E-Procurement Deadline Looms: Government Entities Face Sanctions for Non-Compliance

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Government ministries, departments, and agencies have just days left to align with Kenya’s new digital procurement era, or risk losing their purchasing authority to better-prepared counterparts.

The Public Procurement Regulatory Authority (PPRA) has issued a firm ultimatum to accounting officers and heads of procurement across all public entities: register and integrate with the electronic Government Procurement System (E-GPS) by June 30, 2025 or step aside. The transition becomes mandatory from July 1.

This move follows an earlier announcement by Treasury Cabinet Secretary John Mbadi during the 2025/2026 budget speech, confirming that all public procurement from July onward will be executed exclusively through the E-GPS platform. The goal: to improve governance, reduce corruption loopholes, and save the government up to 10 percent of the national procurement budget.

“I launched the e-procurement system in April 2025, and from 1st July, all procurement by Ministries, Departments and Agencies will shift to the system,” said Mbadi. “This transition is designed to bring transparency to a process long criticized for its opacity.”

In a circular issued to all public entities including the National Assembly, Senate, county governments, and public schools PPRA Director General Patrick Wanjuki warned that failure to comply by the June 30 deadline would trigger enforcement measures under Section 52 of the Procurement Act. Non-compliant entities will have their procurement responsibilities reassigned to registered and compliant institutions.

“This shift also renders manual uploads to the Public Procurement Information Portal unnecessary,” Wanjuki explained. “All required reports will now be generated and submitted automatically via E-GPS. However, the portal will remain active to publish procurement information for public access and accountability.”

To ensure a smooth rollout, the National Treasury has been conducting training programs nationwide, targeting procurement officers and staff involved in asset disposal. So far, over 400 individuals from both national and county governments, including suppliers and public finance officers, have been trained on the new system.

This transition forms part of a broader overhaul of Kenya’s public procurement framework. Alongside the system rollout, the Treasury has introduced the Public Procurement and Asset Disposal (Amendment) Bill, 2024, currently under parliamentary review. The proposed law seeks to strengthen oversight, enforce compliance, introduce penalties for violations, and promote local content in procurement all while aligning Kenya’s standards with global best practices.

As the June 30 deadline approaches, government departments are under increasing pressure to modernize or step aside. The clock is ticking, and the message from authorities is clear: digitize or lose the mandate to spend public funds.

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