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Energy and Petroleum Cabinet Secretary Opiyo Wandayi has reiterated the government’s commitment to delivering affordable, reliable, and sustainable energy to support Kenya’s manufacturing sector.
Speaking after a consultative meeting with leaders and representatives of the Kenya Association of Manufacturers (KAM), Wandayi said the government is focused on maintaining a stable energy environment despite ongoing fluctuations in global energy markets.
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He emphasized that the administration remains dedicated to ensuring industries and their customers benefit from cost-effective energy solutions.
Wandayi noted that continuous engagement with industry stakeholders is key to addressing challenges facing manufacturers and positioning Kenya as a competitive destination for investment and industrial growth.
He said discussions with KAM centered on three main areas: energy supply adequacy, electricity reliability and quality, and affordability of power.
According to the CS, sustained consultation between government and the private sector is essential in developing practical and lasting solutions.
He acknowledged concerns raised by manufacturers over rising production costs, cash flow pressures, and increasing global competition, describing them as legitimate challenges that require joint action.
Wandayi stressed that manufacturing plays a vital role in job creation, export earnings, and national revenue, adding that the sector’s challenges cannot be ignored.
He further stated that the government is committed to strengthening the energy sector’s long-term sustainability while improving the business environment to support investment, job security, and economic growth.
The CS highlighted several interventions already implemented to reduce the cost of electricity, including the suspension of a proposed tariff review and the introduction of reduced electricity prices effective June 2026.
He noted that electricity costs have decreased by Sh0.2685 per kilowatt-hour due to lower fuel energy charges, reduced foreign exchange adjustments, and increased hydropower generation.
Wandayi said the benefits reflect the government’s commitment to passing efficiency gains directly to consumers and businesses.
He also pointed to the Time-of-Use tariff programme, which allows manufacturers to access lower electricity rates during off-peak hours, helping reduce operational costs.
On fuel supply, the CS assured stakeholders that Kenya has secured adequate fuel deliveries through the end of July, guaranteeing stability and continuity in supply.
He added that the government is working to further reduce diesel prices in the upcoming monthly fuel review, in line with commitments aimed at easing transport and production costs.
Wandayi further noted that lower fuel prices will have a positive ripple effect on businesses and households across the country.
Looking ahead, he said the government is investing in power generation, transmission infrastructure, and renewable energy projects to strengthen long-term energy security and support industrial growth.
