Why leaders want Sh74b Lake Turkana Wind Power probed
Senators want the Sh74 billion wind power project in Marsabit County investigated.
Contributing to debate on a statement sought by Bungoma Senator Moses Wetang'ula on the viability of the project, lawmakers called for a thorough audit to establish why Lake Turkana Wind Power Company Limited, contracted by Kenya Power in 2015 to generate 300 megawatts of power, was being paid for services not rendered.
They also want it established whether the contractual agreement to supply power to the national grid was breached.
The senators were also seeking answers on why the Government abandoned its feed-in-tariffs policy and syndicated loan from the Spanish government of Sh17 billion plus its contribution of Sh3 billion through the Kenya Electricity Transmission Company to construct the line.
Mr Wetang'ula said delayed commissioning of the project had seen Lake Turkana Wind Power Company Limited claim payment of deemed generated power at 100 per cent capacity.
"Already, a staggering sum of Sh5.7 billion has been paid,” said Wetang'ula, adding that “the company is demanding a further Sh9.6 billion... On what basis is the Government making these astronomical payments to the firm without the supply of a single megawatt of electricity?”
He argued that there were no grounds for the payment as the Government should instead demand reimbursement or recovery costs in relation to the Spanish loan and its contribution for the construction of the transmission line.
Wetang'ula asked the Energy ministry to explain payments on the so-called deemed generated electricity.
Senators Halake Wako (nominated), Mutula Kilonzo Jnr (Makueni), Godana Hargura (Marsabit), Mahammud Mohammed (Mandera) and Ledama ole Kina (Narok) tasked the Energy committee to investigate the matter.