PUBLIC PRIVATE PARTNERSHIPS AND PROCUREMENT PERFORMANCE OF MEGA PROJECTS IN THE ENERGY SECTOR IN KENYA
Abstract
Governments around the world face a rising demand for infrastructure. Most governments, including
Kenya, are attempting mega projects to bridge the infrastructural gap. Kenya has prioritized, under the
Kenya Vision 2030, a number of Mega projects. However most mega projects have, (or are), experienced
procurement related challenges, which threaten their efficient implementation thereby threatening
achievement the Vision 2030 aimed at transforming Kenya into a middle income Nation. The energy sector,
a critical support sector of the Vision 2030 pillars, plans to increase power production by 10,000Mw by the
year 2030, from the estimated production of slightly above 2000MW, through an array of mega projects.
This study set out to examine the influence of Public Private Partnership on the procurement performance
of Mega projects in the energy sector in Kenya. The study entailed a census of all the 47 mega projects
under the various public procuring entities in the energy sector. The unit of observation was the procurement
managers in the procuring entities dealing with mega projects. Objectively developed questionnaires were
used to collect primary data. The data collected was sorted, coded and entered into the computer statistical
package (SPSS), for production of descriptive and inferential statistics. The study established a significant
influence of PPP on procurement performance of mega projects in the energy sector. The study also
established a moderate adoption of PPP in the acquisition of mega projects in the energy sector in Kenya.
Therefore this study recommends to the energy sector management, to adopt enhance adoption of PPP
practice in the acquisition of mega projects in the energy sector. This would be a faster and less costly
means of achieving of the energy plan aimed at increasing energy production to 10,000MW in line with the
Kenya vision 2030. Whilst adoption of PPPs portends benefits of reduced cycle time, cost and improved
quality of mega projects; it would be insightful to establish the models of PPP that would be most suitable
for different aspects of power development: exploration (drilling), plant development, and power
evacuation in the energy sector.
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