Relief as Power Bills Drop

Undated image of a customer keying in tokens in a prepaid electric meter.
A photo of a customer keying in tokens in a prepaid electric meter.
Kenyans.co.ke

Kenyans will enjoy reduced electricity prices in November, this is according to the Energy and Petroleum Regulatory Authority (EPRA).

According to a Gazette Notice, the relief comes after the foreign exchange rate fluctuation adjustment (FERFA) was lowered to 73.42 cents per kilowatt-hour(kWh) unit, from Ksh1.03 in October.

EPRA Director General, Daniel Kiptoo, stated that the reduction in FERFA charges cut out the effect of an increase in the Fuel Cost Charge (FCC) for November power bills to Ksh4.21 per kWh.

This was the highest price since July 2018 when it hit Ksh4.60 due to rising fuel prices. EPRA increased the FCC by 24 cents from Ksh3.97 in October which marked the straight fourth month of increases due to higher diesel costs.

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Kenya Power engineers carry out repairs at a power sub-station in Mombasa County in 2018
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The increased demand pushed up the prices of global crude oil but the increase in FCC has been fully offset by the fall in the FERFA, which in turn will see electricity consumers enjoy slightly lower power bills in November compared to last month.

“Pursuant to Clause 2 of Part III of the schedule of tariffs 2018, notice is given that all prices for electrical energy specified in Part II of the said schedule will be liable to a foreign exchange fluctuation adjustment of plus 73.42 cents per kWh for all meter readings taken in November 2021,” the notice read in part.

Kenyans were a worried lot last month after EPRA in a Gazette Notice announced that it had increased the fuel cost charged per unit even as the shilling continues to deteriorate against the dollar.

The new charges stood at Ksh3.97 per unit from the Ksh3.88 the authority charged for electricity consumption in September.

The notice also indicated foreign exchange adjustment levy had been increased by Ksh1.04 from 76 cents charged last month.

As per the notice, the price of electricity in Kenya for the month of October was to exceed Ksh25 per unit.

This charge per Kilowatt-hour was the highest in the country since 2018, despite active efforts to have the exorbitant charges reduced.

The spike is ironic at this time considering that petrol and diesel prices for the month of October decreased by Ksh5 each.

Fuel prices hit a historic high in September with a litre of petrol selling at Ksh134.72 in Nairobi while diesel and kerosene reached Ksh115.5 and Ksh110.82 respectively for the same quantity, piling pressure on the cost of living. 

An image of a fuel pump at a Nairobi petrol station on July 14, 2021.
An Image of a Fuel pump at a Nairobi Petrol Station on July 14, 2021.
Photo
EPRA