Kenya Power is facing a growing burden of unpaid electricity bills, with outstanding payments from its postpaid customers rising to Ksh.41.5 billion.
Of this amount, nearly Ksh.8 billion is owed by the government, while other businesses and households account for the remaining Ksh.33.5 billion.
The mounting debts have forced the utility to increase its provisions for potentially unrecoverable bills to nearly Ksh.15 billion, at a time when previous attempts to disconnect defaulting public institutions have sparked disputes and court battles.The mounting debts have forced the utility to increase its provisions for potentially unrecoverable bills to nearly Ksh.15 billion, at a time when previous attempts to disconnect defaulting public institutions have sparked disputes and court battles.
By the end of June this year, Kenya Power was owed Ksh.41.5 billion in unpaid electricity bills by its postpaid customers, nearly Ksh.2.5 billion more than a year earlier.Government ministries and county governments accounted for Ksh.7.35 billion, while strategic state corporations owed a further Ksh.588 million.
This brings the outstanding electricity bills from public institutions to nearly Ksh.8 billion, with the remaining Ksh.33.56 billion spread across other postpaid customer accounts, including households and private businesses.
The mounting arrears come even as Kenya Power reports improved financial performance, having posted a net profit of Ksh.24.9 billion in the last financial year.
