Counties have committed billions of shillings to development projects that remain out of reach for the people they were meant to serve, with 189 projects worth Sh10.51 billion stalled after Sh4.21 billion had already been paid.
The unfinished works span nearly every major area of county services, from hospitals and roads to markets, water projects, social halls, offices, youth centres and Early Childhood Development Education facilities.
A new report by Controller of Budget Margaret Nyakang’o shows that some of the projects had reached advanced stages before construction stopped, while others were abandoned after contractors went unpaid or their contracts were terminated.
Nairobi recorded the largest number of stalled projects, with 57 developments valued at Sh2.24 billion. Kakamega followed with 26 projects worth Sh848.95 million, while Baringo had 23 projects valued at Sh163.32 million.
“Reported causes included inadequate budgetary allocations, unresolved contract variations, contractor abandonment, contract termination, missing contract files and projects under investigation,” Nyakang’o said in the report.
The Controller of Budget said counties should avoid spreading resources across new developments when existing projects can still be completed and put to use.
“A review of the stalled projects revealed that Nairobi county recorded the highest value at Sh2.24 billion (57 projects),” she said.
In Nairobi, the list of unfinished developments includes a medical block at Mbagathi Hospital, where construction had reached only 15 per cent.
The facility, valued at Sh255.87 million, was intended to provide outpatient, high-dependency and intensive care services.
At Mwiki, a Sh76 million social hall remains incomplete after the contractor abandoned the site over non-payment. In Dandora II, a youth complex valued at Sh50 million also remains unfinished.
The rehabilitation of Makina Market, estimated at Sh42 million, stalled after the contractor was not paid.
Other projects had made more progress before work stopped. A maternity wing at Umoja I Health Centre was 50 per cent complete, while a medical block at Karen Health Centre had reached 75 per cent under an earlier contract.
The county also spent Sh150 million on the Care Integrated County Revenue Management System/ERP project at City Hall. The project has an estimated value of Sh847.23 million but had reached only 37 per cent completion.
Nairobi County attributed the difficulties affecting the projects to funding, procurement, contractor, land, design and legal issues.
Nyakang’o said counties need to establish clear records of stalled projects and concentrate on those that can be completed.
“County governments should prepare verified schedules of stalled projects, prioritise projects that can be completed and operationalised and allocate adequate resources in future budgets,” Nyakang’o recommended.
Machakos reported 22 stalled projects valued at Sh891.58 million, with Sh314.26 million already paid towards them.
At Mua, construction of a community hospital valued at Sh11.53 million had reached 80 per cent completion before the project stopped.
Despite being close to completion, the facility had not become operational.
Another community hospital at Kwa Mwatu in Matuu was 60 per cent complete when the contractor walked away.
A Sh55.5 million commercial development project in Mua was only 10 per cent complete when its contract was terminated over non-performance.
A community recreation centre valued at Sh55.44 million also stalled following the termination of its contract.
The situation means residents in the affected areas have seen public money spent on buildings and other works without receiving the services the projects were intended to provide.
In Kakamega, 26 projects worth Sh848.95 million have stalled, with Sh218.98 million already paid.
One of the affected projects is the Ingotse-Navakholo-Chebuyusi road, which has a value of Sh100 million.
The road was only 40 per cent complete when its contract was terminated, forcing the county to begin preparations to re-advertise the project.
The Sh45 million Butali-Malekha road stalled after delayed payments, while the Emang’ala-Emahongoyo road also failed to reach completion.
Some Kakamega projects were much closer to completion when they stalled. The Khwisero Subcounty offices had reached 90 per cent completion, while the Yala Butwehe water project was 85 per cent complete.
Both nevertheless remained unfinished.
Nakuru reported three stalled projects valued at Sh60.65 million after paying Sh40.93 million.
Among them is a fish market in Naivasha valued at Sh9.66 million. Construction had reached 50 per cent when the work stopped.
A separate market shed in Naivasha had reached 77 per cent completion before it was abandoned.
The two projects have been earmarked for re-tendering.
For traders who were expecting improved facilities, the stalled works mean they continue operating in spaces that were supposed to be replaced or upgraded by the county government.
In Nandi, six projects valued at Sh23 million were reported to have stalled.
The projects include Phase II of the Cheptewai Hospital Complex, which had reached 80 per cent completion.
Education and youth-related developments were also affected, including projects at Kabore Vocational Training Centre and Timobo ECDE.
The Controller of Budget identified several problems behind the wider pattern of stalled projects.
They include inadequate or delayed funding, unresolved contract variations, contractors abandoning construction sites, termination of contracts, missing contract files and projects that are under investigation.
Other factors cited in the report include procurement delays, delayed payments, poor project planning and design, failure to obtain regulatory approvals and weak contract management.
The report also points to changing political priorities as another factor that can leave projects unfinished.
Nyakang’o said counties should prepare verified schedules of all stalled developments and draw up recovery plans with clear timelines.
She further recommended that counties focus their budgets on projects that can be completed and put into operation while ensuring that contractual disagreements are addressed.
“Resolve contractual disputes promptly and in accordance with the law. Ring-fence projects under investigation and pursue appropriate recovery, enforcement, or corrective actions where loss or irregularity is established,” the report states.
The Controller of Budget also highlighted an issue in Siaya, where one stalled project was valued at Sh1.88 million but Sh3.72 million had already been paid.
This resulted in an excess payment of Sh1.84 million, despite the project remaining incomplete.
The report leaves county governments with the task of recovering stalled developments, addressing contractual and funding problems and ensuring that projects already paid for do not remain unfinished while residents continue waiting for the services they were meant to provide.