Before 1997, The Kenya Power and Lighting Company Limited (KPLC) was charged with generation, transmission and distribution of electricity in Kenya. The Electric Power Act put in place in 1997 saw the separation of generation from transmission and distribution functions.
The restructuring of the sector brings five key players. These are :

• Ministry of Energy 


• Kenya Electricity Generating Company Limited (KenGen)
  KenGen is charged with managing all public power generation facilities in the country. The company generates about 80% of the total country power output. It sells power to KPLC. 


• The Kenya Power and Lighting Company Limited (KPLC)
  
  The Board approves power purchase agreement between KPLC and power generators. It is charged with reviewing and adjusting tariffs for power consumers. The Board also enforces environmental and safety regulations in the sub-sector. 


• Electricity Regulatory Commission (ERC)
  The Board approves power purchase agreement between KPLC and power generators. It is charged with reviewing and adjusting tariffs for power consumers. The Board also enforces environmental and safety regulations in the sub-sector. 


• Independent Power Producers (IPPs)
  These are private investors who generate power. Currently, four IPPs are operational namely Iberafrica Power (K), Westmont Power (K), Orpower 4 and Tsavo Power Company Ltd.