Households and businesses across the country are set to benefit from lower electricity bills after the Ministry of Energy and Petroleum announced a reduction in power tariffs for the June 2026 billing cycle.
Energy Cabinet Secretary Opiyo Wandayi said electricity costs will decrease by KSh0.2685 per kilowatt-hour beginning this month, offering relief to consumers who have faced rising power bills in recent months.
According to the Ministry, the latest adjustment reflects improvements in key cost drivers that influence electricity pricing.
“Effective June 2026, electricity costs have reduced by KSh0.2685 per kWh,” Wandayi announced.
Lower Fuel Costs and Increased Hydropower Drive Reduction
The Cabinet Secretary attributed the reduction to a combination of factors, including lower fuel energy costs, a significant decline in foreign exchange adjustment charges and increased electricity generation from hydropower sources.
“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,” Wandayi said.
Hydropower remains one of the country’s most affordable energy sources, and increased rainfall in recent months has boosted water levels in key dams, allowing greater reliance on hydroelectric generation and reducing dependence on costly thermal power
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Relief for Households and Manufacturers
The announcement comes amid growing concerns from consumers and manufacturers over the cost of electricity, which many have argued continues to affect household budgets and business competitiveness.
Government officials indicated that the tariff adjustment follows consultations between the Ministry of Energy and key stakeholders, including the Kenya Association of Manufacturers (KAM), which has consistently called for measures to lower energy costs and support industrial growth.
The reduction is expected to provide some relief to both domestic consumers and businesses that have experienced increased electricity expenses over the past several months.
Reversal After Recent Increase
The latest review comes barely a month after electricity prices increased during the May 2026 tariff adjustment.
At the time, the Energy and Petroleum Regulatory Authority (EPRA) raised electricity charges by KSh1.10 per kilowatt-hour, citing rising foreign exchange losses incurred by power producers.
According to EPRA, total exchange losses reached approximately KSh1.17 billion in April 2026, contributing to the upward adjustment in electricity costs.
The June reduction signals a partial reversal of that increase and reflects improved conditions within the energy sector.
Government Focused on Affordable Energy
The Ministry of Energy says it remains committed to ensuring affordable and reliable electricity for households, businesses and industries while maintaining the sustainability of the country’s power sector.
Officials note that continued investments in renewable energy, including hydropower, geothermal and wind generation, are expected to help stabilize electricity prices and reduce exposure to global fuel price fluctuations and foreign exchange pressures.
The latest adjustment is expected to be reflected in electricity bills issued during the June 2026 billing period.
