MPs cancel CS Mbadi's order on e-procurement

The National Assembly has annulled a circular by the National Treasury on the mandatory use of the electronic government procurement system (e-GPS).

Cabinet Secretary John Mbadi had in July directed that all State entities shift to the new system to improve governance in public procurement. Mbadi argued that the move would “reduce opaqueness and save government resources estimated at 10 per cent of the procurable budget”.

Subsequently, the Public Procurement and Regulatory Authority (PPRA) issued a circular to the national government entities, including the National Assembly, the Senate and public schools, and the county governments to comply with the new rule.

But in a new development, a report by the Committee on Delegated Legislation on Tuesday recommended the annulment of the PPRA Circular No 04/2025, saying it was in contravention of the law.

Chairperson, Samuel Chepkonga, said the circular contravened Articles 2(1) and(2), 10, 27(2), 94(5) and 227 of the Constitution relating to supremacy of the Constitution. The report also argued that it was in contravention of Sections 9 and 77 of the Public Procurement and Asset Disposal Act, Cap 412C.

The chairperson explained that the circular makes an attempt and purports to exercise some statutory power by evading the National Assembly, by giving direction and creating offences on issues that the House has pronounced itself on.

“If you enforce the electronic process, we are aware some parts of this country do not have internet. How do you want someone in Samburu, in outlying areas of Mandera, Kerio valley where there’s no signal to participate in a tender process called e-GPS?” said Chepkonga.  

“To make e-GPS mandatory is to make it discriminatory to other Kenyans who do not have that service. In fact, PPRA, by that circular, is telling us that a mama mboga has to access e-GPS to supply cabbages, milk to schools, is that even possible?” 

Leader of the minority party, Junet Mohammed, warned that any attempt by the Executive to change the law must be through Parliament. “The law says that you are allowed to use either the electronic or manual procurement system. If you are trying to tell the country to use only the electronic system, the first thing to do is change the law."