Outdated KPLC lines to blame for expensive tokens; Treasury
Treasury exposes how outdated KPLC (Kenya Power and Lighting Company) lines are the cause of expensive tokens
Treasury exposes how outdated KPLC (Kenya Power and Lighting Company) lines are the cause of expensive tokens.
The National Treasury revealed how the Kenya Power and Lighting Company’s (KPLC) antiquated machinery forced customers to purchase electricity tokens at higher costs.
Old transmission lines are to blame for high electricity costs, according to the Treasury, under the direction of Cabinet Secretary Njuguna Ndung’u, in the Draft 2023 Budget Policy Statement that was made public on Wednesday, January 18.
In addition to transmission lines, the Treasury noted that outdated distribution lines and transformers were also a factor in the high cost of electricity.
The policy statement also attributed frequent blackouts to KPLC’s aging and faulty equipment.
“While generation capacity and total electricity connections has increased considerably in recent years, electricity in the country remains expensive and unreliable,” the draft policy statement read in part.
“One of the key contributors to both the cost and quality of power is the aging transmission and distribution network,” it added.
Kenya’s top four wealthiest richer than 22 million people combined; Oxfam report
Kenya Power explains why Kenyans are getting fewer, expensive tokens
Kenya Power develops new technology that will enable Kenyans to share tokens
The revelation came amidst widespread blackouts and complaints over equipment that wasn’t up to par.
However, to save consumers from excessive energy bills, President William Ruto’s administration promised to upgrade KPLC’s infrastructure.
Besides revamping the KPLC lines, Ruto announced plans to end Kenya Power’s monopoly by accelerating geothermal resources development; and developing Liquified Natural Gas (LNG) storage facility in Mombasa.
The new power sources will end the country’s over-reliance on KPLC and even shied consumers from expensive power charges.
“This will also contribute to meeting Kenya’s emission reduction commitments,” the policy statement read in part.
To protect KPLC from losses, the government also announced plans to compel the utility firm to publish system and financial reports quarterly.
“The Government will delink development initiatives from Kenya Power and let the company operate on commercial principles. A policy, regulatory and financing framework for off-grid community-owned development projects (mini and micro-grids) will be instituted,” the Kenya Kwanza administration stated.
Also read,
Treasury unveils plan to start spying on your mobile money transactions following Ruto’s directive
Kenya Power explains the sudden increase in token prices
Follow us
