ERC Scraps Fixed Electricity Charges

The government has heeded public outcry over stretched electricity bills for household users introducing a new billing system.

On Monday, the Energy Regulatory Commission announced having introduced changes to the billing systems, a move that will lower the amount domestic power users spend on electricity.

ERC, in a statement, stated that the changes are intended to have all Kenyans charged fairly given their distinctive consumption trends.

"To ensure that there is equity and consumers pay for power only when they consume, all fixed charges for all consumer categories have been removed. This is meant to reduce the many cost items in the customer bills and simplify understanding of the bills," stated the commission.

Currently, homes pay at least Ksh150 every month as a fixed charge on electricity whether using or disconnected.

In many incidences, domestic power consumers have had to pay their bills in advance upwards to more than a year just to ensure that they do not keep paying the additional Sh150 each time when purchasing power tokens.

In one of the hacks, tenants have a unique way of moving from one estate to the other, leaving landlords with the task of clearing their trail of accumulated fixed charges owed to Kenya Power.

To be part of the reprieve, ERC has advised commercial consumers to make reviews on their power consumption subscription so as to fit categories deemed appropriate for their use.

"For large Commercial consumers & Industrial consumers, the Government will be encouraging them to expand consumption by deepening the Time of Use Tariff application in the Tariff Control Period," stated the Commission.

ERC Director General Pavel Oimeke noted that "as a way of protecting the consumers, the Commission has continuously strived to put in place appropriate measures and regulations that ensure affordable electricity and adequate supply of quality energy to all."

Oimeke asked KPLC to review the customer charter and submit it to the Commission for approval within the first quarter of the 2018/19 financial year.

The Commission held that the changes made to the tariffs take effect immediately.

Given the changes, the retail tariff for domestic consumers has gone down by 36 percent while the overall unit cost of power reduces from Sh17.77/KWh in the 2017/18 to Sh16.64/Kwh for the period 2018/19.

[caption caption="The ERC Director General Eng. Pavel Oimeke "][/caption]

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