Electricity Utility Governance in Kenya: A comprehensive report

Overview

This report provides a comprehensive account of the status of the electricity utility in Kenya. In doing so it analyzes the gaps in Kenya’s electricity governance and suggests ways these gaps can be addressed especially through civil society engagement.

While Kenya has seen some notable successes in advancing its energy sector – in particular in terms of increasing access to electricity – and has seen numerous efforts at reform intended to improve the functioning of the utility. Nonetheless the utility faces significant challenges that undermine the sector's performance overall. Challenges include: weaknesses in power distribution segments, the politicization of the utility company management, system and large commercial power losses. The resulting financial precarity has meant an inability to provide equitable, affordable and efficient electricity utility services. These challenges are compounded by costly power purchase agreements. Altogether these problems have threatened the financial stability of the power utility company and resulted in huge costs and debts.

Civil society has a crucial role to play in providing solutions to these challenges through advocacy, expert advisory and by offering solutions in emerging issues such as the energy transition. There are further opportunities for civil society to actively implement sustainable energy initiatives, develop of informational materials, establishment of networks to support good governance (for instance, linking development partners with local governments), and also developing monitoring tools.