You are here
Home > Business > Activists Sue to Block KPC Privatization

Activists Sue to Block KPC Privatization

A legal challenge has been initiated against the government’s plan to privatize the Kenya Pipeline Company (KPC), with petitioners arguing the process is unconstitutional and jeopardizes national interests.

Filed at the High Court by activists Okiya Omtatah Okoiti, Bernard Muchiri Muchere, and Naomi Nyakerario Misati, the petition requests an immediate stop to the sale and seeks a hearing before a three-judge bench. The petitioners have asked the court to refer the matter to the Chief Justice to appoint a multi-judge panel, emphasizing the significant and complex constitutional issues at stake.

The list of respondents includes the National Executive, the Attorney General, Parliament, the Privatisation Authority, the KPC Board, and the International Monetary Fund (IMF). Katiba Institute and the Law Society of Kenya have joined the case as interested parties.

Central to the petition is the argument that KPC is a strategically important and profitable state asset. The activists contend that its privatization would impact national security, public finance, and economic sovereignty—matters they believe are too substantial for a single judge to adjudicate.

The legal action directly challenges Kenya’s privatisation legal framework, questioning whether the Privatisation Act of 2005 and the newly passed 2025 Act conform to the principles of the 2010 Constitution. The petitioners assert that state-owned enterprises are public assets held in trust for citizens and can only be transferred through processes that guarantee public participation, transparency, and accountability.

They further criticize the approval process for the KPC sale, arguing that using a Sessional Paper instead of a full Act of Parliament bypasses proper legislative scrutiny and weakens parliamentary oversight.

A major point of contention is the alleged role of external influence. The petition claims the privatization drive is a condition tied to IMF financing, arguing this constitutes an unconstitutional surrender of Kenya’s sovereign decision-making power and violates national values.

Other constitutional concerns raised include whether selling critical energy infrastructure threatens national security and if using asset sales to manage public debt aligns with constitutional mandates for responsible fiscal management.

The activists also question the integrity of the process, pointing to alleged irregularities in appointments to the Privatisation Authority and the absence of a forensic audit at KPC despite reports of financial discrepancies.

According to the petitioners, Kenyan courts have not yet ruled on whether the current privatization model complies with the 2010 Constitution. They state the outcome will establish a critical precedent for all future state asset sales.

The petition seeks official certification that the case involves substantial questions of law, a referral to the Chief Justice for a three-judge bench, and an award of legal costs.

Similar Articles

Top