MPs query Sh4.3billion used during Nairobi Climate Summit
By Anthony.Mwangi, March 22, 2024
Over Sh4.3 billion spent during the inaugural Africa Climate Summit (ACS) held in September last year cannot be accounted for.
Members of Parliament (MPs) are now raising concerns over how the money which came from donor partners was utilised.
When he appeared before a parliamentary committee to respond to the queries, Environment and Climate Change Principal Secretary Festus Ng’eno, could not explain how the money was spent.
The Environment, Forestry and Mining Committee of the National Assembly found Ng’eno’s responses to be wanting and told him to appear before the committee at a later date well prepared with answers.
Documents tabled before the committee yesterday indicated that the funds received from donors in the ACS basket fund amounted to US$28.98 million (Sh4.3 billion) going by the exchange rates then, of Sh147.30.
However, it cost the organisers US$ 16 million as opposed to the budgeted US$28.98 million. The PS could not explain the discrepancy even as the MPs asked for documents to prove his explanation.
Baringo South MP Charles Kamuren wondered why the Kenyatta International Convention Centre (KICC), the venue for the summit had not been paid despite the surplus in the budgeted cash.
“If indeed you have that balance, why haven’t you paid KICC its dues? This puts the information you are giving us in doubt,” posed Kamuren.
According to the PS, US$999,960 was received from the Presidential Court, US$500,000 from the Welcome Trust, US$299,990 from Bezos Earth Fund, and US$249,990 from the King Baudouin Foundation United.
Others were US$100,000 each from Ecobank and Nature Conservancy, US$50,000 from the Bank of America, Sh550 million from the Africa Development Bank (ADB), and Sh2 million from NCBA bank.
Displeased with the responses, the committee which is chaired by Nakuru Town East MP David Gikaria warned the PS that he risked being fined Sh500,000 for providing unacceptable answers despite being warned severally.
The meeting ended abruptly after members ruled that the PS and his team were not prepared to provide the answers as requested in a letter sent to him.
“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,” Gikaria said.
Ng’eno however maintained that the government did not handle the donor funds adding that there was a surplus.
“We did not receive any funds as the donors paid directly to various suppliers, in fact, the Sh 50 million the government allocated in the Supplementary Budget never hit our accounts,” PS Ng’eno told the committee.
He told MPs that the Summit was such a success that the African Union (AU) had settled for Nairobi as the home of ACS.
He also revealed that the KICC that hosted the ACS summit is yet to be paid for the services to date but promised to follow up the matter with the organizers. He however failed to give the details of the companies that were paid for delivering services and goods even as the MPs demanded that he reveal the beneficiaries.
The ACS 2023 ran from September 4th to 6th 2023, “marking a pivotal moment in the continent’s journey towards sustainable development and climate resilience.”
The summit was organized in the country as the world grappled with the escalating threats of climate change as “Africa stood at the crossroads of vulnerability and opportunity.”
The National Assembly appropriated Sh50 million just before the ACS summit but PS Ng’eno revealed to the committee the money was never received raising questions of its whereabouts.
“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 the breakdown of how the funds were expended, he remained mum on the entities or individuals that were hired and paid to supply goods and services.
“What you have provided before this committee are receipts. You have not told us who you spent the money on,” said Kamuren.
The funds were used to cater for logistics, security and transport, accommodation and meals at hotels and registration and accreditation services of the delegates attending the summit.
The breakdown also included expenditures on the convening of African Ministers of Finance-on-finance architecture, health and emergency services that included hire of ambulances, protocol and hospitality expenses for invited guests, youth summit and conference venue costs, which included venue, outdoor facilities, catering services, furniture and ICT among others.
The summit was attended by African Heads of State and Government, global leaders, development partners, civil society organizations, researchers, academia and relevant stakeholders, among others.
The PS was also put to task to explain why he extended the term of ACS CEO Joseph Ng’ang’a even after the board had discontinued his services.
Ng’eno promised to give an undertaking during the next sitting.