KPLC surpasses target to reach Sh4bn in AGPO tenders

Kenya Power and Lighting Company (KPLC) awarded Sh4.15 billion in tenders to businesses owned by youth, women, and persons with disabilities (PWDs) during the last financial year.

This, according to the company, surpassed its target for the year of Sh1.2 billion under the Access to Government Procurement Opportunities (AGPO) initiative.

It also marks a substantial increase from the previous financial year, where Sh472 million was awarded to these groups.

AGPO aims to empower these groups by giving them more opportunities to do business with the government.

The program requires that 30 per cent of government procurement opportunities be set aside for these groups. 

KPLC General Manager for Supply Chain and Logistics John Ngeno in a statement attributed the impressive uptake of AGPO tenders to deliberate effort by the Company to sensitise target groups on procurement opportunities.

"During the last financial year, we sustained education forums for the special interest groups on how to participate in our procurement process. The uptake has been steady over the years owing to these engagements and we hope to sustain 100 per cent absorption of our annual AGPO budget as more Kenyans become aware of these opportunities," he said.

Under the AGPO category, the Company awards tenders that are not highly technical.

They include the supply of locally available materials and common user items, works and services. and the provision of cleaning services, among others.

Youth-owned businesses took up the biggest chunk of the total value of AGPO tenders accounting for Sh3.8 billion followed by those owned by women and PWDs at Sh324 million and Sh1.3 million respectively.

"Through AGPO, we aim to foster inclusivity in our procurement processes. Going forward, our focus will be more on persons with disabilities and women."

"Through tailored engagements, we want to ensure that they participate actively in our procurement as is the case with the youth," said Ngeno.

He added that the Company will continue to work collaboratively with financial institutions to provide linkages for financial support to the interest groups to facilitate their participation in the procurement processes.

This is in addition to sensitization workshops and conferences targeting these groups, pre-bid conferences during the tendering period to enhance knowledge, increased publicity of the available AGPO opportunities as well as prompt payment for suppliers to strengthen their cash flow.

During the current financial year, the Company is targeting to award Sh11.6 billion worth of AGPO tenders to the three special interest groups.