Court of Appeal Clears Kenya Power Lawsuit Against Nairobi County

The Court of Appeal has delivered a setback to Nairobi County in its legal battle with Kenya Power. A three judge bench dismissed the county’s application to stop proceedings in the Environment and Land Court over the 2025 Stima Plaza garbage dumping incident.

The ruling keeps alive Kenya Power’s petition against the county government and the Nairobi City Water and Sewerage Company. The case stems from events on February 24 2025 when county officials allegedly dumped untreated waste at the entrance of Stima Plaza, blocked sewer services and impounded utility vehicles.

Kenya Power claims the actions violated its rights and disrupted operations. The standoff arose from a bitter dispute over unpaid bills. The utility says the county owes it more than Sh3 billion in electricity dues while the county counters that Kenya Power owes Sh4.8 billion in wayleave charges and other fees.

Nairobi County had argued that the Environment and Land Court lacked jurisdiction. It described the matter as an intergovernmental dispute that should first go through alternative resolution mechanisms under the Constitution and the Intergovernmental Relations Act.

The appellate judges acknowledged that the jurisdiction question raises an arguable point. However they ruled that this alone does not justify halting the lower court proceedings. The county can still raise the issue in a full appeal if it loses the substantive case.

The judges noted that the Environment and Land Court petition is already at an advanced stage with written submissions underway. Judgment is not expected to take long. They found no special circumstances warranting a stay.

The dramatic confrontation at Stima Plaza drew widespread public attention. It highlighted tensions between public agencies when pursuing debt claims. Kenya Power had disconnected power to some county facilities over the unpaid bills prompting the county’s aggressive response.

The Court of Appeal decision means the substantive hearing will now proceed. A final judgment could clarify the limits of enforcement powers available to county governments in such disputes. Both sides await the outcome with significant financial and operational implications.