Heritage

Energy chief: My foundation is built on truth

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Energy Regulatory Commission director-general Joe Ng'ang'a says he listens to investors who walk into his office with all manner of requests. PHOTO | EVANS HABIL |

Every morning, Joe Ng’ang’a, the director-general of the Energy Regulatory Commission (ERC), makes his way to the fitness centre at InterContinental Hotel in Nairobi.

“I have been a member at the club for years. I love exercising in the gym and socialising a bit before I report to work,” he said.

Only on a few occasions – like the day I met him for this interview – does he skip this routine. He says he believes in truth, and exercise helps him keep his sanity.

His daily visit to the fitness centre is a habit he cultivated for years, one that has helped him keep fit at 59 years and also helped him maintain close social contacts, although he considers himself a private person.

For many public officials of his stature, an evening drink is often the preferred way to unwind after a tedious day at work. But Mr Ng’ang’a drives straight home to spend time with his wife.

“I report to work at 7am, attend meetings through the day, either in the office, forums or ministry. I’m always back at my desk at 4pm or 5pm to finish my tasks and I get home by 8pm. That is where I retire all my day's stress,” he said. They are only two in the house after their grown daughter left.

Mr Ng’ang’a attributes his position at the helm of ERC to hard work and opportunity. The son of a driver, he figured it out early in life to work hard.

Good school grades saw the old boy of Menengai High sponsored by Kenya Power and Lighting Company to study mechanical engineering at the University of Nairobi.

“I’m a kid who has benefited from opportunities. It’s because of academic excellence that circumstances open up.”

At the time, KPLC wanted a system change and were attracting local talent.

After graduating, Mr Ng’ang’a first worked at the Ol-Karia generation plant and later moved to Kenya Power for the next 20 years until it was split into three companies each tasked with transmission, generating and distribution.

He landed at KenGen where he worked his way through the ranks to become the deputy chief executive.

He soon felt the need for a career change and looked for a position that would allow him a different perspective of the industry. He applied for the position of director in charge of electricity at the ERC and got the job.

In September last year, upon the exit of the director-general, Mr Ng’ang’a took over the office.

At the ERC, the director-general’s key task is making fuel prices affordable to Kenyans. The agency reviews prices monthly and this week, the commission cut petrol prices by Sh9, meaning many motorists across the country are fuelling for less than Sh100 a litre.

READ: Big fuel price cut set to relieve pressure on household budgets

This is thanks to global crude oil prices plunging to a low of $50.

For the four years Mr Ng’ang’a has served at the institution, Kenyans have been dissatisfied with the regulator. More so because since the commission was set up, fuel prices have never gone as low as anticipated.

The same negativity is what greeted him on Wednesday morning, when he was about to announce new fuel prices.

“The media were sceptical and we could see they were saying ‘don’t expect surprises’. But we kept silent. They never thought the falling oil prices will be felt,” said Mr Ng’ang’a. “We knew there was going to be a surprise and we had the bombshell.”

ERC’s surprise was the Sh9 drop per litre of petrol. That is when attitudes changed.

The 9pm news found Mr Ng’ang’a seated in front of the television. “I wasn’t able to watch all TV stations but I watched one,” he said.

Happy that ERC is making huge leadership strides and is ranked above its peers in the region, he says it is up to Kenyans to judge them, adding that the regulator is transparent and has been truthful in its operations.

“As long as you have done something that is clear and can be audited, you sleep in peace and have no doubts.”

Mr Ng’ang’a says the fuel prices review is a delicate balancing act, touching on the interests of consumers and power producers looking for profits.

“Consumers must understand that there is a cost in getting this power. They must appreciate that and agree to pay.

“So the issue of power being affordable has to be balanced between supply and demand. The benefit of a regulator is to ensure there is a point the two can meet,” he said.

He says his motivation comes from roles and people who live for a cause. Also people who have struggled to earn a place in life regardless of consequences like Nelson Mandela. He would like to see a world where everyone is given a chance and those who leave a mark are rewarded.

Mr Ng’ang’a grew up in a Nakuru village. “I was a typical kid who enjoyed fun and trying several things in the car my father drove,” he said. He believes his career in engineering was as a result of pulling things apart and finding out how they work.

A tough upbringing enables him to take the pressures at the ERC in his stride. Apart from balancing energy prices and trying to keep both consumers and power generators happy, he also has to sit in meetings where all views have to be considered.

Kenyan challenges
Often, he says, groups of investors walk into his office with all manner of requests. Some have come in saying they want to install a 100 megawatt solar generation plant.
“I look at them and wonder if they know what they are talking about. Surprisingly, they all happen to have financiers from the US.

“But as a regulator, I never want to be an obstacle to investors. So I listen and appreciate their dreams. It’s impressive to see someone actually dream big,” he said.

The loss of his parents who died within two months of each other was his lowest point. As the first born, he has had to fill the position of a patriarch in the family and counsel a great number of close relatives.