Taxpayers to shoulder more burden as Kenya seeks Sh38billion new China loan to dual Kiambu Road
The country’s insatiable appetite for development loans is still palatable despite the high public debt and harsh economic times after it emerged that Nairobi is seeking Sh38.3billion new loan from Beijing, China, to expand Kiambu Road into a dual carriageway to ease the heavy traffic congestion.
The 25-kilometre stretch is likely to gobble much more for compulsory land acquisition after as opportunistic developers who got the wind of the planned development moved in and hurriedly initiated developments on parcels adjacent to the road targeting high reparations from government owing to the inevitable loss of businesses.
Also, cases of land grabbing are on the rise that may occasion protracted court disputes and cases of possible dispossessions should the project come to fruition.
Appearing before the National Assembly Roads and Transport committee, Roads Principal Secretary Joseph Mbugua said the project will be funded by the government of Kenya in partnership with China through the China Exim Bank.
Already, the ministry, through the Kenya Urban Roads Authority (KURA), has entered into a memorandum of understanding with M/s Sinohydro Corporation Limited of China for the execution of the dualling of the road.
The dual carriageway, which cuts through Muthaiga-Kiambu-Ndumberi is estimated to cost $286.1 million (Sh38.3 billion) which incorporates $55.26 million (Sh7.4 billion) for land acquisition and relocation of services.
Mbugua told the chairman George Macharia Kariuki led committee that the dualling of the Kiambu Road will be executed under Engineer-Procure-Construct (EPC) framework.
In 2021, the National Environment Management Authority (Nema) invited members of the public to submit oral or written comments to assist the authority in the decision-making process regarding dualling project.
It is unclear how the project initially under KeNHA was shifted to KURA.
In 2019, the Kenya National Highways Authority (KeNHA) had in 2019 hired two firms to prepare designs and a feasibility study for a dual-carriage road to run along the affluent Muthaiga and Runda estates as well as Karura Forest.
The two firms — Apec Consortium and Span Engineers — were mandated to work under a joint venture to draw up the designs that would incorporate views from residents.
Today, Mbugua told the committee that the ministry has already written to the National Treasury requesting consideration and allocation of funds to the project as it finalises the preparatory activities.
“The concept notes, feasibility studies, preliminary engineering designs, and Environmental impact assessment have been completed and submitted to the National Treasury which has granted Kura the approval to proceed with the project preparation within the existing legal and regulatory framework…The timelines on implementation of the plans will be determined once the requisite legal regulatory and funding approval clearances are completed.” Mbugua said.
In 2019, KeNHA issued notices to businesses and property owners on road reserves on the stretch to demolish their structures.
Among the recommendations of residents then was that the road ought to have non-motorised transport facilities, given that it mainly runs through residential areas.
The dualling of the road is part of a wider plan to improve transport infrastructure in the northern reaches of Nairobi, with the government also planning to upgrade the Northern Bypass to a dual-carriageway.
