High Court in Nairobi has suspended Kenya Power’s Ksh.2 billion tender for electricity metres supply, which it had awarded foreign bidders.
Four indigenous bidders moved to court challenging the decision over favouritism. According to Kenya Power, local firms lacked requisite experience to handle such tender.
The four are Smart Meters Technology Ltd, Shenzhen Star Instrument Company Ltd, Magnate Ventures Ltd and Inhemeter Africa Company Ltd.
They argued that a requirement for a successful bidder to have a minimum of 15 years technical specifications experience in manufacture of energy meters is unlawful.
“The respondent, therefore, drove the applicant away from the seat of justice without being heard on the merits of its case despite the respondent having wrongfully failed to exercise its jurisdiction and mandate, as sought by the applicant,” they argued through their lawyer Titus Koceyo.
The four have been supplying Kenya Power with merchandise for seven years now.
Justice Ngaah directed Koceyo to serve Kenya Power within three days and set the hearing of the case for June 28.
The power utility company defended the decision to restrict the tender to international firms arguing that there have been massive failures for locally assembled meters.
Their complaint of being locked out was dismissed by the Public Procurement Administrative Review Board on a technicality.