Trade unionists, workers’ unions and religious groups from across the country have called for the revocation of purchase agreements signed between Kenya Power and the Independent Power Producers to tame the country’s high electricity cost.
Speaking during a session held by the National Assembly’s departmental committee on energy, the Central Organisation of Trade Unions, the Law Society of Kenya, Kenya Medical Association, the Union of Kenya Civil Servants and the Kenya Union of Post Primary Education said the current purchasing agreements were punitive to Kenyans.
The unions argued that the high cost of power had become a burden to many families across the country.
They said that by revoking the current agreements signed between KPLC and the IPPs, the committee would cushion many families and businesses from the runway cost of power.
Cotu secretary-general Francis Atwoli urged the Committee chaired by Mwala MP Vincent Musyoka to help the country find a better alternative to power for Kenyans.
The Committee has been engaging representatives of employers and workers, academia and industry experts, and the Inter-Religious Council of Kenya on solutions to the high cost of electricity in the country.
“Revoke all PPAs that have been signed with various IPPs and renegotiate better contracts that are flexible and also provide for payment in Kenya Shillings. Furthermore, the Government of Kenya must depend on KenGen and only engage IPPs to supplement shortages,” Atwoli said.
The trade unionist argued that affordable electricity would improve workers’ livelihoods, boost industrial competitiveness, foster job creation, and attract investments.
His sentiments were echoed by KUPPET, UKCS, LSK and the KMA, who argued that the escalating cost of electricity in Kenya presents a complex set of challenges for various stakeholders.
They said that the increased costs had led to an increased financial burden on workers, reduced disposable income, decreased job satisfaction, limited job mobility, and increased hospital operation expenses.
KMA, for instance, argued that the high cost of power had led to significant morbidity and mortality rates occasioned by the inability of patients to maintain their medication within the required temperature, including diabetic patients.
Other stakeholders such as the Inter-Religious Council of Kenya (IRCK), Supreme Council of Kenya (SUPKEM), Kenya Conference of Catholic Bishops (KCCB), National Council of Churches of Kenya (NCCK), Hindu Council of Kenya (HCK) & Seventh Day Adventist Church (SDA) asked the government to consider reducing all the levies and taxes on electricity by half, reduce monthly income loss from 19% to 10% and engage IPPS to re-negotiate the PPA’s to review power costing rates to KPLC.
Musyoka acknowledged that his team was aware of some of the challenges presented by the purchase agreements between KPLC and the IPPs.
“We are also trying to see if people can invest in the Energy sector using Kenya currency because most IPPs say they get credits from foreign countries using foreign currencies,” said Musyoka.