June 24, 2024
EXPLAINED: Why Token Units Vary For The Same Amount - Kenya Power

EXPLAINED: Why Token Units Vary For The Same Amount – Kenya Power

Kenya Power has explained why some Kenyans receive various token units while paying the same amount.

Rosemary Oduor, General Manager of Commercial Services and Sales, highlighted on Thursday that the current Tariff structure splits customers into three groups based on their typical use. 

Oduor noted that the three bands, Domestic Customer One (DC1), Domestic Customer Two (DC2), and Domestic Customer Three (DC3), divide consumers into three categories: fewer than 30 units, 30 to 100 units, and more than 100 units. 

This means that DC1 customers who use fewer than 30 units per month will be taxed Ksh.12.24, DC2 at Ksh.16.58, and DC3 at Ksh.20.58.

“The Tariff structure that was approved last year that is in force has domestic customers in three buds; the lower band is the people who consume less than 30 units a month, then your rate is Domestic Customer 1,” she said.

“The current cost per unit in DC1 is Ksh.12.24 before adding VAT and fuel energy and others. If you consume between 30 and 100 units per month, then your rate is Ksh.16.58 units a month. The upper band which is above 100 units the rate is Ksh.20.58 per unit.” 

Ms Oduor went on to explain that the categorization is based on a customer’s average use over the previous three months, which decides which band they are assigned to.

“So if you belong in DC3, of 100 and above units, even your first unit is charged in DC3 rate. So it doesn’t add value for you to buy 30 units, then 70 and another because your charge is based on your average consumption which then determines the band which you operate,” she added.

Consumers who subscribe to last-mile connectivity, on the other hand, pay higher costs and obtain fewer units because half of the tokens they buy are utilized to pay for the connection.

“There is an additional charge that comes to people connected under the last mile still paying for their connection charge which is charged at half the amount. If you paid Ksh.100, then half of the amount would go to paying for the connection which you have been given upfront,” Ms Oduor stated.

Ms Oduor’s comments came after Kenya Power consumers complained about receiving varying numbers of tokens for the same price.

EXPLAINED: Why Token Units Vary For The Same Amount – Kenya Power

Leave a Reply

Your email address will not be published. Required fields are marked *