[kictanet] KENYA POWER TO 'EXIT' RURAL ELECTRIFICATION MARKET - A CASE OF THE TAIL WAGING THE DOG?

[Mark Mwangi]

I wonder how they refer to the issue as though it is a favor they were
doing the rural area dwellers. Isn't it a government policy/ directive? how
is a commercial company deciding on behalf of the populace? And what
happens to the billions they collect from the consumers for the same? I
also think the monopoly needs to be killed immediately.


On Thu, Aug 15, 2013 at 1:57 PM, Ali Hussein <ali at hussein.me.ke> wrote:

> Listers
>
> Kenya Power has announced that they will no longer prioritize Rural
> Electrification because of what they term unacceptable terms for
> connectivity. This, even when the Government has offered 2.7B in subsidies
> to the Monopoly Power company.
>
> I don't need to dwell into the myriad of issues this country's consumers
> have faced at the hands of this monopoly. Now we have a case where the tail
> is trying to wag the dog..
>
>
> http://www.businessdailyafrica.com/Corporate+News/Kenya+Power+dumps+rural+consumers+in+cost+cutting+plan/-/539550/1948510/-/qbmf1z/-/index.html
>
> This level of irresponsibility on a utility solely responsible for
> electrification in the country is not only unacceptable but bordering on
> economic sabotage.
>
> In defense of Kenya Power, the Ag.CEO did say that they are unable to do
> this Rural thing because they are subjected to the vagaries of the market
> as they are a public company quoted on the NSE.
>
> I have some questions to the Cabinet Secretary of Energy, the Government
> at large and listers in general:-
>
> 1. Isn't it time to call Kenya Powers bluff and kill this monopoly? You
> can't at the same time try to protect your monopoly while vomiting on our
> shoes - read the Kenya People. (sorry but couldn't help the analogy once
> used by the British Ambassador when he was referring to the Govt accepting
> grants from the British people and then use the money to buy Chinese
> vehicles instead of Landrovers! :) what cheek! )
>
> 2. There has been discussions on this list about whether the whole Power
> Sector needs to be liberalists ala the Telkom Sector. Maybe there is an
> Mpesa waiting to happen there...
>
> 3. Should the government empower the Rural Electrification Authority to
> roll out connections in the counties? Are there synergies between this
> Authority and the yet to be heard of Universal Access Fund? Can the
> Government find the strength to break silos and work together in this?
> After all where power goes internet connectivity should be its bedmate.
>
> What's your take?
>
> Ali Hussein
> CEO | 3mice interactive media Ltd
> Principal | Telemedia Africa Ltd
>
> +254 713 601113/ 0770 906375
>
> "The future belongs to him who knows how to wait." - Russian Proverb
>
> Sent from my iPad
>
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-- 
Regards,

Mark Mwangi

markmwangi.me.ke
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