Electricity bills hit record high during December

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A Kenya Power technician. FILE PHOTO | NMG

Domestic electricity bills hit a record high of Sh26.29 per kilowatt-hour in December as the power prices jumped 6.3 per cent compared to the previous month.

The cost of domestic power rose on increased variable charges including fuel cost charge (FCC) and foreign exchange fluctuation adjustment (FERFA).

An analysis of power bills by the Business Daily shows those consuming 50 kilowatts per hour (kWh) are paying Sh1,314.4, up from Sh1,237.2 in November.

Households with a consumption of 100 kWh are paying Sh2,628.8 from Sh2,474.3 last month.

Consumers will part with Sh3,943.2 this month from Sh3,711.6 last month for 150kWh consumption.

Other consumers will cough up to Sh5,257.7 from Sh4,948.7 for 200kWh.

Consumers are paying more for electricity this month after the Energy and Petroleum Regulatory Authority (Epra) increased the FCC and FERFA marginally.

The fuel cost charge increased by 11.95 per cent from Sh6.36 per kWh to Sh7.12 per kWh and the foreign exchange effect rose to Sh2.01 per kWh from Sh1.41 in the period under review.

A rise in the fuel surcharge increases the cost of power by reducing the number of units bought.

This is one of the first highest jumps in FCC recorded in the last five years.

The cost was highest in October 2022, standing at Sh7.09 per kWh before a drop last month to Sh6.36.

The former administration had promised a 30 per cent cut on electricity tariffs, with a reduction of 15 per cent implemented in January to cushion consumers against harsh economic headwinds.

The tariff cut was reversed in September, sending power bills to the roof in the two subsequent months compounded by a rise in variable charges.

Charges are determined based on the prescribed feed-in tariff by the government or through open and transparent procurement.

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