Kenyans are set to pay more for electricity in October 2025 after the Energy and Petroleum Regulatory Authority (EPRA) announced an increase of Ksh5.24 per unit. The price hike follows the latest review of electricity tariffs published in the Kenya Gazette on August 9, and will affect all Kenya Power customers both prepaid and postpaid.
According to EPRA, the largest portion of the increase Ksh3.69 per kilowatt-hour (kWh) comes from the rising cost of fuel energy used in power generation. This fuel cost charge is adjusted monthly to reflect fluctuations in global fuel prices and exchange rates, which directly affect the cost of producing electricity in Kenya.
Additionally, a foreign exchange fluctuation adjustment of Ksh1.53 per kWh will be imposed to account for the weakening of the Kenyan shilling against major global currencies. The regulator also added a Water Resource Management Authority (WRMA) Levy of 1.24 cents per kWh, further pushing up overall costs.
For a typical household consuming 30 units per month, this increase translates to an additional Ksh157.20 on the October electricity bill—before other statutory charges are applied.
As usual, the final bill will include several additional levies, such as the 16% Value Added Tax (VAT), a 5% Rural Electrification Programme (REP) Levy to support rural grid expansion, and an EPRA levy of 3 cents per unit to fund regulatory operations.
The cumulative effect of these adjustments means that Kenyan households and businesses will face higher energy costs starting October. This development may also have a ripple effect on the cost of goods and services, as energy prices play a major role in determining production and operational expenses.
EPRA reviews electricity tariffs monthly based on changes in fuel prices, exchange rates, and other economic factors to ensure cost recovery and grid stability.