General

KPLC announces a Sh30.5 billion profit for Financial Year 2023/24

The Kenya Power and Lighting Company (KPLC) has marked an increase in its profitability to the tune of Sh30.5 billion for the Financial Year 2023/2024.

This progress, according to the Company, has been driven by a reduction in finance costs, increased sales and the implementation of the cost-reflective tariff.

Speaking during an investor briefing held in Nairobi, Principal Secretary (PS) for Energy Alex Wachira maintained that the government will continue to invest in infrastructure development to ensure that KPLC not only remains profitable but also ensures universal access to power across the 47 counties.

‘Given the challenges that the energy sector faces in terms of cost of power and distribution, the government is committed to fast tracking the delivery of Olkaria 6 through KenGen to deliver 80 megawatts by 2027,’ Wachira said.

Wachira announced that the Ministry of Energy and Petroleum is currently seeking the intervention of Members of Parliament on lifting a moratorium which halts the signing of a
ny power purchase agreements made by Kenya Power and its stakeholders.

‘The moratorium continues to send a negative signal to investors looking to generate additional generation capacities,’ he lamented.

The PS, at the same time, mentioned that the Ministry is looking forward to onboarding cheaper sources of renewable energy that would lower the average cost of energy thus ensuring affordable power to all consumers.

Meanwhile, in terms of energy transmission and distribution, KPLC Managing Director (MD) and Chief Executive Officer (CEO) Dr. Joseph Siror announced that the Company has expanded its customer base by connecting 447,251 new customers to the power grid, a figure that contributes to the total customer base of 9.7 million customers.

Dr. Siror disclosed that during the year, the number of customers subscribed to KPLC digital self-service platforms grew significantly to 2.1 million from 1.7 million in the previous year which consequently resulted in a substantial reduction in foot traffic in KPLC b
anking halls by nearly 75 percent.

‘Within the financial year, Kenya Power has been able to complete four new substations in Naivasha, Kabianga, Moi’s Bridge and Kiamokama. Furthermore, it has managed to upgrade ten existing substations to enhance capacity and ensure reliable power supply,’ he highlighted.

Further, the CEO added that the Company has also managed to complete two feeders from the Thika Road 220 kilovolt (kV) line to Ruaraka and Ruiru substations to enhance power supply flexibility in Kiambu County and meet the growing demand in Ruiru.

‘Currently Kenya Power is fast tracking the construction of the Ndiwa-Sondu 132kV line to stabilize voltages and address overloading in the South Nyanza and Central Rift regions,’ he revealed.

In addition, Dr. Siror said that the Company is overseeing the commissioning of a third transformer at the Lessos substation to optimize the Olkaria-Lessos-Kibos 220kV line and support generation from Turkwel and other solar sources.

Looking towards the future, he reite
rated that KPLC is gearing towards financial sustainability, customer centricity, operational excellence, and boosting human capital to enhance productivity and resilience in the energy sector.

Source: Kenya News Agency