High Court Halts Government’s Mandatory Use of New e-Procurement System
The High Court has temporarily stopped the government from forcing all state agencies and county governments to strictly use the new Electronic Government Procurement (eGP) system for purchasing goods and services.
On Monday, Justice Bahati Mwamuye issued conservatory orders suspending the enforcement of a circular issued by the National Treasury and the Public Procurement Regulatory Authority (PPRA).
The circular had directed that all public entities must fully shift to the eGP platform, making its use compulsory for procurement processes.
In his ruling, Justice Mwamuye clarified that until the matter is heard and further directions are given, no government agency or county authority will be forced to use the eGP system exclusively.
Instead, all entities are expected to follow the provisions of Section 77(1) of the Public Procurement and Disposal Act. This section allows tender documents to be submitted in either electronic format or manual (paper) form, giving bidders and institutions a choice in how they file documents.
The judge emphasized that the suspension was necessary to protect fairness and ensure that both manual and electronic submissions are accepted without bias.
He noted that the law already recognizes both formats and requires public procurement bodies to treat them equally, provided all other requirements under the Act are fulfilled.
“A conservatory order is hereby issued to suspend the decision of the Cabinet Secretary for National Treasury and Economic Planning, together with the Public Procurement Regulatory Authority’s Circular No. E04/2025, which had made it mandatory for all government entities to only use the Electronic Government Procurement System (eGPS),” the judge stated.
He further ordered that all procuring entities must comply with the Public Procurement and Disposal Act by accepting tender submissions in writing, whether done manually or through electronic means, as long as they meet the legal standards outlined in the law.
Justice Mwamuye also directed the National Treasury and PPRA to process both types of submissions—manual and electronic—without discrimination. This means bidders and government offices can continue using whichever method is most practical until the court issues a final decision.
The ruling gives temporary relief to contractors, suppliers, and agencies that had raised concerns over the mandatory eGP system. Some stakeholders had argued that making the platform compulsory would disadvantage smaller businesses and counties with poor internet infrastructure.
The judge set October 15, 2025, as the date when the conservatory orders will lapse unless they are extended or modified by the court. Until then, the suspension remains in effect, ensuring that tender processes in the country continue under both manual and electronic systems.
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