Kenyans fail to get electricity cost cuts after Uhuru promise fails again

Meria

Elder Lister
Kenyans are yet to get a fifteen percent electricity power cost as had been promised by President Uhuru Kenyatta during the Jamhuri Day celebrations in December 2021. This is after the energy sector regulator failed to sanction expected changes in tariffs. According to a report that appeared in a local daily, the Energy and Petroleum…
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UHURU AMEFANYA KAZI
 
Epra director-general Daniel Kiptoo told the Business Daily that he will be in a position to “discuss” why the regulator had not implemented the reduced tariffs in December once he returns from Christmas break today (January 3).

A source at Epra said gazetting reduced tariffs was “a process still in pipeline”, pointing to difficulties in implementing the presidential pledge of a drop in tariffs upon the advice from a task force Mr Kenyatta appointed to help lower power costs.


The rise in cost of electricity bills is largely due to variable costs such as 16 percent value added tax, fuel cost charge that reflects compensation for expensive diesel plants, foreign exchange charge and five percent REP levy for rural electrification.

President Uhuru Kenyatta had promised in August to cut consumer electricity tariffs by 33 percent ahead of Christmas in a plan that hinged on a review of power purchase agreements (PPAs) signed over the years.

But the IPPs opposed the reduction, arguing that Kenya has no unilateral right to alter the contracted capacity and payments, saying instead that the State has a duty to protect PPAs inked over a period of 20 years.


I thought before signing any contract, there must be obligations from either side and also exit clauses, and also arbitration process also that favours both sides, lawyers from both sides together with procurement team usually goes through every line of terms and conditions . Hi ya Kenya power nikama it was rushed through deliberately, after all ni pesa ya raia, nobody cares

But if government was serious to reduce it can happen, things like VAT,REP levy can be reduced via legislation, they keep shouting they've the numbers but no one has the balls to use those numbers to sort raia.
 
Epra director-general Daniel Kiptoo told the Business Daily that he will be in a position to “discuss” why the regulator had not implemented the reduced tariffs in December once he returns from Christmas break today (January 3).

A source at Epra said gazetting reduced tariffs was “a process still in pipeline”, pointing to difficulties in implementing the presidential pledge of a drop in tariffs upon the advice from a task force Mr Kenyatta appointed to help lower power costs.


The rise in cost of electricity bills is largely due to variable costs such as 16 percent value added tax, fuel cost charge that reflects compensation for expensive diesel plants, foreign exchange charge and five percent REP levy for rural electrification.

President Uhuru Kenyatta had promised in August to cut consumer electricity tariffs by 33 percent ahead of Christmas in a plan that hinged on a review of power purchase agreements (PPAs) signed over the years.

But the IPPs opposed the reduction, arguing that Kenya has no unilateral right to alter the contracted capacity and payments, saying instead that the State has a duty to protect PPAs inked over a period of 20 years.


I thought before signing any contract, there must be obligations from either side and also exit clauses, and also arbitration process also that favours both sides, lawyers from both sides together with procurement team usually goes through every line of terms and conditions . Hi ya Kenya power nikama it was rushed through deliberately, after all ni pesa ya raia, nobody cares

But if government was serious to reduce it can happen, things like VAT,REP levy can be reduced via legislation, they keep shouting they've the numbers but no one has the balls to use those numbers to sort raia.
You guys swallow hook, bait and sinker.
PPAs aren't the real cause of high cost of power. Their contribution is a palty 3 bob.

In the last tabled data, lowest cost of power from producers was 5.5 bob- from Kengen. Highest cost was 200+, from PPAs. Weighted average was 8.5 bob.

How this moves to 25+ bob per unit is where the kizungumkuti kiko, and in layman's terms, kplc inefficiency.
 
I'm looking for a solar solution. Sometimes I'm confused whether to turn off the fridge or take cold showers 😁🤔
Schneider Homaya 1500va at 16k
200ah X 2 Ritar batteries at 26k each
3 X 370watts panels at 14 k each
Miscellaneous (cables , breakers ,YouTube bundles)
1 day DIY
= Sweet results


FYI ,confirm prices with the like of Metsec and or Chloride Exide
 
Schneider Homaya 1500va at 16k
200ah X 2 Ritar batteries at 26k each
3 X 370watts panels at 14 k each
Miscellaneous (cables , breakers ,YouTube bundles)
1 day DIY
= Sweet results


FYI ,confirm prices with the like of Metsec and or Chloride Exide
A nice 4 kWH system. It will save you 4 units daily, ie around 100 bob.
But I think panels too much. Two will do.
Donge?
 
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