According to reports from Standard Digital, the current administration led by President Ruto has now cost Kenyans billions.
This comes as a British firm seeking a 10 billion penalty after a cancelled dam contract has turned sour.
This development has highlighted the financial risks that have been inherited from the previous administration.
It has raised questions about the government’s approach to large-scale infrastructure projects.
The deal which was allegedly signed under former President Uhuru Kenyatta’s tenure, has been a subject of controversy.
The project was meant to boost Kenya’s power supply by financing and building the Grand Falls Dam on the River Tana.
However, the Ruto administration scrapped the project in July, citing non-compliance with the Public Private Partnership (PPP) Act and a weak feasibility study by the UK-based firm GBM Engineering.
The standard has established that the current administration has now cost Kenyans billions, and the lethality of this decision has yet to be fully felt.
GBM Engineering has since petitioned authorities, stating that it was cheated out of the deal.
The company has a strong legal basis, as it had won the tender in a competitive process and had even overcome previous legal challenges to the contract.
The cancellation of the project has not only led to a potential financial penalty but has also stalled a vital project for Kenya’s energy security.
Plans to revive the project with a different contractor have been reported to be raising fresh trouble.
Demonstrating that the government’s handling of the situation has created more problems than it has solved.
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