KENGEN and Kenya Power make 10 billion net profit- 2.8b, 6.4b

[gout]

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as kenyans and investors cry over erratic power supply the key shareholders are smiling all the way ... that the govt is part of this scam is crazy .... being a key shareholder it should stop the madness

this privatization thing was such a rip off ...has there been serious audit on the amount invested into KENGEN and Kenya Power by the 'investors' versus taxpayers' investments and subsidies

that ERC sanctioned the tariffs increases "".......

http://www.businessdailyafrica.com/Kenya-Power-nearly-doubles-net-profit-/-/539546/2495888/-/ce2h39z/-/index.html

http://www.businessdailyafrica.com/Corporate-News/KenGen-slashes-dividend-pay-as-profit-dips-46pc/-/539550/2497222/-/vcath6/-/index.html


hope soon we wont hear of privatization of NOCK, GDC and KETRACO given massive taxpayers monies being thrown there

[RV Pundit]

Those are very little monies if you compare to utilities company abroad or even at similar gdp levels with kenya. KPLC are dealing with mere 1,800MW of power and 2.5M of customers..in a country with more than 12M households. That shows you the potential for KPLC is to make about 4 times more profit.

At this point..we should have upto 10,000MW of power..and 10M connected customers..and KPLC would be making about the same money Safaricom is making...about 30B kshs profit per annum.

And nobody is complaining about Safaricom 30B kshs profit...because they are delivering services.

Jubilee have challenged them to connect 1M customers annually (from i think 400,000 now)...and if they do that...they can connect 5M people in next 5yrs..and they will be 8M customers.....and household then might be 14-15M. They will be half way...a level where Ivory coast for example is already there..RSA must be in 80%.

[Georgesoros]

Is there such a thing as public utilities commision?
These profits are excessive.
If they are re-inevsted then am OK with it but still

[gout]

if we do some funny maths using the 62 billion revenue and the 1800mw it show that 1 mw brings in Kshs. 34,444,444 as revenue ..given production costs fall under KENGEN what does this point to

Safaricom revenues are at 120 billion with airtime, MPESA, MShwari, LIPA Kodi, internet and 20 million customers

[RV Pundit]

Profit are only a problem because of monopoly...otherwise if there was fair competition..the consumer would get fair price...otherwise ERC as the regular should step in to ensure the margins are reasonable.

Yes the profit are obscene because we paying 4-5 times what RSA and Egypt are paying for power. Once we reduce the thermal energy component...we will reduce the prices by half...that will still leaves us with power 2 times more expensive than Egypt and RSA.

We will then have deal with KPLC inefficiencies[retrenchments to reduce staff cost,more technology,more productivity], corruption and sloth to bring our power  at the same level as RSA.

That may happen in 2020..unless Jubilee become really serious.

Is there such a thing as public utilities commision?
These profits are excessive.
If they are re-inevsted then am OK with it but still