Kenya Power faces probe over failure to connect customers
Kenya Power faces scrutiny for failing to connect electricity to 42,965 Kenyans, despite receiving over Sh4 billion for the service.
The firm, listed on the Nairobi Securities Exchange, recorded a net loss of Sh3.19 billion in the year to June 2023, compared to a net profit of Sh3.26 billion the previous year.
It got Sh3,048,656,972 for power connections to 21,734 Kenyans, as indicated in its books, but these were flagged by the Auditor General’s office as incomplete.
Additionally, another 21,231 Kenyans paid Sh966,901,128 for electricity connections up to 11 years ago, yet they are still awaiting the service.
During a session of the National Assembly Departmental Committee on Energy yesterday, Kenya Power CEO Joseph Siror faced questions regarding these issues raised by the Auditor General in the Annual Reports and Financial Statements for the year ending June 30, 2023.
Committee chair Vincent Kawaya pressed the CEO to explain why customers who had paid for the service had not received it. According to the figures by the Auditor General, these 21,231 Kenyans paid approximately Sh1 billion, with some claims dating back to 11 years ago, and they are yet to get value for money.
“How?” posed Kawaya. Siror cited challenges including prolonged material unavailability, procurement-related litigation, and changes in government policies on connections and subsidies as reasons for the delays.
“Some customers were affected by the change of government policy on connections and withdrawal of connectivity subsidies in 2013, and such customers were translated into the last-mile connectivity program which has also faced delayed ex-chequer disbursement,” he submitted.
“Other reasons for delay in execution are that we are unable to secure wayleaves after customers make payments, leading to the redesign of new routes and the seeking of new wayleaves.
“However, the company has since been able to initiate implementation of the delayed schemes.”