KPC Board dismisses fallout with management in pipeline deal

June 29, 2018 (4 weeks ago)
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KPC Managing Director Joe Sang echoed the Board’s Chair John Ngumi’s sentiments and reaffirmed that the management and the Board had a cordial working relationship adding that the company’s crucial decisions were arrived at mutually.

, NAIROBI, Kenya Jun 29 – The Board of the Kenya Pipeline Company (KPC) has dismissed claims of a fallout with the management following revelations that the parastatal might have lost millions in the construction of the Sh35 billion Mombasa – Nairobi oil pipeline. 

Speaking when he appeared before the Senate Energy Committee on Thursday, the company’s Chairman John Ngumi said the Board is in harmony with the management insisting that the Managing Director is the company’s spokesperson.

Ngumi said the Board and the management were in agreement to pay an extra of Sh4.4 billion shillings to the Lebanese construction company due to several delays in the project.

“The Managing Director is the spokesperson of the company and as the Chair of the board I wish to tell the public that the relationship between the board and the management is intact,” he said.

He called for restraint while assuring that the public would be the first to know if things were going haywire at the company.

Managing Director Joe Sang echoed Ngumi’s sentiments and reaffirmed that the management and the Board had a cordial working relationship adding that the company’s crucial decisions were arrived at mutually.

The assumption of a robust partnership portrayed by KPC was however not convincing enough for Senators who accused the board of being a subdued board.

Senator Susan Kihika (Nakuru) for instance accused the Board of not actively being engaged on the day to day operations of the company citing the silence of the Board to issue a firm position on corruption-related cases that have rocked the company.

“We rarely see the board speaking on such matters of corruption where there has been alleged looting of funds through inflated prices for procurement deals done by the company,” she said.

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