Governor Sakaja and Kenya Power Resolve Longstanding Debt Dispute
Nairobi County Governor Johnson Sakaja has addressed the protracted financial dispute between the county government and Kenya Power and Lighting Company (KPLC), confirming that a resolution has been reached after years of contention.
Speaking during a press briefing, Governor Sakaja acknowledged the historical nature of the matter, stating that the county has long claimed that KPLC owed it between Ksh 4.5 billion and Ksh 4.9 billion, while KPLC also had counterclaims.
“Initially, the claim was at Ksh 3 billion. When I took office, we conducted a joint verification exercise over a year, scrutinizing meters and accounts. We found that some of the meters were not within Nairobi County’s jurisdiction,” he explained.
Following extensive negotiations, both parties agreed on a final amount and a structured payment plan.
“We are both governments, and we settled on an amount and a payment process,” Sakaja stated, emphasizing that Nairobi County must collect fees and charges to ensure service delivery.”
The people of Nairobi want their roads fixed, garbage collected, and medicine in hospitals. There has been a longstanding issue regarding unpaid fees, yet just as Kenya Power disconnects electricity when bills go unpaid, the county government also has legal remedies under the National Rating Act 2024,” he said.
The Act grants the county government authority to enforce compliance, including measures such as restricting access to premises, removing services, or even auctioning property in cases of persistent default.
Recent escalations saw Nairobi County blocking access to KPLC offices and even disconnecting water supply, moves that led to tensions. However, after high-level discussions involving the Ministry of Energy, the head of Public Service, and KPLC officials, a peaceful resolution was reached.
“We have now given instructions to restore water supply to their premises and remove the trucks that were blocking access. It was unfortunate that one of the trucks tipped garbage, but that was not the intention, and within 30 minutes, it was cleared,” Sakaja clarified.
He emphasized that commercial disputes between the county and KPLC would now be handled directly between him and Energy Cabinet Secretary Opiyo Wandayi, with possible intervention from the Intergovernmental Technical Relations Committee if necessary.
Strict Enforcement of County Levies
Beyond the Kenya Power dispute, Governor Sakaja issued a stern warning to all Nairobi ratepayers, emphasizing that there would be no waivers on unpaid rates in 2025.
“This notice extends to all ratepayers in Nairobi. The deadline for payment of rates is March 2025. You can access your bills at www.nairobiservices.go.ke or dial *647#,” he announced.
Under the National Rating Act 2024, the county government has several enforcement options for defaulters, including penalties, denial of county services, lawsuits, property seizures, and appointment of receivers to collect rent from tenants.
“We’ve seen this before, where the county recovered rent directly from properties,” he noted.
The governor also addressed concerns regarding development control, stating that all government institutions, including KPLC, must comply with the Physical and Land Use Planning Act 2019.
“We have seen unchecked expansion of power lines, cutting down of trees, and other activities without proper approvals. However, we are now aligning with national regulations. Many agencies, like KeNHA, have been compliant by seeking county approvals before infrastructure projects, and we expect the same from others,” he stated.
Sakaja underscored the importance of coordination between the county and national government to avoid similar disputes in the future,calling for cooperation.
“A city cannot function on hostility. We want a Nairobi that works for everyone, and that means all institutions must pay their fair share,” he said.
While acknowledging the impact of enforcement actions on businesses and residents, he reiterated the need for compliance.
“A knife for a knife will leave us all blind. This is not the kind of governance we want,” he remarked.
As Nairobi continues its efforts in infrastructure development, sanitation, and digital transformation, Governor Sakaja assured that future engagements with stakeholders, including internet service providers (ISPs) and tech firms, would ensure smoother compliance with county regulations.
“At the end of the day, we support the digital superhighway, innovation, and economic growth, but everything must be done the right way,” he reiterated.
