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The Deputy President said the government would not tolerate contractors who delay projects or undertake substandard work at taxpayers’ expense, insisting that those paid to execute public projects must fulfil their contractual obligations.
Nairobi county blamed the delays on inadequate funding, failure to settle certified works, contractors pulling out of sites, procurement challenges and other issues linked to contracts.
The National Construction Authority (NCA) said contractors must also consider assets that had already become unclaimed before the law took effect, where the circumstances meet the requirements of the law.
Kindiki said the government would no longer tolerate contractors who delay projects despite receiving payment, noting that Kenyans were waiting to benefit from improved infrastructure.
Suppliers and contractors told senators that unpaid Kilifi county bills are pushing local businesses toward collapse. The Senate County Public Accounts and Investments Committee demanded records and answers from the County Executive over a Sh10.7 billion debt burden.
The project has a lengthy history of delays. The Kakamega County Government said in March 2026 that the Shitoli Water Project had stalled for more than 15 years before plans to rehabilitate and solarise it were revived
A project report says Kaimosi Friends University’s five-storey library is 81% complete but still requires Sh371.48m in pending works to meet a September 30, 2026 completion date. The article details certified payments to date, the remaining balances, and prior budget allocation and expenditure across financial years.
According to the Authority, some of the main reasons behind the failures include failure to follow building standards, inadequate supervision by professionals, poor workmanship and the use of substandard construction materials.
The NCA said the annual renewal exercise is part of its mandate under the National Construction Authority Act, 2011, to regulate and coordinate the development of Kenya's construction industry
The President highlighted that clearing these arrears is critical to completing the 6,000 kilometres of contracted roads next year, as well as opening up an additional 28,000 kilometres of new road projects.
Contractors working in Kayole Soweto, Kahawa Soweto, Embakasi and Matopeni have been put on notice after Lot 1 of the project recorded a completion rate of just 27.3 per cent, far below the targeted 98 per cent.
The regulator highlighted that contractors who have gone without renewing their licences as of January 1, 2026, are now at risk.
Data from the Controller of Budget (CoB) for the 2024/2025 financial year reveals that 158 county projects in 18 devolved units remain unfinished, with Sh3.8 billion already spent and an additional Sh5.3 billion required to complete them.
PS Hinga’s remarks follow a period of growing Housing Levy collections, which have strengthened the funding of affordable housing initiatives. In the 2024/2025 fiscal year, the levy brought in Sh73.2 billion, exceeding the target by Sh10 billion, up from Sh54.2 billion the previous year. The levy had faced earlier legal challenges but was legitimised by the Affordable Housing Act, 2024.
Data from the Controller of Budget (CoB) shows that charges on overdue payments increased to Sh25.28 billion from Sh21.58 billion the previous year, largely driven by obligations at the Kenya Rural Roads Authority (Kurra) and the Kenya National Highways Authority (KeNHA).
According to a Cabinet dispatch, Sh64.2 billion has already been disbursed through the model, covering 40 percent of verified claims linked to 575 contracts across 393 road projects.
The planned upgrade involves dual carriageways on the main A8 highway and a new bypass around Rironi, Mai Mahiu, and Naivasha, also to be dualled.
Mbadi criticised Nyoro’s remarks as misleading and accused him of spreading misinformation about an alleged plan to raise the levy by another Sh5.