COST OF ELECTRICITY TO DROP BY 15% BEFORE CHRISTMAS

Post by : Frank

Speaking during Jamhuri day celebrations on Sunday, President Uhuru Kenyatta has announced that the cost of electricity will reduce by at least 15 percent before Christmas.  Kenyatta said the reduction in the cost of electricity by Kenya Power will be implemented in two tranches of 15 per cent each. The first 15 per cent, which will be achieved through initial actions focusing on system and commercial losses, will be reflected in the December bills. He said that a further 15 per cent reduction will be implemented in the first quarter of 2022.

“I am pleased to note that the pathway to reduce the cost of electricity by over 30 per cent is on course,”

Kenyatta said he was determined to honor the promise to the nation and in response to the concerns over the high cost of electricity raised by both individual consumers and enterprises.

“In realizing the second tranche of the reduction in power bills, the Ministry of Energy has initiated engagements with Independent Power Producers aimed at renegotiation of power purchase agreements; so as to give better value for money for consumers,”

In September, Kenyatta had  given the Kenya Power Company four months to review all power purchase deals with independent producers to pave the way for a reduction in the cost of electricity by 30 per cent. The president made the promise when he received the report of the Presidential taskforce on Power Purchase Agreements which he established in March 2021 after it emerged that Kenya Power had signed contracts committing it to take more electricity than it can sell.

In his address during Mashujaa Day celebrations in Kirinyaga County, the President directed the Ministry of Energy to speed up the implementation of the recommendations of the and ordered the cost was reduced by December 25, 2021. The Head of state urged the power producers to demonstrate goodwill as the government moves to make the energy sector a greater catalyst of national development.

Edited by: Chepkosgei Jedidah

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