[2023] KEHC 20571 (KLR)

[2023] KEHC 20571 (KLR)

The court found that the Kenya Ports Authority Board acted ultra vires by approving the grant of license for the second bulk grain handling facility and invoking the Specially Permitted Procurement Procedure, which is a statutory procurement method reserved for the accounting officer, not the Board. The Board's...

Source-derived case information.

Citation
[2023] KEHC 20571 (KLR)
Parties
Applicant: Okiya Omtatah Okoiti; Respondent: Kenya Ports Authority; Respondent: Cabinet Secretary, Ministry Of National Treasury & Planning; Interested Party: Portside Freight Terminals Limited; Interested Party: Kilindini Terminals Limited; Interested Party: Mombasa Grain Terminal Limited; Interested Party: Kapa Oil Refinery; Interested Party: Africa Ports and Terminals; Interested Party: Multship International; Interested Party: Kipevu Inland Container EPZ Limited; Interested Party: Dock Workers Union; Interested Party: Katiba Institute
Court
High Court
Court Station
High Court at Mombasa
Jurisdiction
Kenya
Case Number
Petition E045 of 2021
Procedural Posture
Constitutional Petition / Judgment
Outcome
Petition allowed in part; impugned decisions and license quashed; future procurement to be by competitive bidding; no order as to costs.
Judges
JN Onyiego
Legal Topics
Public Procurement, Ultra Vires Actions, Legitimate Expectation, Public Participation, Access to Information, Judicial Review
Source Language
en
Administrative Law Commercial and Corporate Civil Procedure Public Procurement Ultra Vires Actions Legitimate Expectation Public Participation Access to Information +1 more

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Summary, issues, holding and outcome

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Parties

Okiya Omtatah Okoiti

Applicant

Kenya Ports Authority

Respondent

Cabinet Secretary, Ministry Of National Treasury & Planning

Respondent

Portside Freight Terminals Limited

Interested Party

Kilindini Terminals Limited

Interested Party

Mombasa Grain Terminal Limited

Interested Party

Kapa Oil Refinery

Interested Party

Africa Ports and Terminals

Interested Party

Multship International

Interested Party

Kipevu Inland Container EPZ Limited

Interested Party

Dock Workers Union

Interested Party

Katiba Institute

Interested Party

Procedural Posture

Constitutional Petition / Judgment

  1. 1 Whether the Kenya Ports Authority Board acted ultra vires in approving the grant of license for a second bulk grain handling facility.
  2. 2 Whether the procurement process leading to the grant of license to Portside Freight Terminals Limited met constitutional and statutory thresholds of fairness, transparency, competitiveness, and legality.
  3. 3 Whether the petitioner's right of access to public information was violated.

Ratio Decidendi

The court found that the Kenya Ports Authority Board acted ultra vires by approving the grant of license for the second bulk grain handling facility and invoking the Specially Permitted Procurement Procedure, which is a statutory procurement method reserved for the accounting officer, not the Board. The Board's unilateral decision to amend or disregard the Master Plan without public participation or competitive bidding violated constitutional and statutory requirements of fairness, transparency, and competitiveness in public procurement. The process discriminated against other interested parties and the public, breaching legitimate expectations and the principles of good governance. The...

Court Disposition

Petition allowed in part; impugned decisions and license quashed; future procurement to be by competitive bidding; no order as to costs.

Orders

  • A declaration that the KPA Board's decision to invoke the Specially Permitted Procurement Procedure was ultra vires and unlawful.
  • A declaration that the use of Specially Permitted Procurement Procedure in favour of the interested party was unconstitutional, illegal, and irregular.