Affordable Housing Programme consultants decry Sh1 billion unpaid dues

Parliament has been petitioned to address delayed payments exceeding Sh1 billion owed to consultants involved in President William Ruto's affordable housing programme.

The consultants have warned that the unpaid dues, which have been pending for nine months, are hindering the successful implementation of the initiative.

According to Nation, the consultants decry that the prolonged delay has caused significant financial strain and emotional distress.

"The prolonged delay in payment has caused undue financial strain and emotional distress to the affected consultants. This impasse threatens the successful implementation of the affordable housing programme," reads the petition dated November 27, 2024, as quoted by Nation.

The appeal, signed by Karori Maina on behalf of the Architectural Association of Kenya, the Institute of Quantity Surveyors of Kenya, and the Institution of Engineers of Kenya, calls for Parliament to direct the State Department for Housing and Urban Development to finalise contracts and facilitate immediate payment to the consultants.

Additionally, the petitioners have urged lawmakers to investigate alleged internal disputes within the Housing Department, which they claim have contributed to the delayed payments.

"We humbly request Parliament to strengthen accountability and streamline administrative processes in the affordable housing programme to prevent such issues in the future," they said.

No formal contracts

The consultants disclosed that formal contracts with the government have yet to be established, following the cancellation of an agreement signed on February 24, 2024, by Principal Secretary Charles Hinga.

While the initial agreement accepted their tender for consultancy services, a letter from Hinga dated September 18, 2024, revoked the acceptance, citing the need for compliance with the Public Procurement and Asset Disposal Act, 2015.

The September letter directed the consultants to resubmit their complaints within 14 days, stating, “This is to inform you that the above letter has been recalled. The letter shall be re-issued pursuant to section 87 (3) of the Public Procurement and Asset Disposal Act, 2015.”

The delays have reportedly jeopardised the government’s ambition to construct 250,000 affordable housing units annually, a key component of the Kenya Kwanza administration's Bottom-Up Economic Transformation (Beta) agenda.

The programme seeks to provide affordable housing, create employment, and generate business opportunities.

President Ruto has frequently defended the initiative, underscoring its potential to address the housing deficit while creating jobs.

However, the financial and administrative challenges threaten to derail one of his administration’s flagship projects.