As a consequence of the ongoing Covid-19 pandemic, the Ministry of Energy in October 2020 had indicated its intention to declare force majeure on power generation contracts due to a drop in demand. How has this gone down with Kengen? Joseph Kiambi, Mwea
Indeed, Covid-19 affected businesses in Kenya and the world over. We saw a drop in demand for electricity, but this was temporary and lasted for only a few months. We are glad that with the gradual re-opening of the economy, electricity demand has actually increased and surpassed the pre-Covid-19 levels. In March, the peak demand has risen to 1,980MW compared to 1,926MW in February 2020. We are hoping for continued economic recovery and a better future.
You are barely six months into your second term as the CEO of Kengen. What are your priorities before you exit? Bevin Amoke, Mlolongo
We are looking at achieving several things, including growth in electricity generation capacity. Some of the projects we expect to commission include the 172MW Olkaria V geothermal project, which is already complete and due for official opening. The others include 83MW Olkaria I unit 6 expected to be completed this year and a 140MW Public Private Partnership project, which is currently under procurement.
As you are aware, we are also pushing on with our diversification strategy and I look forward to delivering two projects currently under implementation in Ethiopia and one in Djibouti. We are also exploring other opportunities to extend our footprint in Africa while helping other countries on the continent to develop their green energy resources.
On corporate social responsibility, I intend to complete and handover the Naivasha Level 5 Hospital, which is currently under construction and is on target for completion mid this year.
I would like to be remembered as the CEO who actualised the company’s diversification strategy and expanded its operations to other African countries.
At every opportune moment, Kenya Power cites the high purchase price of electricity from Kengen and other electricity generators. What is the true position of these blame game? Komen Moris, Eldoret
Power pricing is an elaborate process, and the full mandate for pricing lies with the regulator, the Energy and Petroleum Regulatory Authority (EPRA).
For our part as Kengen, we have deliberately focused on renewable energy, which in the long run will lower the cost of power and also reduce the cost of doing business.
On average, KenGen today sells electricity to the off-taker at Sh5.40 […]
