EPRA Raises Electricity Charges By Ksh4.16 per Unit In Revised September Tariffs

Electricity prices across Kenya are set to rise following a Ksh4.16 per unit tariff revision announced by the Energy and Petroleum Regulatory Authority (EPRA).

The adjusted tariffs, detailed in an official Gazette Notice dated September 18, 2026, apply to all meter readings taken during September, directly impacting residential households and business establishments on their upcoming power bills.

Breakdown of the Tariff Adjustments

The largest portion of the increase stems from the Fuel Energy Cost Charge, set at Ksh3.00 per kilowatt-hour (kWh) to cover operational expenses incurred by thermal power stations such as Kipevu III and Rabai. The second driver is the Foreign Exchange Fluctuation Adjustment, pegged at approximately Ksh1.14 per unit, designed to shield power utilities against foreign currency swings tied to Ksh1.32 billion in exchange costs. The remaining component is the Water Resources Authority (WRA) Levy, fixed at 1.48 cents per unit to compensate for water usage at major hydroelectric facilities including Gitaru, Kiambere, and Turkwel. Combined, these variables add Ksh4.16 per unit, adding roughly Ksh416 in additional charges for a household consuming 100 units monthly.

Net Metering, Customer Categorization, and EV Rates

Alongside the fuel and exchange rate adjustments, EPRA amended the 2023 tariff schedule to introduce new structural rules for private power producers and consumer bands. Customers who generate their own renewable energy under net metering arrangements will now be credited for only 50 percent of the excess power they export to the national grid. Unapproved energy feed-ins—classified by the regulator as dumping—will result in the generator being billed at applicable base tariffs for the fed-in power.

Domestic consumers have also been structured into three usage categories based on their three-month consumption averages: up to 30 units, between 30 and 100 units, and between 100 and 15,000 units. Furthermore, dedicated tariffs for electric vehicle (EV) charging stations have been set at Ksh16 per unit during peak hours and Ksh8 per unit during off-peak periods.

Grid Stability Concerns

The regulatory updates come as Kenya Power moves to moderate the integration of new solar and wind projects due to grid stability risks. Variable renewable sources currently account for over 21 percent of Kenya’s total grid capacity and supply 34 percent of peak daytime demand, causing fluctuations that require expensive thermal backup generation. To address this, Kenya Power is requiring future solar and wind installations to incorporate battery storage systems capable of providing three to four hours of reserve power, while prioritizing baseload capacity expansion through geothermal and hydroelectric developments.