Auditor General’s report says projects stalled in 10 Nairobi counties, losses amounting to Ksh12 billion

A latest report by Auditor General Nancy Gathungu shows that projects worth at least Ksh12 billion in about 10 counties are stalled, behind schedule or lying idle after completion, leaving residents without the expected benefits.

The report highlighted that the stalled projects include the construction of a health centre, roads, Early Childhood Education (ECDE) classrooms, the official residence of the Governor and his Deputy Governor, and a sports stadium.

According to the report for the financial year ending June 30, 2023, the affected counties include Nairobi, Kiambu, Baringo, Nakuru, Turkana, West Pokot, Tana River, Kitui, Nyamira and Trans Nzoia.

There are many factors that have stalled these projects, including payment arrears, the use of contractors that lack the necessary capabilities, and bidding disputes.

Nairobi has the most stalled projects, worth Kshs1.36 billion, followed by Kiambu, with Kshs1.23 billion. In Nairobi, most of the stalled projects involve hospitals.

Nairobi project stalled

The report states that “The Nairobi County Governor’s review of the construction projects undertaken found that the construction of various hospitals costing Ksh1.36 billion has stalled.”

The report further revealed that the contractor responsible for building three health facilities in Kenya for Ksh869 million failed to complete any of the projects. The facilities include Pumwani Lucky Summer Clinic, Pumwani Majengo Health Centre and Gumba/Mabatini Clinic.

The report states that “A field inspection of the projects on September 28 and 29, 2023, found that they were unfinished and untagged. The perimeter wall of the Pumwani Majengo Health Centre was not yet completed, while the construction of the Lucky Summer Clinic had just begun and was in a dilapidated state.”

Despite these problems, the same contractor was awarded a new contract for the construction of the second phase of Mama Lucy Kibaki Hospital worth Kshs344,100,000. The project also stalled after Kshs165,099,105 was paid.

Kiambu project stalled

In Kiambu, projects worth more than Ksh1.23 billion have either stalled or missed their deadlines. These include the construction of a four-storey hospital block for Bibilioni Level 4 Hospital at a cost of Ksh285.99 million, a three-storey medical ward block for Tigoni District Hospital at a cost of Ksh160.74 million, and a three-storey medical ward block for Lari District Hospital at a cost of Ksh191.8 million.

Other projects on hold include the construction of a four-storey Category II medical ward for Wange Health Centre at a cost of Ksh220.28 million and a central commodity store for Ruiru Level IV Hospital at a cost of Ksh41.97 million.

The report states that the contractor for the Wanger Health Centre project has not been on site since March 2023 and has not provided any reason for abandoning it.