Consumers should expect a Ksh 0.02685 per kilowatt-hour reduction in their electricity bills from this month following a new directive by the energy ministry.
Energy and Petroleum Cabinet Secretary Opiyo Wandayi said following a consultative meeting with the Kenya Association of Manufacturers (KAM) the government has also suspended the proposed electricity tariff review by Kenya Power in what is expected to cushion consumers from high energy costs.
“This reduction is driven by a significant drop in the Forex Adjustment component, a decrease in the Fuel
Energy Cost (FEC) and increased hydropower generation. This reflects our commitment to ensuring that gains within the sector are shared directly with Kenyans,” said Wandayi.
The suspension of the tariff review proposed by Kenya Power means domestic and industrial consumers will be shielded from further increases in power bill which have not been reviewed since the tariffs were published in April 2023.
“Our priority as Government is to ensure the long-term sustainability of operations across the energy sector. We are keenly aware that the cost of doing business has a direct impact on competitiveness, investment and livelihoods. We
remain committed to maintaining a stable and predictable environment that supports positive cash flow for industry players, safeguards jobs and preserves confidence in the market,” he added.
Official data indicate that household consumers paid an average of Ksh 1,258.57 for a 50kWh of electricity in May this year while enterprises paid an average of Ksh 5,535.22 per 200kWh of electricity.
Wandayi said the decisions are expected to sustain economic activity, protect jobs and create conditions to enable business growth amid rising global fuel prices.
Additionally, he backed initiatives such as the Time-of-Use tariff incentive to help industries expand production especially during off-peak hours using lower electricity costs.
