Energy Cabinet Secretary Opiyo Wandayi has told the Senate that there will be no compensation for businesses and individuals who suffer financial losses as a result of power outages, saying current laws do not place that responsibility on Kenya Power.

Appearing before the Senate Energy Committee, Wandayi explained that the compensation framework under the Energy Act 2019 only applies in cases where physical damage is caused by electrical supply lines.

He said the law does not cover losses such as spoiled goods, missed business, or disrupted services that result from electricity disruptions.

“The compensation mechanism laid out in the Energy Act 2019 applies strictly to damages caused by electrical supply lines—not to consequential losses experienced due to power outages,” said Wandayi.

His response followed a question by Kisumu Senator Tom Ojienda, who had asked if there were any policies to support customers affected by preventable service interruptions.

Wandayi admitted that outages have serious economic effects, especially for traders and manufacturers.

However, he insisted that unless Parliament changes the law, Kenya Power and Lighting Company (KPLC) cannot be forced to pay for blackout-related losses.

The Senate committee, chaired by Siaya Senator Oburu Odinga, raised concerns over the high frequency of outages across the country, saying they are stalling business growth and causing public frustration.

In his presentation, Wandayi listed several causes behind the frequent outages. These included transient interruptions from brief grid interference, longer outages caused by faulty equipment, scheduled maintenance, and load shedding during peak hours due to shortfalls in electricity generation and pressure on the network.

He said despite these challenges, Kenya currently has an installed generation capacity of 3,080 megawatts, while peak demand stands at 2,316 megawatts.

He also shared that the national power grid spans about 320,000 kilometres, with more than 80 per cent of that being distribution lines serving homes and businesses through medium and low-voltage connections.

Senator Ojienda also demanded to know how well KPLC is prepared to handle emergencies during the rainy season, including its disaster response and preventive measures.

Wandayi said Kenya Power is actively working to improve the reliability of the grid through preventive maintenance, upgrades to power lines and substations, and clearing of vegetation near electrical infrastructure.

“KPLC is continuously assessing and enhancing the capacity of lines and primary substations to meet growing demand,” he said.

He added that the Kenya Electricity Transmission Company is implementing new transmission projects to improve evacuation of power from generation points to areas of high consumption.

Wandayi also disclosed that KPLC is targeting Sh200 billion in revenue over the next five years through a mix of new business streams. These include consultancy services in power design and construction, maintenance of high-voltage equipment, and professional training under the Institute of Energy Studies and Research.