Nairobi Naivasha SGR deal not yet Govt

Nairobi  Naivasha SGR deal not yet  Govt

The Ministry of Transport and Infrastructure says that no financing deal has been signed to pave way for the construction of the Standard Gauge Railway (SGR) from Nairobi – Naivasha even as the Chinese contractor moved to the site.

The China Road and Bridge Corporation (CRBC) – Kenya contractor moved to the site which has been earmarked for the construction of the railway line.

According to Transport Principal Secretary, Irungu Nyakera, the contractor moved to the site ahead of schedule insisting that the project will be flagged off on September 29, 2016.

In a statement to newsrooms, the Ministry indicated that the Nairobi – Naivasha line is an extension of the Mombasa – Nairobi line and construction is expected to start in 2017.

The SGR is a flagship project under the Kenya Vision 2030 development agenda and is meant for passengers and cargo transportation between Mombasa and Nairobi.

The 427 kilometer Railway Line project is expected to be complete by December with tests on the line set for mid-2017.

The new railway line is also expected to ease transportation from the port of Mombasa with one train expected to haul 216 twenty-foot containers in a journey, equivalent to 108 trucks on the road.

The Ministry of Transport and Infrastructure has already given CRBC a 10-year concession to operate the SGR line once complete as part of the loan agreements by the Chinese government.

Construction of the Nairobi-Naivasha line is set to cost Ksh 150 billion after the government and EXIM bank of China signed a financing agreement for a commercial loan in June to support the development.

The loan covers 85 percent of the project with the government raising the remaining 15 percent through the Railway Development Levy.

The launch of the Nairobi – Naivasha was launched by President Uhuru Kenyatta on September 12, 2015.

Tags:

SGR president kenyatta CONTRACTOR wangui Ngechu Chinese contractor China Road and Bridge Corporation (CRBC) Naivasha-Nairobi SGR line ransport ministry Permanent Secretary Irungu Nyakera

Want to send us a story? Submit on Wananchi Reporting on the Citizen Digital App or Send an email to wananchi@royalmedia.co.ke or Send an SMS to 25170 or WhatsApp on 0743570000

Leave a Comment

Comments

No comments yet.

latest stories