The high cost of electricity in Kenya remains a major concern for businesses and manufacturers, as highlighted in the Kenya Association of Manufacturers (MPA 2025) report.
Kenya has the highest electricity price among the selected countries at $0.185 per kilowatt-hour, significantly higher than Uganda ($0.125), Tanzania ($0.091), Ethiopia ($0.01), and Egypt ($0.027).
Rising electricity costs in Kenya have been cited as a major impediment to manufacturing growth, reducing competitiveness and discouraging investment.
Businesses struggle with high operational costs, leading to increased prices of locally manufactured goods.
In contrast, Egypt and Ethiopia offer the lowest rates, making them more attractive to industrial investors.
