- Kenya Power to cut tariffs by 33%
- Consumer tariffs hit a high in August
Kenya Power is expected to reduce the cost of consumer tariffs by 33% following the recommendations of the task force inaugurated by President Uhuru Kenyatta to review existing Power Purchase Agreements (PPAs) with Independent Power Producers (IPPs).
Household monthly power bills reached a 38-month high due to an increase in the fuel surcharge levied on power tariffs. Fuel Cost Charge (FCC) for September increased to KSh3.88 from KSh3.77 last month, the highest since July 2018. The move to reduce the tariffs will mean the consumers who pay monthly power bills of KSh500 will be expected to pay KSh330.
“The consequence of the proposed interventions is that a consumer who previously spent Sh500 per month on electricity shall by December 31, 2021 pay Sh330 per month,” a statement from the State House read.
“This cost reduction will be achieved through the reduction of the consumer tariffs from an average of Sh24 per kilowatt-hour to Sh16 per kilowatt-hour, which is about two-thirds of the current tariff,” the statement read.