November 2012 is proving to be an economically friendly month following the recent drop in fuel prices and now a reduction in electricity bills over the month of November. Electricity consumers will this month be required to pay KES 5.95 per kilowatt hour in fuel cost levy, down from KES 6.08 in October. The Forex Adjustment rate has also reduced to KES 0.90 per unit from KES 2.24 in October.
The fuel cost is determined by the amount of diesel-electricity on the national grid which mainly rises due to fall in the amount of hydro-generated electricity, while the Forex element reflects the strength of the shilling against major currencies.
Below is a demonstration of how low electricity bills will drop this month in comparison to the previous month. The demonstration takes into assumption that 18 units of electricity were consumed in both months, i.e. September 2012 and August 2012.
This reflects an 8.08 percent drop in electricity bills this month.
Last month, October 2012, saw an increased the Fuel Cost charge from KES 5.99 per kilowatt hour to KES 6.08 per kilowatt hour. There was an increase in the Forex Adjustment rate from KES 1.44 per unit to KES 2.24 per unit, resulting in a 5.14 percent rise in electricity bills in October 2012 as compared to September 2012.