Factors Influencing Performance Of Construction Of Power Generation Infrastructure Projects In Kenya: A Case Of Kenya Electricity Generating Company, Olkaria, Naivasha

Abstract

The Kenyan Government has identified development of key physical infrastructure in the power sector as one of the key enablers to transform the country into an industrialized nation by 2030. The need to increase generation and installed electricity capacity in Kenya has called upon key industry players to initiate mega projects in the power sector towards the realization of this goal. However, construction projects are complex and challenging in nature. Clients, consultants, contractors, project managers and other stakeholders consider a project delivered within time, to budget, to scope and quality as being successfully implemented. However, performance issues such as delays, cost overruns, lack of funds, poor quality, poor safety culture, poor planning and design among other factors have variously contributed to poor performance of construction projects in the power generation sector. This study examined factors influencing performance of construction of power generation infrastructure projects in Kenya with a focus on Kenya Electricity Generating Company, Olkaria, Naivasha, Nakuru County. The study was guided by the following objectives: to determine the extent to which regulatory framework influence performance of construction of power generation infrastructure projects; to assess the influence of project funding on performance of construction of power generation infrastructure projects; to assess the degree to which construction inputs influences performance of construction of power generation infrastructure projects, and to determine the influence of stakeholder’s involvement on performance of construction of power generation infrastructure projects. The study was informed by Zero Defect Theory and Sigma Six Theory. The study adopted a descriptive research survey design targeting project implementation teams at Kenya Electricity Generating Company PLC (KenGen), their consultants and contractors. 75 respondents were selected for the study. Selfadministered questionnaires were used as the primary data collection instrument. Data collected was analyzed quantitatively, using descriptive statistics including frequency distributions, percentages and Karl Pearson correlation. The analysis aided by Statistical Package for Social Scientists version 20 (SPSS ver. 20). The findings showed that 80.4% of respondents agreed that there was very high influence of regulatory framework on performance of construction of power generation infrastructure projects at Kenya Electricity Generating Company; 77.8% of the respondent agreed that project funding very highly influenced performance of construction of power generation infrastructure projects; 73.8% of respondents agreed that construction input had very high influence on performance of construction of power generation infrastructure projects; and 72.4% of the respondents agreed that stakeholder involvement had very high influence on performance of construction of power generation infrastructure projects. Therefore, in conclusion, the study noted there exists a positive correlation between performance of construction projects and factors influencing performance of construction of power generation infrastructure projects at KenGen PLC, Olkaria. The study also concluded that disregard of these factors would often lead to performance challenges such as delays, cost overruns and poor quality of projects among other undesirable project outcomes. The study, therefore, recommended careful consideration and determination of these factors during project initiation and implementation. Such include ensuring availability and enforcement of laws, ensuring adequate funding and cash flows, ensuring only competent labour is employed, quality materials are used in construction works, relevant and quality equipment are used in projects and involvement of stakeholders at every level of project formulation, implementation and operations.