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KENGEN MD EDDIE NJOROGE ON THE SPOT OVER PLANS TO SELL OFF POWER SUB-STATION

KenGen MD Eddie Njoroge

A row is simmering between power generators and distributors as both parties shift blame over the ongoing power rationing. Whereas KenGen produces power, the Kenya power company is the sole distributor of power. But even as the blame game persists, KenGen is facing its own internal problems emanating from poor management, especially at the diesel generation plants amid claims that nepotism and corruption is taking its toll on the diesel generation projects.

At the center of the brewing storm is the KenGen MD, Eddie Njoroge whose relatives are being blamed for playing profiteering games with the supply of heavy duty diesel used to run the powerful power producing machines. The said relative is said to have bought diesel from Kengen’s Nairobi south sub-station and supplied the same to another Kengen run, Garissa sub station.
In yet another scam that should raise eyebrows, the Ndula power station in Muranga county is said to be up for sale at a paltry 16 million shillings. Experts in the energy sector are worried that this flotation could be a ploy for the top racket to buy the station cheaply through proxy and start supplying power to the main grid. Although the reason given for the sale is inefficiency, the Ndula plant produces 2 megawatts, enough power to alleviate the already overburdened supply chain.

Conflict of interest has also been strongly cited as part of the ills bedeviling KenGen. According to information available, Kengen employees have been forced to take up their personal medical cover with UAP insurance company while all vehicles are insured by REAL insurance. The KenGen CEO, Eddy Njoroge is a major share holder of UAP, while, it is said, the KenGen insurance manager, Anne Mbugua is a wife to MD REAL insurance, Joseph W Kiuna which makes the entire insurance business a family affair. While another Kiuna, Gachao Kiuna is the CEO of Trans-Century Ltd, Eddie Njoroge is also listed among the directors of REAL insurance matters that are not helped by the discovery that the father to REAL insurance CEO is the chairman of Trans century group. The Trans century group is a conglomerate that owns and has bought into everything from the Kenyan cables manufacturer East African Cables, a transformer manufacturer in Tanzania, Rift Valley Railways and engineering firm Avery East Africa among other investments. Quite telling and an issue that raises much suspicion is the cross ownership and interest the members have in the energy sector.

East African Cables is the chief supplier of electrical wires and cabling to Kenya power company and KenGen, in which Trans century has also bought heavily to the point of tipping the ownership from a public to private company.

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