 88 million of equity from shareholders Actis (88%) and Craftskills Wind Energy International (CWEIL) (12%). The Project has a 20-year Power Purchase Agreement which KEP signed with KPLC in July 2016.
The Project is powered by 60 wind turbines with each turbine 83 meters tall to the nacelle (i.e. the nose of the turbine), with each blade on the turbine 52 meters tall; making the total length of the turbine 135 meters with the blade inclusive.
Our first stop was the substation where we learned that KEP has a 220kV transmission line to evacuate the power from underground cables below the turbines to the substation. We also learnt that around the substation are some conductors with a conducting radius of 1m – which means that if you go anywhere near the 1m radius, you risk the possibility of an unforgiving electrocution!
A key component in grid-tied power projects is feeding the electricity generated from the generation facility into the grid. We learnt that KEP was also responsible for developing and constructing the interconnection facility – a series of electrical transmission lines, wayleaves, transformers and associated equipment from the wind farm to the Kenya Power Lighting Company (KPLC) run sub-station. Once KEP had completed the interconnection facility, the assets are then transferred to KPLC as part of the agreement.
At this substation, we saw a fence that functions as the metering point between KEP and the KPLC, which feeds the electricity generated into the interconnection facility. The metering point is the point at which KEP transfers the electricity (and risk) to KPLC (via the interconnection facility) and KPLC buys the power from KEP. Once the electricity is handed over to KPLC, the electricity is ‘owned’ by KPLC and therefore the associated risks are also transferred – an area of particular interest for lawyers! Each side of the fence also has some metres. These metres on each side must have the same reading to ensure the same amount of electricity being produced by KEP is being received by KPLC.
The substation
We then moved to the control room. Here we witnessed all the technology that is used to control the turbines. The turbines are fully automated and can all be controlled remotely. Every 72 hours, each turbine gives a windspeed forecast to the control room. Every hour, a report is then generated to show if the forecast is met. These forecasts are then sent to KPLC. KEP team receives hourly forecasts about how much electricity will be generated and the KEP team works round the clock to monitor the turbines to ensure such electricity is being produced.
What was particularly fascinating was learning that in addition to operating the wind-farm, KEP also runs impressive environmental and social projects focusing on bird conservation and local community support.
We learnt that a vulture colony exists approximately 14 kilometres from the Project site. Vultures have been re-classified as ‘critically endangered’ by the International Union for the Conservation of Nature (IUCN). At the control room, the team works hand in hand with the bio-diversity department to effect a policy called “shut down on demand”.
The vantage point
As part of it’s Biodiversity Action Plan, KEP works with world-class Ornithologists and Naturalists to ensure that best efforts are taken to ensure that no vultures or eagles are injured in the operation of the wind turbines. 42 staff are employed by the bio-diversity department, and some of them are bird watchers. They stand on various vantage points (as illustrated in the picture) to monitor if a vulture or an endangered eagle is coming within a 1000-meter radius. If they do, the bird watcher will communicate with the control room and the control room will then shut down the particular turbine the vulture is approaching.
KEP also has space which it utilises as a rehabilitation centre for birds. Here, they look after sick or injured vultures and they also work to protect vultures who may be victims to poisoning from the animal carcass’ they may eat. In fact, if a vulture needs serious medical care, the team is authorised to request a pilot to come and fly out the vulture to a rehab centre in Naivasha (about 09 kilometres from the wind farm).
Finally we also got an opportunity to see first hand the community efforts KEP has made. KEP has leased and secured over 60 plots within the Kipeto area for the wind turbine footprint and the transmission line through voluntary participation of landowners. We saw the material the houses in the turbine area footprint were initially built with and we also spoke to a community member who was a farmer. He explained how his family and him were unable to sleep properly because rain water would drip through their house and the carnivores around would attack and kill his livestock. In one night, he lost 13 sheep to a leopard. To help the community, KEP built 83 modern houses for landowners and “bomas” (an enclosure, stockade or fort used to secure and protect people's livestock) to protect the animals. The local community had nothing but words of praise in which the Project had uplifted their livelihoods whilst at the same time respecting their cultures and traditions.
The old houses
The new and improved houses
Hats off to the entire KEP team for constructing and operating a wind power facility with global best practices! Truly a proud moment to witness such great work! The Kipeto Wind Power Project is truly a phenomenal example of large infrastructure projects embodying holistic best practices and fostering sustainable development.
When structuring deals from an office, it is important to contextualize projects within their socio-environmental settings, down to the granular level, as these projects inevitably impact the livelihoods of local populations and their natural ecosystems. This cognizance in perspective is crucial as we seek to foster fair, clean and affordable development.