The government through the Energy Regulatory Commission (ERC) on Wednesday, October 31, 2018, lowered electricity charges for household consumers following a directive from President Uhuru Kenyatta.
ERC boss Pavel Oimeke also announced that the lifeline threshold for domestic consumers had been reviewed from the current 10kWh to 100kWh.
Oimeke stated that the changes were aimed at incorporating more consumers into the less costly tariff, a shift that is likely to affect at least 5.7 million customers.
"The Commission has reviewed the Domestic Customer category by increasing the Lifeline threshold from the current 10kWh to 100kWh and further reducing their charge rate from Ksh 12/kWh to Ksh 10/kWh," announced Oimeke.
Oimeke further noted that; "the Lifeline Tariff is meant to accommodate more households in informal settlements, urban, peri-urban areas and rural areas to cushion them from the increased cost of living."
The changes take effect on November 1, 2018. This means customers will pay Ksh2 less for every kilowatt of power consumed in the period starting in November this year.
This is the second time the commission has made an effort to lower the electricity cost per unit this year.
In the 2015/16 period, Kenyans were paying Ksh17.50 for the first 10 units used, a fee arrived at to accommodate the scrapped standard charges of Ksh150 (150/10+2.5=17.5)
In August this year, the commission dropped the standard charges lowering the cost per domestic consumption unit for the first 10kWh to Ksh12, a decrease by Ksh5.50. Cumulatively, the cost has now gone down by Ksh7.50 since August this year.
Charges for the consumers who fall under the Small Commercial Category (more than 100kWh in a month) shall continue at the current prevailing rate.
However, for the Small Commercial Category of consumers consuming less than 100kWh in a month, the energy charge rate has been reduced from the current Ksh 15.60/kWh to Ksh10.00/kWh.
ERC attributed the lowered charge for the small commercial category customers to a commitment to promoting Small and Medium Enterprises (SMEs) by creating a conducive environment for business.