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{
    "id": 220096,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/220096/?format=api",
    "text_counter": 202,
    "type": "speech",
    "speaker_name": "Mr. Kiunjuri",
    "speaker_title": "The Assistant Minister for Energy",
    "speaker": {
        "id": 175,
        "legal_name": "Festus Mwangi Kiunjuri",
        "slug": "mwangi-kiunjuri"
    },
    "content": " Mr. Speaker, Sir, I want to respond to the concerns of Mr. John Sambu. He sought a Ministerial Statement on the charges that are demanded by Kenya Power Lighting and Company (KPLC) for connecting customers to transformers. The hon. Member requested for a Ministerial Statement on the amount of Kshs32,000 that is paid by rural consumers under the Umeme Pamoja Project. Mr. Speaker, Sir, about two and half years ago, KPLC introduced a new connection policy with a primary objective of enhancing connectivity by reducing connection costs. Under the new connection policy, persons within the reach of an existing transformer - that is within a distance of 600 metres from the transformer - are required to pay Kshs32,480. That figure comprises a capital cost contribution of Kshs25,000, power charge of Kshs3,000 and Value Added Tax (VAT) of Kshs4,480 at 16 per cent. Prior to the introduction of that new connection policy, consumers used to be charged between Kshs17,000 and Kshs300,000 respectively, depending on their distance from the transformer. There is, therefore, no consumer who is being charged Kshs5,000 for a connection. It is not possible to lower the connection fee considering the current cost of materials. Indeed, the rate being charged currently is about 60 per cent of the connection cost being incurred by KPLC due to the sharp escalation of prices of materials since the introduction of the current policy. Mr. Speaker, Sir, to promote, encourage and ease consumers connectivity and financial burden, KPLC is discussing with various financial institutions on the possibility of lending the required amount to consumers with a repayment period of over 12 months. Under the UmemePamoja Project, the new KPLC connection policy has a provision for connecting persons who are more than 600 metres away from an existing transformer. The new policy requires such persons to team up and jointly apply for electricity supply. That new group supply arrangement is known as"
}