The Kenya Private Sector Alliance (KEPSA) Transport and Infrastructure Sector Board held it first Ministerial Stakeholder Forum (MSF) this year on 24th August 2016. The MSF was co-chaired by the Principal Secretary for Transport Mr Irungu Nyakera and Sector Board Chair Mr. Auni Bhaiji. The MSF took stock of the progress achieved since the last Presidential Round Table (PRT) and MSF’s.
On decongesting the city traffic, the Principal Secretariat informed the meeting that the draft National Metropolitan Area Transport Authority (NAMATA) Bill is currently undergoing a stakeholder’s consultation. The Bill creates an authority (NAMATA) that will be instrumental in coordination between the multiple ongoing transport initiatives in Nairobi, ensuring harmonization of the Bus Rapid Transport (BRT) Lines, overseeing the BRT implementation and helping to establish a clear roadmap for improving sustainable transport facilities in Nairobi. This is expected to reduce traffic congestion in Nairobi as well as its environs. The PS said he will ensure private sector representation in the Authority since they are the major stakeholders in the public transport sub-sector.
On review of the National Construction levy, it was reported that the paper was prepared and is currently awaiting Cabinet approval. Meanwhile, the proposed scrapping of the levy contained in the 2016/17 Budget Statement will only become operational once the necessary laws have been reviewed. The PS asked the private sector to be patient as they peruse the matter to conclusion.
On local content, the Ministry has established a Projects Implementation Unit (PIU) which tracks the progress of projects. The Unit chaired by the Cabinet Secretary has instructed the contractors to provide detailed report on how they have complied with NCA regulation on local content within six months. It was proposed that during the contract development, one of key component to be included will be training especially those that link universities and internship to the project.
Other issues resolved included:
Designation of Container Freight Station (CFS) for cargo enroute to Sudan is a commercial arrangement hence the government has no role to interfere with it nor does it have a policy on such arrangements.
Port Charter implementation is progressing smoothly though few challenges have been experienced especially on Single Customs Territory (SCT) system and dispute resolution in regard to Customs and associated duties. He said that the relocation of Senior Customs official for KRA in Nairobi to Mombasa will facilitate faster consultation and dispute resolutions.
On SGR, a Transaction advisor has been contacted to advise the operator on the best business model to operate the SGR. The PS said the government has already procured 56 locomotives which will arrive in December this year. He said though the Government promised a minimum haulage from Mombasa to Nairobi will be transported through the SGR, it is upon the transaction advisor to set up the standards, tariff through stakeholders consultations.
In regard to the Motor Vehicle Inspection Regulations, the PS indicated that he has directed the NTSA to suspend the Regulations in order to allow wide consultations with stakeholders. However, the Private sector felt the need to integrate motor vehicles repair and inspection as well as review the viability of inspecting non-commercial (private) vehicles.
State Department of Housing officials confirmed the Urban Housing Policy has been approved by the Cabinet while the Urban and Cities Regulations and Sectional Properties Regulations has been drafted and will be subjected to stakeholders review.
Members noted that there is need for the ministries to engage with KEPSA since most of the private sector stakeholders are affiliated to KEPSA. Moving forward, members agreed to hold the MSFs on a quarterly basis. It was agreed that the next MSF will be held in October.