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By WINNIE ATIENO
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By MOHAMED AHMED
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Stakeholders now call for an end to Kenya Power's monopoly and verification of the operations of the company. 39; company. [19659006] The high cost of electricity has affected coastal businesses, forcing some to relocate to neighboring countries or shut down.
Milly Glbad Works Ltd. announced last month that it was installing a 48 million shillings plant in Ethiopia because of spiraling energy costs in Kenya.
"We want to have a presence there, and if we make good profits in Ethiopia, our main goal will be to turn to this country," said Rajan Salvi, business consultant,
Salvi said that the cost of production has been heavily affected by high fuel prices 19659010] "There is a 23% increase in the electricity bill and the company uses daily 33 000 energy units. How do you want us to compete? "
Mr. Salvi stated that Tanzania had cheaper natural gas.
" They produce electricity using natural gas. With the obvious advantage of natural gas, Tanzania is cheaper in terms of manufacturing, "he said.
He said that 26% of the cost of production goes to electricity and fuel
He said that his company employed about 2,000 Kenyans – directly and indirectly – but the high costs of energy sent them back to the drawing board
Milly Glbad Works is one of many companies in the who feel the heat in relation to the high costs of energy.
Tana Water and Sewerage Company spends more than 1.3 million shillings a month on electricity bills.
The Coast Provincial General Hospital, the largest health facility in the region, was also affected, and the cost of electricity rose from 2.5 million shillings per month to 4 million Sh.
"The high cost of electricity We are now planning to use solar energy, which is more reliable and cheap, "said Dr. Khadija Shikely, Chief of Public Health.
The hotel industry is also hard hit by inflated bills, which has resulted in the closure of some hotels
Hoteliers revealed Friday that they had to look for other sources of information. 39 energy to keep their installations afloat
. ] Mr. Bin Ali Lufti, owner of a hotel in Mombasa, called for the end of Kenya Power's monopoly in electricity distribution
"It's at this moment that Kenya Power is going to improve and offer better services.I have already paid Sh40,000 to Kenya Power in a month.Kenyans suffer, "he said.
At the hotel Travelers Beach, the Sales Manager, Boniface Wafula, said that they had inflated electricity bills last year, forcing them to buy a solar system to cover part of the electricity bill. that Sh4 million to install solar heating and lighting in certain areas of the facility.
"We thought we had errors in our system but after the recent revelations, we now know that the problem was not with us, "said Mr. Wafula
.bills against actual consumption
But Momb Asa Cement, one of the leading cement manufacturers on the coast, said it was not affected by inflated bills.
million. Ferouz Hussein, head of the electrical department
Rukiya Rashid, president of the National Chamber of Commerce and Industry of Mombasa, Kenya, said the majority of the companies that closed their shop were in Mombasa [19659008]. "We have received cases of business closures since last year and inflated bills are among the main reasons for the closure. The issue has affected the fraternity of business and it should not be left to go exactly like that, "she said. ] Mrs. R ashid called for the establishment of a commission to investigate Kenya Power's operations.
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