May 19, 2020

ERC claims electricity prices in Kenya will fall by 8% in July

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Kenya Power
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Energy Regulatory Commission
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ERC claims electricity prices in Kenya will fall by 8% in July

Kenya’s Energy Regulatory Commission (ERC) has announced, with Kenya Power, that the cost of electricity will fall in July.

Next month, prices are expected to be 8% lower following a multi-agency’s tariff review that aimed to ease charges.

Pavel Oimeke, the Chief Executive Officer of ERC, and Ken Tarus, the Managing Director of Kenya Power, addressed Parliament with the news.

“The tariff review process is scheduled for completion by end of July and the proposed commencement date is July 1. Billing (new) is to be done in August based on the July consumption,” Oimeke informed the Senate Committee on Energy.

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“The commission has made a preliminary review of the application and plans for various stakeholder engagement in the month of June and July before making the final determination.”

ERC has removed the demand charge for both commercial and industrial customers in order to lower prices.

“The area that has been harmonised includes splitting the small commercial category consumers into two based on consumption,” Oimeke continued.

“The changes will ensure that the tariffs are predictable and that consumers are not charged for fixed costs when they are not consuming power.”

“A harmonised tariff will ensure uniform charges on all units as directed by Energy Cabinet Secretary Charles Keter. This is expected to be in place by July,” Dr Tarus added.

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