Reports that electricity consumers will pay a fixed charge of Sh37 billion per year through their bills towards the Lamu coal fired plant are worrying.
The most alarming bit is that the amount must be paid irrespective of whether the plant generates power or not.
According to the latest Treasury budget policy statement, $360 million will be paid yearly to the developers at annual fixed capacity payments.
We opine that burdening the electricity consumer with such a huge bill is not only unfair, but unacceptable.
Homes and businesses will pay the massive bill for the 1,050 megawatt plant through their monthly bills to cover the developers’ fixed expenses on the project.
As we have stated here before, our policymakers and technocrats need to always divulge the contents of the deals they enter on behalf of Kenyans.
We aver that the viability of the Lamu coal plant and its burden on the electricity consumers must be assessed and disclosed publicly.
Given that coal is one of the most polluting among the major fossil fuels, does it make sense to embark on such a huge and costly project in the 21st Century?
Have we gleaned lessons from pioneer coal producing countries? The European Union is among global bodies that have expressed their reservations about the project, citing risks to the residents and the pristine local ecosystem.
The country has ignored global organisations that have urged it not to set up the coal plant due to environmental concerns.
Kenya has an abundance of green energy sources that could help meet the country’s energy demands if properly tapped.
Have we fully exhausted these sources of energy? The country should scale up investments in solar, wind, geothermal and hydro sources, which pose no risk to the environment or the inhabitants.
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