Ruto Reacts as AG Exposes Gov’t Has No Control Over SHA System
President William Ruto has responded to a report by Auditor General Nancy Gathungu, which revealed that the Social Health Authority (SHA) system is not owned or controlled by the government.
Speaking on Tuesday, March 4, Ruto confirmed the findings, stating that the system is managed by a group of technology companies. He explained that this setup is meant to maintain the integrity of SHA and prevent fraudulent claims.
Ruto emphasized that the system is designed to safeguard citizens’ contributions. He clarified that the government will not finance it directly; instead, it will operate on a fee-for-service basis.
“We will have a consortium of technology companies ensuring that no fraudulent claims occur within SHA. The government will not pay for this system—it will run as a fee-for-service model to protect citizens’ contributions,” he stated.
The president dismissed critics of the system, suggesting that those opposing it are individuals who have been benefiting from corruption in the health sector.
“The ones complaining are those who have been stealing from us. They don’t want an effective technology system in place because it would stop their corrupt activities,” Ruto remarked.
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According to Gathungu’s report, the ownership of the system, its components, and intellectual property rights belong to the consortium managing it. The only part under government control is the infrastructure, which will eventually be transferred as part of the procurement process.
The report further revealed that the system’s funding model anticipates generating Ksh111 billion in revenue over ten years. This income will come from SHA member contributions, claims from health facilities, and fees for the track and trace solution.
The financial proposal outlines specific charges: 2.5% from member contributions, 5% from health facility claims, and 1.5% from the track and trace system. Over a decade, these charges are expected to accumulate a total of Ksh111,019,068,754.
On Tuesday, economist David Ndii addressed concerns about the cost and ownership of the SHA system. He clarified that the Ksh104 billion linked to the platform is not a government expense but rather user fees spread across a ten-year contract period.
“The UHC digital platform is fully outsourced. The government has not spent even one shilling on it. The Ksh104 billion figure represents user fees that will be paid over ten years,” Ndii wrote on X.
Ruto Reacts as AG Exposes Gov’t Has No Control Over SHA System
