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{
    "id": 664399,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/664399/?format=api",
    "text_counter": 27,
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    "content": "the distance, type of load, method of connection, supply-demand and the actual cost established during the design period. However, there will be systematic and organic expansion of the network so that all Kenyans are reached and covered so that they can pay Kshs15,000 KVA domestic load or less. The connection charges of the customers beyond 600 metres will also gradually reduce as the network gets closer and closer to the prospective customers. (b) Explain why the Government is discriminating against sections of the public in terms of the allocation when determining charges of electricity connection. The response is as follows:- The company is not discriminating against any section of the public in terms of their location but is implementing several projects which are aimed at achieving the Government target of access of 70 per cent of Kenyans by June 2017 and the universal access by the year 2020. The company has ensured that the ongoing projects are supported by donors and the Government and are spread throughout the constituencies and counties using the Constituencies Development Fund (CDF) distribution formula. There are several projects that are ongoing that will enable customers with loads of 8KVA and are located beyond 600 metres from the existing transformers to access electricity. Electricity to schools, public facilities and markets which are being reached by Rural Electrification Authority (REA) and the Last Mile Connectivity Projects (LMCP) are as follows:- (i) Phase I is enhancing electricity penetration. The first phase is funded by African Development Bank (ADB) at 90 per cent and the Government of Kenya at 10 per cent. A total of US$150 million which is Kshs15 billion would cover 5320 distribution transformers selected and which will be distributed across the 47 counties in Phase I. It will cover about 314,200 customers. The installation contracts were signed on 11th December, 2015. Negotiation between the bank and the Government of Kenya for additional US$150 million which is Kshs15 billion to be funded by ADB has been concluded and is awaiting the bank’s approval. The additional financing from ADB window will cover 87 per cent while the Government of Kenya (GOK) will cover 13 per cent. The total is to minimize approximately 5320 distribution transformers which will bring on board 385,000 customers in all the 47 counties. That will enable access of 1.7 million Kenyans. (ii) Phase II is extending connectivity to high density population zones; peri- urban. The second phase is funded by the World Bank and the International Development Association (IDA) at a cost of US$150 million which is Kshs15 billion and a target of 312,500 potential customers across the country. This phase involves short extension of high voltage lines and further densification of transformers in peri-urban areas of all counties and constituencies. (iii) Phase III - Further electricity penetration. The French Development Agency (FDA) together with the European Union (EU) aim at making available to the GOK a total of €120 million which is Kshs13.7 billion for the implementation of the LMCP. Of this amount, €90 million will be a concessional sovereign loan from the French Government and €30 million will be a grant from the EU. A total of 197,000 customers The electronic version of the Senate Hansard Report is for information purposes only. A certified version of this Report can be obtained from the Hansard Editor, Senate"
}