New system will end procurement irregularities, asserts Koskei

Eric Biegon
4 Min Read
Head of Public Service and Statehouse Chief of Staff Felix Koskei

Head of Public Service Felix Koskei has stated that the new electronic government procurement system (e-GP) will put an end to procurement irregularities within the public sector.

Koskei pointed out that procurement malpractice is one of the most persistent challenges facing the government which manifests in various forms, including inflated pricing, supplier collusion, uncompetitive single-sourcing, and blatant disregard for the Public Procurement and Asset Disposal Act,

To address this issue, Koskei explained that the e-GP system, launched on April 7, 2025, is designed to eliminate human interference and cartel collusion by digitising all procurement processes across state corporations and public institutions.

“From July 1, 2025, all state-owned entities are required to use this automated platform, which ensures full compliance with the Public Procurement and Asset Disposal Act,” he stated.

“This end-to-end digital system (Electronic Government Procurement) will effectively close the procurement loopholes that have enabled cartels, collusion, and the abuse of the Public Procurement and Asset Disposal Act,” Koskei reiterated.

Koskei, who also serves as the State House Chief of Staff, made these remarks during a consultative meeting with principal secretaries, chairpersons, board members, chief executive officers, company secretaries, and heads of internal audit from all state corporations.

“Audit reports reveal repeated award of tenders to politically connected firms – some without valid tax compliance certificates, while others operating without physical offices or registration. This is not only illegal, but also a clear abuse of taxpayer’s money and trust bestowed by Kenyans to intuitions,” he remarked.

He warned that failure to act on oversight reports or attempts to undermine the new system would lead to disciplinary action.

“This administration will not entertain Boards or CEOs who treat oversight mechanisms as optional. Any failure to comply will attract swift corrective action, including dismissal of the entire leadership to protect public resources and maintain trust,” he asserted.

The Head of Public Service also raised concerns regarding compliance with the Access to Government Procurement Opportunities (AGPO) law, describing it as “equally troubling.” He noted that many institutions fall significantly short of the required 30% threshold for youth, women, and persons with disabilities, with some parastatals allocating as little as 10%.

“This is not a compliance footnote – it is a governance failure with real social consequences, especially for vulnerable groups the law was designed to empower,” he stated.

At the same time, Koskei reiterated that the mandatory retirement age for public officers remains at 60 years or upon completion of a contract—whichever comes later. He emphasized that this provision is non-negotiable and applies at all levels.

“Attempts to manipulate personal records, forge birth certificates, or seek unlawful extensions will not be tolerated. We have instances where CEOs are serving more than the allowable two terms in total breach of the law,” he added.

He also urged Boards and CEOs to ensure that the Inspector General of State Corporations has unrestricted participation in all relevant meetings, that their reports are tabled and discussed, and that recommendations are acted upon without exception to help close oversight gaps and restore public trust.

“This administration will not entertain Boards or CEOs who treat oversight mechanisms as optional. Any failure to comply will attract swift corrective action, including dismissal of the entire leadership to protect public resources and maintain trust,” he explained

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