NAIROBI, Kenya — Kenya Power has turned to the Council of Governors (CoG) to mediate a growing dispute over electricity bills with 10 county governments, after direct engagements with governors proved contentious, particularly in Nairobi City County.
The utility hopes the CoG will help reconcile conflicting billing records and steer a settlement acceptable to both sides.
Kenya Power’s internal records show the 10 counties owe a combined Sh3.9 billion, but county government documents indicate liabilities of only Sh1.5 billion, creating wide discrepancies.
Auditor-General Nancy Gathungu, in her latest report, said Nairobi City County accounts for the bulk of the disputed amounts, representing 95.5pc of the total variances identified.
“Review of data obtained from sampled county governments revealed variances in amounts owed by 10 county governments totaling Sh2,363,985,447,” Gathungu said.
According to the report, Nairobi City County’s own records show it owed Sh1.346 billion as of June 2025. However, Kenya Power’s billing data placed the amount at Sh3.6 billion, creating a gap of Sh2.258 billion.
Other counties also recorded significant inconsistencies between utility and county figures.
Migori County had a disputed bill of Sh34.58 million, with Kenya Power claiming Sh54.5 million while the county reported Sh19.95 million.
Homa Bay showed a variance of Sh19.35 million, Kirinyaga Sh14.2 million, Kakamega Sh12.6 million, Isiolo Sh12.5 million, Embu Sh7.6 million, Bungoma Sh3.6 million, Laikipia Sh1.1 million, and Samburu Sh55,525.
The Auditor-General said Kenya Power has now escalated the matter to the CoG as part of efforts to close the gaps.
“Management subsequently provided additional information, including billing records, joint verifications between the company and affected county governments, and an ongoing collaboration with the CoG towards addressing the matter,” Gathungu said.
The standoff with Nairobi City County previously spilled into public view in 2024, when the administration of Governor Johnson Sakaja staged protests at Kenya Power’s Ngara offices, dumping garbage outside the utility’s headquarters to protest what it termed inflated and disputed bills.
The county government accused Kenya Power of poor billing practices and failure to reconcile historical accounts, while the utility insisted the debts reflected actual electricity consumption.
The disputed Sh3.9 billion owed by the 10 counties forms only a fraction of the broader Sh39 billion Kenya Power says it is owed across all customer categories, underscoring the utility’s persistent struggle with revenue collection.
The Auditor-General noted that unresolved public sector debts continue to strain Kenya Power’s cash flow, affecting its ability to invest in network upgrades and maintain service reliability.
The mediation process through the Council of Governors is expected to involve joint account verification exercises and harmonisation of billing data, as pressure mounts on both national and county governments to stabilise the country’s power utility amid rising operational costs and consumer complaints.
