The electricity utility company stated in its 2022 financial notice, which was released on February 28th, that the action was directed at Kenyans who were employed and generating income in dollars and euros.

The business said that the performance of the Kenyan shilling relative to the US dollar and other currencies was the reason behind the new method of charging a small group of clients.

“To lessen the effects of foreign exchange rate fluctuations, which have continued to negatively impact financial performance. We are considering a number of initiatives, one of which is letting some of our customers pay their electricity bills in foreign currencies if they receive their income in those currencies.

The notification stated, in part, that “We are optimistic that our continuing emphasis on the key areas as indicated will enable us to achieve our objectives and create value for our shareholders.”

The Kenyan shilling has declined recently versus the US dollar, claims the Central Bank of Kenya (CBK). It has, however, stabilized in recent weeks.

As of Tuesday, February 28, the CBK’s exchange rate for the shilling versus the dollar was Ksh126, while the rate for the euro was Ksh133.

Nevertheless, the electric company did not specify when the new payment method would start or whether a structure for it was available.

The electric company indicated that given its Ksh1 billion loss from July to December 2022, these were some of the steps that would improve its financial performance.

“Finance costs increased to Ksh7.3 million from Ksh6.7 million due to an increase in unrealized foreign exchange loss resulting from the revaluation of loans denominated in foreign currencies as a result of the shilling’s devaluation against major currencies.

According to Kenya Power, by maintaining an unshakable focus on boosting energy sales, improving system efficiency, and resource-wise management, the company expects to improve its business performance in the second half of the fiscal year.

Due to the dominance of the dollar relative to the shilling, Kenya Power may join a number of real estate developers that are adopting the payment of rent in dollars if the move is successful.

Parts of Nairobi and six other regions would be affected by the power outage, according to a public notification from Kenya Power.

The power loss, according to a statement from Kenya Power, is a result of planned maintenance.

The estates in Nairobi that would be impacted include Eldama Ravine, Eldama Park, Spring Valley, Peponi Gardens, and Peponi Road.

Donyo Sabuk Avenue, Spring Valley Road, Boundary Lane, the French Embassy, and nearby clients are some additional locations in Nairobi.

According to Kenya Power, there will be a power outage in Nairobi from 9:00 am to 5:00 pm.

From 9:00 am to 5:00 pm, Kitengela, Isinya in Kajiado will be without power.

Tarikiville, Dusan Quarry, Sinkeet, Milimani Homes, Kenpipe Sacco, Milimani Academy, Old Namanga Road, Sensei, Orchard, and nearby customers are among the Kitengela neighborhoods that may be impacted, according to Kenya Power.

A power outage will occur in Kisumu’s Jumbo Mattress neighborhood from 9:00 am to 5:00 pm.

Between 9.00 am and 2:00 pm, there will be no power in the Hawinga region of Siaya.

A power outage will occur in Kisumu’s Jumbo Mattress neighborhood from 9:00 am to 5:00 pm.

Between 9.00 am and 2:00 pm, there will be no power in the Hawinga region of Siaya.

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.

The draft policy statement stated, in part, that despite recent significant increases in generation capacity and total electrical connections, electricity in the nation remained expensive and unreliable.

The transmission and distribution network is “one of the major contributors to both the cost and quality of power,” it continued.

The revelation was made at the same time as widespread blackouts and complaints about equipment that wasn’t up to par.

To save consumers from excessive energy bills, President William Ruto’s administration promised to upgrade KPLC’s infrastructure.

In the Draft Budget Policy Statement that was made available for public comment, the Kenya Kwanza administration promised to mobilize the funds required to upgrade the transmission and distribution system.

In addition to updating the KPLC lines, Ruto also disclosed intentions to establish a liquefied natural gas (LNG) storage facility in Mombasa and speed up the development of geothermal resources in order to break Kenya Power’s monopoly.

The new energy sources will remove the nation’s excessive reliance on KPLC and even protect customers from high electricity costs.

The policy announcement stated, in part, that “this will also help Kenya reach its emission reduction commitments.”

The government also disclosed intentions to require KPLC to provide system and financial reports on a quarterly basis in order to shield the utility company from losses.

“Kenya Power will no longer be connected to government development programs, and the business will be allowed to follow commercial norms. Off-grid community-owned development projects (mini and microgrids) will be given a framework for legislation, regulation, and funding “the Kenya Kwanza government declared.