Tuesday, May 17, 2005

KPLC needs an Overhaul

This entry is triggered, by my having to spend an unproductive hour this morning queuing to pay an electricity bill to the Kenya Power & Lighting Company (KPLC). On most days, the halls at KPLC (and at bank halls and post offices in some remote towns where KPLC has no offices)are choke full of thousands of individuals lining up to pay electricity bills in cash.

The Company needs new thinking and new ways of enabling payment for this basic service. Imagine if you could only pay for your cell phone airtime at a Safaricom office. Safaricom would have to hire all the 12,000 workers about to be sent home from Telkom Kenya in order to collect its Kshs. 20 billion annual income (S'com currently have about 2,000 employees). Yet it is able to collect payments from ven the most remote parts of the country easily. Or how many workers would Kenya Airways or Kenya Breweries have to employ in order to collect their sales revenue? Instead these companies have outsourced collections of their revenue to banks, travel agents, bars, kiosks etc.

KPLC, which also collects more than Kshs. 20 billion annually, has no mechanism for collecting payments by credit cards or the internet. You can pay by cheque, but you have to think twice about that because it can cost you up to Kshs. 10,000 extra if the cheque bounces or clears late (bank charges and a deposit averaging your electricity bill for two months are added to the original bill. On the plus side, you can also pay by ATM if you have an account with Standard Chartered Bank (which I don’t)

1 comment:

Anonymous said...

While it has become worse to pay an electricity bill, the time spend is horrendous. It appears that it is possible to check on your billing status via the internet and should be able as the bills nowadays (February 2006) come after they try to disconnect you even if the outstanding is 240 KShs.


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