Auditor General Nancy Gathungu when she appeared before National Assembly Public Accounts Committee at Parliament on Wednesday, December 7, 2021. [David Njaaga, Standard]
Lawmakers have launched investigations into procurement of Short Message Service (SMS) by the Kenya National Bureau of Statistics (KNBS) at alleged exorbitant rates.
KNBS spent Sh38.9 million in procuring 30 million SMS during the 2019 national census. The cost implies that the bureau procured a single SMS at more than Sh1, which is higher than the current market rate.
Members of the National Assembly’s Public Investment Committee (PIC) yesterday said the rates appeared exaggerated since buying in bulk would have resulted into discounted price.
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Auditor General Nancy Gathungu has flagged out the payment after KNBS failed to provide details of the number of SMS sent.
The supplier had invoiced for 30 million SMS for use through Safaricom, Airtel and Telkom networks but only Safaricom confirmed having had their network used to send 22,856,831 bulk SMSs. “…with the balance of 7,143,169 SMS valued at Sh.8,214,644 having not been confirmed as having been utilised. Airtel and Telkom networks did not confirm having had any SMS sent through their networks,” states the audit report.
PIC chair Abdulswamad Nassir claimed the procurement could have been used as a conduit by certain individuals to siphon taxpayers’ money.
“Did you directly procure this from Safaricom? The rates are exorbitant,” said Nassir. “This means you spent more than Sh1 per SMS. I do bulk SMS at a rate much lower than Sh1.”
Committee vice chair Ahmed Ibrahim said the taxpayers could have saved if the services were procured at the normal rates.
KNBS director-general George Obudho said that the SMS were supplied by a firm and not procured directly from Safaricom.
