Rédaction Africa Links 24 with Kenyans.co.ke
Published on 2024-02-20 01:36:01
The National Treasury recently released the Medium-Term 2024 Budget Policy Statement, outlining measures aimed at lowering electricity prices in Kenya. Njuguna Ndung’u, the Treasury Cabinet Secretary, emphasized the urgency of reducing electricity prices to improve access to affordable and efficient energy. This policy direction aligns with President William Ruto’s Bottom-Up Agenda and Vision 2030, Kenya’s long-term development blueprint, and is essential for achieving socioeconomic transformation.
The government intends to employ several strategies to reduce electricity prices, including leveraging Renewable Energy Feed-in Tariffs (REFIT) and engaging independent power producers. Additionally, investment in geothermal energy and rural electrification are also part of the government’s plan to achieve this goal. The National Treasury emphasizes that these measures will not only lower electricity prices but also ensure the long-term viability and sustainability of the energy sector.
Despite Kenya’s increasing generation capacity and total electricity connections, token prices remained expensive compared to other East African countries. To address this issue, the government is focusing on promoting the generation of electricity from renewable energy sources through REFIT. Under this program, Kenyans who produce electricity will be able to sell it to the government at a pre-determined price, which will be revised after an agreed period.
In addition to REFIT, the government plans to lift the moratorium on Power Purchase Agreements as another way to reduce electricity prices. By facilitating the use of renewable energy sources such as wind, solar, and geothermal power, Kenya aims to reduce its dependence on expensive fossil fuels and lower the cost of electricity.
The National Treasury’s commitment to supporting renewable energy is evident through its emphasis on investing in these sources of energy. The abundance of renewable energy sources in Kenya provides an opportunity to reduce the country’s reliance on expensive fossil fuels and transition to more sustainable and cost-effective energy options.
The government’s efforts to lower electricity prices are in line with its broader agenda to promote socioeconomic development and improve access to affordable and efficient energy. By implementing these measures, the government aims to create a more sustainable and affordable energy sector that will benefit all Kenyan citizens.
Overall, the Medium-Term 2024 Budget Policy Statement outlines a comprehensive approach to lowering electricity prices in Kenya, emphasizing the importance of renewable energy and sustainable energy practices. The government’s commitment to these measures signifies a step towards achieving affordable and efficient energy access for all Kenyan citizens.
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