Kenya Power, a state-owned utility firm, has launched a new five-year corporate strategic plan to guide its operations in the medium term.
The corporate strategic plan 2023/24-2027/28 will drive value creation levers, redefine Kenya Power’s operational business model, and explore new growth areas to diversify and deepen revenue streams.
“The strategic plan will deliver projects and initiatives that strengthen Kenya Power’s competitive advantage, secure its profitability, increase access to electricity, and improve the reliability and efficiency of power supply,” said Kenya Power’s Managing Director & CEO, Dr. (Eng.) Joseph Siror.
Currently, Kenya Power boasts a grid of more than 300,000 kilometers, supplying electricity to 9.2 million households and transforming the lives of 75% of the country’s population through access to electricity.
- The strategic plan will guide the attainment of financial sustainability, customer centricity, operational excellence, and optimisation of human capital which are the main determinants of the Company’s ability to provide efficient, reliable, and affordable electricity.
- Further, the plan seeks to provide an optimal balance of competing interests in the electricity sub-sector to drive value for consumers.
- This new strategic plan is being rolled out when Kenya Power is in the red and running on a dilapidated network that is also affected by system losses.
“Given that electricity is an enabler of the country’s socio-economic development, the Company’s sustainability depends on, and gains from, increasing prosperity in its operating environment,” said Kenya Power’s Chair, Joy Brenda Masinde, “The generation mix, network growth, and average tariff progression will lead to more competitively priced electricity to the consumer while ensuring sustained profitability for the company.”
The utility firm has also appointed Deloitte to assist in the restructuring of its board to dilute state control of the firm and make it commercially viable.
- Kenya Power recorded a net loss of KSh 3.2 billion for the full-year period ended 30th June 2023 compared to a net profit of KSh 3.3 billion at the end of the 2022 financial year.