Page 10 - AfrElec Week 50 2021

AfrElec ELECTRIC VEHICLES AfrElec

Uber partners with Kenya’s

Opibus to deploy 3,000

electric motorcycles

KENYA KENYAN consumers will soon see a 30% reduc- producers (IPPS).
tion in electricity costs, President Uhuru Ken- The KPLC had signed PPAs with IPPs
yatta announced during his Jamhuri Day speech denominated in the foreign currencies, increas-
on Sunday (December 12), the anniversary of ing the liability of the Nairobi-listed firm as the
the date that Kenya became a republic. shilling steadily depreciates.
“I am pleased to announce to the nation that In October, the Kenyan president directed the
the reduction in the cost of electricty will be Ministry of Energy to fast-track implementation
implemented in two tranches of 15% each, with of recommendations of Presidential Taskforce
the first 15% achieved through initial actions on PPAs to bring costs down.
focusing on system and commercial losses, and “I urge the power producers to demonstrate
this will be reflected in people’s bills in December goodwill as we seek to make our energy sector
of this year,” he said. a greater catalyst of our national development,”
Power consumers will immediately save Kenyatta said in his speech on Jamhuri Day, a
KES3 ($0.03) per unit from the current rate and national holiday.
ultimately save KES7 per unit when a further Kenya’s electricity distribution utility is strug-
reduction is implemented by end of March 2022. gling to offset loses due to having made U.S.
Kenyatta said the savings would be effected dollar and Euro denominated power purchase
by state-owned Kenya Power and Lighting agreements (PPAs) as the shilling steadily depre-
Company (KPLC) in part by cancelling or ciates against major currencies. ™
renegotiating disadvantageous power purchase
agreements (PPAs) with independent power

P10 www. NEWSBASE .com Week 50 16•December•2021