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{
    "id": 1378851,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1378851/?format=api",
    "text_counter": 124,
    "type": "speech",
    "speaker_name": "Sen. Wakili Sigei",
    "speaker_title": "",
    "speaker": null,
    "content": "Secondly, I would like to support the Committee's recommendation on the contracts by the power-generating Independent Power Producers (IPPs) and Kenya Power Company (KPC). We cannot void a contract nor can we say that they are cast in stone, as the Chairman indicated earlier on, as he laid the Report. However, I believe it entirely depends on the goodwill that the IPPs and parties to the contract can engage in. As the Hon. Senator for Nairobi City County has said, these contracts can be renegotiated. It is the only way to exit the terms of the contract, which are not fair and unconscionable to one of the parties. As to whether or not this has taken forever to be done, my guess is as good as the one that came from the Committee because of the interest entrenched in the sector. I believe that the proposed recommendations in the proposed amendments to the Energy Act, 2019, which Sen. Sifuna is pushing, will enable the House to deliberate beyond the contracts that are existing. I believe that when such recommendations come before the House, they shall facilitate engagement on whether there is a possibility to disengage the generation, distribution and ultimately commercialisation of power. We all know the consequences of monopoly because there is no competition. The party that produces, distributes and commercialises does not feel it as much when there is no competition, but rather when there are additional players. I encourage Sen. Sifuna as he is seeking the proposed amendments, he should consider including an element of not having a monopoly within production and distribution lines, as well as the commercialisation aspect of power. This is the only way we can liberalise the market, so that we can engage with the pricing of electricity at any given time. Lastly, we are experiencing losses of 26 per cent transmission. One is left to wonder how and at what point did we get over 20 per cent beyond what is globally acceptable. If 26 per cent loss on transmission is globally accepted and is within the allowable parameters, how and why did we get to 26 per cent? Is this a factor that is normally played by those dealing with documentation for purposes of ensuring that they continue with the loot? Is it on challenges or incidences of poor governance? Is it, therefore, a factor that besides the acknowledgment that we have a 26 per cent loss on transmission, the Committee needs to look beyond the recommendation? We are told that we need to have an implementation committee, but I tend to believe that the Standing Committee on Energy is comprised of Members knowledgeable in the sector, who have been involved beyond the report writing and have delved into the details and challenges that the energy sector has experienced. This same team can follow through with these recommendations. I believe that with certain timelines, this House will have the option to summon the parties relevant to ensure they are honoured, and those which require amendment to the law, are going to be supported. At the end of the day, we want to push Kenyans and make sure that the cost of electricity is at least affordable and reasonable in the context of the households, industrial demands, and above all the issues causing the high cost of electricity. The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
}