Kenya Power reported a decline in electricity usage by domestic customers despite an increase in the number of households connected to the grid. The utility attributed the drop to the reclassification of large domestic users into the commercial category and a delayed adoption of power by newly connected households. Over 6.7 million domestic customers consumed 1,117 gigawatt-hours (GWh) between January and December 2018, a decrease from 1,166 GWh in the same period in 2017.
The company identified over 40,000 users initially classified as domestic who were reclassified to the small commercial tariff band, primarily small businesses operating from residential premises. This shift led to a 25% revenue increase in the commercial segment, while domestic revenue declined. Commercial and industrial consumers accounted for 2,197 GWh, double the consumption of domestic users.
Kenya Power noted that new customers connected under the last-mile program showed slower power uptake, citing a typical delay in acquiring appliances like televisions and refrigerators. The utility also linked the decline to economic stagnation in 2018. With 6.76 million total customers, the company expects demand to rise as households realize grid benefits, particularly with a subsidized lifeline tariff for those using under 100 units monthly.
