City Hall, Kenya Power payment dispute escalates to President Ruto’s office » Capital News
NAIROBI, Kenya, Mar 3 – The squabbles between Nairobi County Government and Kenya Power over substantial debts amounting to billions have now been escalated to the Office of the President to iron out the dispute.
In a bid to resolve the escalating tension, the Office of the President through Head of Public Service Felix Koskei and Energy Cabinet Secretary Opiyo Wandayi intervened, calling for dialogue between the two parties to address the ongoing issues.
Appearing before the National Assembly committee on National Administration and Internal Security on the matter, Nairobi Governor Johnson Sakaja disclosed a meeting chaired by Head of Public Service Felix Koskei will be held on Wednesday to resolve the stalemate.
Tension escalated between the two government institutions with a recent incident of garbage being dumped at the Kenya Power and Lighting Company (KPLC) headquarters that caused a public outcry over the incident.
“We are now sitted on the table and am glad we will now have a silver lining because now we are respecting each other during the discussion,” the Nairobi Governor remarked.
The ongoing payment dispute between Nairobi County and KPLC stems from a historic claim that Kenya Power owes the county government approximately Sh4.9 billion.
This stems from unpaid rates for power infrastructure and easements, such as electrical power supply, water, and sewage systems.
According to the governor, Kenya Power had previously gone to court in 2017 to challenge the requirement for payment, but the case was dismissed by the courts, which reinforced the obligation for payment by the power company.
Despite these claims, Sakaja emphasized that Nairobi County is committed to resolving the financial dispute in a manner that is fair to all parties.
He pointed out that during his tenure, the county has engaged in joint verification exercises with Kenya Power to reduce the disputed amount owed to state agency from an initial Sh3 billion to a more manageable Sh1.5 billion.
“The bulk of the debt is not from City Hall, nor from our hospitals, but rather from street lighting services, which is a critical security concern for Nairobi. We pay for the lighting in the entire city. If KPLC chooses to cut off power, it affects security, and we cannot allow that to happen,” Sakaja explained.
As the negotiations are ongoing, Sakaja has interdicted two officers from the county’s Revenue Department following the controversial garbage dumping incident at Stima Plaza.
Governor Sakaja disclosed that the two officers, John Ntointi and James Sankale had been interdicted following the incident, with investigations into the matter already underway.
He confirmed that his administration, in collaboration with the National Police Service, is conducting a thorough inquiry to ensure that justice is served.
“We have already acted, and I have interdicted two officers involved in this incident. Investigations are ongoing, and we will hold those responsible accountable,” he submitted before the National Assembly Administration and National Security committee.
Sakaja condemned the recent incident of garbage being dumped at KPLC headquarters, calling it ‘uncouth’ and ‘completely off’ vowing the incident will not be repeated under his watch.
The controversy emerged amid an ongoing dispute between Nairobi County Government and KPLC over outstanding payments, including a substantial bill that KPLC claims is owed by the county.
The governor reiterated that, while the county has its grievances with KPLC, including the power company’s refusal to settle land-related dues, the public should not be used as a pawn in this dispute.
“I lead a big institution. I have almost 20,000 staff, but the ultimate responsibility stops me as governor. On behalf of the staff, I apologize to the people of Kenya, to the people of Nairobi, and to the residents and businesspeople there. This should never have happened, and it will not happen again under my watch,” Sakaja stated.
Sakaja reassured Nairobi residents that the county’s security and public health teams had acted swiftly to clean up and restore the area around Stima Plaza, further emphasizing the administration’s commitment to maintaining a clean and orderly city.
“We have cleaned up the area, done fumigation, and we will continue to work with NEMA to ensure that Nairobi remains a city that upholds high standards of order and professionalism,” he said.