interesting

wrongturn

Elder Lister
from fb Ephraim njega

DUPLICATION IN KENYA POWER SECTOR AIDING CORRUPTION
When you see Kengen getting contracts to drill geothermal wells in countries like Djibouti and Ethiopia you realise that this is one excellent company. It is a global leader in geothermal exploration and power production.
There is no need to have Geothermal Development Corporation (GDC) as an independent entity yet what it does can be done by Kengen. Kengen was already excellent at geothermal well drilling and power generation before GDC.
When it comes to power transmission and distribution we do not need KETRACCO and Kenya Power as different entities. These two should be merged. Transmission, distribution and reticulation of power are all related functions.
As for Rural Electrification and Renewable Energy Corporation (REREC), this is just another duplication. Why did REREC install the Garissa solar power plant yet power generation is the work of Kengen? Why can't rural electrification be done by Kenya Power? Why was REREC given green energy power production mandate and yet most of the power Kengen produces is green?
The mandate of GDC and KETRACO is time limited. GDC can't continue drilling geothermal wells forever as that depends on demand for power. As for KETRACO, the high voltage transmission lines it does are limited to the extent that only a certain mileage is needed to cover the entire country.
Why can't Kenya Power take over these assets and functions? Wasn't Kenya Power doing this transmission business before KETRACO? What value does KETRACO add?
This duplication is facilitating corruption, causing inefficiencies and increasing costs for power consumers. The proposed reforms in this sector should seek to end this duplication.
 

The.Black.Templar

Elder Lister
Staff member
When it comes to power transmission and distribution we do not need KETRACCO and Kenya Power as different entities. These two should be merged. Transmission, distribution and reticulatio
Hspa i disagree, let kettraco continue ensuring the national grid is well maintained...national blackout zimeisha isha since they took over
 

Mwalimu-G

Elder Lister
I've heard it argued that the shareholders of Kengen and Kenya power were reluctant to be involved in the development of facilitative infrastructure whose cost it will take decades to recover. In an example, the cost of connecting Mandera, Garissa and Wajir to the national grid will take decades to recover due to low customer numbers; yet the region needs affordable power to help raise it from underdevelopment and the Constitution demands inclusivity for all people.
The government therefore thought of creating fully-funded SPVs to do the work.
But during the same period Kenya Power, for example, had serious capacity challenges, including a managent that couldn't tell when they are buying thousands of faulty/substandard transformers from India.
 

Kasaman

Elder Lister
from fb Ephraim njega

DUPLICATION IN KENYA POWER SECTOR AIDING CORRUPTION
When you see Kengen getting contracts to drill geothermal wells in countries like Djibouti and Ethiopia you realise that this is one excellent company. It is a global leader in geothermal exploration and power production.
There is no need to have Geothermal Development Corporation (GDC) as an independent entity yet what it does can be done by Kengen. Kengen was already excellent at geothermal well drilling and power generation before GDC.
When it comes to power transmission and distribution we do not need KETRACCO and Kenya Power as different entities. These two should be merged. Transmission, distribution and reticulation of power are all related functions.
As for Rural Electrification and Renewable Energy Corporation (REREC), this is just another duplication. Why did REREC install the Garissa solar power plant yet power generation is the work of Kengen? Why can't rural electrification be done by Kenya Power? Why was REREC given green energy power production mandate and yet most of the power Kengen produces is green?
The mandate of GDC and KETRACO is time limited. GDC can't continue drilling geothermal wells forever as that depends on demand for power. As for KETRACO, the high voltage transmission lines it does are limited to the extent that only a certain mileage is needed to cover the entire country.
Why can't Kenya Power take over these assets and functions? Wasn't Kenya Power doing this transmission business before KETRACO? What value does KETRACO add?
This duplication is facilitating corruption, causing inefficiencies and increasing costs for power consumers. The proposed reforms in this sector should seek to end this duplication.
Mlipangwa na M01 !
Zamani kulikuwa na hesabu ya sets , sunsets, did you ever encounter such rubbish ?
 

shocks

Elder Lister
from fb Ephraim njega

DUPLICATION IN KENYA POWER SECTOR AIDING CORRUPTION
When you see Kengen getting contracts to drill geothermal wells in countries like Djibouti and Ethiopia you realise that this is one excellent company. It is a global leader in geothermal exploration and power production.
There is no need to have Geothermal Development Corporation (GDC) as an independent entity yet what it does can be done by Kengen. Kengen was already excellent at geothermal well drilling and power generation before GDC.
When it comes to power transmission and distribution we do not need KETRACCO and Kenya Power as different entities. These two should be merged. Transmission, distribution and reticulation of power are all related functions.
As for Rural Electrification and Renewable Energy Corporation (REREC), this is just another duplication. Why did REREC install the Garissa solar power plant yet power generation is the work of Kengen? Why can't rural electrification be done by Kenya Power? Why was REREC given green energy power production mandate and yet most of the power Kengen produces is green?
The mandate of GDC and KETRACO is time limited. GDC can't continue drilling geothermal wells forever as that depends on demand for power. As for KETRACO, the high voltage transmission lines it does are limited to the extent that only a certain mileage is needed to cover the entire country.
Why can't Kenya Power take over these assets and functions? Wasn't Kenya Power doing this transmission business before KETRACO? What value does KETRACO add?
This duplication is facilitating corruption, causing inefficiencies and increasing costs for power consumers. The proposed reforms in this sector should seek to end this duplication.
While I agree a lot of parastatals are blotted, this does not mean they serve no purpose. @Mwalimu ame handle ketraco.
The case for GDC was simple, a single geothermal well can cost anywhere from 200 to 300 mil, and there is no assurance that you will strike steam, so private sector players just kept off, very few people have a few loose billions to play the geothermal exploration roulette, this is including kengen. So government formed a fully owned parastatal that would take that risk, if they strike steam, they sell the steam, wakihata, government has their back. In ethiopia kengen is just a drilling contractor, no risk in that, utalipwa whether you strike steam or not, whoever contracted them bears that risk. So si ati kengen hawajui mambo na drilling, infact ni department ya kengen ya geothermal that went to form GDC, its the risks that kengen couldn't afford.
While we have many reasons to loose faith and be jaded with our government, there is a lot of good happening.
 

Luther12

Elder Lister
When it comes to power transmission and distribution we do not need KETRACCO and Kenya Power as different entities. These two should be merged. Transmission, distribution and reticulation of power are all related functions.

If I recall correctly, this separation was a precondition for one of those WB/ IMF loans that we signed up for back in the day.
Deregulation of the power/ energy sector, they called it.
 

Luther12

Elder Lister
including a managent that couldn't tell when they are buying thousands of faulty/substandard transformers from India.

A great number of these were procured by REA.


I've heard it argued that the shareholders of Kengen and Kenya power were reluctant to be involved in the development of facilitative infrastructure whose cost it will take decades to recover. In an example, the cost of connecting Mandera, Garissa and Wajir to the national grid will take decades to recover due to low customer numbers; yet the region needs affordable power to help raise it from underdevelopment…

There’s a part of me that feels that KPLC should not be a private company, and should never have been.
 

Luther12

Elder Lister
While I agree a lot of parastatals are blotted, this does not mean they serve no purpose. @Mwalimu ame handle ketraco.
The case for GDC was simple, a single geothermal well can cost anywhere from 200 to 300 mil, and there is no assurance that you will strike steam, so private sector players just kept off, very few people have a few loose billions to play the geothermal exploration roulette, this is including kengen. So government formed a fully owned parastatal that would take that risk, if they strike steam, they sell the steam, wakihata, government has their back. In ethiopia kengen is just a drilling contractor, no risk in that, utalipwa whether you strike steam or not, whoever contracted them bears that risk. So si ati kengen hawajui mambo na drilling, infact ni department ya kengen ya geothermal that went to form GDC, its the risks that kengen couldn't afford.
While we have many reasons to loose faith and be jaded with our government, there is a lot of good happening.

So, in short, rather than bankrolling KenGen, an existing entity, we thought it wise to form a totally new one that the existing one had the skills to handle?
 

shocks

Elder Lister
So, in short, rather than bankrolling KenGen, an existing entity, we thought it wise to form a totally new one that the existing one had the skills to handle?
A new entity was required coz you are taking loans to drill, pata potea, hapa mtu asikudanganye ati wameiva prospecting. We had to insulate our biggest and cheapest power generator and its assets from the loan sharks incase things went south.
 
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