No Power Rationing, Price Increase Affirms Kenya Power

Kenya Power has allayed fears on the possibility of electricity rationing and price increase following the ongoing severe drought in the country.

Speaking at a news conference on Thursday, Kenya Power Acting CEO Ken Tarus disclosed that they will not affect any power supply rationing.

“We currently have a reserve of 27.5 percent. Even with the hydrological conditions that we are experiencing at the moment. We do not foresee any possibility of power rationing,” he said.

“There is none who has experienced any power rationing,” he added.

However, they acknowledged that they have had challenges in ensuring the quality of power is supply citing constraints in capacity.

“We are investing heavily in ensuring we mitigate this by increasing the number of substations in the country. We are setting up one of the biggest in Nairobi’s industrial area among the 67 planned for 2017 to ensure quality that gets to customers remain stable.”

Tarus also disclosed that on the adjustment of the tariffs, they are still in talks with the Energy Regulatory Commission (ERC) because they have no control over them.

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Phylis Wakiaga, Kenya Association of Manufacturers CEO further said a reduction in the cost of power will help spur the growth of the manufacturing sector by putting in place a competitive tariff that will ensure the sector competes favourably in a global environment.

Flora Mutahi, the chairperson on the other hand urged for a predictive environment for the sector.

“As manufacturers, we take it as a commitment from Kenya power to the sector.”

“We need a predictive environment. If new laws are coming in, let them be spoken in advance but that is not the case in Kenya. The most important thing that we want to tell the government is we need a predictive environment,” she says, as a way of attracting investors and growing the sector’s contribution to the GDP from 10 percent to 15 percent.

Related: Developing Countries Lead in Embracing Clean Energy Globally

Tarus also disclosed that soon consumers would enjoy cheaper electricity when a joint power project with Ethiopia is completed by June 2019.
According to Tarus, the highly subsidised Ethiopian power-— which costs $6 cents (Sh6.18) per kWh compared to Kenya’s average of $16.7 cents (Sh17) per kWh will also strategically cushion Kenya’s electricity demand.