electricity tariffs
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Since the beginning of July, the Energy Regulatory Commission (ERC) has been conducting public hearings with regards to the final electricity tariff review whereby power consumers have been encouraged to give their comments.

The new billing structure is expected to come into effect next month and promises low power tariffs for customers.

However, according to Standard Media, power consumers have expressed doubt on whether the power prices will come down by beginning August.

ERC said the review was based on the need to make power affordable to consumers as well as enable the utility firms to remain sustainable.

On the other hand, manufacturers are of a different view with the new tariff stating that it would push up the cost of electricity.

“The promise was that energy costs would go down. That is what we expect from the tariff review. But from what we have seen so far, the base tariff has been raised,” said Sylvester Makaka from the Kenya Association of Manufacturers at a public consultation forum in Nairobi.

Makaka continued: “Our worry is what is going to happen to the variables like the fuel cost and foreign exchange adjustment. We think that it should be capped at some level to control the volatility.

“In as much as there is need to ensure that the power utilities remain viable, we also want industry to remain healthy and competitive. The country also needs to have affordable tariffs to continue attracting investments.”