NAIROBI, Kenya, Aug 6 – The Public Procurement Regulatory Authority (PPRA) has flagged 20 public entities, including Kenyatta National Hospital (KNH), four county governments and several county assemblies, for failing to cooperate with procurement audits.
The regulator says the institutions frustrated its statutory oversight role by failing to provide procurement records and other information required for compliance assessments, making it impossible to establish whether public procurement was conducted in accordance with the law.
The affected entities include the Council for Nomadic Education in Kenya, Lake Basin Development Authority and Kenyatta National Hospital among state corporations; the county governments of Isiolo, Garissa, Baringo and Siaya.
Seven county assemblies including Marsabit, Kitui, Samburu, Embu, Turkana, Baringo and Tana River are also among the list of non-compliant entities.
Others include Isiolo North and Ndia National Government Constituencies Development Fund (NG-CDF); Kitelakapel Technical Training Institute, Shanzu Teachers Training College, Turkana University and Isiolo Water and Sewerage Company.
“The procuring entities failed to cooperate with the Authority in the exercise of its mandate to inspect, assess and review procurement records by failing to provide procurement records and information requested by the Authority.”
“The procuring entities could not demonstrate how their procurement and disposal processes complied with Article 227(1) of the Constitution with regard to fairness, equity, transparency, competitiveness and cost-effectiveness.”
According to the PPRA Annual Report for the 2024/25 financial year, the institutions were issued with non-compliance reports after violating Sections 43(1) and 176(1)(a) of the Public Procurement and Asset Disposal Act, which obligate procuring entities to facilitate regulatory oversight.
During the financial year, the Authority reviewed 5,064 tender notices and procurement documents out of 50,142 published by public entities. Of those reviewed, 2,127 documents; representing 42 percent; were found to have compliance deficiencies, prompting the regulator to direct the affected institutions to undertake corrective measures through addenda and report back on actions taken.
The report further indicates that the Authority analyzed 518 procurement plans out of 640 submitted, conducted 45 procurement assessments, 38 inspections, seven procurement reviews, eight follow-up assessments and 23 special audits covering 16 procuring entities as part of efforts to strengthen oversight of public expenditure.
Despite the intensified monitoring, PPRA notes that inadequate cooperation from some institutions continues to undermine effective enforcement of procurement laws and weakens public confidence in the management of State resources.
The compliance concerns emerge as procurement spending remains heavily concentrated among national government agencies.
According to the report, public entities awarded 25,739 contracts worth Sh219.68 billion during the reporting period.
State corporations and Semi-Autonomous Government Agencies (SAGAs) accounted for 11,636 contracts valued at Sh181.87 billion, representing more than 82 percent of the total value of contracts awarded.
The regulator also identified transparency gaps in contract disclosures.
Of the 25,994 contract awards reported during the year, beneficial ownership information was disclosed for only 11,175 contracts, or 43 percent, while only 316 procuring entities submitted beneficial ownership information despite 411 entities reporting contract awards.
PPRA says the low level of disclosure undermines the constitutional principles of transparency and accountability in public procurement.
