The Energy Petroleum and Regulatory Authority (EPRA) on Thursday, November 5, denied approving Kenya power’s application to raise power prices.
This follows media reports which indicated that the energy regulator had given the green light for the hike of electricity tariffs by 20 per cent.
“EPRA informs the public that the tariff application by Kenya Power is still under the authority’s review and no approvals have been granted.”
“Once the internal review on the tariff application has been completed, the authority will embark on stakeholder engagements and public hearings on the application before the final approval is granted.” EPRA Director General Pavel Oimeke said in a statement.
It was earlier reported that EPRA had approved a proposed 20 per cent tariff hike by Kenya Power.
A source at EPRA told Business Daily that the regulator agreed to increase the tariff after reviewing an application for the tariff hike by Kenya Power in 2019.
“We have examined and approved the application by Kenya Power which will now be published for stakeholder consultations,” a source at the EPRA told Business Daily.
The source however said that the tariff hike would have to be subjected to public participation first before being implemented.
In the new tariff, Kenya Power wants to raise the unit price for usage of less than 100 Kilowatts from Ksh10 to Ksh12.50 while the usage of more than 100 units, the cost per unit will rise from Ksh15.80 to Ksh19.53.
Kenya Power argued that with the expiry of the temporary tariffs, they are justified to increase the power price.
In 2018, EPRA introduced temporary tariffs that saw power prices go down after a directive from President Uhuru Kenyatta who was reacting to widespread complaints from consumers over newly introduced tariffs that had seen their monthly bills double.
EPRA had delayed the approval of the new tariff due to Covid-19 pandemic, which made KPLC to write a protest letter over the move.