Kenya Power is facing criticism after the Auditor-General raised concerns about a fuel supply tender worth Ksh. 14.4 billion.
This tender, which was meant to provide 62 million liters of fuel over two years, more than doubled the allocated budget of Ksh. 7.6 billion.
Such a large discrepancy violates public finance laws and has sparked debates about the company’s financial management and governance.
The audit report highlighted that this tender breached procurement rules, raising red flags about Kenya Power’s operations.
The utility company defended the higher costs, blaming market dynamics and fuel price changes.
However, this explanation has not convinced oversight bodies, which argue that the process lacked transparency.
The situation has revived public criticism about Kenya Power’s inefficiency and its tendency to shift inflated costs to consumers through higher fuel charges.
This is not the first time Kenya Power has been under scrutiny for its operations.
The company has long struggled with systemic problems like inefficiencies, high electricity losses during transmission, and legal battles over procurement.
In the financial year ending June 2023, Kenya Power reported operational losses that cost the company billions of shillings.
Additionally, supplier disputes over essential materials like transformers and meters have further exposed weaknesses in its procurement system.
The inflated tender is a clear sign of deeper governance problems at Kenya Power. Despite reforms aimed at improving transparency, allegations of corruption and mismanagement continue to plague the utility.
Critics say these issues make it difficult for Kenya Power to fulfill its mission of delivering affordable and reliable electricity to Kenyans.
The Auditor-General’s findings now call for urgent reforms to ensure public funds are used appropriately and efficiently.
The tender controversy also raises concerns about possible collusion and favoritism in awarding contracts.
Such practices erode public trust in Kenya Power, which already faces significant dissatisfaction due to frequent power outages and high electricity bills.
Oversight agencies have been urged to investigate the matter thoroughly, with the aim of holding those responsible accountable and preventing similar breaches in the future.
This scandal adds to the many challenges Kenya Power is struggling to address, including financial instability and public criticism of its services.
Solving these problems will require the company to embrace transparency, improve governance, and prioritize efficiency in its operations.
Without such reforms, Kenya Power risks further damaging its reputation and failing to meet the energy needs of the country.
