The World Bank Group has announced a 21-month debarment with conditional release of three PricewaterhouseCoopers (PwC) Africa firms over collusive and fraudulent practices linked to a major regional electricity project.
The sanctioned entities include Mauritius-based PwC Associates Africa Ltd., PwC Kenya, and PwC Rwanda. The action relates to their involvement in the Eastern Electricity Highway Project under the first phase of the Eastern Africa Power Integration Program in Ethiopia.
The project was designed to boost electricity supply in Kenya by increasing volume and lowering costs, while enabling Ethiopian Electric Power to generate revenue through power exports to Kenya.
According to the World Bank Group, the three firms improperly accessed confidential procurement information from project officials to influence the award of a 2019 consultancy contract tied to the implementation of International Financial Reporting Standards at Ethiopian Electric Power.
They also attempted to sway the awarding of a separate contract involving fixed asset inventory and revaluation for Ethiopian Electric Utility.
Investigations further revealed that PwC Associates misrepresented the availability, qualifications, and employment status of key experts during the selection and execution of the Ethiopian Electric Utility Fixed Asset Inventory and Revaluation (EEU FAIR) contract. The firm also failed to fully disclose all subconsultants involved in the project.
The World Bank Group said these actions constituted collusive and fraudulent practices under its Consultant Guidelines.
Under the terms of the debarment, the three firms and any affiliates they control are ineligible to participate in World Bank-financed projects and operations for the duration of the sanction.
The penalty stems from a settlement agreement in which the firms admitted misconduct.
The debarment period was reduced in recognition of their cooperation, internal investigations, disciplinary actions against responsible staff, and measures taken to strengthen their integrity compliance frameworks.
These measures included ceasing relationships with implicated subconsultants, conducting staff training, and voluntarily refraining from bidding on World Bank-financed contracts during the investigation period.
As part of the agreement, the firms are required to develop and implement enhanced integrity compliance programs aligned with World Bank Group standards. PricewaterhouseCoopers Africa Limited, which oversees compliance across PwC’s African network, signed the agreement as a non-sanctioned party. The firms also committed to ongoing cooperation with the World Bank Group’s Integrity Vice Presidency.
Notably, the debarment qualifies for cross-debarment by other multilateral development banks under the Agreement for Mutual Enforcement of Debarment Decisions signed in April 2010, potentially extending the impact of the sanctions beyond World Bank-financed projects.
