A Lamu-based environmental group has raised concerns about the plant's effect on marine life, newspaper reports
NAIROBI, Nov 10 (Reuters) - Kenya's energy industry regulator has delayed issuing a licence for a planned 1,000 megawatt (MW) coal-fired power plant due to concerns about its potential environmental impact, a local newspaper reported.
Amu Power Company - backed by a consortium that includes Centum Investments and a group of Chinese companies - was initially expected to start construction of the plant last December.
However, a Lamu-based environmental group - Save Lamu Natural Justice - raised concerns about the effect the plant would have on marine life, the privately-owned Business Daily newspaper said.
The paper quoted Joseph Ng'ang'a, director-general of the Energy Regulatory Commission, saying they would hold hearings with both sides before reaching a decision.
James Mworia, the chief executive of Centum, told Reuters Amu Power had not been informed of the delay in licensing.
The consortium also includes Kenyan firm Gulf Energy and Chinese companies China Huadian Corporation Power Operation Company, Sichuan Electric Power Design and Consulting Company, and Sichuan No. 3 Power Construction Company.
Construction of the plant is estimated to take 30 months once it starts.
It is part of a plan to boost Kenya's installed electricity generating capacity to about 6,700 MW by 2017 from about 2,500 MW currently.
(Reporting by George Obulutsa and Duncan Miriri; Editing by Greg Mahlich)
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