A policy to limit the number of national projects for a contractor

By DANIEL IRUKAN and MABEL KEYA

The Government will introduce a policy to limit the number of national projects a contractor can bid for simultaneously.

The action will be taken owing to the widespread delays in project delivery, Deputy Chief of Staff for Performance and Delivery Management, Mr. Eliud Owalo has said.

During an inspection and verification tour of national government projects in Nakuru County, Owalo said the government is responding to a disturbing trend where contractors are overstretching themselves by taking on more projects than they can handle.

“As government, we are going to come up with a policy framework — perhaps restricting the number of projects within a given jurisdiction that a contractor can bid for at the same time — so that we do not have these inordinate delays occasioned by lack of capacity on the side of contractors,” Owalo said.

The tour in Nakuru was part of a broader national oversight program aimed at assessing the progress and effectiveness of government-funded initiatives.

“We want to take this opportunity to caution contractors that we are not going to allow a situation where the government has met its full part of the bargain by making payments based on milestones as required, and yet the contractors still cannot meet their obligations in terms of delivery within the stipulated timelines,” he stated.

To address this, Owalo revealed that contractors who consistently underperform or fail to deliver on time will be blacklisted and disqualified from future government projects.

This, he explained, is part of a broader government effort to enforce accountability and ensure that taxpayer resources are used effectively.

The proposed policy, once approved by Cabinet, is expected to tighten procurement processes, enhance contractor accountability, and accelerate the completion of critical infrastructure and development projects across the country.

Owalo said this as the number of investors to the Special Economic Zones continues to rise. He said 14 investors have signed up to set up business at the expansive Naivasha Special Economic Zone (SEZ) in Maai – Mahiu.

The Deputy Chief of Staff said companies had been given land at the Naivasha SEZ. He said the zone has been expanded to 6,000 acres, from the initial 1,000 acres near the Inland Container Depot in Maai –Mahiu to accommodate more investments and increase job creation.

The Jumbo Africa Auto Auction has already opened a car auction business for the Kenyan market and is already eyeing expansion for the East Africa market at the SEZ.

The investment has already revolutionized car buying and eased time for buyers and saved them from currency fluctuations by being experienced in the international market.

Construction of the firm is ongoing, with the investors who haven’t yet set to break ground by June this year.

Owalo said 8,000 jobs will be created both directly and indirectly at the SEZ once companies become fully operational.

 He said the Special Economic Zone Authority (SEZA) is engaging other government agencies to facilitate completion of key infrastructure including the link roads, power sources, sewerage and water not only Naivasha but also at the five SEZs in the country.

Owalo noted that a key link road from the Naivasha SEZ to the Standard Gauge Railway to Metre Gauge Railway linkage is 80 per cent complete at a cost of Sh1.2B. It is expected to be completed in two months.

He at the same time said the ongoing Sh12-billion road project in Gilgil is on course at17 per cent and cautioned contractors that the government will restrict and blacklist those who fail to complete their works within the stipulated timelines to unlock the delays.

On his part, Director for Roads and Infrastructure at SEZs David Mbugua said a multi - agency team has been established to oversee the completion of basic amenities and attract investors.

He added that the SEZs are partnering with Kenya Ports Authority (KPA), Kenya Railways and the Department of Investment among others to ensure all are operating at optimum as they are key in ensuring the SEZ are actualized on time.