Proposed law seeks to end Kenya Power market monopoly

The Bill, currently with the Commission for the Implementation of the Constitution (CIC) for review ahead of its tabling in Parliament, proposes the licensing of other electricity distributors and retailers, promising consumers choice and better quality of service.

Licensed distributors will build supply power lines from sub-stations to homes but another entity (a retailer) will sell, meter and bill customers, according to the proposed law.

The retailers will buy power from different sources and pay the distribution company a fee for using their network to connect customers.

The Energy Bill, 2015 says that customers will only turn to a power distributor for supply if there is no registered retailer in their locality or if they require medium to high voltage power. “A person requiring supply of electrical energy shall apply to the duly authorised retailer, but where there is no such retailer, to the distribution licensee,” the Bill says.

The changes are meant to create room for new players in the electricity sub-sector where Kenya Power continues to operate as a monopoly.

Kenya Power already has all PPA from all power producers for 20 years. They also have all the big power consumers, in the capital hungry power business making loses is so easy if you cant get the big power consumers. Paying to use sbs infrastructure will just increase cost of power due to more overheads.
Just look at how much debt Kenya Power is taking just to do small improvements and expand.