Engineers: Kenya's 40pc local content law barely hits 5pc in practice

Newly installedInstitution of Engineers of Kenya President Harrison Keter. [David Gichuru, Standard]

The Institution of Engineers of Kenya (IEK) has accused the government of failing to enforce local content rules in infrastructure projects, saying implementation on the ground falls far short of what the law requires.

Newly installed IEK President Harrison Keter made the claim while speaking in Nairobi after the inauguration of the 2026-2028 IEK Council, where he called for greater participation of local engineers, contractors, consultants and manufacturers in the country's infrastructure sector.

"We just don't talk about 40 per cent local content. I know we have that in law, but how is it in practice? And I'll tell you for free that that is not the case. Probably you're talking about five per cent out of the 40 per cent," said Keter.

Keter noted that infrastructure investments must be structured to build local technical capacity, create jobs and strengthen domestic enterprises rather than rely heavily on foreign expertise and supplies.

"We want to see that all infrastructure projects have defined roles to be played by local consultants and local contractors so that we can develop capacity internally while working in collaboration with the foreign contractors," he explained.

The IEK president called for infrastructure contracts to contain enforceable provisions requiring products and services to be sourced locally where capacity exists.

"We need to embed in our contracts itemised products that will be bought from Kenya. If not manufactured, assembled in Kenya. That is how we are going to grow our manufacturing," he observed.

He argued that investment in local manufacturing would create jobs beyond engineering, extending into supply chains, finance, transport and hospitality.

Keter also pressed for stronger financing support for local engineering firms, saying Kenyan companies often struggle to compete against foreign firms with access to cheaper credit. He proposed that the National Infrastructure Fund set aside dedicated resources for local consultants and engineering firms.

"Within the National Infrastructure Fund, apart from the funding for the projects, I would want to request and plead that we have specific funds set aside to support local firms, consultants and engineering firms so that we can build local capacity," he added.

On unemployment among young engineers, Keter said Kenya produces about 3,000 graduate engineers a year, but only a small share secure structured internships. He called for a government-backed internship programme modelled on the medical sector.

"It's our prayer and request that the government provides a structured platform where all engineers are absorbed in a structured internship programme for about three years. The same way doctors are actually absorbed in an internship programme and paid for by the government," he noted.

Keter further raised concerns about the misuse of engineers' credentials, alleging that some professionals' licences are used to win projects before they are excluded from the actual work. He called for technology that would alert engineers whenever their names are attached to a project without their knowledge.

The new council plans to engage government and private-sector stakeholders on capacity building, professional integrity, and the adoption of new technologies, including artificial intelligence, Keter said.

"We want to provide expertise. And we want to manage these infrastructure projects in a manner that value is going to be realised by Kenyans, value for the investments in the long term, and in terms of the quality of life for Kenyans," he added.