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Businesses record huge losses following blackout

A major power outage on August 25, 2023 threw Kenya into darkness but power was restored in most parts of the country on August 26, 2023.

Photo credit: Shutterstock

The nationwide blackout, which lasted more than 20 hours with on and off supply in some regions, resulted in huge losses at hospitals, nightclubs, critical storage facilities and others.

Businesses that solely depend on electricity also suffered during the outage that the government blamed on a trip of the supply of the Lake Turkana Wind Project, as well as failure by the Ugandan connection to kick in as had been expected.

Following the outage, parliamentarians have summoned Energy Cabinet Secretary Davis Chirchir and Kenya Power Chief Executive Joseph Siror. 

“The National Assembly Energy Committee seeks clarification on the following: The cause of the current and other nationwide outages in the recent past; concern that the country is not sliding into an era of load shedding; an assurance that the matter is being addressed conclusively given its serious impact on the economy, and a breakdown of measures being instituted to address the concerns in the long run,” a letter sent to the pair by the committee says.

The night of darkness and losses saw Jaramogi Oginga Odinga Teaching and Referral Hospital use back-up generators to run its drugs and supplies coolants.

The hospital has vital medical units like ICU and HDU.

Hospital CEO, George Rae, decried additional expenses in running the diesel-powered generators.

“We had power, thanks to the generators, but we now have to pay extra for the diesel,” Dr Rae said yesterday.

The outage greatly inconvenienced the hospitality industry, said Lake Victoria Tourism Association chairman Robinson Anyal.

He called it a national shame that cast in bad light the efforts made in promoting Kenya as a destination.

“There is a negative perception on Kenya when the industry is busy and recovering,” Mr Anyal told reporters.

Ms Millicent Akinyi, a resident of Nyalenda, could not hide her frustrations.

“We have suffered a huge financial dent after our refrigerated month’s supply of food went bad,” she said, adding that dark night also posed a security risk for families in the slum.

In Embu, an infant died at the county’s main referral hospital. However, Governor Cecily Mbarire said the death had nothing to do with the blackout, as she defended her administration following a viral social media post that claimed more children had lost their lives due to lack of generators.

“The hospital has five functional standby generators. The power blackout did not interfere with operations,” she said.

By yesterday noon, Mombasa still had no power, with dealers in perishable produce reporting losses.

“I have lost fish valued at more than Sh300,000. I received another order of Sh275,000 in the moring, which might go bad if power is not restored,” said Majengo trader Abulrahman Mohammed.

Kenya Ports Authority (KPA) Corporate Affairs chief, Bernard Osero, said activities at the port were running smoothly.

“We have an efficient port with a fluid cargo offtake corridor, waiting for ships to call and not the reverse,” Mr Osero said.

In Kisii and Nyamira counties, where a majority of residents are Adventists, church services were conducted without public address systems and lights.

Many urban small businesses that rely on electricity, like babershops, cyber cafes and salons, remained shut. Only a few with generators were operating.

“I have lost a lot of money. Being a weekend, I would have shaved more than 10 clients by mid-day,” Mr Bernard Kanda, a barber in Kisii town, said.

It was the same story in Siaya County.

“I am helpless without electricity. Kenya Power must explain why there was a blackout in the entire country. It is a joke,” Mr William Omondi, a welder, said.

When the country was plunged into darkness on Friday night, most Eldoret businesses that would have ordinarily extended their operations shut immediately.

By Saturday morning, the supply had not been restored.

There were few activities in most parts of the North Rift throughout the day as restaurants and bars closed early.

“We cannot operate without electricity. Our payment systems are computerised while customers have to watch TV and listen to music. We had to close,” said Mary Cheptoo, hotel operator.

It was similar case in Iten, Kitale and Kapsabet as dealers in electronic kits, chemists and supermarkets recorded low business.

Mr Joseph Kimweli, a hotel owner in Nakuru City, said he was counting double losses following the prolonged blackout.

Several customers who were having dinner and drinks at his hotel left without paying when the lights went off.

“Some disappeared without settling their bills. I must have lost close to Sh50,000 during the confusion,” he said, adding that a lot of food in the deep freezer had gone bad.

A bar owner on Kanu Street said he closed early because customers were not comfortable drinking in the dark.

“Some feared their drinks could be laced with drugs,” he said.

A social media page with more than 700 members dubbed “KPLC Siaya County” was populated with messages castigating the utility firm.

“The major problem of  this country is not joblessness. The  problem is civil servants who have chosen to sleep instead of working,” said Vallary Nya Gem.

Wycliffe wrote: “And they are courageously telling us that the entire country is in darkness.”

Magdalene Were was not polite either: “When it comes to hiking token prices, they are very swift but when it comes to ensuring constant supply of electricity they move at a snail pace.”

The night of losses following the blackout resulted in the dismissal of top Kenya Airports Authority (KAA) bureaucrats, including MD Alex Gitari.

Reported by Daniel Ogetta, Jurgen Nambeka, Samwel Owino, George Munene, Angeline Ochieng, Derrick Luvega, Wycliffe Nyaberi, Kassim Adinasi, Barnabas Bii, Francis Mureithi, and Jurgen Nambeka.