BY SAM ALFAN.
The High Court has barred troubled Kenya Power from from proceeding with a tender for insurance brokerage firms.
Justice Anthony Mrima suspended the process, ahead of the opening of the bids on August 12.
“A conservatory order suspending the processing the Respondent’s tender No. KP1/9A.2/OT/001/1NS/21-22 for pre-qualification of insurance brokerage firms is issued on interim basis pending interpartes hearing of the application,” ordered Judge Mrima.
Activist Okiyah Omtatah moved to court to challenge the process saying changes introduced is meant to tilt the tender in favour of multinationals at the expense of local firms.
He said among the changes introduced after the tender was cancelled, is the raising of professional indemnity cover from a minimum Sh200 million to Sh1 billion.
He said the fresh tender also did away with a requirement for bidders to be within Kenya bit which was removed.
“A declaration that raising in KPLC Tender No. KP1/9A.2/OT/001/INS/21-22 for Pre-Qualification of Insurance Brokerage Firms of the total premium turnover for years 2019 and 2020 from an optimal Kshs 500 million to an Optimal Kshs 2 Billion (excluding KPLC), is totally outrageous and oppressive and, therefore, unconstitutional, null and void,” he urged.
Omtatah also wants a declaration that tenders issued by the KPLC must have provision for 30 percent affirmative action under the Access to Government Procurement Opportunities (AGPO) programme.
KPLC, he argued is a State corporation subject to the laws governing Kenya’s public sector.
On June 8, 2021 the company advertised in the press inviting bids for the tender to cover the period between September 1, 2021 to August 31, 2023.
He said that without giving any reasons, KPLC wrote to all bidders notifying them that the procurement process had been terminated and tender cancelled.
He argued that on July 20, the procuring entity advertised fresh tender with a closing date of August 12, at 10.00 am.
