Kenya Ports Authority (KPA) has sacked five bosses because of the mismanagement of the second container terminal at the Port of Mombasa.
Local news sources are reporting that Gichiri Nuda KPA’s managing director and for top managers have all been fired.
The KPA board chaired by Marsden Madoka announced that the tender to manage the terminal on concession has been cancelled.
According to local sources, a statement, signed by James Macharia said: “To ensure that increased capacity at the port is not constrained by litigation, the board has directed the management of KPA to immediately commence termination of the procurement process.”
KPA’s transport cabinet secretary, continued: “Thereafter to operationalise the second container terminal as an extension of the current port operations until further notice."
In August, Kenya is due to start repaying sh1.8bn (US$18m) every month to Japan for the sh28bn it borrowed to finance the construction of the container terminal.
Despite this, a firm has not yet been selected to run the container terminal.
A number of parties were advised that they had not technically qualified, three companies then took the issue to a Petition Tribunal to reverse the decision.
Since this, there has been several cases lodged in court which has halted the process of appointing an operator.
Mr Macharia said the changes arose from a meeting of the KPA Board of directors held on 9 February.
Alongside the dismissal of Mr Nuda, he announced that four general managers Twalib Khamis (Operations), Justus Nyarandi (Corporate Services) and Muthoni Gatere (Board and Legal Services) and Security boss Mohamed Morowa were sent on early retirement.
