Kenya Power’s full-year profit up 133 percent to Sh3.5 billion
Electricity distributor Kenya Power has recorded a 133 percent increase in its June 2022 full-year profit to Kes.3.5 billion on account of bumper sales volumes and improvement in system efficiency.
In the 12-month period, Kenya Power sales went up by 6.9 percent even as the company reported 1.5 percent improvement in system efficiency to 77.75 percent.
Further, Kenya Power net revenues were down 15.6 percent at Kes42.1 billion from Kes49.9 billion attributable to a greater cost of sales.
Financial disclosures show that the utility company’s non-fuel power purchase costs increased by 4.75 percent from Kes76 million to Kes79.6 million in what the firm attributes to increased electricity uptake from new generation plants in the year ended June.
Fuel power purchase costs went up to Kes26.5 million from Kes11.2 million because of rise in dispatch of electricity from thermal energy plants from 876GWh to 1,539GWh.
“The increase in a dispatch from thermal plants was due to inadequate electricity generation from hydro sources owing to failed rains, unavailability of key geothermal plants, the interruption of the Loyangalani-Suswa transmission power line, and an increase in fuel prices globally,” the company explained.
Further, the company saw finance costs swell to Kes12.7 million from Kes9 million owing to the loss in value of the shilling against major world currencies.
This week, the Auditor-General in a supplementary audit of Kenya Power blamed the board of the utility for delaying the appointment of a substantive Managing Director.
The audit shows the recruitment stands complete with Kenya Power having paid Kes3 billion to Deloitte Consulting to fill the post, but the company’s Board Chairperson Vivienne Yeda is yet to make the appointment.
Kenya Power has been without a substantive Managing Director since the departure of Bernard Ngugi in August of 2021