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Kenya Power Board Summoned By EACC Weeks After Pushing Out CEO Benard Ngugi Over Tender Tussles

Tender tussles, corruption, nepotism, crowned by massive losses have seen power distributor Kenya Power run on the red, even as board members allegedly engage in a looting spree.

As a result of recent tender wars, former CEO Benard Ngugi became the latest casualty, being unceremoniously forced out after a heated meeting with the board in August 2021, barely two years after his appointment.

The news of his exit was announced as a “step down”, without any reason being given.

However, details are emerging that the board tried to interfere with the procurement process in Kenya Power, which would have seen them choose suppliers of their own and get kickbacks in return.

Read: Kenya Power On The Spot For Demanding Ksh2.8 Billion For Power Connection

In a letter to the Kenya Power board chair Ms Vivienne Yeda, the Ethics and Anti-Corruption Commission (EACC) boss Twalib Mbarak has ordered Ms Yeda alongside eight other board members to appear before its officers between Tuesday and Thursday this week.

 “The Commission is investigating allegations of interference in procurement processes by the board of directors,” the letter read in part.

Other board members required to appear before EACC at the Integrity Centre include engineer Abdularaq Ali, Caroline Kittony Njoroge Muhu, Elizabeth Rogo and Kairo Thuo. Others summoned are Mr Sachen Gudka, Isaac Kiva and Humphrey Muhu.

Ngugi is among four CEOs who have left the company in a period of four years, all with a common denominator in their unceremonious exit; corruption. Others include Ken Tarus, Ben Chumo and Jared Othieno.

Read: Bernard Ngugi Exits as Kenya Power CEO, Rosemary Oduor Appointed In An Acting Capacity

Kenya power has been operating in the red with liabilities like Ksh47.9 billion debt owed to electricity suppliers like KenGen and other creditors.

Kenya Power Owes Ksh23.7 billion to KenGen, Ksh19.5 billion to Independent Power Producers(IPPs), and another Ksh4.7 billion owed to Kenya Electricity Transmission Company (KETRACO).

Kenya Power reported an unaudited net loss of Ksh2.98 billion in the financial year ended June 2020, as compared to a net profit of Ksh262 million it posted in the year to June in 2019.

The company reported revenues of Ksh133.18 billion, an 18.45 percent growth compared to Ksh112.43 billion generated in the year ended June 2019.

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Written by Francis Muli

Follow me on Twitter @francismuli_ Email:

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