Category: National News

Reading Time: 2 minutesThe reported inflation was initially brought to light by the Business Daily newspaper on Monday. This revelation stems from an Auditor General’s report, which follows a comprehensive forensic examination of the nation’s electricity generation, transmission, and distributing systems. As indicated in the report, the utility company has been imposing excessive charges on customers, amounting to as much as 20 percent, for electricity they haven’t actually conusmed. interestingly, these additional fees cannot be identified within the company’s billing system. In a statement released on the Tuesday, Kenya Power refuted the accusations and labeled the newspaper’s article as deceptive and lacking in factual accuracy. The company clarified that its electricity billing process relies on calculating charges according to customer consumption, which is determined by the variance between the current meter reading and the reading from the previous month. “The approved based tariffs, levies and taxes are then applied to the consumption to compute the customers’ monthly bill,” said the utility. The report highlighted apprehension regarding the incorrect assessment of the system losses, which were attributed to the utilization of obsolete stufy findings, incomplete simulations, and mathematical inaccuracies. in response, Kenya power mentioned that certain system losses are factored into the tariff structured “Part of power system losses are inevitable during transmission and distribution of power; therefore, the regulator sets as a threshold for the allowable system losses that is factored in the tariff,” said the company. Kenya Power communicated that the Energy and Petroleum Regulatory Authority (EPRA) has provided authorization for system losses to extend up to a maximum cap of 18.5% throughout the current fiscal year. Moreover, the company emphasized that it shoulders the cost to system losses that surpass the officially sectioned limit. “Each month, the regulator checks and verifies that Kenya Power charges customers based on the approved rates,” the company said Read Also: Kenya Power communicated that the Energy and Petroleum Regulatory Authority (EPRA) has provided authorization for system losses to extend up to a maximum cap of 18.5% throughout the current fiscal year. Moreover, the company emphasized that it shoulders the costs linked to system losses that surpass the officially sanctioned limit. “Each month, the regulator checks and verifies that Kenya Power charges customers based on the approved rates,” the company said. The report additionally alleged that Kenya Power documented a system loss of 23.98% during the period of 2020/2021, surpassing the authorized loss percentage of 19%. Similarly, in the year 2021/2022, the system loss was reported at 22.44%, exceeding the approved efficiency loss rate of 19%. Furthermore, the utility company refuted claims that out of the 96 generation plants that provide it with power, only 38 of them were equipped with backup meters, also referred to as check meters The company reiterated that it maintains a network of one hundred delivery points sourced from fifty-eight power suppliers through which it procures electricity. It emphasized that all these points have been confirmed to possess both primary and check meters.

Reading Time: 2 minutesSenator Osotsi: Economy’s Stability Hinges on Addressing Opposition Discord Moses Kinyamjui Published on: August 07, 2023 08:30(EAT) Vihiga Senator Godfrey Osotsi has emphasized that the goverment’s ambitious plan to stabilized the economy cannot be achieved without efffectively addressing the ongoing political discord with the opposition. Osostsi argues that as the opposition holds substantial representation within the nation, failure to reconcile with them will hinder effort to revitalize the struggling economy. During an appearance on Citizen TV’s Daybreak show on the monday, Osotsi conveyed his apprehension that the nation could be facing a standstill due to the government’s apparent lack of interest in resolving difference with the opposition. “Some may underestimate the significance of this issue, but Azimio holds influence over a significant portion of the country;s support. when such a substantial part of the nation opposes the current regime, it inevitably affect economic performance,” he explained. READ ALSO: “It would be in their best interest to address this matter promptly. Based on their approach, i am skeptical of their commitment to resolving the political situation in the country.” The legislator also warned that the surging economy is at risk of causing businesses to falter and Kenyans to lose employment opportunities. He suggested that Kenya Kwanza, an economic initiative, needs to prioritized organization and reconciliation. “Contrary to optimistic image postrayed by Kenya Kwanza, the situation is less than ideal. There are significant challenges that need to be addressed. This is evidenced by their decision to sign performance contracts a year after asuming office, indicating the presence of performance issues within the regime,” he noted “With the Finance Act’s effect, particularly the 1.5% Housing Levy, unemployment could surge. Employers might contemplate relocating to other countries due to the substantial strain.” These remarks coincide with President William Ruto’s assertion that the nation jhas successfully achieved economic stability and manage to debit crisis. Ruto claimed that his effort to stabilized the struggling economy over the past 8 months have borne fruit. ” I have engaged in numerous discussion with the World Bank, IMF, and other entities from which we have borrowed funds. I wanted to assure the people of Kenya that we have stabilized the economy, and we are no longer susceptible to debt threats. What i cannot permit is continuous indiscriminate borrowing for our nation,” he emphasize during a previous Thanksgiving service. As an alternative to borrowing, Ruto proposed that the nation will rely on revenue collection to sustain its operations. He encourage Kenyans to embrace his taxation proposals. “We will focus on tax collection within our borders. i will personally lead those who remit their taxes. We are seeking those tax revenues to independently support our country,” he asserted