Business Expenses

Power

Kenya Power Company is the sole distributor of power in Kenya. A refundable deposit of Ksh 2,500 and Ksh 35,000 for new connections from the Pole is required. Rates vary depending on the type of consumers. Other charges in electricity bills include fuel cost charge, 16% Value Added Tax (VAT) , Rural Electrification levy charged at 5% and Energy Regulation Commission levy charged at 3 Kenya Cents /Kilowatt Hour. For detailed and updated rates visit Kenya power website.

Water

Water is distributed by Water Service Providers (WSPs) that are linked to 8 regional Water Services Boards (WSBs) in charge of asset management through Service Provision Agreements (SPAs) Nairobi is served by the Nairobi Water and Sewerage Company a corporate entity fully owned by the City Council of Nairobi. A refundable deposit of Ksh 1500 (18 US$) is charged for new accounts.

The average water tariff is KSh 36 or US$0.46 per m3. However there are variations in charges per cubic meter depending on consuption ranging form Kshs 25 per cubic meter for consuptions between 10-20 cubic meters and Kshs 75 (US$ 0.9) for consumption in excess of 100 cubic meters. Lower or unmetered consumption attract a month charge of Kshs 200 (US$ 2.2)

Professional Services

Professional services fee is varied depending on the profession i.e. for Doctors it ranges from Ksh 1,000 – 1,500 per for consultation . Legal fees range from Kshs 5000- 100,000 (US$ 60-1,250) depending on the nature of legal advise sought and the Law firm engaged. You can get more information from is the professional regulatory bodies.

Land and Premises

Cost of land varies with regions and proximity to urban centres and major roads. For instance the cost of industrial land in Eldoret is Ksh 20 million (US $ 250,000) while the same will cost will cost Kshs 20-100 Million (US $ 250,000-1.2 Million) in Nairobi.

Commercial Rental Premises are also available on competitive rates ranging from Kshs 50-350 (US$ 0.7 – 7) Per Square Foot Per Month (p.s.f.pm) which may be exclusive or inclusive of service charges while residential premises range from Ksh 10,000 to Kshs 150,000 (US$ 120-2,000) depending on type, Size and location. You are encouraged to consult established property managers for competitive deals.

 

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