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KPLC buy or leave
guru267
#21 Posted : Saturday, July 17, 2010 12:27:35 AM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
@pkoli eskom and KPLC cannot be compared since eskom is both the sole producer and distributer of power which comes along with its own problems....
Mark 12:29
Deuteronomy 4:16
VituVingiSana
#22 Posted : Saturday, July 17, 2010 8:50:27 AM
Rank: Chief


Joined: 1/3/2007
Posts: 18,137
Location: Nairobi
@pkoli - Even KPLC has problems but being semi-private means we are there as shareholders to watch over them as best as we can... Not perfect though but better than ZERO...

I prefer a PRIVATE firm with some level of 'competition' which wis what KETRACO will bring...

KenGen is one of many providers/generators/producers but it is the main/dominant one...
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
2012
#23 Posted : Tuesday, July 20, 2010 12:14:33 PM
Rank: Elder


Joined: 12/9/2009
Posts: 6,592
Location: Nairobi
VituVingiSana wrote:
I prefer a PRIVATE firm with some level of 'competition' which wis what KETRACO will bring...


I did not think KETRACO are in competition with KPLC as I thought they just dealt with high voltage which is supplied to KPLC to distribute to the national grid?

BBI will solve it
:)
guru267
#24 Posted : Tuesday, July 20, 2010 6:10:10 PM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
2012 wrote:
VituVingiSana wrote:
I prefer a PRIVATE firm with some level of 'competition' which wis what KETRACO will bring...


I did not think KETRACO are in competition with KPLC as I thought they just dealt with high voltage which is supplied to KPLC to distribute to the national grid?

KETRACO is a transmission company which will set up transmission lines which KPLC will manage.... But they are not in competition...
Mark 12:29
Deuteronomy 4:16
PKoli
#25 Posted : Tuesday, July 20, 2010 8:09:14 PM
Rank: Elder


Joined: 2/10/2007
Posts: 1,587
@guru267,

KETRACO will be in developing all new transmission systems. KPLC will manage old ones and will continue to distribute.

guru267
#26 Posted : Wednesday, July 21, 2010 12:45:57 PM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
PKoli wrote:
@guru267,

KETRACO will be in developing all new transmission systems. KPLC will manage old ones and will continue to distribute.


@pkoli KPLC developed and still owns all the transmission lines... KETRACO will develop and own the new ones and KPLC will manage them
Mark 12:29
Deuteronomy 4:16
PKoli
#27 Posted : Wednesday, July 21, 2010 7:43:07 PM
Rank: Elder


Joined: 2/10/2007
Posts: 1,587
@Guru,
KETRACO will manage the new transmission systems. KPLC will manage the old systems, old & distribution systems
guru267
#28 Posted : Thursday, July 22, 2010 12:26:22 AM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
PKoli wrote:
@Guru,
KETRACO will manage the new transmission systems. KPLC will manage the old systems, old & distribution systems

I think you mean KETRACO will OWN the new systems and KPLC will manage them... Because i dont rmbr there being any competition coming for KPLC anywhere in the near future....
Mark 12:29
Deuteronomy 4:16
VituVingiSana
#29 Posted : Thursday, July 22, 2010 5:48:53 AM
Rank: Chief


Joined: 1/3/2007
Posts: 18,137
Location: Nairobi
Folks - KETRACO will build new transmission systems... I think KETRACO will try to remain relevant or expand its fiefdom by managing their own. Politics in any public body.

In addition, for LARGE (Bamburi, Pokot Cement, etc) users, KETRACO may build a direct supply route...

Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
guru267
#30 Posted : Thursday, July 22, 2010 11:25:49 AM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
@vvs so from what you said KETRACO will compete with KPLC???
Mark 12:29
Deuteronomy 4:16
VituVingiSana
#31 Posted : Thursday, July 22, 2010 12:30:54 PM
Rank: Chief


Joined: 1/3/2007
Posts: 18,137
Location: Nairobi
guru267 wrote:
@vvs so from what you said KETRACO will compete with KPLC???
It is a Watermelon... YES & NO...

YES - It will carry electricity from the new projects e.g. wind farm to urban centres. KPLC does that now. There is a provision that it can directly supply large users if not already supplied by KPLC e.g. the new Pokot Cement factory, etc...

NO - The main/majority of the customers are already hooked to KPLC.
KETRACO will be like Thika Superhighway delivering cars from Thika to Muranga Rd Roundabout then KPLC takes over to the individual houses/businesses
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
sheep
#32 Posted : Thursday, July 22, 2010 2:16:56 PM
Rank: Veteran


Joined: 7/24/2008
Posts: 781
Just from the name(KETRACO),I swear nothing good can come out of this.This is a fleecing scheme.If you lift the veil behind this company Im sure you will find the usual scam artists behind this.
The utimate goal of investing is to buy low sell high;if we re-write this core equation in psychology terms it becomes buy fear sell greed.
mwenza
#33 Posted : Thursday, July 22, 2010 3:30:13 PM
Rank: Elder


Joined: 4/22/2009
Posts: 2,863
sheep wrote:
Just from the name(KETRACO),I swear nothing good can come out of this.This is a fleecing scheme.If you lift the veil behind this company Im sure you will find the usual scam artists behind this.




I hope Eng.(Dr.)J.M Mativo is not a member of Wazua.
IF YOU EXPECT ME TO POST ANYTHING POSITIVE ABOUT ASENO, YOU MAY AS WELL SIT ON A PIN
Jaina
#34 Posted : Thursday, July 22, 2010 3:57:27 PM
Rank: Member


Joined: 5/13/2008
Posts: 558
If Fundamentals is what you look for when investing, then its Buying time for KPLC. The much anticipated Prepaid Metering is just about to kick-off. Most of the domestic users will be connected with prepaid meter within the current FY. Btw(KPLC's FY is 1Jul-30Jun)

With prepaid metering, KPLC will reduce its costs (Billing associated) and increase revenue (No more power on credit). Power will be purchased like cellphone credit (if you dont have credit, you dont have power same way you cant call if your phone doesnt have credit). Pilot project which run last year has proved to be a huge success and hence the roll-out. Efficiencies associated with prepaid meters will mean profits will double or tripple within the next few years.

This will ultimately push the price of the share up as demand will outstrip supply especially after announcement of last year's results

KPLC is also one of the company's wich pay's high divided's. 8Bob in 2008/2009, so 2009/10 FY DPS may be in the region of 10-12bob plus.
VituVingiSana
#35 Posted : Thursday, July 22, 2010 6:35:26 PM
Rank: Chief


Joined: 1/3/2007
Posts: 18,137
Location: Nairobi
@Jaina - True except I think prepaid will take another 3 years before most domestic users are on it
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
guru267
#36 Posted : Thursday, July 22, 2010 7:41:30 PM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
sheep wrote:
Just from the name(KETRACO),I swear nothing good can come out of this.This is a fleecing scheme.If you lift the veil behind this company Im sure you will find the usual scam artists behind this.

@sheep KETRACO was set up as a G.O.K institution to be able to access very low costing loans
Mark 12:29
Deuteronomy 4:16
PKoli
#37 Posted : Thursday, July 22, 2010 8:46:35 PM
Rank: Elder


Joined: 2/10/2007
Posts: 1,587
The energy sector organisation has had a lot of re-organisation lately and this has left us a little mixed up. At the bottom of the pyramid are power producers. This has been completely liberalised with KenGen and other IPP players generating and selling electricity in bulk to KPLC.KPLC then transmits electricity at High Voltage, then steps down the voltage for distribution to various users, industrial and domestic.

Geothermal Development Company was formed to take up the risk of upfront geothermal resource exploration and appraisal. Once a resource has been quantified, KenGen or any other IPP (Independed power producer) will put up a power station. Government will meet GDC cost so that the power compan does not pass over the cost to KPLC and hence consumers.


All new transmission systems will be build by KETRACO and will levy wheeling charges to any producer of electricity. The electricty will then be distributed by KPLC to end users. So generator gets paid for electricity generated, KETRACO gets paid for transmitting electricity and KPLC for distribution.KETRACO gets funding from government. KPLC will own old trasmission sytems and all distribution systems. KETRACO will own and manage new transmission system.

Rural Electrification Company is for extending the electric grid in rural areas.

In future, major users like cement industries will buy electricity from generators. These users will only incur mainly wheeling and generation costs.

In the power sector we also have the regulator ERC. Ministry of energy is mainly for policy.

I hope this makes the sector alittle clearer to Wazuians.

Horton
#38 Posted : Thursday, July 22, 2010 8:52:25 PM
Rank: Veteran


Joined: 8/30/2007
Posts: 1,558
Location: Nairobi
I'm probably gonna get stoned by VVS and guru267. But me thinks KPLC= value trap.
sparkly
#39 Posted : Thursday, July 22, 2010 9:37:49 PM
Rank: Elder


Joined: 9/23/2009
Posts: 8,083
Location: Enk are Nyirobi
Horton wrote:
I'm probably gonna get stoned by VVS and guru267. But me thinks KPLC= value trap.

@horton elaborate pleez
Life is short. Live passionately.
guru267
#40 Posted : Friday, July 23, 2010 1:00:48 AM
Rank: Elder


Joined: 1/21/2010
Posts: 6,675
Location: Nairobi
Horton wrote:
I'm probably gonna get stoned by VVS and guru267. But me thinks KPLC= value trap.

Laughing out loudly horton relax... For investors getting in at these levels of 195 might be risky because i'm valuing this counter at 280 with a favourable conversion.... But i got in at 125bob so i can watch it fall to 150 and still be green....

Mark 12:29
Deuteronomy 4:16
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