You guys are so naive I would have to call
@Field Marshal to educate you.
IPPs are paid, not on the power produced, but on capacity installed. This becomes necessary to ensure peak demand is met in the event of an outage from mainstream producers, and two, investors get a worthy return on their investment. So Kengen has the highest capacity. It also has the highest production. Hence the low cost per unit.
On the other hand, diesel generators have the lowest production, despite a high (not as much as Kengen) capacity, hence their cost per unit is extremely high. It isn't a bad thing.
Think of it this way. You are connected to Kenya Powerless and you buy electricity at 25/ per unit. Over the month, you use 20 units thus you pay 500.
However, within the month, there was one day of blackout. Fortunately, you have a generator. You fueled it for 200 and you put it on. It served you overnight and you consumed one unit. You factored it's depreciation at 300.
Now, your analysis will show that you bought units from Kenya Power at 25bob and at 500 bob from your generator.
Will you throw away your generator?
The guy in mandera runs the same generator the whole day and extracts the 10 units the generator is able to produce. For 500bob still. So his cost per unit is 50.
That explains why IPPs in areas well served have been paid a higher cost per unit compared to those in remote areas.