Government Terminates Portuguese Firm’s Proposal to Build Thuci Dam

The government of Kenya has terminated a privately initiated proposal by Elevolution Engenharia, S.A., a Portuguese company, to build the Thuci Dam Project. The decision was made following a review and due diligence process under the Public Private Partnerships (PPP) framework. The dam project, which crosses Embu and Tharaka Nithi counties, aims to enhance water availability and reliability for irrigation.

The proposal, which was received in May 2025, covered financing, design, construction, operation, and transfer of the dam under the PPP framework. However, the efforts were halted after the Contracting Authority found that the company needed to complete comprehensive due diligence and resolve outstanding issues. The termination was announced by the government, ensuring transparency in the development and implementation of public infrastructure projects.

The Ministry of Water, Sanitation and Irrigation emphasized that the termination pertains specifically to Elevolution's proposal and not the Thuci Dam Project itself. The government remains committed to the project's development and will proceed through an appropriate procurement route, including updated feasibility studies, requisite financing, procurement processes, and necessary statutory and regulatory approvals.