The energy committee has halted budget hearings and directed Finance Minister John Mbadi to clarify the transfer of KenGen, Kenya Power, Ketraco and GDC to the National Infrastructure Fund.
Members of the Energy Committee, chaired by David Gikaria, said the transfer was done without approval and has cut the Ministry of Energy budget from Sh78.3 billion to Sh31.52 billion.
Energy Permanent Secretary Alex Wachira said the move risks donor-funded projects and asked for the budget to be restored. Lawmakers warned that the step violates the law and could lead to staff cuts.
The transfer was referenced in the Budget Policy Statement approved in March 2026. The committee suspended its session until Mbadi and other officials provide further explanations.