HomeRegional NewsEast AfricaKenya plans to lower cost of electricity

Kenya plans to lower cost of electricity

Kenya’s government says that the cost of electricity will be cut by 37 and 47 per cent for industrial and domestic users respectively in two and half years. Energy cabinet secretary Davis Chirchir says that once the ongoing 5,000 MW capacity expansion in the country is complete, Kenya Power will afford to give consumers cheaper electricity.

“We want to progressively lower cost of electricity by 37% for industrial customers from the current level to make existing manufacturers competitive on the local and international markets, and secondly to attract new investors with price as the incentive.”

This means that electricity will cost US7c/kWh for industrial users and US10.43c/kWh for domestic users once the geothermal power to be produced is factored into the national grid for distribution.

Kenya has about 5,000 large electricity consumers. Kenya Power CEO Ben Chumo says the electricity distribution firm is working on boosting and stabilising supply to industrial customers because of the role they play in economic growth. “We are determined to ensure that industries remain on power all the time as we will avail to them alternative supply lines,” Chumo says.

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