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By Victor MUJIDU
Kenya Power and local manufacturers Monday reached a truce over the supply of digital meters, a decision that allows local players to rake in millions of shillings from the power distributor.
The country’s sole power distributor had last week issued a tender notice to local firms for the supply of smart meters.
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It came amid a looming shortage of smart meter supply by the utility firm, whose impact had led to a worrying delay in new power connections across the country.
“Kenya Power & Lighting Company PLC intends to procure the following through Restricted Tender Procurement of Single Phase Prepaid Meters. The tender document shall be published on 08.02.2023 to a limited number of Local manufacturers,” read in part the tender notice.
The state-owned utility was last year embroiled in legal battles with local suppliers with the latter seeking to block a Sh2 billion tender for the supply of single-phase and three-phase energy meters.
The reprieve of the local manufacturers comes amid seven months of protests, seeking the uplift of tender restrictions that required the bidders to have a minimum of 15 years of experience in the manufacturing of the power meters.
The local manufacturers include; Smart Meters Technology Ltd, Shenzhen Star Instrument Company Ltd, Magnate Ventures Ltd, and Inhemeter Africa Company Ltd last year went to the Public Procurement Administrative Review Board (PPARB) to bar the tender, claiming that it locked them out
The 15 years of technical experience required for successful bidders protested by the firms, claiming that the order did not follow the right procedures as required, arguing that they have been in business with KP since 2015.
Kenya Power has defended the requirement for tender restriction to international firms claiming that they have prompted to the failure of local manufacturers in the country.
The firm has, however, claimed that it has been repairing meters since 2022.
The firm’s connected customers to the national grid rose to 9.1 million in December last year from 8.91 million in June.