By Silas Apollo
Kenyans seeking tenders from the government may soon be eligible to contracts of up to Sh20 billion if a new Bill seeking to increase the amount of tenders reserved to any Kenyan sails through Parliament.
The Public Procurement and Asset Disposal (Amendment) Bill 2022, seeks to have contracts reserved and awarded to Kenyan owned businesses increased from the current Sh500 million to about Sh20 billion.
The Bill sponsored by Embakasi Central MP Mejjadonk Benjamin Gathiru says that the move is aimed at protecting Kenyans from exploitation by foreign companies.
Mr Gathiru in his proposals in the Bill set to be tabled before the National Assembly for the first reading, says that the current terms prescribed by the Public Procurement and Asset Disposal Act, 2015 do not favour many Kenyan owned businesses.
He is therefore calling for an increase in the figures that Kenyans can apply for in government to bridge the gap and attain what he terms as a fair playing field with foreign owned enterprises.
In his proposals, Mr Gathiru therefore wants Section 157 of the Public Procurement and Asset Disposal Act, 2015 amended to include his new proposals.
“The principal object of this Bill is to amend the Public Procurement and Asset Disposal Act, 2015 to enhance the amount for tenders where Kenya citizens are given exclusive preference from the sum of five hundred million shillings to twenty billion shillings. This is to protect the Kenyan traders from foreign competitors,” Mr Gathiru said.
Under the current PPAD Act, the amount of tenders, contracts or businesses that can be reserved and awarded to Kenyans has been capped at about Sh500 million.
According to Section 157 subsection 8 of the Act, exclusive preferences shall be given to citizens of Kenya where— the prescribed threshold for exclusive preference shall be above five hundred million shillings.
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