For kenya power’s last mile connectivity programme prepared by safety, health & environment department (she)-kplc august 2014
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- 1.19Project Objectives
1.18Proposed StrategyKPLC has a total of 35,000 distribution transformers spread across the country. The transformers were installed for various reasons, i.e., for new customers, reinforcement of existing transformers due to load growth, reinforcement to reduce length of the low voltage lines hence improve transformer protected distances, etc. As such majority of the transformers will be having varied lengths of the low voltage network emanating from them, some of which will be passing in close proximity to ready and potential customers. Data collected from KPLC regions indicates that the company has potential to connect approximately 472,002 households that are within 600 meters of the transformers through individual service lines. Of these households, some will be within developed areas, majority of who will be reached by a service cable drop or a pole or two, whereas in the expansive zones in the peri-urban and rural areas, construction of a 600m low voltage line for a single customer will not be an exception. Based on an average of two spans (@ 50m) single phase LV line, 30m service cable drop (10% of the service drops assumed to be three phase), 40km return transport and implementation by labour and transport contractors, the projected cost of connecting all these households is approximately KShs. 41,260,352,805. The table below shows the distribution of the potential households and estimated cost of reaching them, per region. (The current and most economical practice at present is to construct almost all distribution lines using private labour and transport contractors. The calculation is thus based on using them to implement the project. The average cost of construction using labour and transport contractors is approximately 67%1 of the estimated cost using internal KPLC teams). Table : Total project cost per region (implementation by L&T contractors)
Note 1: Source: KPLC Database 1.19Project ObjectivesThe Last Mile Connectivity project is aimed to support the Government’s initiatives of ensuring increased electricity access to Kenyans, particularly among the low income groups. The existing distribution transformers shall be exploited to the maximum through extension of the low voltage network to reach households located in the vicinity of these transformers. KPLC has a total of about 35,000 distribution transformers spread across the country. Within a 600 meter radius from these transformers, and the company has a potential to connect 472,002 households corresponding to approximately 1.2 million customers. The cost of connecting these households is estimated at about USD 685 Million (KShs 58.2 billion). Since 2004, an extensive effort was made to facilitate the acceleration of customer connection throughout the country. At that time, for customers located within a 600-m radius of an existing transformer, the average cost (including VAT) for connection on low voltage (between 3 and 8 KVA) was standardized at KShs 32,480 for single phase and at KShs 44,080 for three phases. However, this accelerated connectivity has been achieved at a great cost for KPLC. Since this initiative has been implemented, material costs have increased by wide margins. Accordingly, the subsidies paid to KPLC rose from KShs 1.05 billion in 2007/2008 to KShs 7.5 billion in 2011/2012. KPLC intends to explore the following strategies to support the Government’s initiatives of ensuring increased connectivity and electricity access to Kenyans at an optimal cost:
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