Kenya Electricity Generating Company (KenGen) has announced plans to start distributing electricity directly to consumers, threatening Kenya Power’s monopoly which has lasted for over 100 years.
According to KenGen Managing Director Rebecca Miano, the electricity generating company is awaiting a framework to be developed through the Energy Act 2019.
“The Energy Act 2019 has provision for us to sell power directly especially to large consumers. What is pending are the regulations of how that would be undertaken and how the infrastructure would be based. We are certain that when the regulations are ready, that possibility will be there,” Ms Miano said.
KenGen is targeting the large scale and industrial consumers of power, who account for over 50 percent of the electricity consumption in Kenya.
Section 140 of the Act compels Kenya Power to “provide non-discriminatory open access to its distribution system for use by any licensee, retailer or eligible consumer”.
The law was enacted in March 2019, but guidelines like the charges Kenya Power will charge to companies using its infrastructure are yet to be decided.
The Ministry of Energy however feels that there will be duplication of roles .
“A new power distributor would require new assets and thus there may be expensive duplication of roles,” Cabinet Secretary Charles Keter.
KenGen which contributes to over 70 percent of electric energy supply to the single off-taker.