Electricity consumers will pay additional charges of about Sh4.16 per kilowatt-hour (kWh) on electricity consumed in September 2026 following a revision of monthly pass-through costs by the Energy and Petroleum Regulatory Authority (EPRA).
The charges apply to electricity meter readings taken during September and will be reflected in bills and prepaid electricity purchases, depending on the applicable billing arrangement.
The largest component is the Fuel Energy Cost Charge (FEC), which has been set at Sh3 per kWh. The charge is used to recover the cost of fuel used by thermal power plants to generate electricity.
EPRA said the September charge applies to all electrical energy prices specified under the approved tariff schedule.
The authority’s tariff framework provides for monthly pass-through charges because some electricity generation and supply costs fluctuate from month to month. These include fuel costs, foreign exchange movements and water resource charges.
Three charges make up the additional cost
The second major component is the Foreign Exchange Rate Fluctuation Adjustment (FERFA), which adds about Sh1.14 per kWh.
FERFA is intended to cushion electricity suppliers against changes in the exchange rate, particularly where power purchase costs and financial obligations are denominated in foreign currencies. EPRA’s tariff framework recognises foreign exchange fluctuations as one of the components that can be passed through to consumers.
The third component is the Water Resources Management Authority levy, charged at about 1.48 cents per kWh.
The levy is linked to the use of water resources for electricity generation by hydropower plants.
Combined, the three charges amount to approximately Sh4.16 for every unit of electricity consumed.
For a household that uses 100 kWh in a month, that translates to about Sh416 in these three pass-through charges alone, before other applicable electricity charges and taxes are considered.
New rules for customers with solar systems
EPRA has also amended provisions affecting consumers who generate their own renewable electricity under the net-metering system.
Under Kenya’s 2024 Net-Metering Regulations, consumers receive a credit for electricity they export to the grid, with the credit set at 50 per cent of the exported units.
The revised framework also provides for electricity supplied to the grid without the required approval to be treated as dumping and charged at the applicable base tariff.
This means households and businesses with renewable energy systems will need to comply with the approved net-metering arrangements when supplying surplus electricity to the Kenya Power network.
Domestic customers to be placed in consumption bands
EPRA has also provided for domestic electricity consumers to be classified according to their average consumption over three months.
The proposed categories are customers using up to 30 units, those consuming 30 to 100 units, and those using between 100 and 15,000 units.
The classification is intended to distinguish consumers according to their electricity usage under the revised tariff framework.
Electric vehicle charging has also been assigned a tariff of Sh16 per kWh, with the rate falling to Sh8 per kWh during off-peak periods.
Why electricity costs remain under pressure
The latest charges come as Kenya continues to manage the cost and reliability of its electricity supply.
Fuel costs for thermal generation, foreign exchange movements and other pass-through components can change the amount consumers ultimately pay even when the underlying base tariff remains unchanged.
EPRA’s data shows that pass-through costs have historically fluctuated significantly depending on fuel prices, exchange-rate movements and other factors affecting electricity supply.
At the same time, Kenya is expanding renewable generation while managing the challenges created by variable sources such as wind and solar.
The electricity system must balance these intermittent sources with generation that can provide power when renewable output falls.
Geothermal and hydropower therefore remain important components of Kenya’s electricity mix, while grid operators continue to address the technical and financial implications of integrating more variable renewable energy.
For consumers, the immediate effect of the September revision is straightforward: each unit of electricity consumed attracts about Sh4.16 in the specified pass-through charges, adding to the overall cost of electricity for households and businesses during the billing period.
 on electricity consumed in September 2026 following a revision of monthly pass-through costs by the Energy and Petroleum Regulatory Authority (EPRA).){kind=link}