Review Public- Private Partnership Act for better progress, study recommends 

    Share

When the Public-Private Partnership programme was launched in Kenya in 2023, it was envisioned as a beacon of hope in addressing the government’s infrastructure financing gap, improve efficiency and innovation, and spur economic growth. Despite the great expectations, massive investment of over Sh90 billion and several projects underway, many local communities in Kenya are yet to realise the full impact of such projects. 

A study conducted by Strathmore University researchers in Narok and Nakuru counties identified   various gaps in the PPP Act (2021) in the application of rights-based principles. Some of the weak areas include accountability, inclusivity, community participation, climate action, community empowerment, and   rights protection. 

“These gaps highlight the need to strengthen the PPP Act (2021) by embedding rights-based, inclusive, and climate-responsive principles through a Public-Private Development Partnership (PPDP) model, an inclusive rights-based approach to development,” the study observes in a report entitled, “Public-Private Development Partnership: A Rights-Based Approach to Development.”

The research findings note that although the PPP Act of 2021 was enacted to improve infrastructure delivery in Kenya by enhancing partnerships with the private sector, the Act has several limitations that must be addressed to ensure inclusivity, equity, and community empowerment.  One of the observed glaring gaps is the lack of an explicit benefit-sharing framework to indicate how local communities benefit from PPP projects.  Oversight mechanisms are also weak since the Act merges negotiation and compliance rules, thus compromising the principle of the separation of powers.

“This raises concerns about accountability, particularly regarding the monitoring and enforcement of community rights, socio-economic impacts, and environmental safeguards,” the researchers observe. The Strathmore University team that took part in the study comprised Dr David Chiawo, Dr Peggy Ngila, Ms Jane Mugo, Dr Mumbi Wachira, and Ms Linet Mukami. The study was sponsored by ForumCiv, Kenya.

The study further avers that the definition of local content within the Act prioritizes national-level value addition but fails to consider county-specific or community-level contributions and needs. Consequently, local communities are excluded from the project value chain. Equally critical is the Act’s omission of climate change adaptation, mitigation, and resilience strategies. 

Policy options 

As a result of the noted limitations, the study recommends that the PPP Act should be reformed comprehensively to embed rights-based, climate-responsive, and community-centred development principles. These changes will not only uphold Kenya’s constitutional values but also enhance public trust, de-risk private investments, and foster equitable, inclusive development outcomes, the researchers observe.

They propose the application of a Public-Private Development Partnership (PPDP) model, an inclusive rights-based approach to development.  “A PPDP model tested by our study in Suswa and Olkaria wards in Narok and Nakuru counties revealed a significant impact on community development in the provision of clean water, quality education, and healthcare, among several other amenities,” the study reports. 

The PPDP method was developed by Swedish International Development Agency (Sida) to mobilise the private sector, in Sweden and elsewhere, to pro-actively engage in and contribute to the development of sustainable societies in low-income countries.  The approach encourages the private sector to proactively develop strategies to improve key community development dimensions, including community business ecosystems, skill sets and capability enhancement, socio-economic empowerment, partnership networks, and access to rights-based needs. 

Article written by:  Otuma Ongalo

What’s your story? We’d like to hear it. Contact us via communications@strathmore.edu