The government has announced that electricity costs have been reduced by KSh 0.2685 per kilowatt-hour.
In a statement on Wednesday, June 10, Energy Cabinet Secretary Opiyo Wandayi said the reduction takes effect from June 2026 and is part of the government’s efforts to reduce the cost of doing business and cushion consumers.
“In addition, effective June 2026, electricity costs have reduced by KSh 0.2685 per kWh. This reduction is driven by a significant drop in the Forex Adjustment component, a decrease in the Fuel Energy Cost (FEC) and increased hydropower generation,” read part of the statement.
He said the adjustment reflects gains within the energy sector that will be passed directly to Kenyans, following a suspension of the proposed electricity tariff review.
CS Opiyo Wandayi on Electricity Prices
The ministry also noted that lower fuel energy costs and improved hydropower output contributed to the reduced electricity prices.
Wandayi said the government remains committed to ensuring affordable, reliable and sustainable energy for households and industries, adding that continued consultations with the manufacturing sector have focused on energy supply, reliability and affordability.
He further stated that fuel deliveries have been secured through the end of July, ensuring uninterrupted petroleum supply amid global market volatility.
Also Read: CS Wandayi Reveals Causes of Nairobi Power Outages After Heavy Rains
The ministry also signalled a further reduction in diesel prices in the next monthly review, noting its importance to transport, agriculture and manufacturing sectors.
Wandayi said the government will continue engaging stakeholders to stabilize energy costs and support economic growth.
“Fuel deliveries have already been secured through the end of July, ensuring uninterrupted supply and shielding Kenyans from the shortages and disruptions experienced elsewhere,” read part of the statement.
Also Read: CS Opiyo Wandayi Clears the Air on Stabex and G-to-G Fuel Deal
Govt Holds Talks with Manufacturers Over Energy Costs and Supply
The announcement came after discussions between CS Opiyo Wandayi and stakeholders under the Kenya Association of Manufacturers.
The discussions focused on key priorities, including adequacy of energy supply, reliability and quality of electricity, and affordability of energy.
Additionally, the government noted that the cost of doing business remains a key concern due to its impact on competitiveness, investment and livelihoods, adding that it remains committed to maintaining a stable and predictable energy environment.
It further said ongoing consultations are intended to support industrial growth, protect jobs and sustain economic activity through collaborative problem-solving with stakeholders.
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