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Busia Senator Okiya Omtatah has sounded the alarm over what he terms as blatant constitutional violations in the controversial handover of a Kenya Pipeline Company (KPC) project worth Ksh192 million to a Nigerian firm.
In a statement released on Friday, June 13, Omtatah rejected the Ministry of Energy's response to his inquiry on the matter, branding it as “shallow” and showing a “contemptuous disregard” for the Constitution and laws governing public assets.
Omtatah claims the move breaches three key laws: the Public Finance Management Act (PFMA), the Public Procurement and Asset Disposal Act (PPADA), and the Companies Act.
“The Ministry ignored laws that are not optional. These are the backbone of accountability in our democracy,” he stated.
He noted that KPC had already invested heavily in preliminary work, including demand surveys, engineering designs, and environmental assessments before the project was suddenly handed over. He argues this undermined public interest and violated sections of the PFMA that require transparency and accountability in managing public resources.
Omtatah also raised concerns over the procurement process. He questioned whether there was a competitive bidding process or transparency in selecting the Nigerian firm, warning that this could amount to a violation of the PPADA, which demands openness in public contracting.
He further argued that as a state corporation, KPC is bound by the Companies Act to act in the best interest of the public and its shareholders. Any decision made without proper board approval or shareholder consent, he said, may amount to a breach of fiduciary duty.
However, the government defended the transfer, citing budgetary constraints and the benefits of a public-private partnership. It promised to hold further meetings with the firm to find a formula that ensures public investments are safeguarded.
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