Kenya Electricity Transmission Company (Ketraco) has pending wayleave compensation amounting to Sh2.3 billion, a report of Auditor General Nancy Gathungu shows.
The report for the year ended June 2022 said Ketraco management explained that delayed payment was due to insufficient budgetary allocation from the National Treasury.
It said long negotiations between land owners, the company and various county governments were also to blame for the delays.
“In the circumstances, delays in compensating Project Affected Persons, (PAPs) may lead to legal suits, cost escalations and project delays. In addition, the accuracy and completeness of the pending wayleave compensations could not be confirmed,” Gathungu said.
The report further said amounts due from Kenya Power and Lighting Company Limited stood at Sh4.64 billion.
“However, KPLC records indicated a balance of Sh4,567,868,000 resulting in an unexplained variance of Sh75,612,000. In addition, there was no evidence of a payment plan from KPLC for the outstanding amounts at the end of the financial year under review,” Gathungu said.
She added that the full recoverability of the amounts due from KPLC could not be confirmed.
The report further said the amount due to Kenya Power Lighting Company was Sh1.5 billion.
It however said KPLC records indicated a balance of Sh1,677,814,000 resulting in an unexplained variance of Sh138,010,000.
Gathungu added that a review of records revealed that the company received an amount of Sh10,222,033,000 from the Ministry of Energy.
She said records from the ministry reflected an amount of Sh8,708,753,195 resulting in an unexplained variance of Sh1,513,279,805.