ODPP Renson Ingonga./FILE
The Office of the Director of Public Prosecutions (ODPP) has written to the Ethics and Anti-Corruption Commission (EACC) seeking an update on investigations into alleged mismanagement of funds in two stalled KTDA projects in Kericho and Bomet.
In a letter addressed to the EACC CEO, the ODPP said it had received a complaint from Kericho Senator Aaron Cheruiyot regarding alleged financial and procurement irregularities in the projects implemented under KTDA Power Company.
The letter, signed by Joseph Riungu on behalf of the Director of Public Prosecutions Renson Ingonga, stated that the complaint raised serious concerns over the use of funds contributed by smallholder tea farmers.
“This Office is in receipt of a complaint letter dated 18th March, 2026 from Hon. Senator Aaron Kipkirui Cheruiyot, addressed to your Office and copied to us,” the ODPP said.
It added that the complaint alleges misappropriation and improper utilisation of approximately Sh978 million contributed by KTDA-managed tea factories towards the Settet Hydropower Project.
“The letter further alleges that there were procurement irregularities not only at the commencement of the project but all through the implementation process,” the ODPP noted.
The prosecution office has now formally requested the anti-corruption agency to provide a progress report on the investigations to enable it respond comprehensively to the complainant.
“This is to therefore seek an update on the progress of the investigations, to enable us to give a comprehensive response to the complainant,” the ODPP stated.
At the centre of the complaint is the stalled Settet Small Hydropower Project on Chemosit River in Kericho County and the proposed Kipsonoi Hydropower project in Bomet County.
Settet project, according to Cheruiyot, was designed to generate approximately 2.6 megawatts of electricity to supply tea factories and reduce production costs.
In his petition, the Senate majority leader said the project was initiated by KTDA to cushion smallholder tea farmers from rising electricity costs, which he described as a major burden on tea production.
He said KTDA established KTDA Power Company Limited to develop small hydropower projects that would supply affordable electricity to tea factories and sell surplus power to the national grid.
“These projects were initiated by KTDA to address the rising cost of electricity, which is a major contributor to the high cost of production affecting smallholder tea factories across the country,” Cheruiyot said.
He further revealed that the Settet Hydropower Project was financed through equity contributions from KTDA-managed factories in Kericho and Bomet counties, amounting to Sh978 million, which was deducted directly from farmers’ earnings.
“These funds were deducted from farmers’ earnings with the expectation that the project would reduce electricity costs and improve farmer returns,” he said.
However, Cheruiyot lamented that despite the huge investment, farmers have not benefited from the project since its inception in 2014.
He said the project was expected to lower production costs, improve factory earnings, generate revenue from surplus power sales, and stabilise electricity supply in tea factories.
“Despite the significant investment by farmers, the Settet Hydropower Project remains stalled and significantly behind schedule,” he said.
The senator also raised concerns over the Kipsonoi Hydropower Project, which he said has not commenced despite earlier commitments.
He called for a comprehensive investigation into the planning, procurement, financing, and implementation of the projects, including a forensic audit of all funds contributed by farmers.
“There is a need to examine procurement processes, contractual arrangements, and project management decisions to determine compliance with applicable laws and governance standards,” Cheruiyot stated.
