How Govt Paid Ksh 58M for Unused Offices, Heaping Pressure on Taxpayers

Auditor General Nancy Gathungu during a past address to the media.
Auditor General Nancy Gathungu during a past address to the media.
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OAG

Kenyan taxpayers were forced to foot a Ksh58 million bill for government offices that were never occupied.

Auditor General Nancy Gathungu revealed that the Energy and Petroleum Regulatory Authority (EPRA) rented the office space on July 1, 2020, at Ksh2.78 million monthly.

The amount was said to have been paid quarterly in advance. However, EPRA never occupied the space despite paying rent diligently, according to an audit conducted in March 2022.

Eagle Africa Center which houses EPRA offices
Eagle Africa Center which houses EPRA offices
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 Kenyan taxpayers parted with Ksh58 million used by the energy regulatory authority for an office that was never used.

According to the management, the non-occupancy was a result of the long period of partitioning, fittings, and remodelling of the office to conform to the authority’s needs and brand,” the Auditor General noted in her report.

Noting the wastage of public funds, Gathungu underlined, “In the circumstances, the authority did not obtain value for money on expenditure.”

The money was paid under the former administration, which has been scrutinised since President (Rtd) Uhuru Kenyatta handed over power to his successor, William Ruto. 

On March 6, another audit report revealed that the government lost Ksh34 billion in 15 months under Uhuru's subsidy programme.

Deputy Rigathi Gachagua also accused the former administration of wanton looting during the transition period.

"There was Ksh10 billion that was purportedly used to pay some contractors. Money was being brought in cartons and flew with choppers to peoples,” the DP remarked on March 4.

While attending the launch of the Starehe Affordable Housing Project, the DP threatened to name senior government officials behind the scandal. 

 

"These people robbed the nation. In the next few days, I will be releasing details of billions of shillings looted from public coffers in the last three months of the Uhuru administration and announce the cabinet secretaries responsible so that Kenyans can know.

"At the police airwing in Wilson Airport is where money was being brought in sacks, packed into the planes, and taken to different homes," he remarked.

Deputy President Rigathi Gachagua speaking in Uasin Gishu County on Friday March 3, 2023
Deputy President Rigathi Gachagua speaking in Uasin Gishu County on Friday, March 3, 2023
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Rigathi Gachagua