This Public Procurement and Disposal Act, 2005 established the Public Procurement
Oversight Authority (PPOA), with a general mandate to oversee the public
procurement process in Kenya. In the said Act, PPOA is also vested with a specific
mandate to implement and operationalise the public procurement system by
providing advice and assistance to procuring entities.
We note that Section 30(4) of the Public Procurement and Disposal Act, 2005,
outlaws all transactions by public officials in which standard goods, works and
services are procured at unreasonably inflated prices. It is envisaged that this
Average Price List would assist all Heads of Procuring Entities, Accounting Officers
and all public officials involved in the procurement function with the necessary
information to comply with the aforesaid legal requirement and in turn deliver value
for money in the public system.
In a bid to achieve this, the Public Procurement Oversight Authority has developed
this Average Price List of Common User Items for Goods, Works and Services
mostly procured by public entities. The basket of the enlisted of common user items
was compiled in consultation with the Supplies Branch together with a spectrum of
public procuring entities.
The ensuing market survey process of the basket of common user items was
managed by the Kenya National Bureau of Statistics. Data was collected in the
month of April, 2008 from Kenya’s major three urban centres namely, Nairobi,
Mombasa and Kisumu.
Procuring Entities are encouraged to make reference to this list when preparing
procurement plans, evaluating bids, awarding of tenders and shopping for low value
procurements. Any deviation from the reference prices should be based on the
prevailing Consumer Price Index obtained from Kenya National Bureau of Statistics
or the monthly inflation rate issued by the Central Bank of Kenya. PPOA will update
this list of average prices annually to accommodate price fluctuations.
ROBERT R. HUNJA
The Interim Direct