Blog Post

14 Aug
By: root 0 0

ENERGY SECTOR BOARD ENGAGES KPLC ON PPAs AND ADDITIONAL POWER CAPACITY

KEPSA Energy and Extractive Sector Board held its monthly meeting on 9th August 2018 at KEPSA Offices. The main agenda of the meeting was to engage the Kenya Power and Lighting Company (KPLC) management. The meeting was a follow-up to a previous engagement the Sector Board leadership had in August 2018.

In his remarks, the Sector Board Chair, Eng. James Mwangi welcomed the KPLC team to the meeting. He thanked the KPLC team and sector board members for finding time for the engagement. He emphasized that KEPSA works in partnership with the government for a win-win situation.

While giving his remarks, KPLC Managing Director Eng. Jared Othieno thanked the Sector Board leadership for the opportunity to engage with the members and address their concerns as had been agreed in the previous discussion. He noted that the energy sector is an enabler to the Big Four Agenda. He informed the meeting that KPLC was committed to ensuring the satisfaction of all stakeholders.

The meeting discussed various concerns that had been raised by KEPSA members. Among the key issues discussed included KPLC’s position on the signing of new Power Purchase Agreements (PPAs) and future acquisition of additional capacity. In response, Eng. Othieno said a lot of consultation had been conducted in this area to ensure the additional capacity and timing are able to address the requirements and demands of consumers.

Eng. Othieno informed the meeting that there was an overproduction of power since the consumption was at approximately 1800MW while the production was over 2700MW. He said that the additional capacity is dependent on the forecasted demand for power. Eng. Othieno added that KPLC was still signing new PPAs but the process was subject to the outcomes of the Independent Power Producer and PPAs Taskforce report, the price of the power, Feed-in Tariff (FIT), type of energy among others. The meeting was informed that for new PPAs the cost should not exceed Ksh.7.00 for Solar power and Ksh.7.50 for Wind power.

The Sector Board members and KPLC team agreed to be having quarterly meetings to ensure issues are addressed as soon as they arise. The meeting also agreed to come up with joint solutions as quickly as possible and to ensure that members are updated on measures KPLC will be undertaking to provide stable and reliable power.

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