ENERGY REGULATORY COMMISSION

Regulating the Energy Sub-sector in Kenya


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ERB Mandate

Electricity Regulatory Board (ERB) is established under the Electric Power Act, 1997. On the coming into effect of the Energy Act, 2006, ERB will be re-organised as Energy Regulatory Commission (ERC), a single sector regulatory agency, with responsibility for economic and technical regulation of both power, renewable energy, and down stream petroleum sub-sectors, including tariff setting and review, licensing, enforcement, dispute settlement and approval of power purchase and network service contracts. Pursuant to the Electric Power Act, 1997, ERB is mandated to carry out the following statutory functions

  1. Set, review and adjust tariffs for all persons who transmit or distribute electrical energy.
  2. Investigate tariff structure even when no specific application for a tariff adjustment has been made.
  3. Enforce environmental and safety regulations in the power sub-sector.
  4. Investigate complaints made by parties with grievances over any matter required to be regulated under this act.
  5. Ensure that there is genuine competition where this is expected; and
  6. Approve electric power purchase contracts and transmission and distribution service contracts between and among electric power producers, public electricity suppliers and large retail customers.

Vision

To be a world class energy sector regulator that facilitates and enhances delivery of sustainable, robust and quality services.

Mission

To regulate the energy sector in a fair, transparent and predictable manner consistent with government policy and sensitive to stakeholder interests.

Core Corporate Values

In line with our Vision and Mission statement, the Board commits itself to embrace the following core corporate values.

  1. Professionalism:- The Board shall uphold high standards of professionalism; and all members of the Board and professional staff are expected to adhere to their respective codes of ethics.
  2. Predictability:- The Board shall follow clearly defined rules and regulations in the efficient and equitable delivery of its services.
  3. Integrity:- The highest levels of integrity shall be expected in all transactions.
  4. Responsiveness:- The Board shall endeavor to be sensitive and expeditious in dealing with stakeholder concerns.
  5. Teamwork:- The Board shall at all times, embrace teamwork, mutual cooperation, extensive consultation and appreciation of diverse perspectives in the discharge of its functions.

Energy Regulatory Commission

The proposed commission is mandated to carry out the following functions:
  1. Regulate the electrical energy, petroleum and related products, renewable energy and other forms of energy.
  2. Protect the interests of consumer, investor and other stakeholder interests.
  3. Maintain a list of accredited energy auditors as may be prescribed;
  4. Monitor, ensure implementation of, and the observance of the principles of fair competition in the energy sector, in coordination with other statutory authorities;
  5. Provide such information and statistics to the Minister as he may from time to time require; and
  6. Collect and maintain energy data;
  7. Prepare indicative national energy plan;
  8. Perform any other function that is incidental or consequential to its functions under the Energy Act or any other written law.

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