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EFFECTS OF STIMA LOAN AS A STRATEGY OF INCREASING CONNECTIVITY BY KENYA POWER: A CASE OF NORTH COAST MOMBASA COUNTY


Vallentine Callaghan Omechi

Jomo Kenyatta University of Agriculture and Technology, Kenya

Moses Kimani Wafula

Jomo Kenyatta University of Agriculture and Technology, Kenya


ABSTRACT

Stima Loan is a National Revolving Fund which was recommended for KPLC following a socio-economic survey carried out in the year 2006 by a consortium of consultants targeting the low income segment of the market. The success of Stima Loan in expansion of power supply will improve access by new consumers and thus facilitate investments hitherto constrained by lack of electricity. This strategy has been extensively explored on the effects of stima loan strategy to the general public and on the company. Different scholars have described in their literature the need for marketing as a management function, marketing gathers information, makes plans, implements action and evaluates results. Marketing department which is mandated to spearhead stima loan programme require advising the company on how to serve the new customer creations in the shortest time possible. A lot of research has been done on electricity generation and distribution but very little has been done on how to increase connectivity. This is necessary in order to spell out and explain the values of Kenya power products and services in terms that are understood and appreciated by both existing and potential customers. A descriptive design was used which covered Kenya Power employees and the general public within North Coast of Mombasa County. The instrument used for data collection included questionnaires and interview schedules. Data analysis and presentation was done by use of SPSS software as statistical tools. The analyzed data revealed that Stima Loan strategy has had a positive impact to Kenya power. These include; creation of customer base, increase in connectivity and increase in revenue collection.


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