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{
"id": 1561062,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561062/?format=api",
"text_counter": 314,
"type": "speech",
"speaker_name": "Nakuru Town East, UDA",
"speaker_title": "Hon. David Gikaria",
"speaker": null,
"content": "5. Valid National Environment Management Authority (NEMA) licence. 6. Audited accounts for the last three years. 7. Report by a competent engineer. 8. Approved Power Purchase Agreement/Tariff. 9. Certificate of Incorporation for the company. 10. CR12. 11. Land title deed/registered lease. 12. Demonstration of technical competency to implement the project and carry out operation and maintenance. 13. A memorandum of understanding between the County Government of Busia on behalf of the beneficiary communities and RV.SOL, which wholly owns KUDURA. The second question was on the agreement on leases granted to KUDURA Power East Africa Limited to impose tariffs on power supplied and steps being taken to regulate such charges. The response is as follows: On 25th March 2020, the EPRA granted KUDURA Power East Africa Limited generation, distribution, and supply licences for operation of the 10 solar PV mini grids in Table 1 above. Section 11(c) of the Energy Act, 2019 mandates the EPRA to set, review, and adjust electric power tariffs and tariff structures and investigate tariff charges, whether or not a specific application has been made for a tariff adjustment. The approved tariffs shall be a just and reasonable tariff which enables a licensee, including KUDURA Power East Africa Limited to, inter alia: maintain its financial integrity; attract capital; operate efficiently; and, compensate investors fully for the risks assumed. Section 165(7) of the Energy Act, 2019, and the current Retail Electricity Tariff Review Guidelines, 2023 provide for a review of retail electricity tariffs once every three years. Section 163 of the Energy Act, 2019 requires that tariffs and contracts for supplying electrical energy and network services be submitted to the EPRA for approval before execution. KUDURA’s tariff application for 10 sites in Busia County, Western Kenya was approved by the EPRA Board on 30th January 2019 having met all the tariff approval requirements. The third question was on the timelines within which KUDURA Power East Africa Limited will upgrade its infrastructure to ensure continuous and un-interrupted supply of power to homesteads. The response is as follows: Solar mini grids can become unreliable during the rainy season primarily due to the following: 1. Reduced solar irradiance that could significantly reduce electricity generated to sometimes 10 to 25 per cent of the peak performance. 2. During extended cloudy or rainy periods, batteries may not fully charge leading to shortages, especially at night or during peak demand. 3. Sometimes power demand increases during rainy seasons for lighting or indoor activities putting more pressure on the already limited generation capacity."
},
{
"id": 1561063,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561063/?format=api",
"text_counter": 315,
"type": "speech",
"speaker_name": "Nakuru Town East, UDA",
"speaker_title": "Hon. David Gikaria",
"speaker": null,
"content": "The mitigations for that are: 1. Inverters that were previously problematic have been replaced. 2. The operator to strengthen their distribution network and work towards replacing all defective storage batteries, especially in Buyende area, within one month. 3. The EPRA has instructed the operator to develop strategies to enhance power supply reliability during cloudy periods and submit a report on this to the Authority within two weeks. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
},
{
"id": 1561064,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561064/?format=api",
"text_counter": 316,
"type": "speech",
"speaker_name": "Nakuru Town East, UDA",
"speaker_title": "Hon. David Gikaria",
"speaker": null,
"content": "4. The EPRA will send a technical team to the sites to further probe the issues raised and come up with a detailed report. The fourth and last question was on a report on the terms of the agreement between KUDURA Power East Africa Limited and the Government, including whether the terms are subject to review to allow alternative service providers to supply power alongside KUDURA Power East Africa Limited. The response is as follows: Section 165(7) of the Energy Act, 2019 and the current Retail Electricity Tariff Review Guidelines, 2023 provide for a review of retail electricity tariffs once every three years. Therefore, KUDURA Power East Africa Limited is required by the aforesaid provisions of the law to submit a tariff renewal every three years upon the expiry of the approved tariff, subject to review and approval by the Authority. Second, the generation and distribution licences were given for 10 years commencing in 2020, hence KUDURA Power East Africa Limited is remaining with about five years within which they ought to have recovered their investment, after which the terms will be renegotiated or the sites handed over to a different distributor. Third, the Ministry of Energy and Petroleum has developed draft mini-grid regulations which give guidelines on what options will be available to the mini-grid operator when the main grid arrives. Once the mini-grid regulations are enacted, KUDURA Power East Africa Limited may operate as: 1. A power producer selling to the distribution licensee. 2. A power distributor that purchases power in bulk from the distribution licensee and resells that electricity to the consumers. 3. The mini-grid operator that remains the power distributor for the area, purchasing power from the distribution licensee to sell to the consumers, in addition to its existing generation. I submit."
},
{
"id": 1561065,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561065/?format=api",
"text_counter": 317,
"type": "speech",
"speaker_name": "Hon. Farah Maalim",
"speaker_title": "The Temporary Speaker",
"speaker": {
"id": 16,
"legal_name": "Farah Maalim Mohamed",
"slug": "farah-maalim"
},
"content": " Hon. Oundo."
},
{
"id": 1561066,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561066/?format=api",
"text_counter": 318,
"type": "speech",
"speaker_name": "Funyula, ODM",
"speaker_title": "Hon. (Dr) Ojiambo Oundo",
"speaker": null,
"content": " Thank you, Hon. Temporary Speaker. I also thank the Chairperson for the effort he has made to present the response to the request for a Statement. However, honestly speaking, this is like a defence Statement written by KUDURA Power East Africa Ltd. It obviously cuts around the main issues requested. I want the Chair to carefully note that question two is the most important. When they say: “This approved tariff shall be just and reasonable which enables---” Hon. Temporary Speaker, there is no way Ksh88 per Kilowatt hour for KUDURA Power East Africa Ltd against Ksh25 per kilowatt hour for Kenya Power can be termed just and fair. This is exploitation and daylight robbery. Secondly, they indicate that the tariffs are reviewed every three years. KUDURA Power East Africa Ltd., started operating in 2020. Obviously, a follow-up question, which I hope the Chair will get details and revert, is, when was the last review and what was it reviewed to? The main overriding concern is the issue of the tariffs. We will wait for these draft regulations to allow our people have alternative sources as we wait for the expiry of this inordinately long period that seems to simply exploit the beneficiaries. Thank you."
},
{
"id": 1561067,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561067/?format=api",
"text_counter": 319,
"type": "speech",
"speaker_name": "Hon. Farah Maalim",
"speaker_title": "The Temporary Speaker",
"speaker": {
"id": 16,
"legal_name": "Farah Maalim Mohamed",
"slug": "farah-maalim"
},
"content": " The interest is only one way. Do you have something to add? Please give him the microphone."
},
{
"id": 1561068,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561068/?format=api",
"text_counter": 320,
"type": "speech",
"speaker_name": "Nakuru Town East, UDA",
"speaker_title": "Hon. David Gikaria",
"speaker": null,
"content": " Thank you, Hon. Temporary Speaker. The electronic version of the Official Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Hansard Editor."
},
{
"id": 1561069,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561069/?format=api",
"text_counter": 321,
"type": "speech",
"speaker_name": "Hon. Farah Maalim",
"speaker_title": "The Temporary Speaker",
"speaker": {
"id": 16,
"legal_name": "Farah Maalim Mohamed",
"slug": "farah-maalim"
},
"content": " Have you taken note of exactly where he feels that KUDURA Power East Africa Ltd., is cutting around?"
},
{
"id": 1561070,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561070/?format=api",
"text_counter": 322,
"type": "speech",
"speaker_name": "Nakuru Town East, UDA",
"speaker_title": "Hon. David Gikaria",
"speaker": null,
"content": " Yes."
},
{
"id": 1561071,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1561071/?format=api",
"text_counter": 323,
"type": "speech",
"speaker_name": "Hon. Farah Maalim",
"speaker_title": "The Temporary Speaker",
"speaker": {
"id": 16,
"legal_name": "Farah Maalim Mohamed",
"slug": "farah-maalim"
},
"content": " Please, respond to that right away."
}
]
}