A simmering financial standoff between the Nairobi City County Government (NCCG) and Kenya Power erupted into a dramatic confrontation on Monday morning, as county officers stormed the utility firm's headquarters at Stima Plaza.

The officers, accompanied by armed police, barred entry to customers and employees, dumped garbage at the main entrance and used waste trucks to blockade three other access points.

The operation, which unfolded at around 8:30 am, also saw county officials clamp and tow ten Kenya Power vehicles along with staff and customer cars parked around Stima Plaza and Electricity House—despite valid parking payments. Several Kenya Power employees were arrested, with some sustaining injuries during the melee.

Kenya Power has linked the county’s actions to a longstanding debt dispute, stating that NCCG owes the company Sh3 billion in unpaid electricity bills, a figure that has surged by Sh1.3 billion in the past two years.

The power distributor maintains that multiple attempts to engage the county government on settling the debt, including a December 2024 meeting with Governor Johnson Sakaja, have not yielded meaningful progress.

“In January 2025, the County paid Sh36 million, which was significantly below the expected Sh330 million required to cover the bills for November 2024, December 2024, and January 2025,” Kenya Power stated.

A follow-up letter on January 20, 2025, urging the county to honour its commitment reportedly went unanswered, prompting the utility to disconnect power to several county facilities on February 14, 2025.

However, after receiving communication on February 21, 2025 that a payment of Sh133 million had been initiated, Kenya Power restored electricity to the affected facilities that same afternoon.

But later that evening, county officers allegedly retaliated by cutting off water supply to Stima Plaza, Electricity House, Parklands Substation, and Roysambu depot, and blocking sewer lines at two locations. Kenya Power insists that it had no outstanding water bills at the affected premises.

Beyond the electricity bills, Nairobi County claims that Kenya Power has defaulted on Sh4.8 billion in wayleave fees—charges levied on service providers using public land and infrastructure.

County Secretary Godfrey Akumali asserted, “The law is clear on wayleave charges, and KPLC is not exempt.” He further accused the power utility of benefiting from county resources while evading financial obligations, adding, “The way they ask all of us to pay their bills, they should also pay for the services we provide them.”

The dispute over wayleave fees dates back to 2007 when Kenya Power sought a High Court ruling to overturn the charges. The case was initially dismissed, but a later appeal resulted in a stay on the High Court's 2017 decision.

However, according to county officials, Kenya Power has not formally pursued the appeal, leaving the matter unresolved.

NCCG has also raised concerns over Kenya Power’s practice of leasing its utility poles to internet service providers (ISPs) such as Liquid Intelligent Technologies, Telkom Kenya, and Safaricom.

The county argues that while the company collects revenue from ISPs for fibre-optic installations, it has not paid the necessary wayleave fees for using county land. A senior county official remarked, “This is a clear case of double standards. KPLC cannot charge third parties for access to county land while refusing to pay its dues.”

While acknowledging its own outstanding electricity bill of Sh113 million—primarily for public lighting—NCCG insists that Kenya Power must also settle Sh17 million in unpaid land rates.

“As much as KPLC is demanding its dues, they must also recognize that they have financial obligations to the county. We have been patient, but we will not hesitate to take necessary measures to recover the debt,” Akumali warned.

The ongoing dispute underscores the fragile relationship between the two entities, with no clear resolution in sight. As both parties dig in their heels, Nairobi residents could face the consequences of disrupted services, should the standoff escalate further.