SH63 BILLION

Governors set tough terms for MES contract extension

The seven-year agreement is supposed to end on various dates between December and May 2023

In Summary

•Council of Governors health committee chairman Anyang’ Nyong’o said the seven-year contract had provided three options upon the expiry of the term.

•To extend the contract, the CoG has recommended, together with the Ministry of Health, they jointly appoint a multidisciplinary negotiating team that will determine the three-year contract extension.

Governors James Ongwae (Kisii), Anyang' Nyong'o (Kisumu) and Abdi Mohamud (Wajir) address journalists outside Council of Governors offices at Oracle, Westlands on Friday.
SH63 BILLION: Governors James Ongwae (Kisii), Anyang' Nyong'o (Kisumu) and Abdi Mohamud (Wajir) address journalists outside Council of Governors offices at Oracle, Westlands on Friday.
Image: ANDREW KASUKU

Governors have set tough conditions for the extension of the Sh63 billion Managed Equipment Services as the contract ends in December.

The MES contracts review team, last month proposed an extension of the deal for another three years much to the chagrin of county bosses who had opposed it.

Council of Governors health committee chairman Anyang’ Nyong’o said the seven-year contract had provided three options upon the expiry of the term.

“In considering the three options, the council acknowledges the impact of the equipment on health service delivery to the people and resolved to extend the contract for additional three years,” he said.

The other two options included decommissioning and disposal of equipment by the contractor and transfer of equipment to the Ministry of Health at defined terms.

Nyong’o spoke during a press briefing on Friday,

The seven-year MES contract is supposed to end on various dates between December and May 2023.

To extend the contract, the CoG has recommended, together with the Ministry of Health, they jointly appoint a multidisciplinary negotiating team that will determine the three-year contract extension.

However, the extension should be tackled on a contract by contract basis.

“It has been recommended the CoG jointly with MoH to draft the addendum to the contracts and the Memorandum of Understanding( between the Ministry and county governments,” Nyong’o said.

We are proposing the council of governors and Health ministry to review the budget to address equity concerns (individual county government payments should be commensurate to the equipment).” 

The COG has proposed the MES contractors deliver on all their obligations under each contract and address the negatives observed in the implementation of the contracts attributed to them.

The CoG and MoH shall review and consider modalities to compensate counties whose equipment were not delivered but fully paid for.

Governor Nyongo was accompanied by Kisii Governor Sam Ongwe and the reinstated Wajir Governor Mohamed Abdi.

Under the controversial MES deal, the national government contracted five firms to supply specialised equipment under a leasing deal for the diagnosis and treatment of ailments such as cancer in 2015.

The project was aimed at equipping health facilities with modern and specialised diagnostic equipment.

It was aimed at ensuring, every Kenyan, had access to uninterrupted, quality, specialised health care services.

However, a report tabled at the Senate last September said the process of attaining the objectives was bungled leaving counties bleeding as they pay back the grants.

Edited by Kiilu Damaris

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