The Kenya Private Sector Alliance (KEPSA) is backing the current Board of Directors of Kenya Power led by Chairperson Vivienne Yeda to lift the utility firm from its financial woes.
According To KEPSA, mismanagment of the power distributed is to blame for the current predicament which has been ongoing at the institution for years leading to a 70% rise in the cost of power.
The lobby group says the costly power has also had severe impacts on the cost of doing business and country’s international competitiveness while at the same time, placed a heavy burden on ordinary Kenyans’ cost of living.
“The grim reality we must confront and accept is that Kenya Power is in deep financial trouble, trouble that has been building up over several years, and trouble which is caused by a variety of factors which can be summarised as mismanagement and poor governance.” said KEPSA in a statement.
In order to cut losses Kenya Power targets to undertake debt restructuring programme to free up finances for other essential capital investments and operational efficiencies, reduce energy system losses through technology, enhance customer experience and improve employees welfare.
“We laud the Board for this clarity of vision, and for having the courage to embrace this bold action plan. The Board can rely on our support. In turn, we look forward to tangible improvements in the company’s fortunes, sooner rather than later. Because Kenyans and the Kenyan economy cannot afford to carry indefinitely Kenya Power’s inefficiencies and mismanagement.”
Kenya Power recorded a loss after tax amounting to Kshs. 939.5 million for the period ended June 30th 2020.