SGR Extension: Murkomen’s Ethiopia Deal
On Friday, August 11, Transport Cabinet Secretary Kipchumba Murkomen announced that Kenya had signed an agreement to connect the Standard Gauge Railway with Ethiopia.
Murkomen, who announced after bilateral discussions with his Ethiopian counterpart Alemu Sime, stated that the SGR would stretch from Lamu to Moyale via Isiolo to Addis Ababa.
Murkomen stated, “We also agreed to establish a Bilateral Steering Committee comprised of Kenyan and Ethiopian officials to expedite the development of the LAPSSET Corridor and its supporting infrastructure.”
In addition, the two countries agreed to develop the Lamu Port South Sudan Ethiopia Transport (LAPSSET) Corridor Programme, which aims to connect the country to the Ethiopian and South Sudanese partner states.
Murkomen added that the long-term objective of the initiative was to create a land bridge between the East and West Coasts of Africa.
I informed the Ethiopian delegation of President William Ruto’s commitment, as the current champion of the LAPSSET project under the AU Presidential Infrastructure Championship Initiative, to prioritize the development of the Corridor, full port equipment, the operationalization of the first three berths of the Lamu Port, and the development of the Lamu Special Economic Zone along the Corridor.
“The President also intends to expedite the upgrading of the Lamu-Garissa-Isiolo road of the LAPSSET Highway to bitumen standard, so that a completely paved road will connect the Lamu Port to Ethiopia.” The upgrading of Lamu-Ijara-Garissa to Isiolo is in progress,” the former senator for Elgeyo Marakwet added.
Kenya and Ethiopia have yet to reveal the precise cost of the extension on their respective territories.
The China Road and Bridge Corporation constructed the SGR, which connects the port cities of Mombasa and Nairobi, and former President Uhuru Kenyatta opened it in 2017.
ALSO READ: Murkomen Spearheads SGR Extension to Uganda!
In June 2017, passenger rail service began between Mombasa and Nairobi; freight rail service began in January 2018.
Other segments, including the extension from Naivasha to the Malaba-Kampala route in Uganda, are under construction. The government has expressed confidence that the agreement will increase bilateral trade.
“Uganda has committed to ensuring that the SGR is extended as soon as possible to the borders with Rwanda, South Sudan, and the Democratic Republic of the Congo to improve the financial viability and attractiveness of the SGR along the Northern Corridor,” CS Murkomen stated on July 28, 2023.
Concerns regarding the possible misappropriation of up to Ksh500 billion continue to surround the SGR’s price tag. According to multiple reports, Uhuru’s administration inflated the cost, resulting in a loss of billions.
Last year, businessman-turned-politician Jimmy Wanjigi, who claimed to have participated in negotiating the SGR agreement between Kenya and China, claimed that the Jubilee government increased the initial budget from Ksh55 billion to over Ksh300 billion.
Former State House Chief of Staff Nzioka Waita, who did not disclose the precise amount of the transaction, refuted the rumors.
In June 2023, the Supreme Court ruled that the government acquired the Standard Gauge Railway (SGR) legally, despite a lawsuit filed by Senator Okiya Omtatah of Busia, who wanted the contract to be voided.
A five-judge panel consisting of Deputy Chief Justice Philomena Mwilu, Mohammed Ibrahim, Smokin Wanjala, Njoki Ndung’u, and William Ouko concurred unanimously that the government and the public were involved in the transaction via Parliament.
The judges also determined that the procurement process was conducted as a government-to-government contract and that the Public Procurement Disposal Act of 2005 was not applicable.
SGR Extension: Murkomen’s Ethiopia Deal
