Sen. Chute’s Firm: Sh2bn Payment in Badasa Dam Scandal
If the original plan had been successful, the Badasa Dam located in Marsabit County might have had the capacity to hold five million cubic meters of water as the rainy season concluded in June.
The Dam constituted a crucial water supply initiative in alignment with the goals of President Mwai Kibaki’s Vision 2030. It was poised to become the largest dam within Kenya’s most extensive county.
Since 2008, taxpayers have spent almost Sh2 billion on a project involving Midroc Water Drilling Company, which is owned by Marsabit Senator Mohammed Chute. This expenditure has resulted in the creation of a costly trench within Marsabit Forest that serves no practical purpose other than being unsightly and causing disruptions to both residents and wildlife in the area.
Roughly located 10 kilometers away from Marsabit town, the forsaken dam site stands as a painful reminder for taxpayers and an even more excruciating ordeal for the inhabitants of Badasa and Songa. These residents had placed their trust in idealistic pledges when the construction commenced, only to be let down severely.
Contrary to the typical notion of high temperatures and sandy landscapes, Marsabit town and its surrounding areas experience mild weather due to the presence of the dense Marsabit Forest, which contributes to a cooling sensation.
Water and electricity hold significant value in this location. The majority of the town experiences a shallow water level, making boreholes a less viable option compared to the availability of piped water.
National grid
The lack of electricity connectivity to the national grid is a significant issue for both the town and county headquarters. Interestingly, this situation is somewhat ironic considering that Marsabit County hosts one of Africa’s largest wind farms, located in Loiyangalani.
Despite the extensive attention that has surrounded the Badasa Dam since 2009 and the considerable sums of money that citizens have contributed towards it, the situation at the project location presents a contrasting narrative. It’s challenging to conceive that a sum exceeding 2 billion Kenyan Shillings has been allocated for the initiative.
Some evidence on the site indicates that some work had taken place in the past, including excavation, the construction of a 500-meter spillway, a concrete pillar, and piles of non-native red soil in Badasa. Despite these signs, these projects absorbed a significant portion of the funds paid to Mr. Chute’s company.
Despite not finishing the project, Midroc managed to legally pursue the National Water Conservation and Pipeline Corporation (NWCPC), the entity in charge of the project. Midroc aimed to receive Sh264 million for the supplies it provided to the dam location.
In legal papers, the company stated that it utilized an amount of Sh988.4 million for tasks such as earthworks, roadworks, grouting, plastering, and constructing the primary 52-meter embankment wall designed to retain water in the dam. This expenditure was part of the Sh2 billion disbursed to Midroc.
Apart from the records, there isn’t a noteworthy pathway to describe when it comes to the route to the location. The slender and rocky trail that guides to the area is only passable by SUVs or on foot.
The primary dam structure hasn’t been finished yet. While the spillway, a tunnel utilized for releasing excess water when the dam is at capacity, and the water treatment facility are a couple of components that have been fully constructed. However, the combined cost of these completed aspects of the project is under Sh500 million, leading to concerns about whether taxpayers received an adequate return on their investment.
It’s worth noting that the NWCPC didn’t dispute the fact that Midroc had completed projects valued at Sh1.65 billion. This amount eventually increased to Sh2 billion after factoring in additional fees, including Sh264 million.
An inquiry arose regarding the funds allocated for the Badasa Dam when the Water ministry sought an extra Sh1.2 billion in 2017 to finalize the dam’s construction.
Grouting work was either not finished adequately or not carried out entirely. According to Stephen Sora Katelo, the CEO of Marsabit Water and Sewerage Company (Marwasco), rectifying the dam project would involve prioritizing the grouting process. Completing the task would demand over Sh2 billion in funding.
Mr. Katelo’s familiarity with dams is evident from his role in successfully managing the construction of Bakuli Dam, located within the Marsabit Forest.
The Bakuli Dam can store 300 million liters of water. Following the conclusion of the extended rainy season in June, the Bakuli Dam reached its maximum capacity.
After the dam is finished, the inhabitants of Badasa and Songa have been assured that they will receive two boreholes at the construction site to provide extra water supply.
A water treatment facility was built by Midroc a couple of hundred meters away from the dam location. Presently, this plant is inactive, resembling the abandoned state of the dam site. It has transformed into a natural habitat for animals and serves as a storage place for various records. Numerous rooms, intended for office and living spaces, now hold hundreds of documents.
Two notable initiatives were prominent: the Isiolo-Moyale highway spanning 503km, intended to enhance accessibility to the northern corridor via road, and the Badasa Dam, a substantial infrastructure endeavor located in a region of the country that had been largely neglected by consecutive administrations since gaining independence.
Midroc Water Drilling Company submitted bids for two dam construction projects that were announced within the same year. The NWCPC, responsible for overseeing the realization of 24 medium-sized dams as part of Vision 2030, turned down Midroc’s offer of Sh653 million for the development of the Kiserian Dam. The reason provided was that Mr. Chute’s company didn’t possess the necessary expertise in constructing large dams.
Midroc was established on November 9, 2005, which was just under four years before the government issued bids for the building of dams as part of President Kibaki’s Vision 2030.
During that period, construction endeavors exceeding a sum of Sh150 million were typically allocated to well-established companies. However, just like what happened with the different dam projects, the NWCPC deviated from sound governance principles and granted special allowances that continue to negatively impact taxpayers up to the present time.
Frabo & Company Ltd was initially declared the tender winner for the Badasa Dam project with a Sh 1.4 billion bid.
However, the Public Procurement and Review Board invalidated the bidding procedure following the discovery of discrepancies in the assessment of Frabo & Company’s proposal as the top bid.
During the recent acquisition process, Midroc’s offer of Sh2.389 billion was recognized as the most favorable arrangement for taxpayers. Beginning on June 9, 2009, Midroc commenced the construction of Badasa Dam, having received an initial disbursement of Sh175 million.
The sound of powerful equipment heading towards the location, felling trees and digging the earth to construct a dam that stands 52 meters tall and stretches 300 meters in length, and is positioned just under 10 kilometers from Marsabit town, brought optimism to the locals, suggesting that their difficulties with water availability might finally be coming to a close.
Comedy of errors
However, what followed was a series of unfortunate mistakes that contributed to Kenya’s growing collection of unsuccessful projects, costing taxpayers billions.
Midroc was expected to deliver a fully constructed dam to the government by December 9, 2011. However, the National Water Conservation and Power Corporation (NWCPC) believed that Midroc’s progress was extremely slow.
From March 10, 2010, to October 31, 2011, the NWCPC and Runji Partners, an engineering consultant employed to assess the construction progress, sent multiple correspondences to Midroc expressing worries about the slow pace of the construction activities.
A site update document provided by Runji Partners on January 11, 2011, which was discovered by the Nation investigations team at the deserted location, reveals that Midroc had accomplished a mere 36.9% of the project work, a shortfall of 11 months from the expected finish date.
The paper indicates that essential elements of the dam had not yet been finished. The initiation of construction of a cofferdam, which is a waterproof barrier constructed to facilitate underwater tasks, had not yet commenced.
The dam site excavation was only 50% finished, and the embankment construction had not yet commenced. The road to the dam site had only achieved 10% completion.
By the point at which the company Midroc abandoned the Badasa project in 2013, the NWCPC had already provided Sh1.65 billion in funds and left behind inadequate machinery at the location.
Sen. Chute’s Firm: Sh2bn Payment in Badasa Dam Scandal