WHY NAIROBI EXPRESSWAY IS THE MOST HATED PROJECT IN KENYA'S HISTORY.
The monstrosity of impunity depicted by this project is astonishing. When some people analyse it politically, they lose track of many critical issues.
THREAD
The monstrosity of impunity depicted by this project is astonishing. When some people analyse it politically, they lose track of many critical issues.
THREAD
This project will cost the country KShs 194.7 Billion for a 27 km stretch of a road. You may be wondering how I got this figure. We were recently told that the cost of the construction had risen to KShs 72.8 Billion.
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We were also told that the cost of land compensation and utilities relocation was KShs 15.1 Billion (an unbelievable figure).
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This means that the total cost of building the highway is KShs 87.9 Billion. Then there is the KShs 106.8 Billion profit that will be earned by Moja Expressway (CRBC) the company doing the project.
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This totals to KShs 194.7 Billion. The operational costs over the 27 years are estimated at KShs 43 Billion and there is insurance of KShs 10 Billion. The mention of these figures sends a shiver down the spine.
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This means that the cost per km is KShs 7.2 Billion. In other words, the cost of this road could have constructed 27 Thiba dams and ensured food security for the country.
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Everything about this project is just wrong. The reason given for the project is that it will decongest the city. This is a lie. Decongestion of the city can only be through mass transit systems. Does this project include a BRT?
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If it did, wouldn't that shatter the proposed business case?
When this project was first conceived in 2007 or thereabout, the bypasses we have around the city were not there. Building the bypasses and the expressway is wasteful duplication.
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When this project was first conceived in 2007 or thereabout, the bypasses we have around the city were not there. Building the bypasses and the expressway is wasteful duplication.
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So many roads have been done since 2007 including Thika Highway, Kilimani Ring Road, Westlands Ring Road, Outering road, by passes etc. So far, the city is still congested. What miracle will this expressway do?
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The other issue is about charging toll fees while still charging Road Maintenance Levy (RML) per litre of fuel. Road tolls used to be there in the 80s but couldn't be sustained due to corruption. As such, the RML was introduced to replace tolls.
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When Jubilee came in, RML was KShs 9 per litre. It has since been doubled. To levy RML and toll is double taxation. This oppression will most likely be contested in court.
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The assumption that the road will make KShs 11.2 Billion per year in toll fees sounds utopian. How were these figures arrived at? What are the assumptions? What happens if Kenyans resist the tolls and continue using the old road beneath?
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The project's finer details are shrouded in secrecy as is common with these Chinese deals. We however know that Treasury has provided guarantees should the toll fees fail. What guarantees are these? Do they include paying the anticipated profit?
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Then you have to think about the morality of the deal. This Moja Expressway company has not invested much in the project. Even assuming the anticipated equity release of KShs 18B is their investment, how can you justify making a profit of KShs 106 Billion out of that?
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The worst thing is how the Transport CS boasted late last year about the conception of the project. According to CS Macharia, the project was conceived over a dinner when he was in China in 2019 to negotiate for SGR loans.
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After he got the idea, he called the president who immediately ordered the Treasury CS to fly to China and seal the deal.
It is an insult beyond measure that a few people can sit over a dinner and commit 50 million Kenyans to a project like this.
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It is an insult beyond measure that a few people can sit over a dinner and commit 50 million Kenyans to a project like this.
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What happened to economic planning? Even a kiosk is not run this way.
When people express disgust, hatred, anger & all manner of negative emotions over this project, they are justified to do so. This is blatant profiteering. It is the most ugly depiction of state capture.
17/18
When people express disgust, hatred, anger & all manner of negative emotions over this project, they are justified to do so. This is blatant profiteering. It is the most ugly depiction of state capture.
17/18
It is pure enslavement of the Kenyan people. It is madness!
We have complained many times that most of Jubilee's projects are vendor driven with no clear economic benefits. This project is the best case study to vindicate us.
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We have complained many times that most of Jubilee's projects are vendor driven with no clear economic benefits. This project is the best case study to vindicate us.
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