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Session! Directorate!Of!Committee ! !!!!REPUBLIC!OF!KENYA! ! ! ! ELEVENTH!PARLIAMENT! 44444444444444444444444444444444444! NATIONAL!ASSEMBLY!–!THIRD!SESSION! DIRECTORATE!OF!COMMITTEE!SERVICES! ! THE!NINETEENTH!REPORT! OF!THE!! PUBLIC!INVESTMENTS!COMMITTEE! ON!THE!! AUDITED!FINANCIAL!STATEMENTS!OF!STATE!CORPORATIONS! ! VOLUME!I! ! ! ! Clerk’s!Chambers!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!MARCH,!2015! Parliament!Buildings! NAIROBI. ! i! ! Table"of"Contents" ! ! ! ! ! ! ! ! ! ! ! !!!!!!!!Page! ACRONYMS!AND!ABBREVIATIONS!...........................................................................................................!IV! PREFACE!............................................................................................................................................................!1! COMMITTEE!GENERAL!OBSERVATIONS!AND!RECOMMENDATIONS!.............................................!3! CONSIDERATION!OF!THE!ACCOUNTS!OF!THE!AUDITOR!GENERAL!ON!THE!FINANCIAL! STATEMENTS!OF!STATE!CORPORATIONS!.................................................................................!20! 1.0! THE!NATIONAL!OIL!CORPORATION:!FY!1999/2000!TO!2011/2012!...............................!20! 2.0!KENYA!RURAL!ROADS!AUTHORITY:!FY!1999/2000!TO!2011/2012!...................................!29! 3.0!KENYA!ROADS!BOARD:!FY!2000/2001!TO!2011/2012!............................................................!30! 4.0!KENYA!NATIONAL!HIGHWAYS!AUTHORITY:!FY!2008/2009!TO!2011/2012!....................!35! 5.0!KENYA!AIRPORTS!AUTHORITY:!FY!2009/2010!TO!2011/2012!...........................................!39! 6.0!KENYA!CIVIL!AVIATION!AUTHORITY:!FY!2003/2004!TO!2011/2012!................................!49! 7.0!KENYA!PLANT!HEALTH!INSPECTORATE!SERVICE:!FY!2001/2002!TO!2011/2012!.........!61! 8.0!NATIONAL!HOUSING!CORPORATION:!FY!2001/2002!TO!2011/2012!.................................!68! 9.0!HIGHER!EDUCATION!LOANS!BOARD:!FY!2003/2004!TO!2011/2012!..................................!74! 10.0!KENYA!TOURIST!DEVELOPMENT!CORPORATION:!FY!1996/1997!TO!2011/2012!......!76! 11.0!NATIONAL!SOCIAL!SECURITY!FUND!(NSSF):!FY!2008/2009!TO!2011/2012!..................!85! 12.0!KENYA!INDUSTRIAL!RESEARCH!DEVELOPMENT!INSTITUTE:!FY!2001/2002!TO! 2011/2012!..........................................................................................................................................!99! 13.0!COTTON!DEVELOPMENT!AUTHORITY:!FY!2001/2002!TO!2012/2013!.........................!107! 14.0!NURSING!COUNCIL!OF!KENYA:!FY!2000/2001!TO!2011/2012!.........................................!111! 15.0!KENYA!PORTS!AUTHORITY:!FY!2009/2010!TO!2011/2012!.............................................!115! 16.0!KENYA!RAILWAYS!CORPORATION:!FY!2007/2008!TO!2009/2010!................................!123! 17.0!KENYA!POWER!AND!LIGHTING!COMPANY:!FY!2004/2005!TO!2011/2012!.................!128! 18.0!CENTRAL!BANK!OF!KENYA:!FY!2001/2002!TO!2011/2012!..............................................!130! 19.0!EWASO!NG’IRO!NORTH!DEVELOPMENT!AUTHORITY:!FY!2007/2008!TO!2011/2412131! 20.0!KENYA!PETROLEUM!REFINERIES!LIMITED:!FY!2008/2008!TO!2011/2012!................!134! 21.0!KENYA!ELECTRICITY!GENERATING!COMPANY!(KENGEN):!FY!2005/2006!TO!2011/24 12!.........................................................................................................................................................!135! 22.0!NZOIA!SUGAR!COMPANY:!FY!2001/2002!TO!2011/2012!..................................................!137! 23.0!AGRO!CHEMICAL!AND!FOOD!COMPANY!LIMITED:!FY!2000/2001!TO!2011/2012!....!147! 24.0!KENYA!FOREST!SERVICE:!FY!2007/2008!TO!2011/2012!..................................................!149! 25.0!KENYA!WILDLIFE!SERVICES:!FY!2007/2008!TO!2011/2012!............................................!152! 26.0!KENYATTA!NATIONAL!HOSPITAL:!FY!2007/2008!TO!2011/2012!.................................!154! ! i" ! 27.0!KENYA!SEED!COMPANY!LIMITED:!FY!2007/2008!TO!2011/2012!..................................!158! 28.0!KENYA!MARITIME!AUTHORITY:!FY!2005/2006!TO!2011/2012!.....................................!160! 29.0!KENYA!MARINE!AND!FISHERIES!RESEARCH!INSTITUTE:!FY!2003/2004!TO! 2011/2012!.......................................................................................................................................!162! 30.0!KENYA!FERRY!SERVICES!LIMITED:!FY!2003/2004!TO!2011/2012!................................!170! 31.0!COAST!DEVELOPMENT!AUTHORITY:!FY!2007/2008!TO!2011/2012!............................!175! 32.0!COAST!WATER!SERVICES!BOARD:!FY!2007/2008!TO!2011/2012!..................................!184! 33.0!KENYA!MEDICAL!RESEARCH!INSTITUTE:!FY!2002/2003!TO!2011/2012!....................!190! 34.0!NATIONAL!HOSPITAL!INSURANCE!FUND:!FY!2007/2008!TO!2011/2012!....................!195! 35.0!NATIONAL!WATER!CONSERVATION!AND!PIPELINE!CORPORATION:!FY!2008/2009!TO! 2012/2013!.......................................................................................................................................!203! 36.0!TEA!BOARD!OF!KENYA:!FY!2001/2002!TO!211/2012!........................................................!212! 37.0!NATIONAL!AUTHORITY!FOR!THE!CAMPAIGN!AGAINST!ALCOHOL!AND!DRUG!ABUSE! (NACADA):!FY!2007/2008!TO!2012!.........................................................................................!214! 38.0!NORTHERN!WATER!SERVICES!BOARD:!FY!2004/2005!TO!2011/2012!........................!218! 39.0!KENYA!REINSURANCE!CORPORATION:!FY!2001/2012!TO!2011/2012!........................!222! 40.0!MOI!TEACHING!AND!REFERRAL!HOSPITAL:!FY!2000/2001!TO!2011/2012!...............!227! 41.0!KENYA!NATIONAL!EXAMINATION!COUNCIL:!FY!2001/2002!TO!2011/2012!..............!231! 42.0!KENYA!ELECTRICITY!TRANSMISSION!COMPANY!LIMITED:!FY!2009/2010!TO! 2011/2012!.......................................................................................................................................!235! 43.0!KENYA!MEDICAL!SUPPLIES!AUTHORITY:!FY!2009/2010!TO!2011/24012!...................!237! 44.0!NATIONAL!AIDS!CONTROL!COUNCIL:!FY!2007/2008!TO!2011/2012!............................!239! 45.0!KENYA!MEDICAL!TRAINING!COLLEGE:!FY!2007/2008!TO!2011/2012!.........................!243! 46.0!KENYA!DAIRY!BOARD:!FY!2008/2009!TO!2011/2012!.......................................................!247! 47.0!NATIONAL!IRRIGATION!BOARD:!FY!2008/2009!TO!2011/2012!....................................!250! 48.0!AGRICULTURAL!FINANCE!CORPORATION:!FY!2003/2004!TO!2011/2012!..................!258! 49.0!SUGAR!DEVELOPMENT!FUND:!FY!2003/2004!TO!2011/2012!.........................................!266! 50.0!KENYA!SUGAR!BOARD:!FY!2003/2004!TO!2011/2014!.......................................................!273! 51.0!LOCAL!AUTHORITY!PROVIDENT!FUND:!FY!2002/2003!TO!2011/2012!.......................!280! 52.0!NATIONAL!CEREALS!AND!PRODUCE!BOARD:!FY!2002/2003!TO!2011/2012!.............!291! 53.0!TANA!AND!ATHI!RIVER!DEVELOPMENT!AUTHORITY:!FY!2001/2002!TO!2011/2012293! 54.0!KENYA!NATIONAL!LIBRARY!SERVICES:!FY!2003/2004!TO!2012/2013!........................!295! 55.0!COMMISSION!FOR!UNIVERSITY!EDUCATION:!FY!2002/2003!TO!2012/2013!.............!298! 56.0!KENYA!FORESTRY!RESEARCH!INSTITUTE:!FY!2001/2002!TO!2012/2013!..................!301! 57.0!NATIONAL!ENVIRONMENT!MANAGEMENT!AUTHORITY:!FY!2007/2008!TO! 2011/2012!.......................................................................................................................................!307! ! ii" ! 58.0!THE!GEOTHERMAL!DEVELOPMENT!COMPANY:!FY!2009/2010!TO!201/2012!...........!314! 59.0!THE!COFFEE!RESEARCH!FOUNDATION:!FY!2002/2003!TO!2011/2012!.......................!318! 60.0!THE!BOMAS!OF!KENYA:!FY!2004/2005!TO!2012/2013!......................................................!323! 61.0!THE!KENYA!FILM!CLASSIFICATION!BOARD:!FY!2009/2010!TO!2012/2013!...............!328! 62.0!KENYATTA!INTERNATIONAL!CONVENTION!CENTRE:!FY!2005/2006!TO!2012/2013329! 63.0!THE!PUBLIC!COMPLAINTS!COMMITTEE!ON!ENVIRONMENT:!FY!2005/2006!TO! 2012/2013!.......................................................................................................................................!336! 64.0!THE!NATIONAL!CONSTRUCTION!AUTHORITY:!FY!2012/2013!........................................!337! 65.0!THE!NATIONAL!COHESION!AND!INTEGRATION!COMMISSION:!FY!2010/2011!TO! 2012/2013!.......................................................................................................................................!337! 66.0!THE!ENERGY!REGULATORY!COMMISSION:!FY!2006/2007!TO!2012/2013!.................!340! 67.0!EMBU!UNIVERSITY!COLLEGE:!FY!2012/2013!........................................................................!340! 68.0!THE!KENYA!INSTITUTE!OF!CURRICULUM!DEVELOPMENT:!FY!2001/2002!TO! 2012/2013!.......................................................................................................................................!342! 69.0!THE!INFORMATION,!COMMUNICATION!AND!TECHNOLOGY!AUTHORITY:!FY! 2007/2008!TO!2012/2013!.........................................................................................................!344! 70.0!THE!KENYA!NUCLEAR!ELECTRICITY!BOARD:!FY!2012/2013!...........................................!346! 71.0!THE!NATIONAL!ENVIRONMENT!TRUST!FUND:!FY!2011/2012!TO!2013/2014!..........!346! 72.0!TAITA!TAVETA!UNIVERSITY!COLLEGE:!FY!2012/2013!......................................................!347! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! iii" ! ACRONYMS!AND!ABBREVIATIONS! ! ADC! ! ! Agricultural!Development!Corporation! ADF! ! ! African!Development!Fund! AFC! ! ! Agricultural!Finance!Corporation! AfDB! ! ! African!Development!Bank! AFFA! ! ! Agriculture,!Fisheries!and!Food!Authority!
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