KeNHA explains itself on misappropriation of Sh6.4 billion

KeNHA Director General Peter Mundinia

The Kenya National Highways Authority (KeNHA) has dismissed claims that it lost up to Sh6.4 billion through over-payment of projects.

A report by Auditor General Edward Ouko had questioned payments made by the authority for six projects.

Among the projects cited was the rehabilitation of the Kisumu-Kakamega highway, whose price, according to the Auditor General, was inflated to Sh8 billion from the original Sh4.5 billion.

But KeNHA Director General Peter Mundinia said the project allowed for inclusion of additional works to the original plan.

Also cited in the audit report were maintenance works on Mombasa-Miritini road, originally estimated to cost Sh314 million. The contract was later terminated, but KeNHA had to pay Sh144 million for 42 per cent of work done.

The highways agency said the remaining works were repackaged and awarded to M/s SS Mehta at a contract sum of Sh297 million and were substantially completed by December 24, 2013.

On the Nairobi Southern Bypass between 2012 and 2013 and rehabilitation of Loruk Barpelo road between 2011 and 2012, the authority insists no procurement law was breached.

On a Sh11 million contract awarded to M/S Sinai in 2012 to clear bushes in preparation for the opening of the Arusha-Namanga border road, KeNHA said it was good value for money.

“The contract sum was Sh11 million for a distance of approximately 136 kilometres which was value for money,” said Mundinia.