𝐏𝐨𝐰𝐞𝐫 𝐒𝐮𝐫𝐠𝐞:𝐓𝐡𝐞 𝐋𝐨𝐨𝐦𝐢𝐧𝐠 𝐓𝐡𝐫𝐞𝐚𝐭 𝐭𝐨 𝐊𝐞𝐧𝐲𝐚’𝐬 𝐈𝐧𝐝𝐮𝐬𝐭𝐫𝐢𝐚𝐥 𝐂𝐨𝐧𝐬𝐮𝐦𝐞𝐫𝐬!

Electricity prices in Kenya are on the brink of a significant surge, and industrial consumers could be hit hard with a potential 30% increase if county governments decide to enforce wayleave charges, according to a warning from Kenya Power CEO Joseph Siror. This looming threat could spell trouble for the utility, facing a staggering financial burden of Ksh 63.8 billion. The repercussions of such a hike in electricity prices could escalate production costs and erode Kenya’s competitive edge in the regional markets.

Adding fuel to the fire, customer arrears have skyrocketed to Ksh 26.7 billion, with county governments, industries, and SMEs emerging as the primary defaulters. Despite these mounting fiscal pressures, the base tariff has seen a marginal decrease from Ksh 19 to Ksh 18.16 per unit since 2022.

Siror’s cautionary words ring loud and clear – imposing additional levies on energy infrastructure could have dire consequences. It could deter investment in power generation and transmission, ultimately hampering industrial expansion and jeopardizing the country’s economic stability.