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How Does Kenya Power’s Prepaid and Token Billing System Work?

BY Soko Directory Team · March 15, 2018 12:03 pm

Over the past one month, consumers of electricity across the country have consistently raised concerns over the prepaid metering system by Kenya Power.

Many were infuriated by several issues including delayed codes with others citing that the tokens are running out too fast. The disgruntled Kenyans claim that they are being cheated. They took to social media to share their frustrations.

Others believed that the token system has changed. However, most people are still not fully conversant of the prepaid billing system.

The pre-paid metering was first rolled out in mid-2011 to allow users to use units for what they have paid for. This was to address issues like consumers having no control over their consumption, unpleasant disconnection, high reconnection fees, and corruption among others.

The number of prepaid customers for Kenya Power has increased over the years. By March 2017, the number of prepaid customers was 3.5 million. With increased accessibility to power all over the country, the number has, without a doubt, increased.

Kenya power has a total of 12 vendors who were competitively procured. In a month, the total number of transactions undertaken by all the vendors are 5.2 million, with each transaction costing 22 shillings. The company’s PayBill number 888880 accounts for 3.4 million of these transactions.

Buying the tokens is done through the mobile phone through the various service providers, as such, they incur the normal charges for the transaction.

Many consumers often ask how possible it is that one can buy different units with the same amount of money at different dates. There is a misconception that buying tokens at the end of the month earns you many units.

Kenya power has a monthly standing fee of 150 shillings. During the first purchase of the month, when a consumer buys token, he or she gets 2 units or less. The reason being the fixed monthly rate and the transaction fee. But if the tokens are bought for the second time in the same month, the customer gets 12 units for the same amount.

If tokens that last for more than a month, say two months, are bought, the monthly rates will be levied for the two months. This explains why the buyer will receive significantly fewer units.

In the billing scale, the first 50 units are charged at the lowest rate. Between 51 and 1500 units, the price is six times more expensive. Commercial consumers who buy 1500 plus units pay even more.

Understanding the appliances used also explains why the tokens run out fast. It is important that a consumer checks the rating of the electronics such as light bulbs, electric kettle, and air conditioning among others to ensure that tokens are consistent.

Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system.Find us on Facebook: facebook.com/SokoDirectory and on Twitter: twitter.com/SokoDirectory

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