Kenya Power has protested the Public Procurement Administrative Review Board’s (PPARB) decision to cancel the KSh4.1 billion Last Mile tender it had awarded the French Development Agency.
The tender was cancelled on grounds that the company locked out local companies from bidding in favor of foreigners, thus breaching the local preference clause in procurement laws. Furthermore, the board directed Kenya Power to re-tender the project within 45 days from the date of the cancellation, i.e, 27th January 2020.
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However, Kenya Power now cites that the board acted in excess of its jurisdiction, arguing that the complains from the local companies were unsubstantiated.
While filing their application in court, the company said the tender was subject to an agreement with the European Investment Bank. Therefore, the matter can only be solved in the court of justice of the European Union.
According to the Kenya Power, PPARB’s decision may cost the electricity distributor the 60 million Euros funding it had received.
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