ERC rejects fixed costs on electricity – Mediamax Network Limited



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The Energy Regulatory Commission (ERC) levied fixed electricity charges on Sh150 after five years of public outcry, which should reduce the burden of consumption

. power reduced from 17.77 Sh / kWh to 16.64 Sh / kWh, a reduction of 6.9%. ERC Director General Pavel Oimeke said in a statement that the measure was aimed at meeting the needs of low-income households in society. whose consumption does not exceed 10 units per billing period and currently constitute 3.6 million customers of Kenya Power (KP). The directive, which will take effect from tomorrow, will see the consumption of electricity from these households decrease from 36% to 82%.

Commercial and industrial customers will get an average reduction of 4.4% in addition to the 50% rating, ERC said "follows the need to take over more costs of renewable energy and respond to the many complaints by domestic electricity customers about the complexity of the tariff billing scheme that was difficult to understand, for example, customers receiving different units for the same amount of money in a billing cycle because of the graduated tariff structure and the fixed costs. "

The review of the Electricity tariff for the period 2018/2019 follows an application filed by the electricity distributor, KP, which had requested a revision of the electricity tariff in effect since 2013 and which had seen the consumers of electricity "

" The commission also took into consideration the best practices in the field of electricity. which emphasize social equity, economic prudence and the financial viability of public services. The objective of the economic policy of retail tariff reviews is to achieve an efficient allocation of resources in the economy, consumers paying only the costs prudently incurred by utilities, "said Oimeke [19659006]. [ad_2]
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