Kenya Power net earnings for six months to December 2021 soars to Kes3.8 billion from Kes138 million as revenues went up by 21.1 percent to Kes83.6 billion from Kes69 billion previously.
In the period, the utility said that electricity consumption increased by 8.7 percent to 4,562 Gwh compared to a comparable period in December 2020.
The company attributed the jump in consumption to increased customer connectivity, stable and reliable supply due to enhanced maintenance of power lines as well as accelerated replacement of faulty metres.
“Operating costs decreased to Kes19 billion, from Kes20 billion as a result of enhanced cost management and resource optimization initiatives,” Kenya Power said.
In January, the utility started implementing President Uhuru Kenyatta’s directive to cut the cost of electricity by 15 percent. A further reduction by a similar measure is expected this March.
For the first time in five years, Kenya Power said customer debts reduced by Kes900 million owing to current government intervention through state agencies.
“In the second half of the year, the business will primarily focus on domestic and SME customers who currently account for 67 percent of the company’s outstanding debts,” the company said.
Receipts from the government for the last mile connectivity as well as street lighting program helped the utility to close the half with Kes8.3 billion earnings.
The company plans to reduce billing complaints in the next six months while also making investing investments in the network so as to increase the reliability of power supply.
The board of directors did not recommend the payment of interim dividend for the trading period.