Ruto’s government on the spot over Sh4.3bn Africa Climate Summit funds use
President William Ruto takes a group photo with delegates at KICC, Nairobi on September 4, 2023 during the Africa Climate Summit 2023.
Members of Parliament have questioned the spending of Sh4.3 billion in donor funds a few months after the first African Climate Summit was held in Nairobi.
This comes after it emerged that the government cannot explain how money earmarked for the summit, held last September, was spent. MPs fear the money has been misappropriated.
Environment and Climate Change Principal Secretary (PS) Festus Ng'eno on Thursday found it difficult to explain how the money was spent before the National Assembly's Committee on Environment, Forestry and Mining.
This came as the PS was put to task about the questionable extension of the term of office of ACS Chief Executive Officer (CEO) Joseph Ng'ang'a.
But even as PS Ng'eno struggled to reassure the committee, chaired by Nakuru Town East MP David Gikaria, that no funds had been lost, he escaped a Sh500,000 fine for giving unsatisfactory answers to the committee despite being summoned and warned several times.
When the patience of the angry MPs ran out, they kicked the PS out of the committee meeting, accusing him of failing to answer questions posed by members.
“We are not making any progress on this matter. There are a lot of gaps, misinformation and misdirection in the response from the PS. The committee has not gotten what it wanted,” directed Mr Gikaria, effectively calling off the meeting with PS Ng’eno, saying that the government did not handle the donor funds.
High-level delegates
The budget for the Summit covered extensive logistical needs - accommodation, event production, event management and support for high level delegates, including Heads of State and Government.
“We did not receive any funds as the donors paid directly to various suppliers,” said the PS, noting that the Kenyatta International Convention Centre (KICC) that hosted the ACS summit hasn't received payments for the services to date.
However, the PS was unable to provide details of the companies paid to provide services and goods, despite calls from MPs to reveal the beneficiaries.
The ACS 2023 ran from September 4-6 last year, “marking a pivotal moment in the continent’s journey towards sustainable development and climate resilience.”
The summit was organised in the country as the world grappled with the escalating threats of climate change as “Africa stood at the crossroads of vulnerability and opportunity.”
ACS basket fund
Documents tabled in Parliament show that the funds received from donors in the ACS basket fund amounted to US$28.98 million (about Sh4.3 billion at the then exchange rate of Sh147.30 to the dollar).
Despite the $28.98 million budget, they spent $16 million, according to the PS, as Baringo South MP Charles Kamuren wondered why KICC remained unpaid.
“If indeed you have that balance, why haven’t you paid KICC its dues?” posed Mr Kamuren.
The PS said that the money was for the implementation of the summit resolutions.
The PS listed the sources of the funds as $999,960 from the Presidential Court, $500,000 from the Wellcome Trust, $299,990 from the Bezos Earth Fund and $249,990 from the King Baudouin Foundation United.
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Others included $100,000 each from Ecobank and Nature Conservancy, $50,000 from Bank of America, Sh550 million from the African Development Bank (ADB) and Sh2 million from NCBA Bank.
The National Assembly approved Sh50 million shortly before the ACS summit, but PS Ng'eno revealed that the money was never received, raising questions about its whereabouts.
External funding
“We have not received anything from the government. The summit was held with the support of external funding only,” said the PS.
Although PS Ng'eno revealed the sources and breakdown of how the funds were spent, he remained tight-lipped about the companies or individuals who were hired and paid to provide goods and services.
“What you have provided before this committee are receipts. You haven’t told us who you spent the money on,” said Mr Kamuren.
The funds covered logistics, security and transport, accommodation and meals, and registration and accreditation for delegates attending the summit.
The breakdown also included expenses for the convening of African finance ministers on financial architecture; health and emergency services, which included ambulance rental; protocol and hospitality expenses for guests; and venue costs for the Youth Summit and conference, which included venue, outdoor facilities, catering services, furniture and ICT, among others.
