The National Assembly has stopped a government plan that sought to make the use of the Electronic Government Procurement (eGP) system compulsory in all public offices, calling the directive unlawful and unconstitutional.
The decision followed recommendations by the Committee on Delegated Legislation, chaired by Ndia MP George Kariuki, which found that Treasury Cabinet Secretary John Mbadi and the Head of Public Service had overstepped their authority when they issued circulars in March and June 2025 ordering all ministries and state agencies to switch to the eGP system by July 1.
In its report tabled in Parliament, the committee said the circulars violated the Public Procurement and Asset Disposal Act and had caused unnecessary confusion in government departments that were already working under the existing manual procurement system.
“The committee concurs with the annulment of Circular No. 06 of 2025 and further recommends that the earlier circulars by the National Treasury and the Head of Public Service be declared null and void,” the report stated.
Lawmakers noted that enforcing the eGP system midway through the financial year would have disrupted ongoing tenders, delayed projects, and hampered service delivery.
To avoid stalling public projects, the committee resolved that government institutions should be allowed to continue using both manual and electronic systems for the 2024/2025 financial year.
“The implementation of projects already approved under the current financial year should not be interrupted,” the MPs said, adding that entities should be free to use either system as provided for in Section 70(1) of the Procurement and Asset Disposal Act.
The committee also warned that future changes to the procurement system must follow proper legal procedures.
It faulted the Treasury for bypassing Parliament when introducing the mandatory eGP directive and directed that any future circulars on e-procurement be accompanied by formal regulations for parliamentary approval.
In September, the High Court had already issued temporary orders suspending the directive, ruling that both manual and electronic procurement submissions must continue to be accepted as long as they comply with the law.
The parliamentary decision is seen as a major blow to the Ruto administration’s push for a fully digital procurement system, which was intended to improve transparency and curb corruption but has faced resistance from agencies still adapting to the transition.
