Ruto Govt Terminates Ksh337 Billion Deal With International Company
President William Ruto’s government has officially cancelled a Ksh337 billion deal with a private company to build the High Grand Falls Dam, a major project that was planned for the border of Kitui and Tharaka Nithi counties.
The dam was expected to be a game-changer for Kenya—designed to generate more electricity and improve irrigation for farming. It was to be built by a UK-based infrastructure firm under a private-public partnership (PPP) model.
But a recent report by the National Treasury, released on July 5, 2025, confirmed that the government terminated the deal on July 2, in line with Section 43 of the PPP Act.
Initially approved in May 2023, the project had moved to the feasibility study phase. However, after reviewing the submitted report, the PPP Committee found that it failed to meet key legal and technical standards. Based on this, the Committee advised that the project be scrapped. Still, the UK firm has been allowed to revise and resubmit its proposal.
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The High Grand Falls Dam isn’t the only major project that has been cancelled. The government also pulled the plug on the Ksh464 billion Nairobi–Mombasa expressway project, which was being pursued by Everstrong Capital, a U.S.-based company. This proposal also failed to meet the required criteria in its feasibility study.
The PPP Committee explained that both cancellations were made under Section 43 of the PPP Act, but mentioned that revised proposals could still be submitted for future consideration.
On a brighter note, the Committee has greenlit the 175-kilometre Nairobi–Nakuru highway project. President Ruto recently announced that construction will begin in August 2025 and will be overseen by the Kenya National Highways Authority (KeNHA).
Ruto Govt Terminates Ksh337 Billion Deal With International Company
