Kenya Power has refuted claims that it has raised users’ electricity bills. Based on a study from the Auditor General following an in-depth examination of the nation’s power generation, transmission, and distribution, the Business Daily newspaper published the first article on the purported overcharge on Monday.
The energy firm has allegedly been excessively charging clients by up to 20% for electricity they have not used. The additional costs cannot be located in its billing system. Kenya Power refuted the accusations and referred to the newspaper article as false and misleading in a statement released on Tuesday.
The organization said that all of its electricity bills are calculated based on client utilization of the variance between the most recent reading on the meter and the measurement from the month before.
In response, Kenya Power stated that some power system losses were permitted in tariffs. The research cited concerns with the underestimate of system losses related to the use of out-of-date study reports, incomplete simulations, and arithmetical errors.
In the current fiscal year, system losses are permitted by the Energy and Petroleum Regulatory Authority (EPRA) to a maximum of 18.5%, according to Kenya Power, which also claimed it will cover any losses that exceed the permitted amount.
According to the research, Kenya Power experienced system losses of 23.98% in 2020–2021, despite a permitted loss of 19%, and system losses of 22.44% in 2021–2022, despite a permitted efficiency loss of 19%.
Additionally, the company refuted claims that just 38 of the 96 generation units that provided it with electricity had backup meters, also known as check meters. It argued that it purchases electricity from 58 different power suppliers and has 100 delivery sites, all of which have been confirmed to contain both main and check meters.
