A parliamentary committee has raised concerns over a Sh800 million consultancy fee linked to the Kenya Water Institute (KEWI) upgrade project, requesting a detailed breakdown of the scope of work and the basis for the fee.

The Public Investments Committee on Commercial Affairs and Energy, chaired by Pokot South MP David Pkosing, scrutinised the consultancy contract, highlighting issues including the absence of a fixed total sum and the payment of Sh330 million to the consultant despite outstanding queries.

Questions Raised on Contract and Payments

  • The consultant received Sh330 million so far, including an initial Sh100 million paid without full approvals.
  • The contract remains active, yet the committee demands a full explanation of the Sh800 million fee calculation.
  • MPs want to see the contract and a clear list of deliverables for each campus involved.

KEWI CEO Leiro Letangule explained that the consultancy was tasked with creating a master plan encompassing civil and architectural designs to upgrade existing campuses and establish new facilities across all 47 counties. He noted that construction at the Nairobi campus is about 40% complete.

However, the committee questioned the proportionality of the consultancy fee relative to the work done. MP Pkosing asked: "How do you allocate Sh800 million to a consultant? For what kind of work?"

Procurement and Approval Concerns

  • Committee members questioned how the consultant was selected and why the contract lacked a fixed total sum.
  • Kaloleni MP Paul Katana expressed concerns over the urgency, funding source, and whether procurement laws were followed.
  • Katana highlighted that Sh800 million could fund critical development projects such as roads, boreholes, and classrooms in constituencies.

Letangule stated the project began in 2019 with National Treasury approval and is planned for phased implementation through regular budget allocations. Delays occurred due to awaiting Judiciary consent, and a ministerial committee had previously reviewed the project.

Committee Demands Further Documentation

Despite these explanations, Pkosing insisted on a comprehensive review. The committee has suspended further action pending submission of:

  • The consultancy contract
  • A subcommittee report on the initial Sh100 million payment
  • A detailed breakdown of the Sh800 million consultancy fee

The committee aims to verify the expected deliverables at each KEWI campus and the methodology used to determine the consultancy fee.

KEWI confirmed ongoing work at campuses in Nairobi, Chakariga, Kitui, and Kisumu, with plans to expand nationwide. The committee’s review will also assess compliance with public financial management and procurement regulations, potentially influencing whether the remaining consultancy payments proceed.