Energy Cabinet Secretary Opiyo Wandayi speaking after a consultative meeting with manufacturers under the Kenya Association of Manufacturers on June 10, 2026/SCREENGRABElectricity costs have decreased by Sh0.2685 per kilowatt-hour in the June 2026 billing cycle, Energy Cabinet Secretary Opiyo Wandayi has announced.
Wandayi said the reduction is part of the government's efforts to lower the cost of doing business and cushion households from high energy expenses amid continued uncertainty in global energy markets.
Speaking after a consultative meeting with manufacturers under the Kenya Association of Manufacturers, the CS said the government remains committed to ensuring affordable, reliable and sustainable energy for industries and consumers.
“In this June 2026 cycle, electricity costs have reduced by Sh0.2685 per kilowatt hour,” Wandayi said.
He attributed the reduction to a significant drop in the forex adjustment component, lower fuel energy costs, reduced water charges and increased hydropower generation.
“This reduction is driven by a significant drop in the forex adjustment component, the water tariff, a decrease in fuel energy costs and increased hydropower generation,” he said.
Wandayi said the reduction demonstrates the government's commitment to ensuring benefits realised within the energy sector are passed on to consumers.
“This reflects our commitment to ensuring that gains within the sector are shared directly with Kenyans,” he said.
The CS noted that the government had also suspended a proposed electricity tariff review as part of measures to cushion businesses and households from additional costs.
“At the same time, we continue to honour our commitments to cushion businesses and, by extension, households. The government suspended the proposed electricity tariff review,” he said.
Wandayi said discussions with manufacturers focused on the adequacy of energy supply, reliability and quality of electricity, and the affordability of power.
He said the government recognises that energy costs have a direct impact on competitiveness, investment decisions and livelihoods, making it necessary to maintain a stable and predictable operating environment for businesses.
“The concerns raised by industry are both valid and important because energy and production are at the heart of Kenya’s economic transformation,” he said.
According to the CS, manufacturing remains a critical driver of jobs, exports and revenue, and lowering energy costs is key to supporting growth in the sector.
He said the government will continue working with industry players and relevant agencies to create an environment that safeguards jobs, strengthens purchasing power, supports exports and attracts investment.
Wandayi added that Kenya has maintained stability in the energy sector despite volatility in global markets and has secured fuel supplies through the end of July to prevent shortages and disruptions.
He said the government is also investing in power generation, transmission infrastructure and renewable energy projects to strengthen long-term energy security and support economic growth.
