How Govt Lost Billions in Botched Deal With Spanish Company

The deal had been meant to benefit both Kenya and Uganda...
✨ Key Highlights
Kenya reportedly lost Ksh4.5 billion in a failed cross-border electricity project with a Spanish company, Inabensa, according to a report presented to the National Assembly. The deal, involving the Kenya Electricity Transmission Company (KETRACO), was for a powerline connecting Kenya and Uganda. After the contract’s 2016 termination, a legal battle ensued, with a judge ruling in favor of Inabensa, ordering Kenya to pay the arbitration fee.
- Kenya was ordered to pay Ksh4.5 billion in arbitration to Spanish contractor Inabensa after losing appeals, including at the Supreme Court.
- The project was a 132-kilometre, 400 kV double-circuit powerline from Lessos, Kenya, to Tororo, Uganda.
- KETRACO Managing Director John Mativo also faced questioning over irregularities in the Loiyangalani–Suswa Transmission Interconnector project and Ksh2.7 billion in outstanding wayleave compensation.
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