The Energy Regulatory Commission (ERC) seeks to establish a fund to cushion operators of mini-grids from high costs as part of regulations to encourage investors to generate, transmit and sell electricity in remote areas at affordable retail prices.
“The cost of a tariff for a mini-grid is quite high because you are doing generation, distribution and billing,” ERC director general Pavel Oimeke said. “Right now, the government is funding transmission lines through Ketraco and we have Kenya Power and REA (Rural Electrification Authority) doing distribution. So the cost that people are paying (for electricity) now is not the true cost.”
Full article: ESI Africa