Wamuzi News Ke
Kenya’s electricity sector alarmed today as Members of Parliament raised urgent concerns over a massive loss of Sh44 billion attributed to operational inefficiencies at Kenya Power.
Parliamentary Inquiry Exposes Deep Woes.
During a heated session of the Parliamentary Public Investments Committee on Energy and Commercial Affairs, lawmakers detailed how Kenya Power’s network losses, billing irregularities and procurement failures have translated into a staggering financial shortfall.
Officials confirmed that system losses remain above the acceptable threshold, while operational delays and theft continue to drain resources.
System Losses and Unbilled Accounts.
Kenya Power’s technical and commercial losses now exceed 23 % of electricity transmitted — significantly above the regulated ceiling. MPs warned that every extra percentage point of loss adds billions of shillings to the utility’s costs, which ultimately burden consumers or public finances. They also flagged thousands of accounts overdue for billing, and years-old equipment that has yet to be replaced.
Procurement Failures and Debt Pressure.
In his submission to the committee, the CEO admitted that contract mismanagement, delayed payments to power generators and foreign‐currency exposure have worsened Kenya Power’s cash flow crisis.
MPs pointed out that the utility’s liabilities now run into tens of billions of shillings while assets have failed to grow at the same rate — raising questions about the company’s long-term viability.
Consumer Impact and National Implications.
The committee warned that if the current trajectory continues, electricity tariffs will keep rising, service reliability will decline, and Kenya Power may struggle to maintain key infrastructure.
Given that the power supply underpins manufacturing, business operations and household consumption, the losses pose a risk not only to the utility but to Kenya’s overall economy.
Parliamentary Action Called For.
MPs demanded immediate and visible reform: a full forensic audit of Kenya Power’s books, accelerated replacement of aging infrastructure, crackdown on illegal connections, enforced procurement controls, and a clear action plan to bring system losses down below 14 %.
The utility has been given 90 days to present a credible recovery blueprint or face regulatory intervention.
