Kenya and French Development Agency-AFD will finance the project, which is expected to boost reliability of power in Nairobi, reported kbc.co.ke.
Under the project, new 220kV substations will be constructed in Athi River, Isinya, Koma Rock, Ngong, Suswa, and expansion works in the existing Dandora substation.
In addition, the Nairobi Ring project would offer a future evacuation outlet for the 280MW Olkaria Geothermal Power Plant being constructed in the nation.
The latest project will also allow for power from Ethiopia and Lake Turkana Wind Project to reach the capital city, which consumes about 50% of power generated in Kenya.
KETRACO MD Joel Kiilu said the project is being done under the N-1 contingency plan, which refers to the ability of maintaining power supply in case of failure on one of the circuits in the ring.
The project, which would be undertaken at a time when Nairobi witnesses frequent power outages, is expected to be completed in 18 months.
