The proposed Ksh200 billion Lamu Coal-Fired Power Plant ran into headwinds following a ruling by the High Court in Nairobi reinstating all automatic stay orders issued for projects challenged at the National Environmental Tribunal (NET).
The ruling effectively restores stop orders issued including that of the proposed 1,050 MW Power Plant.
The case was filed by activist Okiya Omtatah and Katiba Institute.
935 acres in Kwasasi, Lamu West have already been set aside for the controversial project that has attracted local and international protests.
It is owned by Amu Power Company, a consortium of Centum Investments and Gulf Energy.
The potential damage it could cause to the environment has seen residents, experts and activists speak out against the plant.
Those at the forefront of the dubbed 'Decoalonize' campaign opposing the project welcomed the ruling as a ray of hope.
They remained optimistic that the proposed plant would be scrapped in its entirety.
In August, 56 institutional and individual investors with $713 billion (Sh71.3 trillion) in assets under management asked US firm General Electric to withdraw an earlier decision to invest in the plant.
GE was to purchase a Sh40 billion stake in Amu Power as well as manage the plant and provide new steam turbines and boilers.
