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Tuesday, August 8, 2023 –Utility company Kenya Power and Lighting KPLC has responded to claims of inflating customer bills by 20 percent as was reported in sections of the media on Monday.
While denying the claims from the office of the Auditor General on Monday August 7, the utility monopoly company has said it operates strictly within the law and has never overcharged any of their clients.
“Not only nonfactual but also geared towards building a false narrative around the cost of electricity and tarnishing the brand,” its Tuesday statement read, partly.
In several media reports that corroborated each other, on Monday, Auditor General Nancy Gathungu, before the Parliamentary Committee, had indicated that the company has been overcharging clients with extra money not being traced where it ended.
“Almost 20 percent of the bill to consumers cannot be matched to actual consumption neither can the distribution company attribute it to a specific consumer,” Auditor General Nancy Gathungu said as quoted by Business Daily.
But in its Tuesday response, KPLC has said it only operates in a highly regulated environment guided by the Energy Act of 2019.
“Kenya Power operates in a regulated environment that is guided by the Energy Act of 2019. All charges as contained in the electricity bills are approved by the regulator (the Energy and Petroleum Regulatory Authority – EPRA) for all categories of customers,” Kenya Power stated in a statement as seen by this writer on Tuesday August 8.
In the one-page statement, the utility firm further noted that all bills are computed based on customer consumption which, it stated that, its the difference between the current meter reading and the previous reading (as taken during the previous month), in addition to tariffs, levies, and taxes.
“Part of power system losses are inevitable during transmission and distribution of power; therefore, the regulator sets a threshold for the allowable system losses that is factored in the tariff. Kenya Power meets the cost of system losses incurred above what is allowed,” Kenya Power stated.
In the 2023/2024 financial year energy regulator, EPRA, has allowed system losses up to a maximum of 18.5 per cent.
