This archive report was first published on 21 January 2022.
As part of its efforts to reduce the retail cost of electricity, the Kenyan government is reviewing Power Purchase Agreements with Independent Power Producers.
Energy Cabinet Secretary Monica Juma emphasized the need for a robust framework that ensures risks are evenly distributed, leading to better-balanced and more sustainable commercial arrangements.
However, the call for renegotiation of Power Purchase Agreements has faced resistance from some electricity generators.
Despite this, CS Juma remains optimistic about the progress of the review process.
She acknowledged that weak governance, incoherence, and poor service delivery within Autonomous and Semi-Autonomous Government Agencies have contributed to the high cost of electricity, prompting the sector-wide reforms.
Regarding the protection of the country's energy infrastructure, CS Juma reminded the public that access to areas around the electricity transmission network remains restricted.
Kenya Electricity Transmission Company (KETRACO) is set to take over the transmission of electricity from generators to the distribution point, following an assessment report expected to be issued mid-next month.
