Rubis Energy has failed to overturn a Sh458 million tender for fuel supply awarded to rival firm Stabex International after the Public Procurement Administrative Review Board (PPARB) dismissed its challenge.
Kenya Power Company’s invited bids for the supply of low-sulphur diesel to off-grid power stations.
In its ruling, the board found that Rubis Energy lacked the legal standing to seek a review of the process because it failed to plead that it had suffered, or was likely to suffer, loss or damage as a result of the alleged breach of procurement laws.
“...the Board finds that the Applicant (Rubis) failed to specifically plead suffering loss and damage in its Request for Review as filed contrary to Section 167(1) of the Act,” said the board.
Kenya Power invited bids for the tender in January 2026, attracting 12 submissions from firms including Galana Energies, Tarita Petroleum, Stabex International, Blue Sky, Hass Petroleum, Lake Oil, Dalbit Petroleum and Rubis Energy.
Following technical evaluation, only Rubis Energy Kenya, Galana Energies and Stabex International advanced to the financial evaluation stage. Rubis submitted a bid of Sh542 million, while Galana quoted Sh603.7 million. Stabex emerged as the lowest bidder after quoting Sh458.2 million.
Kenya Power subsequently carried out due diligence on Stabex to verify its eligibility, existence and capacity to execute the contract before recommending it for award.
Rubis challenged the outcome, arguing that it had a legitimate expectation that the procurement process would be conducted in accordance with the tender document, procurement laws and the constitution.
Kenya Power, however, defended the award, stating that Stabex won because it submitted the lowest evaluated bid.
“The upshot of our finding is that the instant Request for Review is for striking out for want of jurisdiction,” stated the board.