Auditor General Nancy Gathungu has flagged procurement deals at Geothermal Development Company (GDC) that have left it stuck with unutilised supplies worth billions of shillings.
In her recent report, Gathungu has raised concerns over supplies and equipment worth KES 4.4 billion held by the company when it only utilised items valued at below KES 400 million.
“The company held drilling supplies and equipment valued at KES 4.42 billion as of June 30, 2021. It only utilised items valued at KES 347.9 million, which is 8% of the stock,” she says.
Gathungu says the company is overstocked with equipment which puts it at risk of being stuck with obsolete items in an environment of fast-evolving technologies.
According to the report, the company owns seven drilling rigs bought at KES 15.9 billion, with four of them purchased at KES 8.9 billion having not been used in the four financial years.
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