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Court allows KRA to acquire new Sh1.2bn clearance system

Times Towers in Nairobi, the KRA headquarters. KRA is now free to continue rolling out the controversial Sh1.2 billion electronic customs clearance system after a five-year delay due to a legal battle over procurement. PHOTO | FILE | NATION MEDIA GROUP

What you need to know:

  • The tender was for the supply, installation and commissioning of an integrated customs management system.
  • The project, financed by TMEA, aims to curb tax evasion among other things.
  • The installation of the new system is said to have been agreed upon by Kenya, Uganda and Rwanda.

The Kenya Revenue Authority (KRA) is now free to continue rolling out the controversial Sh1.2 billion electronic customs clearance system after a five-year delay due to a legal battle over procurement.

In a judgment issued by the Court of Appeal Nairobi, a three-Judge bench has upheld decisions made by the High Court and the public procurement oversight agency in dismissing a dispute involving the award of the technology advancement tender.