Kenya Power Managing Director and CEO, Joseph Siror, speaking during an engagement with the Kenya Editors Guild on March 4, 2025.The cost of electricity has been steadily declining over the last twelve months, Kenya Power has reported.
The move is as a result of the Kenya Shilling making gains against the US Dollar.
Kenya Power's Managing Director and CEO, Joseph Siror, said the strengthening of the shilling has resulted in lower pass-through costs to customers.
This includes forex and fuel costs, which are heavily dependent on the prevailing dollar exchange rate.
"This has added to the gains from the decline in the base energy cost following a review of the electricity tariff in April 2023, which put in place a three-year tariff that provides for a lower cost per unit, starting in July of each of the three years,” the MD said.
According to Siror, the base tariff has declined from Sh19.04 per unit in 2023 to the current Sh17.94.
Siror spoke on Tuesday during an engagement meeting with the Kenya Editors Guild.
The Kenya Power MD said the company is, however, concerned that the push for the inclusion of way leave charges on power infrastructure will reverse the trend.
The move will push the cost of electricity by up to 30 per cent, which customers could bear as a pass-through charge.
"Kenya Power has over 319,000 kilometres of power lines across all 47 counties. The introduction of way leaves on power lines will impact retail tariffs. Under the proposal to charge way leaves on electricity infrastructure for Sh200 per meter, this translates into Sh63.8 billion per year,” Siror added.
This is approximately 30 per cent of the energy sector's revenue requirements, which must be recovered from the monthly electricity bills.
According to the Kenya Power MD, the overall impact is that electricity will become unaffordable to a majority of Kenyans.
Siror further said that Section 223 of the Energy Act 2019 prohibits any public entity from charging levies on public energy infrastructure without regulatory approval.
