KEY POINTS
- Kenya’s Energy Ministry withdrew KPLC’s March 2026 tariff review application on June 3, 2026.
- Current electricity rates will remain unchanged unless a fresh legal review process begins.
- The proposed hike had sought to raise the minimum base charge to KSh 14 per kilowatt-hour.
Kenya Power wanted a tariff review. The government said no.
The Ministry of Energy and Petroleum announced Wednesday that it has withdrawn a retail electricity tariff review application that Kenya Power and Lighting Company submitted on March 31. The move keeps current electricity rates in place for millions of households, businesses and manufacturers across the country.
Energy and Petroleum Cabinet Secretary Opiyo Wandayi confirmed the decision in a press statement, saying it followed consultations within government and engagements with key stakeholders in the energy sector.
“This decision reflects the need to buttress a sustainable energy sector while protecting households, businesses and industries from cost escalation,” Wandayi said. “It aims to support economic growth, safeguard livelihoods and create jobs.”
What Kenya Power had proposed
KPLC’s March application was not just on its own behalf. The utility submitted it on behalf of the wider electricity sector, covering KenGen, KETRACO, the Geothermal Development Company and REREC, under the Energy Act. The proposed tariffs were meant to cover the 2026/27 to 2028/29 tariff control period.
The most contentious element was a plan to raise the minimum base charge to KSh 14 per kilowatt-hour for domestic consumers using fewer than 30 units per month. That proposal drew immediate public pushback. EPRA had scheduled public participation forums for late May but postponed them. The withdrawal came shortly after.
What stays the same and what does not
Wandayi was careful to clarify the scope of the freeze. The base tariff rates will remain unchanged. The current tariff schedule was due to expire at the end of June 2026, which is why KPLC filed the application in the first place.
What the withdrawal does not affect are the variable charges that adjust every month through gazette notices. The Fuel Energy Cost Charge, the Foreign Exchange Fluctuation Adjustment, various levies and VAT will continue to move with market conditions regardless of the base rate decision.
Wandayi said electricity supply will continue without interruption under the current structure and committed to keeping the public informed on any future regulatory developments in the sector.
