We smell a rat: MPs raise alarm over Sh104.8b new health IT deal

National Hospital Insurance Fund (NHIF) building, Nairobi . [File, Standard]

Members of Parliament have raised concern over the Ministry of Health’s procurement of a Sh104.8 billion Integrated Healthcare Information Technology System (IHTS).

The system, which is a key component of the Universal Health Programme, is set to be implemented over a 12-year period with Safaricom PLC as the lead partner in the consortium responsible for the project. Its procurement was conducted under the Specially Permitted Procurement Procedure (SPPP) and involves the development of a comprehensive digital healthcare platform.

The consortium, which includes Apeiro Limited and Konvergenz Network Solutions Limited, will facilitate the deployment of the IHTS.

A House team is, however, questioning the planned roll out of the system and further seeking answers on Safaricom’s role in leading the consortium despite what it termed its limited stake in the project at approximately 13 per cent, while Apiero Limited reportedly holds a stake of more than 50 per cent.

National Assembly Health Committee chairperson Robert Pukose yesterday sought to know whether the telecommunication power house was only included in the deal so as to “boost the credibility of its consortium partners.”

“Although Safaricom PLC’s role appears minimal, it seems to serve as the public face of the project, potentially masking the inexperience of its partners,” Pukose stated.

The chair was also curious as to why the Ministry bypassed the existing National Hospital Insurance Fund (NHIF) IT system, noting that it had been functional, in favour of this new system whose trials in Tharaka Nithi and Marsabit had yielded poor results. “It is not clear to us why the Ministry is insistent on replacing a system that has been working. Instead, they should be focusing on enhancing the current NHIF system so that it can include all registered members,” he remarked.

And while suggesting a gradual implementation of any new system as opposed to overhauling a new one, the committee called on the office of the Attorney General (AG) not to approve the contract.

They cited concerns such as potential corruption, what they said was single-sourcing of implementing companies and the lack of public participation in the process. “…From what we’ve seen, this looks like fraud in the making. That’s why we need full transparency before we make any decisions,” said Pukose.

Kitutu Chache South MP Anthony Kibagendi said that a review of the contract documents revealed that the office of the AG was not involved and emphasised need for the same.

On the issue of single sourcing, he claimed that the Ministry of Health had bypassed procurement laws as demonstrated by the awarding of the contract “to companies with no prior experience in implementing social health authority systems.”

The fact that the companies were recently registered in Kenya, he said, was questionable. “The Ministry’s decision to award the tender based on Apiero’s experience is questionable, as the company has no direct association with similar systems,” said the legislator.