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Back to the dark ages?

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Posted Wednesday, July 30 2008 at 19:15

In Summary

  • The power company is not the main cause of consumers’ woes.
  • Government has withdrawn subsidies on power production, forcing the generators to load additional charges onto the consumers.

The management of the Kenya Power and Lighting Company has seen it fit to clarify the recent increased electricity costs that have caused disquiet among consumers.

Looking at the breakdown of the costs, it is clear that the power company is not the main cause of consumers’ woes.

Nonetheless, it is receiving most flak because it is the face that consumers relate with.

Whereas the company argues that it has not levied exorbitant charges – just 24 per cent – consumers are questioning the huge sums they have to fork out.

Added to the fuel cost, rural electrification and other charges, the fees have gone up by 55 per cent, but consumers are paying double their usual averages.

The point KPLC is making is valid – that it is not the only player to blame for the high levies. In that case, what is the main cause of increased power tariffs?

One reason is that the Government has withdrawn subsidies on power production, forcing the generators to load additional charges onto the consumers.

It is true the economy has been doing badly and the Government is feeling the pinch.

But should that mean introducing measures that end up hurting Kenyans?

Electricity is an integral element in production and the service sectors. When its costs rise, production expenditures soar, and so do prices.

Energy minister Kiraitu Murungi and his bureaucrats have to address this issue through a well thought-out policy.

Unless the trend is checked, electricity costs will become unmanageable and the country will find itself sinking back into the dark ages.

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