Kenya Power and Lighting Company (KPLC) is planning to launch a system that will enable customers to settle their power bills in US dollars. Kenya Power Managing Director Joseph Siror speaking at a past even. KPLC said it has received a go-ahead from the government to effect bill payments in foreign currency. Why KPLC is setting up electricity payments in dollars According to Business Daily, KPLC Finance Manager Stephen Vikiru said the utility firm is in the process of setting up accounts to receive foreign currency payments from consumers. Vikiru revealed a long engagement between the company, the Energy and Petroleum Regulatory Authority (EPRA) and the Ministry of Energy to bring the plan to fruition. “We now have the necessary approvals. The company is in the process of opening collection accounts that will be interfaced with our payment systems,” said Vikiru. This followed the continued depreciation of the Kenya shilling, which hit a low of KSh 163 against the US dollar in January 2023. Implications of KPLC bill payments in US dollars In an exclusive interview with TUKO.co.ke, FXPesa market analyst Rufas Kamau noted that the move would help KPLC solve its forex-related challenges. These could include debt settlement, since most of its loan portfolios are denominated in US dollars. “With the government owning over 50% of Kenya Power, this move serves to help Kenya Power solve its forex cost problems,” said Kamau.
by Wycliffe Musalia