Changes in key state firms soon

The Government is set to make far-reaching changes in the top management of key state corporations.

The changes will also affect ambassadors, the Nation has learnt.

Sources said President Kibaki and Prime Minister Raila Odinga have held consultations over the proposed changes, some of which are being pushed by their close allies.

Following intense lobbying by Cabinet minister, sources say the list containing names of people who played a key role in PNU, ODM and ODM-K during the campaigns, is likely to be amended.

Said a highly placed source in government: “The changes have been agreed on by the President and the Prime Minister and they could be announced any time. Their desire is to have a public service sector that drives the economy.”

However, it is not clear whether the changes will reflect the 50-50 sharing formula that was agreed on between PNU and ODM in the National Accord.

The expected changes have created anxiety in parastatals with those holding top positions jostling to be re-appointed.

Among the key parastatals that those lobbying for crucial positions are eyeing are Kenya Revenue Authority (KRA), Communications Commission of Kenya (CCK), Kenya Electricity Generation (KenGen), Kenya Ports Authority (KPA), National Oil Corporation (NOC), Kenya Agricultural Research Institute (KARI), Kenya Re-Insurance Corporation, and Kenya Pipeline Company.

A few weeks ago, Mr Odinga signalled the line of action that the Government would take when it comes to such appointments when he told off Coast MPs that it was not mandatory that the KPA chief executive come from their region.

Unlike in the Narc era when President Kibaki gave Cabinet ministers a free hand to appoint people— provided they were professionals—to head parastatals, it is understood matters have taken a new dimension under the Grand Coalition Government.

Driven by the desire for an efficient public service, the President and the PM have taken charge of the process with a view to placing the right men and women on the right jobs.

Performance contracts

This is perhaps exemplified by the determination of Mr Odinga to ensure that all public servants, including teachers and judges, sign performance contracts.

Said the PM as he closed a two-day retreat of MPs last week: “The issue of performance is one which we must not compromise on. There is need for people to justify the money they are paid.”

Before performance contracts were introduced in the public sector, it was not uncommon to find that most of the parastatals were running into losses, leading to the closure of some of them.

It is also understood that the changes will also affect ambassadors. Some of them who have been accused of failing to build the image of the country abroad, and may be recalled.

Contacted Sunday, Foreign Affairs minister Moses Wetang’ula declined to comment on the matter. “That is not for me to say because if any changes come, they will be made public,” he said.

Assistant ministers Charles Keter, Ahmed Sugow and MPs Samuel Kazungu Kambi, Chris Okemo and Jakoyo Midiwo urged the President and the PM to be guided by merit and regional balance in the appointments of envoys and parastatal chiefs.

They were categorical that the skewed appointments that gave more opportunities to few communities during the first Kibaki administration and that of Retired President Daniel Moi should be avoided.

“We believe that any further appointments should reflect regional balance. We want the leadership of state corporations streamlined to reflect the face of Kenyans,” said Mr Keter, the Energy assistant minister and Belgut MP.

Mr Sugow who said Northern Kenya had long been marginalised in state appointments now wants professionals from the region to get such positions.

“This is the only way of integrating the region with the rest of Kenyans,” said the Fafi MP.

Mr Kambi of Kaloleni, said Coast MPs will not relent in their push to ensure that people from the region are named to head key parastatals like KPA.

Secretly renewed

The PNU MP clarified that their demand for the top KPA job was not based on tribalism. “This is a resource that we have in our region and it is critical for others to understand that Coast people are better placed to manage KPA,” he said.

Mr Okemo, the Nambale MP, asked deputy PM Musalia Mudavadi and Cabinet ministers Wetang’ula and Wycliffe Oparanya to ensure that the interests of Western Province in parastatals and diplomatic engagements were well represented in the appointments yet to made.

Mr Midiwo, the Joint Coalition Whip, threw a new spin when he claimed that when Kenyans were deep into the post-election violence, contracts of some managing directors were secretly renewed.

He urged President Kibaki and the PM to reverse the irregular renewals when they make the changes.