Recently, concerns have emerged among Members of Parliament (MPs) regarding the Ministry of Health’s procurement of the Integrated Healthcare Information Technology System (IHTS), a key project for the Universal Health Program. Safaricom PLC has come under scrutiny as the lead partner in the consortium awarded the Ksh 104.8 billion contract, which spans 12 years.
The procurement process carried out under the Specially Permitted Procurement Procedure (SPPP), has raised red flags due to Safaricom’s minimal 13% stake in the project, while a relatively unknown company, Apiero Limited, controls over 50%. MPs have questioned why Safaricom, with limited involvement, is positioned as the lead, suggesting its name might be used to mask the inexperience of its partners, like Apiero Limited, which lacks expertise in large-scale healthcare IT systems.
Dr Robert Pukose, chairperson of the Health Committee, voiced concerns about bypassing the established National Hospital Insurance Fund (NHIF) IT system in favour of this new initiative, which had reportedly failed trials in Marsabit and Tharaka Nithi counties. He questioned why the Ministry opted for a system that hadn’t proven effective instead of enhancing the existing NHIF system.
The committee also criticized the lack of transparency, particularly the absence of input from the Attorney General in clearing the contract, and accused the Ministry of single-sourcing the contract without proper public participation. MPs like Kitutu Chache South’s Anthony Kibagendi pointed out that the Health Cabinet Secretary had bypassed procurement laws, awarding the contract to companies with no experience in implementing social health authority systems. Many of these firms, including Apiero, were newly registered in Kenya.
MPs are now pushing for accountability, demanding that the Health and Treasury Cabinet Secretaries, along with the Attorney General, clarify the discrepancies in the procurement process. They also question why Safaricom was strategically positioned as the lead partner, given that its expertise doesn’t align with critical components like claims management and telemedicine. The lack of transparency and concerns over corruption have led MPs to call for the contract’s review before it moves forward, with some calling it “a fraud in the making.”
The committee has summoned key government officials to address these concerns and ensure due process is followed before implementing such a large-scale system overhaul.
