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Research Paper | Management | Kenya | Volume 3 Issue 9, September 2014 | Popularity: 6.8 / 10

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Monopoly in Electricity Generation and Electricity Supply is a threat to Investment Expansions in Kenya

Peter Gudo Ogira

Abstract: The effects of electricity shortage, electricity generation and electricity supply monopoly on investment in Kenya are presented in this article. Method of data collection was done through questionnaires within western province towns of Kakamega and Bungoma among the business, jua kali and household communities. The actual numbers of people interviewed were 931 with 510 from Kakamega and 421 from Bungoma. The results from both research sites indicate that by removing monopoly from electricity generation and electricity supply will possibly make Kenya become fully industrialized nation within a period of seven years after its removal. The results also indicate that without removal of monopoly in electricity generation and electricity supply, the vision 2030 will not be possible to achieve. The following are the key factors of consideration: High cost of electricity to the people of Kenya, Low coverage of electricity within the nation, Rural urban migrations, Eventual privatization of the industry, to introduce elements of free enterprise and competition, Low investment expansions in small towns and rural set up due to lack of electricity, The Electricity Regulatory Board (ERB) failure to advice correctly for the promotion of electricity widespread in Kenya, and Poor politics by politicians towards electricity expansions to all parts of the Country.

Keywords: Kenya, Electricity, Monopoly, Investment

Edition: Volume 3 Issue 9, September 2014

Pages: 1651 - 1657

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