Kenya Power   risks losing Sh16.5 billion the government owes it under the rural electrification scheme, the Auditor-General Nancy Gathungu has warned. The debt, disclosed for the year ended June 2020, had risen from Sh11.9 billion a year before.

The receivables have been accumulating over the years and are part of a larger amount that the electricity distributor has been unable to collect from the government. “This balance, which relates to management of the Rural Electrification Scheme on behalf of the government, is long outstanding and has accumulated over the years,” the Auditor-General warned in her report on Kenya Power’s financial statements.

“Further, it is not clear why it has taken a significantly long period to recover the outstanding amounts which are at risk of becoming unrecoverable and impaired over time.”

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