State’s control of KenGen faulted for weakening power sector competition
NAIROBI, Kenya, Nov 27 - The government’s dominant stake in the Kenya Electricity Generating Company (KenGen) is distorting competition and discouraging Kenya breaking news | Kenya news today |..
✨ Key Highlights
A recent World Bank–Competition Authority of Kenya (CAK) report criticizes the Kenyan government's significant ownership in Kenya Electricity Generating Company (KenGen), stating it distorts competition and deters private investment in the power sector.
- The State's 70 percent ownership of KenGen is cited as a primary factor, allowing it to prioritize public policy over commercial interests.
- The report highlights KETRACO in transmission and Kenya Power (KPLC) in distribution as entrenched monopolies hindering private participation.
- Kenyan households pay an average of $0.26 per kilowatt-hour, significantly higher than regional peers like Uganda ($0.17) and Tanzania ($0.09).
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Mars Wrigley Invests Sh4.3bn in Kenya as Report Recommends Pro-Competition Reforms - November 2025
A joint report by the World Bank and the Competition Authority of Kenya (CAK) states that Kenya could boost its GDP by over Sh77.7 billion through pro-competition reforms. The study highlights that opening markets, particularly in sectors like electricity and professional services, could significantly increase economic growth. The report also criticizes the Kenyan government's significant ownership in Kenya Electricity Generating Company (KenGen), stating it distorts competition and deters private investment. Separately, Mars Wrigley has invested Sh4.3 billion ($33 million) to expand its Athi River plant in Kenya with a new sugar-free gum production line. This significant investment over the next three years reinforces Kenya's role as a regional manufacturing hub for the confectioner.
