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Kenya Power Overhaul: Government Takes Swift Action

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Nyakundi Report

Newsroom 2 min read

This archive report was first published on 3 October 2021.

Kenya Power and Lighting Company (KPLC) is set to undergo a major overhaul, aimed at reducing the cost of power and taming the growing losses at the parastatal. The move comes after President Uhuru Kenyatta issued directives last week to cushion Kenyans and other industrialists from high power bills.

Interior and Coordination of National Government Cabinet Secretary, Fred Matiang'i, announced that the ministries will implement the President's directives with speed. Speaking during a fund raiser for the SDA Nairobi-Kajiado church headquarters in Kajiado, Matiang'i stated that the overhaul at the power agency will take off immediately.

According to Matiang'i, the government will launch an aggressive program to address the challenges in the energy sector. He added that the high cost of power was affecting the country's competitiveness in attracting local and foreign investments and also frustrating businesses' profitability.

As part of the overhaul, the government will implement the proposed reforms by a taskforce appointed by President Uhuru Kenyatta. The taskforce, led by John Ngumi, recommended an overhaul of the electricity supply company which would be supervised by Matiang'i.

The taskforce also recommended a review of the Power Purchase Agreements (PPAs) between KPLC and private firms. The review is aimed at addressing contracts that unfairly benefited independent power producers at the expense of KPLC and consumers.

CS Joe Mucheru used the opportunity to call for the youth to register in large numbers during the countrywide voter registration drive.

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