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AfrElec RENEWABLES AfrElec
KenGen, National Oil partner to
install EVs charging hubs
KENYA’S two majority state-owned bodies, The use of EVs is considered to be benefi-
electricity generator KenGen and oil retailer cial for the environment as they produce fewer
National Oil Corporation of Kenya (NOCK) emissions, use energy more efficiently, and can
have partnered to develop charging hubs for be powered by renewable energy sources. As the
electric vehicles (EVs) as demand for charging electricity grid continues to shift towards renew-
services rises, Business Daily reported able sources, the benefits of EVs for the environ-
David Muthike, KenGen’s general manager ment will only increase
of strategy and innovation, said one of the chal-
lenges facing the transition to e-mobility was
charging infrastructure and where to put it. The
company has opted to site such points at National
Oil’s petrol stations, starting with 30 new charg-
ing stations in six towns in the next three years to
add to the existing two charging stations piloted
in Nairobi and Naivasha.
“We will also be going out soon. So when you
see an expression of interest [EoI] from KenGen
asking the public to give us space, or lease prop-
erty, just know it’s part of our strategy to roll out
the 30 charging stations,” said Muthike.
Data from the Kenya National Bureau of Sta-
tistics shows that Kenya predicts an EV penetra-
tion rate of 5% per year for the next five to six
years. KenGen has already bought four EVs as
part of its fleet modernisation. These first four
vehicles will be used for data collection and pol-
icy development ahead of expansion plans, Ken-
Gen said.
PERFORMANCE
Kenya Power facing $51mn revenue drop
NAIROBI-LISTED Kenya Power says it will According to the report, the power prices
incur an additional loss of $51mn owing to the cut—coupled with a weak shilling that signifi-
government’s decision to extend a 15% cut on cantly increased the utility’s costs—has sunk it
electricity tariffs by three months to April, when back into losses just a year after earning a net
new power tariffs to be approved by the Energy profit of $30mn in the half-year to December
and Petroleum Regulatory Authority are set to 2021.
take effect. The company posted a net loss of
“If you use the parameters that were used $23.4mn in the full financial year that ended
when putting the 15% reduction in place in Jan- June 2020, which was its first time in the red
uary last year, we estimate that the extension of in 17 years.
the lower tariffs for the months from January Kenya Power, however, maintained a positive
to April 1 will cost about $51mn,” Kenya Power outlook for the second half of the year and has
said in a statement as reported by the Daily earmarked growth of sales to turn it back into a
Nation. profit-making position.
This comes as the East African country’s “The company projects to improve its busi-
sole power distributor, serving more than ness performance in the second half of the
three-quarters of the population, has sunk financial year by retaining the unwavering
into an $8.9mn net loss for the six months to focus on increasing electricity sales, enhancing
December 2022 owing to the reduction in base system efficiency and prudently managing its
electricity prices. resources,” the company said in a statement.
Week 10 08•March•2023 www. NEWSBASE .com P11
