Kenya Power explains the sudden increase in token prices which comes after the government withdrawal of fuel subsidy.
The increase in the price of purchasing tokens has been attributed to inflation and changes in the nation’s fuel prices.
Kenya Power and Lightning Company (KPLC) stated in a statement dated Friday, September 16.
The Energy and Petroleum Regulatory Authority adjusts token rates on a monthly basis (EPRA).
“The regulator has adjusted the fuel cost and inflation components of the bill, hence the increase in the token price. This is done monthly by EPRA,” their statement read in part.
The increase has seen Kenyans pay more to acquire tokens.
The move comes after Kenya Power started implementing a 21 percent hike in power charges in accordance with the changes gazetted by EPRA.
With the adjustments, the fuel cost charge increased from Ksh4.63 per unit of power to Ksh6.80.
The review by EPRA also saw the foreign exchange adjustment hit Ksh1.37 from 73 cents for the same amount of electricity purchased.
On Wednesday, September 14, EPRA announced new fuel prices with the price of Super Petrol increased by Ksh20 to a record high Ksh179.30 per litre, Diesel increased by Ksh25 to Ksh165, while Kerosene increased by Ksh20 to Ksh147.94 in Nairobi.
However, EPRA Director General Daniel Kiptoo claims that in order to protect Kenyans from the high cost of petroleum and electricity, the government intends to diversify investment into renewable energy.
He emphasized strategies for utilizing geothermal energy to protect Kenyans from inflation pressure.