Electricity generator, Kenya Power, has sunk deeper into losses for the financial year ending June 2020 after recording the worst results in decades.
The firm reported a net loss of Sh2.98 billion in this financial year, compared to a net profit of Sh262 million it posted in the year to June in 2019.
Kenya Power continues to record losses while Kenya Electricity Generating Company (KenGen) that relies on it for all its revenues, continues to make profit after it reported Sh10.5 billion in profit after tax compared to Sh7.88 billion it made in the year to June 2019.
The two firms have only released unaudited results with the final numbers expected in December 2020 for KenGen and January 2021 for Kenya Power.
But the National Treasury’s Consolidated National Government Investment Report has warned that ‘care’ be must taken when using or interpreting the numbers.
The two electricity firms had received regulatory approvals from the Capital Markets Authority to delay publishing their results because there was a delay in the appointing of the Auditor General.
According to the approval by the CMA, KenGen has upto December 15 to publish its results while Kenya Power has till the end of January 31 next year.
The power generator has been making outrageous losses of up to 92% forcing it to realign its priorities including cuts on projects as sports sponsorship.
To stay afloat, Kenya Power has been hiking electricity cost on consumers but it still remains in the loss making trenches.
Last Thursday, Energy and Petroleum Regulatory Authority (EPRA) was forced to make clarifications on reports that it had approved higher Kenya Power’s application to hike charges.
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