Forex levy in power bill rises 41 per cent

ERC  director-general Pavel Oimeke. PHOTO | NMG
ERC director-general Pavel Oimeke. PHOTO | NMG 

Foreign exchange surcharge in December electricity bills will increase 41 per cent, further hurting homes and businesses that have since August been plagued by costly power.

The Energy Regulatory Commission (ERC) says the foreign exchange surcharge has increased to Sh1.16 per kilowatt hour (kWh) from November’s Sh0.82, a 41.1 per cent rise.

The ERC said fuel surcharge — which is linked to the amount of power produced by diesel generators and adjusted monthly — would remain unchanged at a three-year high of Sh4.35 per unit.

“We had poor hydrology in previous months that depressed hydropower generation and so thermal power had to come in to compensate for that,” said ERC director-general Pavel Oimeke earlier.

Electricity prices have been rising from September and the latest increase is expected to put pressure on inflation, which in November dropped to 4.73 per cent from 5.72 per cent the previous month, pushed down by a fall in some food items.


Homes consuming 200 kWh paid Sh3,973 last month, up from Sh3, 665 in September while those doing 50 unit were charged Sh649.75 from Sh581 in the period under review.