Kenyan MPs Vote Against William Ruto, John Mbadi's Order on Exclusive Online Tendering
- Treasury Cabinet Secretary John Mbadi issued a circular on how payments for government contracts will be authorised
- The National Assembly revoked the Public Procurement Regulatory Authority Circular No. 04/2025 on Tuesday
- Lawmakers cited Articles 2(1)&(2), 10, 27(2), 94(5), and 227 of the Constitution, which deal with the supremacy of the Constitution
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A National Treasury circular mandating that all public institutions adopt the electronic government procurement system (e-GPS) has been rejected by parliament on the grounds that it violates the Constitution.
Source: Getty Images
On Wednesday, July 23, 2025, Treasury Cabinet Secretary (CS) John Mbadi released a circular announcing that payments will only be authorised for (existing) contracts that have been properly notified to the Public Procurement Regulatory Authority (PPRA).
Treasury released the circular in response to entities' complaints that they were having trouble utilising the system.
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However, on Tuesday, August 19, in a session, the National Assembly revoked the Public Procurement Regulatory Authority Circular No. 04/2025 and unanimously supported the findings by the Committee on Delegated Legislation.
Why did MPs reject the Treasury's circular?
The committee, led by Ainabkoi MP Samuel Chepkonga, said that the circular mandating the use of e-GPS by all public procurement organisations violates Section 77 of the Public Procurement and Asset Disposal Act since it aims to circumvent House approvals.
Lawmakers cited Articles 2(1)&(2), 10, 27(2), 94(5), and 227 of the Constitution, which deal with the supremacy of the Constitution, national values and principles of governance.
These include public participation, transparency, accountability, equality, and the enjoyment of all rights and fundamental freedoms.
Source: Getty Images
Others are the authority to enact laws, and the ability to enter into contracts for goods or services with a system that is fair, equitable, transparent, competitive, and cost-effective.
"The circular violates sections 9 and 77 of the Public Procurement and Asset Disposal Act, Cap. 412C, which deals with the authority's role and acknowledges that tender submissions can be made electronically or manually.
It also contravenes the Statutory Instruments Act, Cap 2A, sections 2, 6, 11, 13, 22, and 24 that deal with statutory instrument interpretation, the submission of a regulatory impact statement on each statutory instrument, the necessity of publishing and tabling a statutory instrument before Parliament, and the exercise of authority in creating statutory instruments," the committee stated.
Mbadi introduced the eagerly anticipated e-GPS system on April 7, 2025.
The system aims to enhance effectiveness and accountability in the management of public funds.
Which bill did MPs reject?
At the same time, the Committee on Administration and Internal Security rejected the Assumption of the Office of President and Transition of Executive Authority Bill, 2025.
The bill sought to provide official protocols for the transfer of presidential power following elections.
The committee argued that any flaws found in the current act's enforcement could be fixed through amendments rather than the introduction of new legislation.
State officials who obstruct the power transition will be fined KSh 10 million, according to the proposed bill that was approved by the Cabinet last year.
Proofreading by Asher Omondi, copy editor at TUKO.co.ke.
Source: TUKO.co.ke
