Regulatory and Competition-Related Reforms in Kenya’s Power and Petroleum Sectors

In nutshell, reforms in the energy sector in Kenya essentially involved vertical separation and gradual deregulation of competitive segments, from those that were deemed to have natural monopolistic characteristics and subject to price, network access, service quality and entry regulations. The expectation was that the regulatory mechanisms would provide more powerful incentives for regulated firms to reduce energy generation costs, improve service quality in a cost effective manner, stimulate the introduction of new products and services and stimulate efficient investment in pricing of access to regulated infrastructure services.