Written By Lisa Murimi
The Ethics and Anti-Corruption Commission (EACC) has recommended the formal prosecution of individuals involved in the questionable disbursement of Ksh.18.4 billion to Lake Turkana Wind Power Ltd by government bodies.
The funds were transferred over the span of 2005 to 2019. EACC initiated the inquiry based on a report from the National Assembly’s Public Investment Committee (PIC), which flagged procurement irregularities and fraudulent payments linked to the construction of a power line.
“KPLC entered into a Power Purchase Agreement (PPA) with LTWP Ltd on 29th January 2010 for the development of the Wind Power Plant (the LTWP Project).
“Among the terms of the PPA were that LTWP Ltd would generate 300MW of electricity, and that KPLC would be the sole taker (consumer) of that power. However, a 400 KV Transmission Inter-Connector Line (T.I. Line) needed to be constructed from Loiyangalani to Suswa Sub-Stations, so that this generated power could be transported to the National Grid in Suswa Sub-Station.”
“Further that, if LTWP Ltd finished developing the Power Plant and started generating power, they would start charging for the power, whether KPLC were evacuating that power or not, from the date of commissioning. The T.I. Line was to be constructed by Kenya Transmission Company (KETRACO) and LTWP Ltd” reads part of the statement.
The investigation revealed that a contract between Kenya Power and Lighting Co. Ltd (KPLC) and Isolux Inginieria S.A. (Isolux) led to a substantial financial loss of Ksh.18 billion and increased electricity costs. The irregularities extended to the lease of land to Lake Turkana Wind Power (LTWP) Ltd and the incomplete construction of a transmission line.
EACC’s report, submitted to the Office of the Director of Public Prosecutions, recommends charging the suspects with multiple offences including conspiracy to commit economic crime, abuse of office, conflict of interest, fraudulent acquisition, money laundering, and neglect of official duty. The investigation underscores the efforts to address corruption and promote accountability in public projects. EACC awaits further action in response to its findings.
