A growing wave of court battles is casting a shadow over more than Sh1.3 trillion in public contracts awarded to Chinese companies in Kenya, exposing disputes over land, procurement, environmental compliance, and payment claims across some of the country’s most ambitious infrastructure projects.
From the Standard Gauge Railway (SGR) and Nairobi Expressway to contested road expansions, dam projects, and urban developments, filings before courts and tribunals reveal a pattern of litigation shaping how these projects are financed, executed, and completed.
The surging disputes tie to contracts across infrastructure, energy, and transport sectors spanning nearly two decades, as Chinese companies played a central role in Kenya’s infrastructure boom. Some involve billions of shillings in taxes, contract claims, and financial obligations.
At the centre is the SGR, Kenya’s most expensive infrastructure project connecting Mombasa to Nairobi and Naivasha, built by China Road and Bridge Corporation (CRBC) at a cost of Sh650 billion. The government last month launched a Sh500 billion extension from Naivasha to Kisumu and Malaba, awarded to China Communications Construction Company (CCCC).
President William Ruto and China Communications Construction Company Chairman Song Hailiang launch the landmark construction of the Naivasha-Kisumu-Malaba Standard Gauge Railway line in Narok.
Photo credit: PCS
Legal challenges include land compensation, procurement transparency, and environmental concerns. A Kisumu High Court petition alleges authorities withheld project documents, including financing arrangements and engineering contracts, denying public participation.
Elsewhere, the Ngong–Riruta metre gauge railway , costing Sh11 billion, faces litigation over financing through the Railway Development Levy Fund. Other concerns relate to public finance approvals, with petitioners claiming no funds were allocated in 2023/24 even as construction progressed.
Similarly, the Sh88 billion Nairobi Expressway has faced scrutiny over tolling structures, land compensation, and transparency, while a Sh200 billion Lamu coal power plant was halted after courts revoked its environmental licence.
Thwake Dam in Makueni County which is currently under construction.
Photo credit: File | Nation Media Group
Dams and highways have also drawn disputes. Thwake Dam, valued at Sh82 billion, faced payment and subcontractor lawsuits, while the Sh200 billion Rironi–Nakuru–Mau Summit highway encountered legal challenges under a public-private partnership model. Aviation projects, such as the Sh56 billion Greenfield terminal at JKIA, were cancelled due to procurement and legal disputes.
Mining and real estate sectors are not spared, with cases involving royalties, license issues, and loan defaults linked to Chinese contractors. Legal experts attribute the surge to the complexity of multi-billion-shilling contracts involving multiple parties, opaque financing, and concentrated execution among a few Chinese firms.
Courts increasingly arbitrate disputes, emphasizing compliance with constitutional safeguards and procurement laws. Auditor-General reports and parliamentary committees have flagged cost escalations, contract risks, and questions over value for money.
‘‘We are seeing more challenges tied to how these contracts are structured and implemented,” said a Nairobi-based advocate, who has participated in infrastructure-related litigation.
As Kenya pursues infrastructure expansion, courts and tribunals have become key arbiters of legality and accountability. The growing litigation trend underscores the need for transparent contract management, public participation, and regulatory oversight as the country balances rapid development with constitutional and financial compliance.
