House raises queries on audit tenders given to private firms
Parliament wants Auditor-General Edward Ouko to explain why private firms continue to audit lucrative State corporations in the energy, oil and gas sector contrary to recommendations of the House.
The National Assembly’s Public Investments Committee (PIC) demanded a detailed report from Mr Ouko on all State corporations whose audit services have been outsourced to private firms.
The MPs took the decision after learning that Mr Ouko had delegated his audit powers to PricewaterhouseCoopers (PWC) to scrutinise the books of account for Kenya Power for the three financial years to June 2016 which returned a clean audit opinion.
“I think other than Kenya Power, we have delegated audit powers to private firms to audit the Geothermal Development Corporation (GDC), Kenya Electricity Generating Company (KenGen), Kenya Electricity Transmission Company (Ketraco) and National Oil (NOCK),” Edwin Kamar, the audit director in charge of the petroleum, energy and oil docket at the Office of the Auditor General told PIC.
Mr Kamar said that the Public Audit Act, 2015, allows the Auditor-General to delegate audit functions to private firms.