Government pockets Sh1.15billion from KenGen

Treasury CS Ukur Yattani receiving the cheque from KenGen (PHOTO: Courtesy)

The Kenya Electricity Generating Company PLC (KenGen) has paid the National Government Sh1,153,856,022 in dividends for the financial year ended June 2019.

The Government owns 70 per cent stake at KenGen while 30 per cent is owned by private shareholders.

National Treasury CS Ukur Yatani noted that as the country’s leading energy producer, KenGen was a major player in the Government’s efforts towards the country’s growth and development. “Energy is critical for the country’s growth and development. We take cognizance of the important role played by KenGen in growing the economy,” the CS said.

During the event, KenGen Board Chairman, General (Rtd.) Samson said: “We are indeed privileged and honoured to pay the Government Sh1,153,856,022 in dividend at a time when businesses are facing enormous challenges occasioned by the Coronavirus Disease (COVID-19) pandemic.”

He expressed gratitude to the Government for consistent support over the years, saying it had contributed to KenGen’s growth and positive performance.  

For the year ended June 2020, KenGen announced a Sh13.9 billion profit before tax. The Board has recommended a first and final dividend for the year of Sh0.30 per ordinary share of Sh2.50, which will be paid to shareholders once ratified in the next annual general meeting (AGM), Gen. Mwathethe said.

Speaking at the event, the company’s MD & CEO, Mrs. Miano said KenGen’s diversification strategy was bearing fruit as the organisation had been able to incorporate new business lines in its revenue streams including consultancy services.

The company is currently offering geothermal drilling services and undertaking geoscientific studies in Kenya and Ethiopia.

She also expressed optimism in the company’s ability to navigate the COVID-19 Pandemic which led to widespread socio-economic challenges.