Mudavadi now orders probe into KPLC's inflated electricity bills

Prime Cabinet Secretary Musalia Mudavadi has asked the Inspectorate of State Corporations (ISC) to investigate reports of inflated bills by Kenya Power (KPLC).

Mudavadi's move follows an adverse report by the Auditor General and public outrage over the inflated power bills. ISC is under the Office of the Prime Cabinet Secretary.

In a statement by the Secretary of Government Strategic Communications Kibisu Kabatesi, Mudavadi noted that the reports relating to inflated electricity bills and discrepancies in billing, which have led to consumers being overcharged by up to 20 per cent for the power they did not use will be investigated.

The Auditor General reported that there is a mismatch between billed amounts and actual consumption, as well as extra charges that cannot be traced in the billing system.

"Given ISC’s mandate to uphold accountability and transparency in State Corporations, ISC has invoked its powers under the State Corporations Act (Chapter 446 of the Laws of Kenya) to initiate a thorough investigation into the matter. Section 18(2) of the Act empowers ISC inspectors to call for and inspect records, documents, and premises of any State Corporation," read the statement.

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Mudavadi said the action is in line with the government's commitment to safeguard the public interest and assure accountability across State corporations. He explained that the ISC probe is working with relevant law, order and justice institutions, including the Office of the Auditor General, the Director of Criminal Investigations, and the Ethics and Anti-Corruption Commission.

However, this is not the first time that agencies are investigating high power prices. In 2021, former President Uhuru Kenyatta appointed a taskforce led by John Ngumi to look into the high cost of power.

It recommended a 30 per cent reduction and review of Power Purchase Agreements (PPAs).

However, its final verdict then was that it would be too costly to terminate or review the PPAs.

Lawmakers have also perennially investigated the country’s electricity sector, seeking causes and solutions to the high cost of power.

They usually end up on a winding road that leads to nowhere.

The numerous probes have failed to offer a way out of the ever-rising cost of power, with each team picking up from where the last one left.

Mudavadi warned that theft of public funds – whether held in trust by the State or belonging to citizens directly - tarnishes public confidence in public institutions and undermines the socio-economic well-being of our nation.

Auditor General Nancy Gathungu recently told a National Assembly committee, that some staff at the KPLC had been inflating electricity bills which have seen consumers overcharged for the power they did not use. Gathangu said a forensic review of the generation, transmission and distribution of electricity found that bills do not match actual consumption.

“Almost 20 per cent of the billing to consumers cannot be matched to actual consumption neither can the distribution company attribute it to a specific consumer,” Gathungu said.