Some exhibited procurement irregularities, weak planning
by MOSES OGADA
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Billions of shillings invested in
stadium construction across the country have been flagged in a new audit,
raising concerns about procurement procedures, stalled projects and value for
money.
In her report on Sports Kenya for
the year ending June 2025, Nancy Gathungu said several sports infrastructure
projects exhibited procurement irregularities, weak planning and implementation
challenges.
The audit singled out the flagship
Talanta Stadium project, whose design, construction and equipping is valued at
Sh45.8 billion.
According to the report, the project
was awarded through direct procurement, a method the Auditor General said did
not meet the required legal threshold.
“The contract did not meet
competitive procurement and direct procurement criteria,” the report states.
Auditors also identified a funding
gap of about Sh11 billion.
The National Treasury approved Sh35 billion for the project against a contract value of Sh45.8
billion, creating what the report describes as an unsupported price variation.
The audit further noted that by June
1, 2025, the stadium was 44.54 per cent complete while only Sh2 billion — about
4.5 per cent of the contract value — had been paid.
According to the report, delayed
payments could expose the government to additional costs, as the contract
provides for interest on overdue payments at three per cent above the
prevailing base lending rate set by the Central Bank of Kenya.
Auditors also questioned whether the
project had been properly planned before procurement.
“There was no evidence that the
works were budgeted for and included in the approved procurement plan,” the
report states.
The audit further raised concerns
about land ownership for the stadium site, noting that management did not
provide documentation confirming ownership of the land where the facility is
being constructed.
Beyond Talanta Stadium, the audit
flagged contracts worth Sh2.16 billion awarded to a single contractor for works
at several facilities including Raila Odinga Stadium and Kamariny Stadium.
Auditors said Sports Kenya did not
provide sufficient evidence that the contracts were competitively awarded and
that key documentation such as tender opening minutes and evaluation reports
was missing.
Inspections also revealed incomplete
works in several projects.
At Jaramogi Oginga Odinga Stadium,
floodlights valued at Sh30.6 million could not be verified because the facility
had not yet been connected to electricity.
An additional 16 floodlights worth
Sh4.07 million were found stored in boxes.
At Wote Stadium in Makueni county,
construction remained incomplete more than eight years after the expected
completion date, with key facilities such as a tartan track and borehole still
unfinished.
In Kirubia Stadium, a tartan
athletics track installed in 2021 at a cost of Sh41.55 million had already
deteriorated, with sections peeling off beyond repair.
Meanwhile, part of the terraces at
Kipchoge Keino Stadium built at an estimated Sh150 million had to be demolished
to meet standards set by Confederation of African Football and FIFA ahead of
the 2027 Africa Cup of Nations, which Kenya will co-host with Uganda and
Tanzania.
The audit also highlighted stalled
works at Kamariny Stadium, where the initial contractor completed only about 30
per cent of the project before the contract was terminated. Efforts to recover
Sh24 million paid as advance payment had not succeeded by the time of the
audit.
Across several projects, the Auditor
General said it was difficult to confirm whether public funds had been properly
utilised.
“In the circumstances, the propriety
of the expenditure and value for money could not be confirmed,” the report
states.
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