Energy and Petroleum Regulatory Authority (EPRA) is soon set to crack down on homes and businesses that are generating power for sale without following the laid down procedures.

EPRA says it is drawing up a list of such homes and businesses ahead of the nationwide crackdown with those found with illegal connections facing fines of up to Sh1 million.

The energy regulator has indicated that it had singled out the premises found generating more than 1MW of power and selling to consumers without the requisite licences.

According to EPRA Director-General Daniel Kiptoo, a surge in developers signing agreements to sell power to businesses has seen a spike in those illegally generating more than 1MW.

EPRA has issued a three-month notice to the offending businesses and homes to apply for the relevant licenses and become compliant or risk spending at least one year in jail or a fine of up to Sh1 million or both.

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“It has come to the attention of the Authority that there are persons generating electricity for own use exceeding one megawatt without obtaining a licence from the Authority,” said a notice from EPRA.

Section 117 of the Energy Act of 2019 stipulates that any business or home that produces more than 1MW of power for their own use or for sale must acquire licences from EPRA.

Many businesses and homes, especially real estate projects, have opted to generate their own power to avoid the costly one supplied by the Kenya Power and Lighting Company.

Former President Uhuru Kenyatta in January 2022 effected a 15 per cent slash in tariffs to tame the fast-rising electricity costs that were strangling businesses and homes in Kenya.

However, Kenyans are from January set to pay even higher prices for electricity after to the reversal of the tariffs worth billions of shillings by the President William Ruto government.